All eyes were on Treasurer Josh Frydenberg tonight as he announced the 2020 Australian Federal Budget.
With Australia in its first recession in 30 years, the budget outlined the Government's plans to steer us through the COVID-19 pandemic and kick-start the economy.
"In 2020, Australians have been tested like never before. Fires, floods and a global pandemic. Lives lost, businesses have closed, jobs have gone," said Frydenberg.
"Two world wars would not bring Australia to it’s knees, and neither will COVID-19."
Overall, the budget focuses on creating more jobs for Australians, particularly women who Frydenberg said made up the majority of people who lost their jobs due to the global pandemic.
"Our economy has been hit, and has been hit hard. In the space of one month, one million Australian’s lost their jobs."
Here's everything you need to know about the 2020 Federal Budget, including who the winners and losers are with the proposed measures.
The Australian economy.
While last year the Government were excited to announce the first surplus in years during the Federal Budget, funnily enough 2020 hasn’t delivered the same result.
Instead, the Government reported a disappointing $213 billion deficit.
But the hope is that there will be around a five percent ‘bounce back’ for the economy, if the budget outlined this year is approved. How? Frydenberg noted income tax cuts, cash bundles and an investment in around one million jobs to be created with helpful wage subsidies as methods to get the Australian economy back on its feet.
Unfortunately, unemployment is set to peak at eight percent in the December quarter.
However, the Government are planning a deliberate shift from temporary support (AKA Jobseeker supplements) to strong long-term fiscal buffers so that the country can be prepared for the next economic hit. Essentially, the Government want to get more people into jobs as that can place Australia in a much stronger economic position.
JobSeeker and JobKeeper recipients.
Unfortunately, it seems there is no plan to extend JobSeeker or JobKeeper payments.
For JobSeeker recipients, the additional coronavirus supplement of $250 a fortnight will cease at the end of December, while JobKeeper payments will end in March next year.