lo que piensan los australianos de australia

hola amigos yo vivo en sydney, soy venezolano, solo queria compartir un poco con ustedes lo que piensan los propios australianos de su pais, para que vean que no todo es como los agentes migratorios lo pintan…

sobre todo lean el FORO….el link es: http://www.news.com.au

AUSTRALIANS are the world’s worst when it comes to saving, an Investment and Financial Services Association report said.

The IFSA report, released last year, showed that on average Australian households have $160 in debt for every $100 they earn.
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Raise the rent as high as you want. Rents are ties to the wages of the tenant, not your wildest hopes or dreams. Some landlords are very good at losing money.
Posted by: rentiswage of Toorak 3:29pm today
Comment 79 of 79
Posted by: Michael of Melbourne 1:23pm today Comment 54 of 76 I will not Gloat, this is what the RentMaster likes to hear. Congratulations Mike, you sound like a great tenant who is always in advance. Keep up the great work.
Posted by: RentMaster 3:27pm today
Comment 78 of 79
RentMaster: Mate you’re an absolute champion and clearly think along the same lines as I do. Why..I’m already thinking of ways to up the rent on my properties. Hey lets start a website and charge the non-thinkers out there for advice. 🙂
Posted by: Brant Raven of Melbourne 3:19pm today
Comment 77 of 79
JohnM of SA: Mate belive me, I know very well how the system works and I record all actions for my properties and claim EVERY cent. You bet I do. I may have misunderstood your comment. What I am trying to say overall is that people should be very well rewarded for saving and investing. They should not be punished. Such a situation however would enpower people and that is the last thing anyone in power and position actually wants. Hence, we have what we have.
Posted by: Brant Raven of Melbourne 3:05pm today
Comment 76 of 79
Michael of Melbourne, you idiot! Thsnk god your renting, your just making someone else richer!
Posted by: AH of Vic 3:04pm today
Comment 75 of 79
The government provides absolutely no incentive to save. In fact, it taxes the savings produced after taxing the income used to produce the initial savings deposit! The government DOES provide TAX DOLLARS to support losing money in property investment. And now we have the most expensive housing in the world. Think about it. If we were supposed to save they might change the tax penalties and tax rewards a smidgen…
Posted by: sobersaver of Melbourne 2:42pm today
Comment 74 of 79
Saving is a bit of a joke.At 7% approx,half gets eaten up by inflation,and the other half goes in tax.But i suppose that is better than whats in store for the property market.
Posted by: SCARY of sydney 2:40pm today
Comment 73 of 79
Thats because we are the land of the shout. my shout mate, no no my shout mate. We’re not savers becase we’re shouters.
Posted by: Tammie of Cairns 2:25pm today
Comment 72 of 79
Brant Raven of Melbourne – if you have a number of investment homes, you already CAN claim the interest on any loans taken out to finance them as a legitimate tax deduction. Your properties are deemed to be earning you income, therefore any expense related to the preservation of that property (including interest on a business loan to buy it) – is deductible. You mustn’t have a very good accountant if you’re claiming you can’t claim these deductions – or you don’t own 6 rentals and are just passing comment without understanding how it works. My suggestion is that this option should be available for the family home also. And why shouldn’t interest on savings be tax free? One account per person – if they’re saving for anything and have already been taxed prior to depositing anyway, why penalise them for trying to get ahead?
Posted by: JohnM of SA 2:16pm today
Comment 71 of 79
Brant Raven of Melbourne – if you have a number of investment homes, you already CAN claim the interest on any loans taken out to finance them as a legitimate tax deduction. Your properties are deemed to be earning you income, therefore any expense related to the preservation of that property (including interest on a business loan to buy it) – is deductible. You mustn’t have a very good accountant if you’re claiming you can’t claim these deductions – or you don’t own 6 rentals and are just passing comment without understanding how it works. My suggestion is that this option should be available for the family home also. And why shouldn’t interest on savings be tax free? One account per person – if they’re saving for anything and have already been taxed prior to depositing anyway, why penalise them for trying to get ahead?
