How your rates are calculated

  • To see how rates for your property are calculated, refer to the 'post-it' note on the front of your 2019–20 rates notice – it shows how the rates on your specific property are calculated.
  • The 4 rates instalment amounts shown on the front of the rates notice equal the annual total due for 2019–20.

What do the words on my rates notice mean? 

Rates are a contribution by property owners to the cost of building and maintaining local infrastructure and facilities, and providing services.

To find out more about how your rates are spent see our 2019-20 budget or go to the What your rates pay for page

 

The amount of rates you pay depends on the value of your property in comparison to other properties in Cardinia Shire.

Independent valuers work out the Capital Improved Value (CIV) of your property each year. The most recent valuation happened at the start of 2019. More info: Property valuations page

 

To work out how much you pay in rates, your property’s CIV is multiplied by the ‘rate in the dollar'.

The rate in the dollar is calculated by dividing the total amount of rates revenue we need to provide essential services and facilities for the year by the total value (CIV) of all rateable properties in Cardinia Shire.

To keep things fair, the rate in the dollar varies according to the type of property you own.  

Rates-in-the-dollar for 2019-20
Levy Rate in CIV ($)  Description
Urban rate 0.002945 Land with a dwelling in the Urban Growth Corridor except in Lakeside Estate. 
Urban commercial and industrial 0.004030 Commercial, retail and industrial properties in the Urban Growth Corridor. 
Lakeside residential 0.003001 Land with a dwelling in Lakeside Estate. 
Lakeside vacant land 0.006484 Vacant residential land in Lakeside Estate. 
Urban agricultural land 0.002361 Farms of 40 or more hectares in the urban growth corridor. 
Urban vacant land 0.006363 Vacant residential land in the urban growth corridor and not in Lakeside Estate
Agricultural land  0.002083 Farms of 40 or more hectares outside the urban growth corridor. 
Base rate  0.002777 All properties that do not fit into any of the types above. 
Capital improved value (CIV)
 
x rate in dollar
 
= Council charges
 
+ Fire Services Property Levy
 
+ waste charges
 
− or + credit or arrears
 
− Pensioner Concession
 
= Annual total

Property value $850,000 in the Urban Residential category

$850,000 x 0.002945 = 

$2,503.25 (plus Victorian Government charges and waste services charges). 

The Victorian Government has capped most Council’s rates at a 2.5% increase for 2019-20. We have complied with this rates cap, which means the total rates revenue we can collect across the shire can only increase by a maximum of 2.5% on last year. 

Note that the rate cap applies to the total rates revenue we can collect. 

It does not apply to individual properties, or other charges on your rates notice such as waste service charges, supplementary rates or the Victorian Government's Fire Services Property Levy
 

Example of rates going up by more than 2.5%  

Property 1 

Rate in the dollar category: Urban Residential
2018 valuation: $690,000
2019 valuation: $700,000
Value increase: 1.45%

Old rates amount: $1,994.79 ($690,000 X 0.002891)
New rates amount: $2,061.50 ($700,000 X 0.002945)
Rates have increased by 3.34%

Example of rates going down by more than 2.5%  

Property 2

Rate in the dollar category: Urban Residential
2018 valuation: $740,000
2019 valuation: $690,000
Value decrease: 6.76%

Old rates amount: $2,139.34 ($740,000 X 0.002891)
New rates amount: $2,032.05 ($690,000 X 0.002945)
Rates have decreased by 5%