1. is an Authorised Representative of RI Advice Group Pty Ltd 2014-15 Federal Budget Update

2. is an Authorised Representative of RI Advice Group Pty Ltd 2014-15 Federal Budget Update

3. is an Authorised Representative of RI Advice Group Pty Ltd 2014-15 Federal Budget Update

4. is an Authorised Representative of RI Advice Group Pty Ltd My Name Financial 2014-15 Federal Budget Update

5. is an Authorised Representative of RI Advice Group Pty Ltd JV logo 2014-15 Federal Budget Update

7. 6 Disclaimer Important Notice RI Advice Group Pty Ltd, ABN 23 001 774 125, holds Australian Financial Services Licence Number 238429 and is licensed to provide financial product advice and deal in financial products such as: deposit and payment products, derivatives, life products, managed investment schemes including investor directed portfolio services, securities, superannuation, Retirement Savings Accounts. The information presented in this seminar is of a general nature only and neither represents nor is intended to be specific advice on any particular matter. RI Advice Group strongly suggests that no person should act specifically on the basis of the information contained herein but should obtain appropriate professional advice based on their own circumstances.

8. A Transitional Budget

9. Young AussiesFamilies with kids Higher income earners Pre-retireesRetireesEmployers Jobseeker reformsPaid parental leaveIncentives to save for super still intact, if you can afford it: -Contribution caps still indexed -Penalties for contribution breaches reformed Retirement savings focus Health care contribution Deregulation of tertiary education Changes to HELP payback: sooner, and at a higher rate (max 6%) Financial support for TAFE students Changes to social security benefits Loss of the tax offset for dependent spouses 2% temporary tax on income >$180k for 3 years ‘Restart’ program for older workers Pensions indexed to lower rate of inflation, not wages Super income stream will now count towards your Seniors Health Care Card eligibility 1.5% tax cut for most businesses Delayed SG payment dates and rates

10. Jobseeker reforms Jobseekers younger than 30 will wait 6 months before receiving Newstart or Youth Allowance Deregulation of tertiary education Tertiary fees might increase (or decrease?) Changes to HELP repayments Payback now starts at $50,638k income, and the interest is likely to increase, but capped at 6% Financial support for TAFE students Students of Diplomas, Advanced Diplomas and Associate Degree courses will now be eligible for direct financial support First home saver accounts abolished Young Australians

11. Removal of dependent spouse tax offset Benefit loss of approximately $2,400 from July 2014. Some relief for singles Low income single parents will get an extra $750 per year for children aged between six and 12 years. Don’t forget… Kids under 16 are exempt from the $7 health payment after their first 10 visits. Families with kids

12. Temporary budget repair levy Any income you earn over $180,000, may be subject to 2% extra tax for the next 3 years. Taxable incomeLevy payable (pa) $180,000$0 $200,000$400 $220,000$800 $240,000$1,200 $260,000$1,600 $280,000$2,000 $300,000$2,400 Higher income earners

13. No changes to super contribution caps No change to contributions caps… and they’re still indexed. Relief if you breach the non-concessional contributions cap. “Restart” program for older workers $10,000 over two years to employers who hire a previously unemployed 50+ worker. Pro rata available for part time employment. But on the other hand Mature Aged Workers Tax Offset is abolished from 1 July 2014 for ALL taxpayers. Still to come News about super preservation age. Pre-retirees

14. Pensions indexed to a lower rate Pension payments are now indexed to inflation, not wage growth. Deeming thresholds reduced Reduced pension entitlements likely under the income test from 1 July 2017. Commonwealth seniors health card (CSHC) eligibility tightened Your tax-free super income stream will now count towards your CSHC eligibility. Seniors supplement for CSHC holders, gone Annual payments of $876.20 (singles) and $1,320.80 for couples scrapped from 20th September 2014. Retirees

15. Company tax cuts 800,000 businesses will get a 1.5% cut to the Company Tax Rate. Top 3,000 still on the hook The top 3,000 will still pay a levy to help fund the paid parental leave scheme. Super Guarantee increases delayed Remaining at 9.5% until 2018. And of course… Repeal of the minerals resource rent tax and the carbon tax. Employers

16. Aged Pension age increase Aged Pension age increased to 70 by 1 July 2035. No impact if you were born before 1 July 1958. Super won’t grow quite as fast SG payments increases delayed. Rate increasing to 9.5% on 1 July 2014 and remaining at 9.5% until 2018. For everyone

17. Social security thresholds frozen against indexation Social security thresholds will not increase for 3 years. Austerity measures We’ll all have to make choices about how we spend our household budget (health, fuel, university fees).

18. Some pressing questions How will you bridge the gap between your retirement and Aged Pension age? How will you make up for the compound effect of the delay in increase in Super Guarantee payments? Will there be indirect impacts on you because of changes impacting a family member? What lifestyle changes would you be willing to make because of cuts to social security benefits? What are the ‘non-negotiables’ in your family budget? Are your current financial strategies still relevant?

19. Disclaimer This information is issued by RI Advice Group and is a summary of RI Advice Group understanding of the proposed Federal Budget 2014/15 changes announced on 13 May 2014. The changes are subject to the passing of legislation and, accordingly, may not become law or may change. Please note that the information is based on RI Advice Group interpretation of the proposed changes as at the date of issue of this document. Accordingly, you must not do or refrain from doing anything in reliance on this information without obtaining suitable professional advice. This document may not be reproduced, distributed or published by any recipient for any purpose. It has been prepared without taking into account the objectives, financial situation or needs of any person. Whilst every effort has been taken to ensure the information used is accurate and reliable, no warranty is given as to the accuracy of the information and no liability is accepted for your reliance on the information. Statements made during the presentation do not and are not intended to represent financial advice or a recommendation to hold, acquire or dispose of any investment. Before acting on this information you should consider whether the information is appropriate having regard to your personal needs, financial circumstances and objectives. Investors should always read the Product Disclosure Statement for the relevant product and seek financial and tax advice before making an investment decision. Any investment is subject to investment risk, including possible repayment delays and loss of income and principal invested. Before making any investment decision you need to consider whether there are any adverse consequences for you, including exit fees, other loss of benefits or increase in investment risks. 18

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