The government will also unveil a $24 billion dollar infrastructure fund which is the centrepiece of his sixth budget.
It is promising a surplus - but not for another four years.
Federal Treasurer Wayne Swan says the budget is intended to equalise living conditions for all Australians.
"This budget is about making our economy stronger, making our economy and society smarter and making our society fairer," he says.
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Tonight the Treasurer will unveil:
-$24 billion in infrastructure funding
-$14.3 billion towards the National Disability Insurance Scheme
-$9.8 billion in education funding
-$24 billion toward a road and rail funding package
The disability insurance and education reforms will have 10 year funding forecasts.
Not the usual four years.
Mr Swan says the extended forecast is necessary.
"You know, you can't invest in education on a four-year forward estimate cycle. You can't do that," he says.
The Opposition says Labor's trying to create a political wedge, to force it to support the spending.
Wayne Swan has previously criticised the reliability of 10 year forecasts.
BABY BONUS TO BE ABOLISHED
To save money, SBS understands the baby bonus will be abolished.
But family tax benefit payments will be temporarily increased for those not entitled to paid parental leave.
BUDGET SAVINGS
-Medicare levy $3.3 Billion
-Foreign aid $3 Billion
-Family Tax Benefit A $1.8 Billion
Labor has already announced it will save more than $3 billion dollars by raising the Medicare Levy.
Delaying an increase in foreign aid will provide a $3 billion dollar windfall.
Meanwhile, $1.8 billion will be saved by scrapping plans to increase family welfare payments.
This year's budget has been marked by steep falls in tax revenue.
The longheld promise to deliver a surplus was scrapped last year.