Posted by: JohnM of SA 2:15pm today
Comment 70 of 79
To JT comment 61. Your attitude is the reason why our young don¿t know the value of money. I discussed with my wife Prudence buying Winston our son his first car but I stipulated that it wont be brand new as he is yet to get his license and he may be a shocking driver so something cheap like a 2 year old Audi would have to do him. If he wrecked it it would not matter as much. He objected and wanted something brand new so I declared he can pay for it. The only assistance I would give him would be to ring our local Audi new car dealer and let him know the young chap was one of us.
Posted by: Kevin of Double Bay 2:06pm today
Comment 69 of 79
it is possible to save. But you won’t have a life, i should know: my net income is $5200 a month after tax and super. Then after rent and expenses I am saving on average half of this. At least $2500. Sometimes $3000. I don’t have any debts. This is invested in gold, high interest accounts, and some select stocks. It is possible, it’s just not pleasant.
Posted by: cc of Vic 2:03pm today
Comment 68 of 79
Posted by: Kevin of Double Bay 1:01pm today Comment 50 of 65 Could not agree more old chap. i noted lawl comment, how rude, obviously his investment property would be located in an outer surburban area, centrally positioned to take away establishments and a Centrelink office. Also within waliking distance to bus stops and bottle shops, sounds like a Bogan’s dream. Long live the silver spoon, i am sure Lawl was used to a Wooden Spoon and fits socially in with the «working families» concept.
Posted by: Bruce Lyons-Smythe of Double Bay 2:01pm today
Comment 67 of 79
I would agree with this. Australians don’t know how to save. People spend way more than they can afford and become up to their eye balls in debts. For example, people get sucked in to all this 2 year interest free crap, etc that is advertised everywhere. You still have to pay it off people, whether it’s now or in two years. If you can’t afford something, don’t buy it! Our problem is we want too many luxuries.
Posted by: steve of brisbane 1:47pm today
Comment 66 of 79
The Colonel of Toorak Barracks : Under the Privacy Act banks arent allowed to cross check debt levels of clients with other financial institions. A bank has to accept the integrity of their client that they will disclose all liabilities in their credit card application. Debt doesnt also have to be accumulated via a financial organisation anyway. Its possible to get buy now and pay later contracts set up with retailers ie like Harvey Norman ect. The reason that banks charge so much in fees is due in part to the amount of «bad» debt that they have to write off each year. The public would be surpirsed. Try in the millions – easilly. The issue about greed shouldnt just be answerable by banks yet also by the individual.
Posted by: zoozoo 1:43pm today
Comment 65 of 79
Posted by: JohnM of SA 1:14pm today Comment 51 of 51 Seriously John, people would not then use the tax saving to reinvest that money into their mortgage(their principal residence)(mate they have their tax refund cheque spent before they have even received it). They would buy the plasma, go on an overseas holiday, buy a new car, your concept is good, the punters would let you down. Whilst people who have an investment property re invest the tax break into their loans to get ahead and provide for retirement(and pay capital gains tax). That’s the difference in discipline of savings between the investors who take a risk and people like Charlie of Syd who believe Negetive Gearing is the root of all evil. Does anyone really believe removing negative gearing will lower house prices all over Australia?
Posted by: RentMaster 1:43pm today
Comment 64 of 79
Kevin of Double Bay, if I was given an extra $10k a year since I was for until I was old enough to buy a car, well duh – I would have like $80k invested. And I wouldn’t be buying a car, I would be putting a deposit on an investment property somewhere so when I move out in a few years I would have a house to live in, with a largly reduced mortgage. But I bet you will buy him a new house in Double Bay, so he can sepnd the $80k on a new Lexus. Too bad I wasn’t born with a silver spoon in my mouth!!
