Economic Response to the Coronavirus

While the full economic effects from the virus remain uncertain, the outlook has deteriorated since the Government’s initial Economic Response announced on 12 March 2020.

The spread of the virus worldwide has broadened, and is expected to be more prolonged. Governments, both international and domestic, have announced stricter mitigation measures to slow the spread of the virus, which are having significant economic impacts.

On Sunday 22nd March, the Government announced a second set of economic responses which, combined with the previous actions, total $189 billion across the forward estimates, representing 9.7 per cent of annual GDP.

Included in the announcement are temporary changes to superannuation. Please contact us on 0438 334 334 to discuss your circumstances before acting on these changes.

Please find below the key elements of this latest stimulus;

• Temporary early release of superannuation - Read Fact Sheet

• Temporarily reducing superannuation minimum drawdown rates - Read Fact Sheet

• Reducing social security deeming rates - Read Fact Sheet

• Income support for individuals - Read Fact Sheet

• Payments to support households - Read Fact Sheet

• Boosting cash flow for employers - Read Fact Sheet

• Temporary relief for financially distressed businesses - Read Fact Sheet

• Increasing the instant asset write-off - Read Fact Sheet

• Backing business investment - Read Fact Sheet

• Supporting apprentices and trainees - Read Fact Sheet

• Support for Coronavirus-affected regions and communities - Read Fact Sheet

If you would like to discuss any of the areas targeted, please call on 0438 334 334.

Source: Australian Government - The Treasury