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The Government are making significant changes to Self Managed Super Funds.

Read the below article from Grow SMSF to understand what the changes are and how these may affect you.

If you would like to arrange a consultation to discuss the impact of this on your specific circumstances, please reach out to us on better@finwellgroup.com.au or via our website.

SMSF Borrowing Banned: What the Labor-Greens LRBA Deal Means for You

The government has struck a deal with the Greens — and if you’ve been planning to buy residential property inside your SMSF using a limited recourse borrowing arrangement (LRBA), the clock is now ticking.

Yesterday, 23 June 2026, Prime Minister Anthony Albanese and Treasurer Jim Chalmers confirmed they have agreed to an amendment that will ban SMSFs from entering new LRBAs to acquire residential property.

The change is the price the Greens extracted for their Senate support of the government’s broader Treasury Laws Amendment (Tax Reform No. 1) Bill 2026 — the legislation that overhauls the CGT discount and negative gearing rules.

This is breaking news. Here is everything we know right now, and what it means for you.

What Exactly Has Been Agreed

The government’s official statement confirms:

“The Government has agreed to support an amendment that will be moved by the Greens to ban future limited recourse borrowing arrangements (LRBAs) for residential property by superannuation funds.”

Treasurer Chalmers told reporters in Canberra:

“We will ban these arrangements for residential property going forward, but we will leave the existing arrangements in place for those existing investments, and also have a 45-day transition period for any investments which are currently midstream.”

At Finwell Group, we want you to have control of your financial future, and our team is ready to help you achieve that.

Give us a call on (03) 9017 3235 or email better@finwellgroup.com.au.

General Advice statement

The information in this article is general in nature and does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions.

The Federal Budget handed down on Tuesday 12 May 2026 has been framed by the Government as a reform package for workers, first home buyers, businesses and future generations.

Treasurer Jim Chalmers described it as a “responsible” and “reforming” Budget, with tax reform, cost-of-living support and housing affordability among its central themes. (Budget Australia)

But beneath the headline measures sits a more uncomfortable reality: many of the changes land hardest on middle Australia — PAYG income earners trying to build wealth, small business owners using long-standing family structures, property investors, and retirees relying on capital preservation and investment income.

This is not a Budget that simply “taxes the rich”. It is a Budget that reshapes the rules for ordinary Australians who have used property, trusts, companies, superannuation and long-term investing to get ahead.

The four groups most likely to feel the consequences are PAYG Accumulators, Small Business Owners, Property Investors and Retirees.

PAYG ACCUMULATORS: SMALL TAX RELIEF, BIGGER INVESTMENT HEADWINDS

For employees and salary earners, the Budget offers some immediate and visible benefits.

The Government has confirmed additional personal tax support, including a $1,000 instant tax deduction from the 2026–27 year and a $250 Working Australians Tax Offset from 2027–28. The second marginal tax rate is also scheduled to fall from 16% to 15% from 1 July 2026, and then to 14% from 1 July 2027. (AusTaxTools)

On the surface, that sounds positive. For many PAYG workers, it will be. But the concern is what happens beyond the payslip.

PAYG accumulators — people working hard, saving surplus income, investing outside super, buying ETFs, shares or property — are also caught by changes to capital gains tax and investment deductibility. From 1 July 2027, the 50% CGT discount is being replaced by a cost-base indexation model, with a minimum 30% tax on capital gains. (AusTaxTools)

That matters because PAYG workers already have limited tax-planning flexibility. They earn income, tax is withheld, and their ability to build long-term wealth often depends on disciplined investing after tax.

The Budget gives with one hand through modest income tax relief, but potentially takes with the other by reducing the after-tax reward for long-term investment.

For PAYG accumulators, the question is no longer just: “How much tax do I save this year?”

It becomes: “What is the most effective structure for building wealth over the next 10, 20 or 30 years?”

SMALL BUSINESS OWNERS: THE FAMILY TRUST MODEL IS UNDER PRESSURE

For small business owners, the most significant change may be the proposed 30% minimum tax on discretionary trust income from 1 July 2028.

The Budget materials and tax commentary indicate that fixed trusts, widely held trusts, superannuation funds, special disability trusts, deceased estates and charitable trusts are expected to be excluded, but discretionary family trust arrangements are squarely in focus. (AusTaxTools)

This is a major issue because many Australian small businesses operate through family trusts.

