Todays budget

I've spent the last hour or two reading lots of info off the net about the governments new budget for the coming year.

It's interesting reading. Obviously those who are high income earners and live a frugal lifestyle will see huge benefits. For the rest of us things won't be so great unless we spend less than we earn. I think for me I may manage to just come out ahead, just need to see how much my government assistance is affected. The reports all indicate things like the Working For Families package will increase as well which is essential for people living on low incomes.

And of course there are lots of frugal living ideas to help reduce the GST increase in the budget. Making sandcastles and splashing in the ocean are still free, same for local playgrounds and riding through the forest on our bikes. It's hard to beat activities like this when you have young children. Food brought at the supermarket will still go up 2.5% but it will always cost less than the fast food equivalent. So while GST will go up it doesn't mean all our expenses need to go up at well. It just means that you need to go back to the basics to have fun.

My real concern is for those who are living at or below the poverty line. Their increases in government assistance may not be enough to cover the increase in GST and that will be shocking. A lot of these people are already struggling and this could be the thing that tips them over the edge.

Planning ahead I'm looking at tweeking the budget to increase grocery spending from now until October 1st and then cutting right back and only buying specials, necessities like bread, milk fruit and vege. Ok so the savings might be minimal but every cent saved can go towards my debt free dream.