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Australia day is fast approaching, while we hope you enjoy this day of celebration, we thought we would reflect on what the Great Australian Dream means for the Aussies of 2018. We asked some of our valued clients what their goals are for the year ahead and you might be surprised at some of their answers…

Own your own property

Yes, you’ve heard this one before – the stereotypical Australian dream is to own your own property. However, upon further investigation, that’s not quite the case anymore. When we surveyed our valued clients about this topic we were expecting property to come up, and with our older generation of clients it certainly did. Putting your foot on the property ladder and leaving the rental world is certainly something to aspire for in 2018, and comes with the many benefits of starting a property portfolio and adding to your personal assets.

However, our younger, Gen Y (millennial) client base mentioned that owning property is fast becoming a distant dream, rather than an achievable goal in the Australia of 2018.

“I think people our age are starting to realise that owning property right now is quite difficult, especially with only one income. It doesn’t mean that we don’t want to own a property, but for some it’s just not possible right now”.

It seems that those aged between 18-36 are struggling to afford property in their desired locations of Australia.

“Having to save up for a number of years doesn’t work well for our impatient generation”

But – it doesn’t have to be like this. Why not make 2018 your year? That’s where financial advice can help… we understand how difficult it can be to organise your finances and save enough money to buy your first property. Our expert advisers can help you to reach what may seem un-achievable for now, much more quickly than you’d expect.

Talk to us today to see how we can help you.

Holiday and relax more often

Finding a balanced lifestyle and spending more time away from work was another hot topic with our clients when asked what their goals are for this year. As time goes on everyday Australians have become accustomed to seeing more and more media attention focused on finding a healthy and balanced lifestyle, and how to find a ‘work – life balance’ that suits our needs.

Although there is a lot of advice out there that claims to help people do just that, ensuring your finances are in order is a number one priority if you’re thinking of taking time away from work or going on more holidays.

“If you take more time off work, you become more relaxed, but you earn less money, so begin to stress. It’s a vicious cycle”.

Our financial advice team can help your money start working harder for you, so that you can live your life exactly as you please, without financial burdens. Whether we guide you to invest your money into managed funds, ensure your super continues to grow, consolidate your insurances or work out how you can save some extra dollars –  talk to our expert team to free up your time get some peace of mind about your finances.

Retire early

Following on from the theme of leading a more relaxed lifestyle comes our final addition to the Great Australian Dreams of 2018, early retirement. Whether you’re approaching retirement age in 2018, or you’re only just starting out in your career – it’s important to plan your finances if you think retiring early is a desirable lifestyle for you.

Have you consolidated your superannuation accounts? Do you have additional savings and investments to help fund your retirement? Do you have your money invested anywhere to help it grow?

If you’re set on retiring early and would like some assistance, or even if you’re unsure of whether this is achievable for you, one of our financial advisers can help to simplify your situation, and provide you with a multitude of retirement options.

Whether you know what you want to achieve this year or not, financial advice from our friendly team is sure to keep you on the path to financial freedom.

If you love to travel, then the thought of flying overseas to experience the many wonderful countries of the world is an enticing one. The problem is, although we Australian’s have it lucky (we live in a pretty great holiday destination ourselves) it comes at the price of being a long distance away from a lot of fabulous places. The travel time its self may not put you off taking regular trips abroad, but the cost can be a real road block for some.

Take a look at some of top tips from our travel addict Financial Advisers on how you can afford to holiday overseas every year…

1.Research the destination

So you’ve decided where you want to go, but how much do you really know about the area? Researching your holiday destination is vital to ensuring your holiday is affordable and enjoyable.

Investigate when the peak tourism seasons are (for example if you’re planning to holiday in Europe, their busy season begins in June and ends in the middle of September, as it’s their summer time school holidays) and work out a month where you can avoid the cost increases of peak season – trust us, it’s worth it.

If you’re planning on travelling to more than one destination, be sure to understand how much this extra travel is likely to cost you so you aren’t caught out by your budget. Inter-state flights and ‘island hop’ boat trips can all add up.

2.Sign up to email alerts

No, we don’t mean subscribe to every single travel website in Australia – but our financial advisers do recommend keeping yourself on top of flight and accommodation deals by registering your email address for price alerts online.