Posted by: lawl 1:38pm today
Comment 63 of 79
Hey JohnM of SA¿I really cant agree. How can you suggest that ¿interest earned on savings accounts¿ be ¿tax-free¿ and then only allow a tax deduction on a primary residence??? If I have a number of investment homes, why should I not receive some sort of good tax deduction? After all, I am investing in this country!! If I am smart enough not to have 6 kids, a massive plasma TV, an expensive car, etc¿all on a $60k salary¿preferring rather to invest my money in housing¿.why should I be punished? PS: RentMaster¿.I am totally with you :).
Posted by: Brant Raven of Melbourne 1:32pm today
Comment 62 of 79
Kevin of Double Bay – shame on you for expecting your son to buy his own car. All people who are financially well off, pay for their childrens cars. You should be buying him a house too!!! Shame Shame Shame.
Posted by: jt 1:30pm today
Comment 61 of 79
I feel a lot of this comes from people who have over-extended themselves when it comes to things like buying property, to be honest. As a 23y.o. married, hardworking bloke, I have received a lot of pressure from all angles for my wife and I to buy a home etc., but we don’t quite feel comfortable being in a situation where 50% of our income goes off the mortgage as minimum repayments. So, we’re saving the entirety of the difference between the rent costs and outright mortgage costs, and we don’t have to pay for rates or water. I’d rather enter the market in four years with both of us earning more money and with a nice, sizeable deposit under our belts to account for at least 20% of the purchase price. Let’s keep the interest rates rising, please – my savings are getting biggerr!
Posted by: Mick of Brisbane 1:29pm today
Comment 60 of 79
The reason why we dont save is that saving is heavily taxed. If I save up $100,000 over five years or so I’ve actually had to have make about twice that because of Income Tax. When I invest that in a property I pay a state tax called Stamp Duty. Any rent I collect I need to remit Goods and Services Tax and pay Income Tax on the rent. When I come to sell that property I again need to remit Goods and Services Tax and in the event that I end up making money on resale I must pay Capital Gains Tax. Why bother? I’ll just enjoy the money now and live on the pension when the time comes.
Posted by: Peter M of Melbourne 1:28pm today
Comment 59 of 79
Think about it….the average australian has to pay pretty much the highest price in the world for a house or rent…not to mention our exorbitant food prices…there isn’t much money left to save……
Posted by: Gus 1:27pm today
Comment 58 of 79
We can’t save when we’ve got the Banks free to rape our accounts whenever and however they want, and putting terms and conditions that average lifestyles just can’t work with. This assumption of the Banks that our money is THEIRS and that our accounts are a PRIVILEGE to be paid for just galls me every single day. As for Superannuation – it’s crap. I have no faith in it whatsoever. I’d prefer to be given the freedom to instruct my employer to pay my Super into my mortgage; being mortgage free on retirement is far more peace of mind for me than wondering if the big corporates gambling with my superannuation funds are going to leave me with any by the time I need it.
Posted by: Kerri of Perth 1:27pm today
Comment 57 of 79
WOW……………emotions running high…….but why should anyone bother to save when it is so easy to get money from the banks………there were 2 instances recently of young people being declared bankrupt, one with credit card debts of $175,000.000 and the other over $220,000.00. Why would the banks keep OFFERING to increase the credit limits without any safety checks on their ability to pay? Like everything else in this country, a bit more discipline and a few more rules would not go astray! Oh…and SD of ACT…we have the highest housing costs in the world? Get out of the country sometime SD travel and have a look……boy are you off the mark by a long long way!
Posted by: The Colonel of Toorak Barracks 1:24pm today
Comment 56 of 79
I pay income tax. If I put whats left into saving I have to delcare the extra income and pay more tax. Lets say I earn $150, after tax I have $100, I bank it at 7%, after 1 year I have $100 + $7 but I pay tax on the $7 so maybe I only have $4, in 12 months CPI goes up 3% but we all know the true cost of living goes up by 5%. After 1 year I am worse off by about 1 or 2% – my $100 is now only $98 – so it is not saving at all – may as well just spend it all now
Posted by: WMD of Richmond 1:24pm today
Comment 55 of 79
I save over $1500 a month. I can do this because I am single, no lids, never married and don’t have a MORTGAGE! Just because the money isn’t in a bank account doesn’t mean people aren’t saving. Also, why have people brought up Plasma TV’s again??? It’s a ONE OFF expense!! It’s not like you buy a new TV every month. The life of a TV is probably 5 – 10 years now and that’s ~$300 a year over the life of the TV. Sound investment considering how many hours people have to stay at home now because they can’t afford to spend any extra money on entertainment in case they default on their ever increasing home loan repayments. Thank god I am renting.
