Is this insurance cover necessary?

Consumer credit insurance, also called loan or mortgage protection insurance, helps you meet repayments on a mortgage, personal loan, credit card or other loan contract if you lose your job, cannot work due to illness or injury, or die. It may also cover theft of your credit card or even replacement of faulty goods you have purchased with a credit card. It’s often sold when the loan or cr...
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Take advantage of NOW!

After Kylie completed university and had landed a well-paying job, her only plan was to enjoy her new financial freedom. She had living to do – the future was a long way off and would take care of itself ... wouldn’t it? Kylie’s first purchases were a trendy new hatchback car and expensive clothes suitable for climbing the corporate ladder. Enjoying her exciting lifestyle, she regularly ...
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Be different today so you can be different tomorrow

Every generation thinks life will be different – and of course, each one is right - but when it comes to planning for the future, while we’re young we have a habit of thinking there is still plenty of time. After all, when you’re in your mid-thirties or even early forties, retirement is still decades away; later if the government decides so! However, like anything forgotten too long, the...
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How will your redundancy entitlements be taxed?

Being made redundant can be one of the most stressful events in a person’s life. A large payout figure may look good at first glance but the effects of taxation can have a significant impact on the final amount received – adding even more stress. The first action is to always seek financial advice to ensure you get the most of a redundancy payment. Components of a payment There are se...
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6 smart ways to build savings

The word “thrifty” is rarely thought of in a positive sense but that’s not fair because if we continually spend more than we earn, our debts will eventually catch up and other words such as “default” or “bankrupt” might become more familiar. Being thrifty doesn’t mean doing without – quite the opposite. Here are six simple tips to build up your savings. Create a budget and...
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Do you want growth or income or both?

If you own an investment property you will be aware that the return from the investment comes from two sources: income in the form of rent paid by the tenant and growth in the form of an increase in the value of the property while you own it. Likewise from a share investment, an investor can receive dividends (income) and capital gain (growth). Many investors who buy shares and property focus o...
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Control your debt before it controls you

Debt can be a wonderful slave but an unforgiving master. Australians have an extraordinarily high level of consumer debt. It fuels our lives. For example, there were more than 204,000 credit card transactions just in the month of November 2015 – valued at more than $26 million! ($8.11 million of this was in cash advances). The scariest part of this equation is accruing interest on outstanding...
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How’s your budget – surplus or deficit?

Each year in early May, the Treasurer delivers the Federal Budget and many people across Australia listen intently. The Budget tells us how the government plans to spend its revenue in the coming year, whether it can afford to give us tax cuts, and whether it expects to spend more (creating a deficit) or less (creating a surplus) than it receives. Budgets are also important on a personal level,...
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Access your super and keep working

Superannuation is meant to fund your retirement, however if you are over age 55 you may be able to access your super without having to fully retire. Pre-retirees can start a “non-commutable income stream” from their super prior to retirement. This means you can draw an income from your super while you are still working (but you are not allowed to cash out lump sums). So, how does this wo...
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Diversification is the balancing force

Market volatility naturally makes investors nervous, but it is good to keep in mind that volatility traditionally tends to be a short-term concern. History tells us that markets have always recovered in the past and the size of the upturns in the market has always outweighed the size of the downturns. Australian shares recorded their worst year on record in 2008 when the All Ordinaries Index fe...
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