Use websites like SkyScanner, a free online flight comparison website to check how different airlines vary in cost. You can opt in to get updates when your preferred flights change in price, a really useful tool if you’re travelling as a family, or simply just wanting to spend less on travel.

If you’re looking for more of a package deal, sign up to Luxury Escapes email alerts, for affordable luxury travel discounts. You could save hundreds of dollars on your overseas trip, plus the emails will provide you with inspiration and hot travel tips.

 3.Budget as much as you can

Creating a budget for all aspects of your financial life will help you to manage your money more effectively. If you know that you want to travel overseas for 3 weeks of every year, then you’re likely to have a good understanding of how much this will cost you, so you can work out how much per month you need to save. Use our online Budget Planner or get in contact with on our financial advisers if you need a helping hand with this financial aspect of your holiday planning.

If you struggle to find disposable income to use as savings, check out our free online savings plan tool to help you get started. Cutting back on your day to day expenses (like a $5 coffee) can significantly boost your savings. Work towards a goal, remind yourself of it frequently and be strict with your spending.

4.Protect yourself with travel insurance

Holidays are meant to be positive experiences full of exploration, adventure and relaxation, so it’s easy to become blindsighted by excitement about your upcoming trip and forget to buy adequate travel insurance. If you’re a regular traveler then many insurance companies offer discounted rates for annual cover which is definitely something to look into.

Planning for the unexpected is hard, but insurance can definitely provide some peace of mind and financial assistance should anything go wrong while you or your family are overseas. For more information on the value of insurance, click here.

5.Accommodation Tips

Other than flights, buying accommodation for your trip is the largest expense you are likely to come across when planning for your holiday. Along with keeping on top of upcoming sales and discounts, it is always worth mentioning to the accommodation you have booked if you’re going for a special occasion. For example, more times than not if you inform hotel staff that you’re on your honeymoon, celebrating a birthday or an anniversary of some kind you might be upgraded to a better, more expensive room. Give it a try – there is no harm in asking.

If you live in a tourist area and own your own home, consider renting it out on Air B and B for a week or 2 as a final boost to your holiday savings pot (while you stay with your family or friends). Although it may seem inconvenient, you could make a significant profit.

Talk to us

Contact our friendly financial advisers who can help you put your travel plans into motion, and set you on your way to achieving your holiday goals for 2018 and beyond. Our advice team can help plan your budgets, effectively manage your money, guide your investments to help grow your wealth and provide insurance advice to ensure you’re protected no matter where you are in the world.

If you’re planning the trip of a lifetime and need to gain some useful advice on how to keep your finances health, get in touch with one of our expert team today.

2018 is officially here and now is the perfect time to set some new year’s resolutions for your financial life. No matter what plans you have in place for the year ahead, take a look at our tops tips to keep you on the right track for the next 12 months.

1. Get on top of your debt

Understanding, breaking down and eventually clearing your debt is a fantastic way to kick of 2018. Although the prospect of working through your debts may at first seem daunting, it is most certainly for your benefit.

Make a list of all of your debts, including all loans, credit cards etc. and note down the amount owing and the current interest rate that you are being charged. Now that you can view you debts more clearly, there are two simple ways you can approach repayment in 2018.

1. Start by paying off your smallest debt, then your next smallest and so on.
OR
2. Start by paying off the debt that is charging you the most interest.

If you’re in a position where you can afford to pay a larger amount of money back on your loan, take a look at our calculator to see how this could work for you. Completely clearing one debt is an achievement and will give you the confidence to continue on this positive financial path.

2. Set a financial target

Take into consideration both your short and long term goals for the year, then make a note of the monetary value required to achieve them. By setting yourself a specific target, you provide yourself a goal to work towards and can break this down into realistic steps to help you achieve it.

ASIC’s money smart advice recommends that your goal setting is always SMART – specific, measurable, achievable, realistic and timely – so be sure to keep in mind your current financial situation. If you need some help setting goals, why not try their Goal Tracker App , or get in touch with our friendly financial advice team.

3. Build up your savings

Everyone has something to save for, whether it’s a holiday, a new car, a house – or simply a ‘rainy day fund’.  Take January 2018 as your opportunity to begin your savings journey, so matter how large or small – saving money brings satisfaction, peace of mind and usually rewards.

For some useful tips on where to start, input your details into out our range of savings calculators to see some useful projections of what you could achieve.