Posted by: Michael of Melbourne 1:23pm today
Comment 54 of 79
Perhaps if the greedy government did not tax savings more people would save. I have been paying tax every quarter now for a few years (enforced by the tax office) due to the large amount of savings in my bank account. Quite frankly I greatly resent the punishment (ie tax) for good behaviour. I have already been taxed on my wage, why tax my savings also? The other thing people need to keep in mind is that we have much higher costs, ie living, rent, mortgage, bank fees, food etc than other similiar countries, ie the UK and USA so it is much harder to save in this country.
Posted by: Loxy of Brissy 1:23pm today
Comment 53 of 79
The solution is surely a combination of what most people have been saying. Teach budgeting skills to kids while they’re still at school. Make interest earned on savings accounts tax-free, and allow mortgage interest charges a viable tax deduction for the primary (or family) residence (only). I believe interest charges on home mortgage is a deduction in the US? Just think, 8% on $250,000 is $20,000 and the refund of tax on that could go straight off the capital on a mortgage. Bingo – folks pay their homes off quicker and therefore will have more money to save sooner (or with which to buy consumer goods). Everyone would win – even the banks, as they would have more capital deposited with which to base further loans down the track.
Posted by: JohnM of SA 1:14pm today
Comment 52 of 79
Agree with previous messages. If you have a mortgage then you are an idiot if you don’t have a 100% offset account. If not, then saving money is really a disincentive for Australians as they lose tax on the interest. What’s the point? NONE. If I was a young 20 something Australian again, then I’d pack my bags and head off overseas for about 10+ years to SAVE. Australia treats the elderly pensioners like royalty with so many tax breaks etc. and does NOTHING .. NOTHING for the young that are single trying to build up a base. That’s why my husband and I left Australia for 7 years and why we are considering doing it again.
Posted by: Kay 1:10pm today
Comment 51 of 79
One thing that everyone seems to overlook is the fact that you cannot expect those who are somewhat academically lazy, such a blue collar workers, to earn the same amount of income as those of us have choosen to work hard and earn qualifications that will provide us with a substantial income.
Posted by: Kevin of Double Bay 1:01pm today
Comment 50 of 79
People, I hate to be spoiler but you all have got it wrong. The problem with Australia’s saving is the fact that there has been a clear generational change. Generations ago debt was thought to be a bad thing and now its thought to be a way of life. But, it doesn¿t have to be, we can live within our means. You debtors out there are under the illusion you’re wealthy because of you have debtborrowed assets. If you have a home loan, you do not own it…the bank does. You are simply a homeloaner until the property is paid for or sold. How quickly we forget, the great depression was caused by greedy people trying to generate wealth through more debt. When everyone plays the debt game something has to give. Do yourselves a favour and reduce your debt. Because when times get tough you can’t rely on perceived equity or credit. When that happens, cash is King!!
Posted by: The Voice of Reason of Sydney 12:59pm today
Comment 49 of 79
This paper from IFSA is flawed because it does not take into account superannuated savings. All i can say is thank God that Keating and the unions and employers had the courage to implement superannuation. Without it we would be totally stuffed.
Posted by: Matt of Brisbane 12:48pm today
Comment 48 of 79
it is because we all luuurrvvvee a punt so much! problem gamblers everywhere i look with those damned pokies in every pub/bar we walk into… Russell Crowe is a good man re. the Souths leagues club stance on these evil machines. I will support the concept!
