From 1 July 2025, Australian businesses must adapt to several regulatory updates affecting wages, superannuation, taxes, and more. Here’s a detailed guide to help you navigate the transition:
1. National Minimum Wage Rises by 3.5 %
The National Minimum Wage will increase by 3.5 % to $24.95/hour ($948/week) starting from the first full pay period on or after 1 July 2025. Business owners need to update payroll systems, employment contracts, and budgets accordingly.
2. Superannuation Guarantee Hits 12 %
The Superannuation Guarantee rate climbs from 11.5 % to 12 % effective for all eligible wage payments after 1 July 2025. This is the final step in a phased increase.
3. ASIC Fee Increases
ASIC will index registration fees in line with CPI:
- Business name registration/renewal: 1‑year from $44 → $45; 3‑years from $102 → $104.
- Company registration: $597 → $611.
- Proprietary company annual review: $321 → $329
4. Tax Deduction Removed for ATO Interest
Businesses can no longer deduct ATO interest charges (GIC/SIC) incurred on or after 1 July 2025—making tax debt more costly. Only pre‑July debts remain deductible.
5. Energy Bill Relief Fund Launches
Small businesses may automatically receive up to $150 in electricity rebates—paid in two instalments of $75—from July to December 2025.
6. Paid Parental Leave Super Contribution
From 1 July 2025, the ATO will pay superannuation on government-funded parental leave, reducing costs and compliance burdens for employers.
7. Skilled‑Visa Income Thresholds Indexed
Income thresholds for skilled visa workers will increase by 4.6%:
- Core & TSMIT: up to $76,515
- Specialist Skills: up to $141,210
8. Right to Disconnect Applies from August
Small business employees gain a legal right to refuse work-related contact outside hours, coming into effect from 26 August 2025.
9. Sustainable Procurement Policy Extended
From 1 July 2025, the federal government’s sustainable procurement policy now applies to furniture, ICT goods, and textiles for contracts over $1 million. Suppliers must provide proof of environmental claims.
10. ACCC Merger Reforms Roll Out Voluntarily
Although mandatory merger notifications start in January 2026, businesses can adopt the new ACCC merger control regime voluntarily from July 2025.
Why These Updates Matter
Together, these changes aim to enhance worker protections, bolster retirement savings, and support small businesses with rebates and environmental responsibility. However, they also introduce new costs, administrative tasks, and compliance risks—especially for payroll, tax, and contract systems.
Practical Steps to Prepare
- Audit payroll systems to update wage and superannuation rates.
- Revise budgets and cash flow models to accommodate higher payroll and ASIC fees.
- Ensure rebates are received automatically and track them accordingly.
- Adjust HR policies ahead of the right-to-disconnect rule.
- If bidding for government contracts, ensure sustainable procurement evidence is documented.
Call to Action
Feeling overwhelmed by these new obligations? People By Design offers expert HR compliance and governance support tailored to Australian SMEs. From updating contracts and policies to delivering staff training and compliance checks, their team ensures you’re ready and confident for July changes—and beyond.
👉 Visit the People By Design – HR Compliance & Governance service page to learn how they can support your business today