4. Take control of your super

A task that no doubt you have heard socialised in the media, consolidating your superannuation into one account not only helps you to keep track of your current value, but will also set you free of paying multiple fund fees. By taking charge of your super and researching your growth and investment options, you’ll gain a greater understanding of how your nest egg is developing.

We understand that this can be a complicated task, so don’t hesitate to contact our team for assistance with your super enquiries – we’re here to help.

5. Think about investing

If your finances are looking healthy as you enter into this New Year, it could be time to start making your money work harder for you.

Anyone can invest, but be sure to boost your knowledge about all aspects of investing before you commit to anything.

Take into consideration your time frame, will you want to invest in a fund the long or short term, will you want access to withdraw your money after a certain time? Have you considered how you tolerate the risk that comes with investing?

Investing comes with a number of important questions to answer, if you think you’re ready to invest but you’d benefit from our specialist expertise, simply reach out and we can set you on the right track.

With the cost of just about everything rising these days, and wage growth still sluggish, working one job may not be enough anymore.

With the growing digital economy, it’s never been a better time to find a side job or turn your hobby into a side business.

Here are some of the ways you can earn some extra cash as a casual or freelancer:

Uber driver

The controversial introduction of Uber to the Australian market has fundamentally changed the way we move. While taxis were always a part of the public transport landscape, Uber’s ride-sharing model allowed almost anyone to earn money as a driver. It also offered users cheaper fares, with both Choice and CarsGuide finding Uber the cheaper option in most cases. Then there are the extra perks like booking on the app, receiving a full price BEFORE booking, and many drivers provide passengers with refreshments, treats and other amenities in order to get that 5-star score.

So how do you join over 72,000 drivers moving 3.3 million people around 17 (and growing) locations around Australia?

You’ll need to be at least 21, have held a full valid driver’s licence for at least 12 months and have access to a vehicle that meets Uber’s vehicle requirements. You’ll also need to register for an ABN, as you’ll be charging GST on your fares. Find out more by clicking here.

Personal trainer

If you have a passion for health and fitness, it could be worthwhile getting a qualification and doing some training on the side. The median hourly rate for personal trainers in Australia is $28.97, but you can charge as much as $70 per hour. There’s plenty of flexibility within the fitness industry too – you can teach a class, work with clients at a gym or start your own business.

To get started, you’ll need to have at least a Certificate IV in Fitness – Personal Trainer qualification. There are many providers of this course around the country, so shop around and find the best price with convenient course delivery. You’ll also need public liability and professional indemnity insurance, which may be mitigated if you train within a gym or existing fitness venue.

Photographer

You may be an ace at taking selfies or concert shots, but there’s real money to be made in selling stock photography online. There are plenty of businesses around the world who can’t afford to keep a photographer on staff. And it’s not cost-effective to commission a photographer for every campaign or article you write. That’s where stock photography comes in.

If you’ve ever clicked on a business blog or general news article, chances are you’ve seen a stock photo. Some can be downright cheesy, but businesses, publishers and stock photo libraries are always on the lookout for fresh and exciting imagery.

How much can you earn? That will vary wildly depending on the photos you take and where you distribute them. Veteran photographer David Steel told Money Magazine that a photographer can make between US$100 and US$250 a month for every 1000 images they have online. Sites like Getty Images charge up to US$1,500 for a commercial image licence, so the option is there to earn more.

To get started, you’ll of course need a decent quality camera, a flair for creativity and some working knowledge of Adobe Photoshop of Lightbox would help too. To get started, try uploading some pics to a free creative commons site like Unsplash to see if you have what it takes to start charging.

MC

The Master of Ceremonies, commonly referred to as the MC, is the driving force behind an event, gathering or party. MC’s or hosts are common at corporate functions, public events and weddings. While some current (and former) celebrities make up the large chunk of the MC market, it is possible for anyone to host events. In fact – you’ve probably already been asked to MC a wedding or host a function at work!

What do you need to become an MC? It starts with a great speaking voice. You need to be able to command the room with authority while still coming across as friendly and approachable. You’ll need great time management skills, as it will be your responsibility to set the pace of the event, and stick to the agenda or schedule. You’ll need to present well – neat, tidy and generally in a suit (although that will depend on the client and function). Finally, you’ll need to be a little funny and be able to think on your feet. Organisations like Toastmasters can help you develop the skills and confidence to improve your presenting style.