Posted by: K Mc. of Sydney 12:44pm today
Comment 47 of 79
KChing of nsw: I’d love to know how someone would buy a property while earning 60k??? Can you explain that?? Why save anything when you’ll never own a property in this «lucky» backwards country.
Posted by: Michael P of Ponzi Party 12:34pm today
Comment 46 of 79
Yes, live beyond your means, and please do not save any money, blame the bank, blame Rudd, Howard, Keating, Hawke, Fraser and anyone else you like. Just keep paying me rent and building my property portfolio. I am with you 100% on this issue hahahahahehehehe. In the next 30 years it will be the same argument over and over, please do not save, do me a favour.
Posted by: RentMaster 12:19pm today
Comment 45 of 79
Sorry guys, I hate to disappoint your bank bashing, but this has nothing to do with bank fees as our fees are not that different to the fees charged in other developed countries. Australians just don’t save. The closest we get is buying houses in the belief that their prices will keep going up forever. Unfortunately we already have the highest housing prices in the world relative to incomes, which is pretty amazing really given how much land we have in this country.
Posted by: Steve of Sydney 12:18pm today
Comment 44 of 79
Upon reading the comments, the average wage is 60K. People are staying at home with their parents, paying no board, buying Plasma tv’s driving european cars, do not own a property, go out on the week end bender with their Bogan mates and complain they have no savings. Gee you have to agree with Tony of Bondi and Kevin from Double Bay. Excuses, excuses and more excuses. Spoilt , lazy, and blaming everyone else, gee it must be the bank charges thats why i cannot save, hahahaha.
Posted by: KChing of nsw 12:09pm today
Comment 43 of 79
My savings are earning 8.15% as they are offsetting my home loan. Anyone with a loan should go for the full offset, it’s the best low-risk interest rate you can get on savings.
Posted by: Michael of Brisbane 12:08pm today
Comment 42 of 79
Kevin of Double Bay…..why would a 5 year old need $100 per week pocket money and now $185, isnt Winston buying a car with your money!! Must have done a lot of chores to earn that!
Posted by: Debbie of Sydney 12:08pm today
Comment 41 of 79
That’s because we have the highest housing costs in the world. Banks and investors have all our money. Figure it out.
Posted by: SD of ACT 12:05pm today
Comment 40 of 79
We are the world’s worst savers because we have the notion of party now pay later- mostly when it is too late and then we have our hand out looking for someone else to fix the problem. That is why people always struggle on their mortgage and blame the government for all that goes wrong.
Posted by: Rob Jacobs of Adelaide 12:00pm today
Comment 39 of 79
As a person who has worked very hard to own 3 houses I would have to agree with the article. People are really bad savers and really don¿t understand the value of money. They tell themselves they `need¿ something when really what they need to be more careful. In 20 years I have never had a credit card debt and have been in debt for a total of about 10 years. I am not a miracle worker, nor do I have a super high paying job…I¿m just careful! Having said this, our governments do make saving impossible. We have the one of the top 3 highest interest rates in the world, we have THE HIGHEST stamp duty in the world ( 5 times higher than even New York) and we have a tax system that punishes savers rather than rewards them. Sure I own a couple of places…but how many more could I own under a reasonable, forward thinking government.
Posted by: Brant Raven of Melbourne 11:56am today
Comment 38 of 79
What is the point of saving when interest is considered income and is taxed? If savings were means tested as far as tax was concerned – so that those with lower incomes would not be penalised for saving – then this would encourage people to keep their mone in financial institutions knowing they could earn interest without the current income penalties.
Posted by: Molly of Northern Rivers 11:53am today
Comment 37 of 79
I love the way these industry bodies such as IFSA, with clear agendas – that is getting more work for their members push out this so called research to try and scare people. If you look at the level of national savings Australia is doing pretty well on world terms. We have $1.5 trillion in Superannuation Savings – making us the 4th largest in the world. Harldy poor performance when you consider the size of the country.
Posted by: Richard of Sydney 11:52am today
Comment 36 of 79
You know, over the years, I was not able to save due to my overspending when going out and hitting the town at night, but lately I have been able to save a bit because i have pulled my head in. I also have no life now too.
