Persona · Age 36
Claire & Hugh
OT + teacher on $90k each — Treasury's 'average working couple' cameo
Net positive
$5,750 combined tax saving by 2028-29 — both earn around the Treasury 'average working couple' level where the full WATO and bracket cut stack.
Income Tax
+3
$320 in 2026-27 rising to $5,750 combined by 2028-29; both receive WATO $250 each
Cost of Living
+2
Fuel excise, PBS, energy measures benefit both workers
Healthcare
+1
Bulk-billing improvements for OT and teacher outpatient visits
Housing
+1
Neg-gearing reform and new housing supply may cool price pressure over time
Family Support
+1
If they have children later: PPL extended to 26 weeks; improved childcare access
Scores are stylised indicators based on published budget policy mechanics — not financial advice.
View in Tax CalculatorPersona 02 — Claire & Hugh, occupational therapist + high school teacher
Profile
- Ages: 36 (Claire) / 38 (Hugh)
- Occupations: Claire — community OT (employee). Hugh — high-school teacher.
- Annual taxable income: $90,000 each, after WRE deductions (Claire $400, Hugh $600).
- Investments: combined super (industry funds), $40k joint cash savings.
- Housing: owner-occupiers, mortgage in outer-suburban Melbourne.
- Children: none.
Their universe of policies
- Theme 04 §4.1.1 — Bracket cuts
- Theme 04 §4.1.2 — WATO
- Theme 04 §4.1.3 — $1,000 instant deduction
- Theme 02 §2.4 — Bulk billing & PBS
Scenarios
Scenario A — Treasury cameo
- Policy: Three rounds of tax cuts + WATO + instant deduction.
- Source: tax-explainers-new-tax-cuts-workers.docx — explicit cameo for "Claire and Hugh".
- Mechanic: Both already have <$1,000 WRE so they can use the full $1,000 instant deduction. As a couple they will collectively pay:
- $320 less tax in 2026-27 from new decisions in this Budget.
- $820 less from 2027-28 from new decisions in this Budget.
- $5,750 less collectively from 2027-28 combined with previously announced cuts (vs 2023-24 settings).
Scenario B — Both upgrade to claim the $1,000 instant deduction
- Policy: §4.1.3 — instant deduction up to $1,000 with no receipts.
- Mechanic: Claire goes from claiming $400 to claiming the full $1,000 → extra $600 deduction. Hugh goes from $600 to $1,000 → extra $400 deduction. At their 30% marginal rate (with WATO) the household saves $300 more across both returns vs current behaviour, on top of the bracket cuts.
Scenario C — Bulk-billed GP visits
- Policy: Theme 02 §2.4 — $11.4B bulk-billing incentives, target 9-in-10 GP services bulk-billed by 2030.
- Mechanic: Their local clinic has been mixed-billing at $40 gap × 8 visits/yr collectively. As bulk-billing share rises in their suburb, gap fees fall — modelled as a ~$160/yr saving by 2027-28 in the calculator.
Scenario D — Considering buying an investment property
- Policy: Theme 04 §4.2 — CGT + negative gearing
- Source: tax-explainers-negative-gearing-capital-gains-tax.docx
- Mechanic: If they buy an established property after 12 May 2026, losses can only be deducted against other residential-property income (and carried forward). If they buy a new build, full negative gearing is preserved and they can choose 50% CGT discount or indexation + 30% min tax at sale.
- Decision: Treasury cameo "Yoonseo" (single income $100k, established property) shows ~$22,879 of losses carried forward over 5 years — compare with $4,761 of immediate-tax-deduction value if they had pre-announcement settings. The household does the maths via the calculator Property tab.
Bottom-line annual impact (combined household, vs 2023-24 settings)
| FY | New decisions only | Total combined cut |
|---|---|---|
| 2026-27 | +$320 | +$3,956 (≈$1,978 each — average earnings cameo) |
| 2027-28+ | +$820 | +$5,750 |
| With full $1,000 IAW for both | +$300 incremental | +$6,050 |
Calculator settings
Open
calculator/index.html, run twice:
- Person 1: $90,000 work income, $400 WRE, no investments
- Person 2: $90,000 work income, $600 WRE, no investments
- Compare 2023-24 vs 2027-28+ tax payable.