For decades, family trusts have been used not simply as a tax tool, but as a practical structure for asset protection, succession planning, family risk management and household income management. For many small business families, the business is not a passive investment. It is the household engine. It funds wages, school fees, mortgages, super contributions, insurance, reinvestment and retirement plans.
A 30% minimum tax on discretionary trust income may change the equation.

One likely consequence is that more business owners will review whether their current structure still makes sense. Some may consider moving towards company structures, formal employment arrangements, director salaries, PAYG withholding and larger superannuation contributions.

That may bring forward tax collection for the Government. It may also capture more compulsory superannuation contributions. But it could also reduce cash-flow flexibility for business owners already dealing with wage pressure, higher borrowing costs, compliance costs and softer consumer demand.

The Budget also includes a permanent $20,000 instant asset write-off from 1 July 2026, which is helpful for eligible small businesses. (AusTaxTools)

But that benefit is unlikely to offset the broader structural impact for business owners who rely on discretionary trusts as part of their long-term planning.

The message for small business owners is clear: structure review is no longer optional. It is now a priority.

PROPERTY INVESTORS: NEGATIVE GEARING CHANGES ARE ONLY PART OF THE STORY

The Budget’s property measures have received the most attention, particularly the changes to negative gearing.

From 1 July 2027, negative gearing will be limited for established residential property. Existing arrangements are expected to be grandfathered for properties held before Budget night, while new builds retain more favourable treatment.

Investors who buy established homes after Budget night will still be able to deduct losses against residential property income and carry forward unused losses, but they will not be able to deduct those losses against other income such as wages. (Money Management)

In practical terms, that is a major change for investors who have historically used rental losses to offset PAYG income. However, the bigger long-term issue may be capital gains tax.

The 50% CGT discount has been central to the property investment equation since 1999. Under the Budget changes, it will be replaced from 1 July 2027 by cost-base indexation, with a minimum 30% tax on gains. The reforms are expected to apply to gains arising after that date, with special treatment for existing assets and new builds. (Money Management)

The Government argues these changes will improve housing affordability and support an additional 75,000 homeowners over the decade. (Budget Australia)

The concern is whether the policy also reduces private investor appetite at the lower end of the rental market.

Negative gearing was originally tolerated because private investors helped provide rental housing supply. If fewer investors are willing to provide that housing — especially established rental housing — the burden shifts back toward government, institutional housing providers and new-build incentives.
That may be the intended direction of policy. But it is not risk-free.

For property investors, the key issue is not panic. It is modelling. Existing holdings, debt levels, rental yields, future tax treatment, ownership structures and exit timing all need to be reviewed carefully.

Some investors will still find property attractive. Others may decide the risk-return trade-off has changed.

RETIREES: CAPITAL GAINS, INCOME AND CERTAINTY MATTER

Retirees are not always the headline target in Budgets like this, but they can still be materially affected.

Many retirees hold long-term assets outside superannuation, including shares, managed funds, investment properties and family trust interests. Changes to CGT rules may therefore influence how and when they sell assets, fund retirement income, support children, downsize or manage estate planning.

The shift away from the 50% CGT discount towards cost-base indexation may benefit some investors in high-inflation environments, because only real gains above inflation are taxed. But for many long-term investors, particularly those with strong nominal gains, the outcome may be less favourable than the current 50% discount. The introduction of a 30% minimum tax on gains also reduces the ability to manage CGT outcomes by timing asset sales in lower-income years. (The Guardian)

For retirees, that matters.

Retirement planning depends heavily on certainty. People need to know what their assets are worth after tax, how much income they can safely draw, and whether selling an asset will trigger an avoidable tax shock.

The Budget also includes increased aged care and health funding, including public hospital and aged care commitments. (Budget Australia)

These are important, but they do not remove the need for retirees to reassess their personal tax, estate and income strategies in light of the investment tax changes.

For retirees, the priority is to review asset ownership, unrealised gains, pension phase superannuation strategies, family trust exposure and estate planning before the new rules take effect.

THE BIGGER PICTURE: THIS IS A STRUCTURAL RESET

The Budget is being presented as a fairness package.

In reality, it is a structural reset of how Australia taxes work, investment, property and family wealth.
The most affected Australians may not be the ultra-wealthy. They may be the people in the middle: employees trying to invest, small business owners carrying risk, property investors supplying rental housing, and retirees trying to preserve capital.