Posted by: jack of Port Melbourne 11:51am today
Comment 35 of 79
It is not Australians who can’t save but the Goverment not encouraging and motivating them to save. The welfare system needs an overhaul….too much handouts……..
Posted by: jeffe of victoria 11:42am today
Comment 34 of 79
Too all those complaining about mortgages and saving, do what I did, threatened the big bank I was going to a smaller institution and the instantly gave me a 0.7% discount on my loan, now I’m paying just under 8%. Thats saving! I agree with bazza of brisneyland, who is doing the research, total morons!
Posted by: smart saver of VIC 11:42am today
Comment 33 of 79
Well actually I do have savings, but in general, why would people save? We’ve had years now of high profile financial advisors telling people it makes more sense to put the extra money on your mortgage than put it in the bank. Then the next set are saying, borrow money to buy investments of one sort or another. We aren’t being encouraged to save are we? Couple that with the modern day urge to have all the latest technology… the statistics are hardly surprising.
Posted by: sk 11:41am today
Comment 32 of 79
I disagree. We have never had a problem saving and I guess its just down to academic ability and prudent money management. Thankfully our son Winston is the same. Since he was 5 we started giving him $100 per week pocket money which he consistently banked. With cost of living increases etc he now gets $185 per week and soon will be paying cash for his first car. The splendid chaps a thrifty saver.
Posted by: Kevin of Double Bay 11:33am today
Comment 31 of 79
We overpay all our loans but not everyone can do that. In SA we have increasingly had to contend with tax by stealth. Levies for this and that either as discrete bills or tacked onto regular rego, council rates bills etc. It’s becoming a significant amount of money and I think a lot of people underestimate the day to day impact of this. For those who say its a simple matter of eating less and going out less, I ask why must life become drone-like just to get by? Surely there has to be pleasure as well.
Posted by: Karen of Adelaide 11:25am today
Comment 30 of 79
And the reason is that there are too many handouts by the Govt when people cant manage money…there is always a backup from taxpayers…………..ridiculous really………..no excuse not being able to save these days…………
Posted by: Mick J 11:25am today
Comment 29 of 79
What a stupid thing to say. Of course we owe more than we earn. Dropkicks. When the avg mortgage is now close to $400k and the avg wage is just under $60k, what do they expect?!?! Who does this research and writes these articles. Honestly do you expect us to keep wasting our time reading such well thought out articles?? Wake up and smell what you’re shovelling.
Posted by: Bazza of Brisneyland 11:24am today
Comment 28 of 79
«Steve of Melbourne» – got it in one! Set up a 100% offset acount, and you’ll effectively «save» 8% off your mortgage. It will lower your intrest charges on your mortgage, you’ll build up some equity, which will become your new «savings» which you can draw on later if you wish.
Posted by: GT of Perth 11:13am today
Comment 27 of 79
Anyone who is putting their money into savings with the opportunities for investment in this mining boom is selling themselves short. Plus life is short – why not spend big and invest wisely?
Posted by: Scott of Perth 11:10am today
Comment 26 of 79
what a bizaar article, what is the definition of savings? why would any logical minded person put money into a savings account, then pay tax on the interest when they could be putting the money into a home loan, be saving interest and not pay tax on the interest saved? In reality anyone who is paying more than standard repayments on their homeloan is «saving», do the stats take this into acount???
Posted by: ps of melbourne 10:59am today
Comment 25 of 79
If most people simply stopped overeating and not spend so much money on unneeded food and snacks, that alone would save them over $100 per week that they can instead redirect into their mortgage payments. In addition to that, they would not become so obese and unhealthy. Problem solved!
Posted by: Tony of Bondi 10:52am today
Comment 24 of 79
The IFSA report, released last year, showed that on average Australian households have $160 in debt for every $100 they earn… <—-I would like to see their report on the average households food bill, size of their stomach, and size of their entertainment bill.
