Money Magazine November 2018

Money magazine is Australia’s longest-running, highest-selling and most-read personal finance magazine. Money magazine provides credible, independent, easy-to-understand financial advice to help its readers save money and make the most of their investments.

Rainmaker Information Pty Limited
11 号


letter of the month

Borrowers need to do their homework I was disappointed in the advice provided by the two experts (“What to buy with $80k”, September) and to find that the amount you can borrow to purchase a property seems to be contingent only on how much of a deposit you can raise! What happened to any discussion about income and calculating how much you can afford in repayments? There also was no mention of the fact that there will likely be an increase in interest rates (or several), which could significantly affect the ability to repay a loan. Thankfully Jane Slack-Smith did mention having a buffer in case of becoming a one-income family but, really, where is the advice to people to do their own homework and to give them the tools to be…

this will help you sleep better

It looks as if the inflated valuations of many Aussie companies have finally caught up with investors but if you followed Ross Greenwood’s tip in last month’s cover story(“Where I would invest $10k”) you may have been lucky enough to avoid some of the damage when $50 billion was wiped off our sharemarket on October 11. Ross had said: “Go defence, not attack. I’d leave [$10k] in the bank awaiting a downturn in the markets.” As we headed to the printers in mid-October the sharemarket ended the week on a positive note. Where most of us will be sure to feel this shock is in our super funds. A typical balanced fund invests around 70% in shares or property and the rest in fixed interest and cash. SuperRatings estimates that in October…


Set for a happy retirement We are almost ready for retirement and are downsizing from a five-bedroom house to a three-bedroom unit, so everything that won’t fit has to go. I have just donated the last three years' subscription to Money to the business studies class at the local high school in the hope that someone will gain some of the knowledge I have acquired through the magazine over the years. We own our own home, an investment property (about to be renovated and sold), four other investment properties positively geared and the recently purchased unit on the water (rented out until we sell our own home) to retire to within the next two years, and have a very healthy super fund. All this knowledge has been gained through parents who taught us…

what’s the strangest thing you’ve done to make or save money?

STEVE CRAWFORD Steve is CEO and senior wealth adviser at Experience Wealth. Steve says: “Good coffee is like oxygen to me. But when we were saving up to buy our home I swapped my lattes for Nescafé mixed with Milo. I lasted a whole six months … it was worth it but never again!” SERINA BIRD Serina is a proud frugalista and blogs as Ms Frugal Ears. Serina says: “When my food budget is tight I forage weeds from the side of the road – to eat. This time of year I go for dandelion flowers, fennel, chickweed, mallow, Scottish thistle, purslane and hawthorn flowers and leaves.” DAVID WRIGHT David is founder of the Spending Planners Institute. David says: “About 20 years ago, to avoid paying the toll and save 10 minutes, one night in…

in your interest

There is nothing like a headline about wills to get me frothing. And the recent headline from research done by comparison site Finder certainly did that: “10 million Australians don’t have a will” is pretty dramatic. This by the way does not include most people under 18, for the pretty good reason that you have to be over 18 to have one. The exceptions are that if a person under 18 is married, the will is made in contemplation of marriage or it is court approved. This is hardly likely to add up to a big number, so the “10 million” people will be nearly all over 18. This means that slightly over 50% of adults still do not have a will. The aggravating thing about this is that I, and…

class actions take on banks over fee rip-offs

It is time to join a class action – if you qualify – to get back your funds gouged by the big banks and AMP over the years. Illegal overcharging by financial institutions was laid bare by the royal commission into financial misconduct. Banks and AMP typically were charging members jaw-droppingly high fees, and also charging them for services they didn’t actually provide. The amounts involved could be significant because the overcharging has gone on for years. Several class actions are being run. There is no cost to join and some law firms will tell you there is no risk. Typically they work with litigation funders that meet the legal costs in exchange for a share of the recovered money. For example, a third of Australians could be in for a refund…