More hip-pocket help and less vaping set to come into effect in new financial year [Video]

Tax cuts, energy bill relief and an increase in the minimum wage are among the raft of mid-year changes set to kick in for Australians.

Every taxpayer will keep a little more of what they earn from Monday as the long-planned stage three tax cuts kick in with a combination of other measures designed to alleviate the cost-of-living crisis.

Some economists have sounded warnings the tax cuts could add pressure to inflation, which may prompt the Reserve Bank to keep interest rates higher for struggling households or even raise them.

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But with annualised inflation hitting a six-month high, consumers are feeling the pinch and likely to welcome more after-tax pay in their pockets.

“Finally working people will be getting ahead again,” ACTU Secretary Sally McManus said.

“July is a great month for working people after years of being hit with cost-of-living pressures made worse by big business price gouging.”

Consumers will also enjoy a degree of power-bill relief.

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