Posted by: Tony of Bondi 10:51am today
Comment 23 of 79
Only losers blame the government and ATO for their inability to save. If it was the governments and ATO's fault, then every single Australian would not be able to save. However, there are millions of Australians who live under the same government and abide by the same ATO and tax charges, yet able to save each week. Need I say more?
Posted by: Tony of Bondi 10:45am today
Comment 22 of 79
I have found a mathematical formula to enable every Australian to save money each week; less junk food + more discipline – less entertainment + better budgeting skills – smaller plasma TV – smaller houses – less complaining + cheaper car = money left over each week to save.
Posted by: Tony of Bondi 10:44am today
Comment 21 of 79
Anthony MacGregor of Sydney; I can answer your question. By not over committing on large Plasma TV's and large houses and not spending so much money on your food bill. The saving from that will give you much money left over to save. Simple as that!
Posted by: Tony of Bondi 10:42am today
Comment 20 of 79
My husband and I have saved over $130,000 … but that's because we paid out our mortgage with a redundancy I got! If it wasn't for that great opportunity we'd be stuck too! Although we have no debts and no credit cards, its still painful buying food and petrol. My mother has just moved and her rent is now $75 a week more. She's on a pension – she certainly won't be saving. So many young people can't save unless they live at home, because rent is so high. So then their parents can't save because they end up subsidising their children living at home…. vicious cycle with all the other issues stated in other comments.
Posted by: Kelly 10:38am today
Comment 19 of 79
Show me any Australian who is complaining they cannot afford their mortgage and bill payments, and I will show you an Australian with a huge stomach, and a huge food and entertainment bill. Due to their own stupidity and extravagant lifestyle, they blame the government and everyone else for their lack of money.
Posted by: Tony of Bondi 10:38am today
Comment 18 of 79
It's too difficult for families to save money with the financial pressures put on them with paying a mortgage, having a family, having all the luxuries as well. As was said earlier, people rely on the house for capital gain these days. Not many are able to save any available cash on a middle class income – plus credit has made people apathetic. I am a single who didn't get in when the housing boom took off so for me I pay rent and save. If you can save, move the money into something like ING. No fees and even though you get taxed on the interest, you're still earning money for nothing – or for saving.
Posted by: Johannes of Bris 10:29am today
Comment 17 of 79
Shut up Martin North. With ridiculously high infaltion rate driven by negative gearing, plus hight income tax rate, what is the point to save? How many coins can people save every year?
Posted by: Charlie of Syd 10:27am today
Comment 16 of 79
Yeah………… like we have any spare cash to stash!!
Posted by: KC of Perth 10:21am today
Comment 15 of 79
Australians are also the most over consumering country in the world – according to a study conducted a few years back.
Posted by: sebby 10:19am today
Comment 14 of 79
How can the average Australian save when he is taxed to the hilt; The retailers rip off the producers and the consumers with increases up to 40% during inflationary periods of less than 3%; Howard's existing tax on a tax with the GST on the fuel tax; The collusion between oil companies, between major supermarkets and major retailers. It is about time producers showed a bit of intestinal fortitude and revealed their dilemma because it won't be long before you are all out of business and middle business imports all products. It defies logic when fuel cost rise 8% when world oil prices go down or when some some small producer in South America has a shutdown; when pork prices increase where farms are only on the fringes of the cities and not affected by drought; Normally imported food increases from countries not affected by drought. How can you save when the banks give a pittance for the use of your money and actually charge you for investing your money for themselves. The governments don't care, they reap the extra taxes so they can "sit on the fence"
Posted by: Anthony MacGregor of Sydney 10:15am today
Comment 13 of 79
Banks are greedy nowadays. These bank charges are too much for some customers and banks simply did not think how hard it becomes for the customers to save their money. They have earned the money through jobs and get taxed and deposit into the bank and yet the bank takes a small portion of money, but in my opinion it is big amount. I hate banks fees to be honest, I have closed two accounts last year which I feel relieved but will close another two this year. In the end I will only have one account for my hard earned money which is adequate and will deposit it to my term deposit when I have the chance.