Usually clients will book a venue with sound equipment on hand, but it doesn’t hurt to have a small public address system and microphone on hand for those outdoor weddings.

As with personal trainers, the median price an MC charges is $27 per hour, but you have the ability to set your own price depending on your skill and demand.

House and Pet Sitting

Traditionally, people might ask a friend or family member to house sit if they were planning to be away for an extended period. A bit like a reverse Airbnb, you can now charge someone to stay at their house and look after their home and/or pets.

While you could go it alone and try to drum up some word-of-mouth work, there are a number of online sites dedicated to placing sitters with empty homes. Sites like MindAHome and Happy House Sitters charge sitters an annual membership which then makes you searchable to anyone with a house to fill or a pet to look after.

How much you earn will vary from homeowner to homeowner, but they say change is as good as a holiday!

Finally – don’t forget that running a side business also has tax implications. Even if you don’t require an ABN, you may still need to declare your income at the end of the financial year.

To find out more about your responsibilities, talk to a financial adviser or tax accountant.

 

The information contained in this article is general in nature and does not account for individual financial circumstances and outcomes.

The silly season is here, and while many people are filled with the festive spirit, many others are filled with stress and dread.

But Christmas doesn’t have to be a nightmare if you plan ahead and use a little technology!

Budget & lists

The best way to avoid bill shock in the new year is to plan exactly what you’re going to buy for who, and only buy that. As tempting as window shopping can be, it’s easy to overspend or buy things just because they’re on sale. It might help to check catalogues in your letterbox or compare prices online to find the best deal.

It may also help to visit an ATM as soon as you get to the shopping centre and withdraw your Christmas budget – that way once it’s gone, it’s gone. Alternatively, set a low limit on your credit card so you don’t overspend.

Click & collect

Many retailers now offer click and collect options that can take the stress out of walking the aisles, especially if you’re time poor leading into Christmas. It can also help with carpark rage, as you may be able to use express parking or collect from a designated collection point.

Avoid peak shopping times

The Commonwealth Bank has crunched the numbers and found that Saturday December 16, or Super Saturday, is likely to be the busiest shopping day in the lead up to Christmas (based on last year’s data). As Christmas Day falls on a Monday this year, Saturday December 23 is also likely to be busy.

Stores are generally able to open until midnight the week before Christmas (depending on your state), so take advantage of this late trade. Roy Morgan data shows Monday is the least popular day for grocery shopping, so that could be a great time to make your way to the shopping centre.

Whatever happened to homemade?

Once upon a time, gifts were made at home with love, but that seems to have fallen by the wayside.

It’s these gifts that are often more thoughtful, labour intensive and highly appreciated – and they can cost you less money. Think about homemade tree decorations, cakes or biscuits or even a simple but nicely decorated homemade card instead of ‘stocking stuffers’ this year.

Don’t forget your ship when you shop

If you’re shopping online this Christmas, don’t forget to factor in delivery times to avoid long faces on Christmas Day. Australia Post advises that 1pm Thursday December 21 is absolutely the last day to send anything via Express Post to arrive before Christmas.

Parcels and cards can take anywhere between 2 and 6 business days to be delivered, meaning you’ll want to have your shopping done by Thursday December 14 if your merchant uses Australia Post.

Some online stores may use a dedicated courier service which may bring down this deadline, so be sure to check with your favourite store to avoid disappointment.

Keep your receipts

Even if you give something as a gift, keep the receipt for warranty and refund purposes. It is far easier to return or exchange an item if you have proof of purchase. If you’ve given a gift that is not fit for purpose or is faulty, consumer protection still applies. Read more about consumer rights and guarantees here.

Gift cards DO expire

Gift cards make a quick and easy present for that hard-to-buy-for person in your life. But not everyone is using them before they expire, boosting retailers bottom lines to the tune of about $71million a year. Although laws to ban or limit expiry dates on gift cards are planned (in NSW, gift cards will have a minimum 3 year expiry from March 2018), for now – if you don’t use it, you lose it. The standard expiry date is 12 months from the date of purchase, so ensure the retailer clearly writes this date on the card when you purchase. Then nag your friends and family to make sure they spend it!