The key risk is that these changes alter behaviour.

Small business owners may move away from trusts. Investors may redirect capital away from established housing. PAYG accumulators may need to rethink whether property, shares, super or company structures are the best path forward. Retirees may need to reassess the tax cost of selling long-held assets.

The Budget’s headline story is reform. The practical story is that the rules of wealth accumulation are changing.

For households, business owners and investors, this is the time to review before reacting. Tax settings, ownership structures, investment strategy, debt levels, superannuation contributions and estate planning should now be looked at together — not in isolation.

The Budget may have been handed down in one night, but its consequences will play out over many years.

At Finwell Group, we want you to have control of your financial future, and our team is ready to help you achieve that.

Give us a call on (03) 9017 3235 or email better@finwellgroup.com.au.

General Advice statement

As we enter the latter part of the 2020s, there is no doubt that experts see a changing picture of retirement. It’s been identified that we’re increasingly more active and more flexible about the way we view and experience retirement.

This means that the old set and forget super plan for retirement might need a new perspective as Australians work, help, learn and earn longer in our respective lives.

Here at Finwell Group we took the opportunity to research the current views on retirement to provide an overall picture for the interested reader.

It should be noted that all articles provide information that is general in nature and a personal conversation to review how it impacts your specific circumstances is the best way to set up your plans for this phase of your life.

Later in the article, we’ll give you a link for a complimentary review meeting with a Finwell Group expert. Take the opportunity. There is no cost or obligation, you have nothing to lose but a small amount of your time.

In the meantime, let’s look at how retirement is changing now and in the future in Australia.

Retirement is undergoing a complex transformation. The idea of a fixed “retire at 65 and relax forever” model is rapidly giving way to a more fluid, multi-stage life phase where work, leisure, community contribution and financial planning blend in new ways.

As we move through 2026 and look ahead to the next decade, several key trends are reshaping what it means to retire — with important implications for all of us.

Increasingly, Australians are choosing to not stop their job or business life abruptly. In fact, research from peak super industry bodies shows that many workers view retirement not as a finish line but as a gradual transition, often involving part-time or flexible roles well past traditional retirement ages. (reference ASFA – https://www.superannuation.asn.au/media-release/asfa-research-reveals-retirees-intend-to-stay-flexible-many-eye-part-time-work/)

To be a little more specific, this research shows that around a quarter (25%) of Australians aged 65+ who remain in the workforce plan to keep working for social engagement and intellectual stimulation, not just financial necessity.

This shift is partly cultural and partly about money. We are all living longer on average which means we need to fund a longer retirement. And we’re healthier for longer too. Our average retirement age is rising, which is partly being driven by changes in the labour market, but also our genuine preference to work longer.

Research shows that we’re phasing out work by reducing hours, or switching to freelance work, and sometimes we may even return to work after a brief period.

People are volunteering more with Aussies aged over 55 donating tens of billions of dollars in time helping others and care giving. (Australian Human Rights Commission – https://humanrights.gov.au/human-rights-education/stats-and-facts-about-discrimination/statistics-about-older-australians)

Volunteering offers purpose, community connection and a routine. Far from slowing down, retirees are becoming valuable assets in non-profit, community and advocacy sectors.

Our collective Superannuation system is among the largest in the world with trillions of dollars in assets.

But for the individual, a growing balance does not mean you can be overconfident, and many will still retire with insufficient financial support for their retirement years.

Aussies are aware of this and only a small percentage of us feel “very confident” about retirement. The problem is that there is often inaction on the part of these individuals to be proactively planning for it, despite their lack of confidence. (Proactive Investors – https://www.proactiveinvestors.com.au/companies/news/1083644/australians-more-upbeat-on-retirement-but-most-still-lack-confidence-mfs-survey-shows-1083644)

Retirement is no longer a single life stage; it’s a mosaic of experiences that blend financial security, personal fulfilment and ongoing contribution.

So perhaps this article is your wake-up call. Book that complimentary meeting and see where you are at.

At Finwell Group, we want you to have a stable retirement, and our team is ready to help you plan for it.

Give us a call on (03) 9017 3235 or email info@finwellgroup.com.au.

You can also visit our website to book that complimentary meeting finwellgroup.com.au.

General Advice statement

The team at Finwell Group has researched the views of experts in Australia about key property investment trends in the coming year.

As we roll into 2026, now is the time for anyone interested in property to set their goals and start putting plans into action.