Boxing Day

We’ve seen the news stories with crowds flooding Myer and David Jones at 6am on Boxing Day. It’s easy to get caught up in the hype of huge discounts on big sale days, but only buy what you need. It can be a great chance to stock up on linen, underwear and work clothes, and it’s easy to grab items just because they are 70% off.

Much like Christmas shopping, a great tactic is to plan ahead, check out the deals online ahead of time, and write a list of where you’re going and how much you’re going to spend – then stick to it. It may not be as fun as a frenzy, but you’ll still get great deals without the bill shock later. Many retailers start their sales on Christmas Day, giving you the opportunity to get in nice and early.

Top tips:

• Plan ahead: make a list, set a budget and stick to it
• Instead of buying all your gifts, try making some
• Avoid the biggest shopping days by shopping earlier in the week and late at night
• Keep your receipts, even for gifts
• Don’t get sucked in by big discounts on Boxing Day

With Christmas fast approaching, it can be easy to be tempted by 0% interest credit card and balance transfer offers to offset our silly season spending. After all, Australians are expected to spend over $50 billion in the Christmas trading period this year.

Even as credit card debt is at its lowest point in a decade, research from comparison site Finder found that the average balance of someone looking for a better deal is $12,067. With an interest rate of 18%, that’s over $2000 a year in interest, not including annual fees and late payment charges.

ASIC is also in the process of conducting an investigation into ‘zero interest’ offers, as they try to determine if banks and lenders are deliberately targeting people who will be unable to pay off the balance in time and get caught in a debt cycle.

So is it worth getting or switching to a 0% interest credit card? That will depend on the card, and your circumstances…

PROS

Paying down debt

Transferring your existing credit card balance to a new card with a 0% interest transfer can be a great way to halt extra charges so you can get on top of your debt.

It’s important to check the fine print on any new credit card, as there may be transfer fees, annual fees and a higher than average interest rate in you don’t pay off the balance in the nominated period.

A better deal

All the banks are after your business, but it turns out 47% of us are loyal to just one bank or credit union, choosing to keep all our products with the one institution.

While bundling your finance products can have its advantages, it’s more likely you are paying for convenience. So talk with your bank or lender about getting a better deal on your combined products, or start shopping around. And don’t be afraid to split your loyalty across a number of providers.

Travel insurance

Many credit cards these days come with included travel insurance, which can be a great bonus if you travel a lot. Usually reserved for top-tier credit card customers, it is possible to find low rate card with complimentary travel insurance. As always, terms and conditions apply like a minimum spend, maximum coverage and the coverage needs to be activated. So check the Product Disclosure Statement (PDS) before signing up.

CONS

Higher interest rates later

An Essential Research poll found that nearly half of us don’t even know what interest rate we pay on our credit card. A common trait among ‘zero interest’ cards is an inflated interest rate at the end of the promotion period, which can be anywhere between 300 and 1000 basis points above other cards on the market. New purchases and cash advances may still incur the full interest rate. So if you do switch, it is essential to be disciplined in paying off your card before the ‘revert rate’ kicks in.

The fees add up

Just because there’s 0% interest doesn’t mean there are no fees involved. Low or no rate cards often incur annual fees of between $40 and $99 per year (although sometimes this fee is waived for the first year).

Even though you’re transferring your balance to a 0% card, you may still incur a balance transfer fee (commonly 2% of the balance) on top of that debt. Plus you could still be subject to late payment fees, dishonour fees and merchant fees.

Rewards points

Lenders love to lure in consumers with rewards points and bonuses to switch and spend on their credit cards. But Citi research has found that 38% of Aussies using reward credit cards are underwhelmed by what’s on offer, while another 52% didn’t even know what they could do with the points they earned.

On top of that, the value of reward points is on the decline, in some cases not even equating to the annual fee charged by the issuer. And remember that rewards points are usually awarded for purchases, so if you are transferring a balance, rewards points are unlikely to affect you.

So think of rewards points as a bonus, but not a deciding factor when choosing a credit card.

The judgement

Most financial experts will classify having credit card debt as unfavourable, because there are no viable assets to show for it – like an investment or property. Unless you can successfully juggle paying the balance off before the interest-free period ends, you are likely to enter a debt cycle that can be hard to get out of.

If you need help with your budget or managing your debts, speak with a financial adviser or visit the website.

The information contained in this article is general in nature and does not account for individual financial circumstances and outcomes.