Taken broadly, most experts predict strong property growth in 2026, driven by a combination of interest rate stability, persistent housing undersupply, growing first-home buyer demand, and tight rental markets.

Predictions for Australian interest rates in the first half of 2026 are mixed, with some major banks like ANZ and Westpac forecasting an extended hold at the current cash rate (around 3.60%) due to persistent inflation, while others, including CommBank and NAB, have shifted to predicting one or even two rate hikes (potentially to 3.85%) by mid-year, driven by inflation staying above the RBA’s target.

In 2026, property values across Australia’s combined capital cities are widely predicted by economists and real estate experts to continue rising to new record highs, albeit at a slower and more modest pace than in 2025. The consensus forecast is for an average national increase of approximately 6% to 8%.

AMP forecasts place 2026 home-price growth at 8–10%, citing rising wages and expanded low-deposit schemes.

Meanwhile, ANZ projects capital city home prices will rise 5.8% by the end of 2026.

KPMG’s outlook suggests that dwelling approvals remain below needed levels — only about 160,000 new homes per year vs. a national target of 224,000. This under-supply, paired with strong demand, is expected to maintain pressure on prices.

When it comes to the rental market & vacancy predictions, CBRE says that vacancy rates could tighten further, potentially dropping as low as 1.1% in capital cities, fueling strong rental inflation.

For investors, CBRE also suggest that they expect solid yield prospects given that demand for rental stock will remain elevated.

KPMG also predicts that unit prices may outpace house prices in 2026 as affordability drives more buyers toward apartments and townhouses.

Moving our attention to emerging investment themes, many experts suggest that strategic areas to watch include infrastructure-led growth corridors, such as around new metro lines or transport hubs.

Analysts also highlight value in mixed-use developments, sustainable design, and smart-home enabled properties — particularly near major infrastructure projects.

There are risks in the property market, in that affordability remains a major challenge.

High house prices and large deposit requirements could limit some demand. KPMG insists that investors also face an execution risk if construction doesn’t accelerate enough to relieve supply constraints.

The bottom line is that 2026 looks favourable for property investors in Australia.

With expected rate cuts, tight supply, strong rental markets, and structural demand, there’s strong momentum.

But rising prices and affordability pressures mean investors may be especially well-positioned in high-yield, supply-constrained markets or by targeting apartments in growth corridors.

To get more information about the property market, understand how it affects you and discuss your personal options, you can have a chat with one of Finwell Group’s senior consultants.

Book a free and no-obligation review meeting to discuss your needs and to see how we can help you. Call us on (03) 9017 3235 or email info@finwellgroup.com.au

For some time, it has been understood that only a small percentage of Australians seek out professional help with their financial planning and wealth creation.

However, it now seems that this truth is being turned on its head with a growing number of Aussies open to seeking help from a financial adviser as we move into 2026.

A financial standard investment trends report found that 11.8 million Australians have “unmet financial advice needs.”

None more so than millennials and Gen Z, with Colonial First State reporting that 53% of Australians aged 16–39 are open to getting financial advice, which points to a growing interest among younger people.

Demand for advice is clearly rising. With the significant volume of information out there, individuals now see advisers as a stable source of trusted guidance in an increasingly uncertain world. They report wanting help with mapping out long-term goals, retirement plans, and even investing that focuses on strong values of sustainability, climate change or other pressing social issues.

At the same time, clients are demanding holistic advice that impacts every part of their financial situation. This often means advisers need to have partnerships with experts in areas such as mortgage, SMSF and property investment.

Investors want innovation, but not at the expense of human judgment.

Many expect advisers to embrace AI for various parts of the client service model— but they also want human connection to be kept intact for critical elements like planning meetings and events.

Through it all, one thing stands out: lasting relationships matter.

A recent survey shows that many Australians are less likely to switch planners than people in other countries; trust is still being built, and people value continuity over churn. Advice isn’t just a transaction — it’s a long-game relationship.

At Finwell Group, we focus on the long term. We aim to not just help clients set their desired outcomes and key actions but also walk the journey alongside them all the way to the achievement of their goals.

As a family-owned business with many team members being investors just like our clients, our reputation is about the care we take in providing clear advice and friendly helpful service.

You can book a free and no-obligation review meeting to discuss your needs and to see how Finwell Group can help you. Call us on (03) 9017 3235 or email info@finwellgroup.com.au