Posted by: JPH of Melbourne 10:08am today
Comment 12 of 79
What a sill thing to say! Where is the incentive to save? Most people pay 8%+ on the mortgages and any interest we earn on savings is taxed so why would you want to save? seriously. All I get for an ING account is 6.5% or something like that and then I pay tax when I can just put my money on my mortgage and save over 8% and pay not tax on the saving. The government is so stupid in this regard.
Posted by: Steve of Melbourne 10:03am today
Comment 11 of 79
Worst savers? Maybe because the more you put in the bank, the more the bank takes out? I'd rather put my money in a shoebox at home than keep it in a bank.
Posted by: JohnM 10:00am today
Comment 10 of 79
With the high price of Food caused by the drought, groceries, rising petrol cost , utility bills, rent and mortgages rising interest rates, car registration , school fees and so one you would have to be earning atleast $100,000 per year to save anything at all.
Posted by: Jim of Victoria 9:48am today
Comment 9 of 79
Have to agree with C of Brisbane. The fees charged and rates paid by banks are ridiculous. Also, you go to work, get paid, pay tax, put some money into savings and then get taxed on the interest. How about interest being tax free up to a cetain amount (eg $500 a year)?
Posted by: Lisa of Sydney 9:40am today
Comment 8 of 79
There is no doubt that Australians need to save more, but how is the average person supposed to save when the prices of basic family needs such as accomodation, groceries and petrol (to name but a few) continue to go through the roof?!!! I feel for struggling pensioners and young people just starting out now. House prices have doubled at least in nearly every city over the past 10 years. When wages go up at the same rate as the expenses then things may improve for some… but then inflation would cause house interest rates to increase yet again. There is no simple answer to the mess that many Australians are in now. Those people who call for the younger generations to simply tighten the belt (e.g. assuming we all blow it on items like plasma TVs) obviously got their houses, shares and investment properties before the housing boom…
Posted by: hmmm of wherever 9:33am today
Comment 7 of 79
Australians are not saving as they feel wealthy due to property price inflation. They see no need to save when their house is rising in value at 20% a year. However as we're seeing in the United States now, people cannot rely on price inflation forever. Wages and savings are not rising by 20% to match property so the pool of people able to take out ever larger loans shrinks.
Posted by: Michal of Adelaide 9:22am today
Comment 6 of 79
I reckon the reasons Australians are the worst savers are that taxes are so high and prices of all consumer goods are so high that there is nothing left to save. I am comparing in particular with the US, not Europe.
Posted by: Rico of Brisbane 9:20am today
Comment 5 of 79
Gee, could this have anything to do with the fact that the bank takes all the money you are trying to save with their "bank fees" and "charges" and then "charge administration charges" and "account keeping fees"? After all these fees once a month my account is in reverse gear. Not to mention the interest rates given on your money which THEY invest and loan out to get rich are so pathetic you barely break over CP index. Provide some tax relief, petrol relief, relief on goods and services and regulate the bank fees a litte and after that I will probably have a little more to put in the bank.
Posted by: C of Brisbane 9:19am today
Comment 4 of 79
If wages rose in line with petrol, food, housing and executive pay packets then we all would have some money saved. Successive Governments have called for wage restraint from workers (not Execs / Managers) whilst the cost of living has become crippling. Gone are the days when once a week you were given an envelope with your wages in cash (and could stash a $20 away in your bank account). Now it's direct deposit, a credit card at 17 and pay in fortnightly / monthly cycle ( I left my last employer pay was monthly & just beyond impossible). So along with the environmental crisis, ageing population, terrorism, housing etc etc we now have this to worry about – F G S – please pass the Prozac 🙂
Posted by: K Harris of Brisbane 9:11am today
Comment 3 of 79
There once was this great country where money flowed and savings were high, everyone was easy going and happy. Then one day the government of that country decided to change the name of the taxes, all of a sudden money wasnt so easy to keep hold of and savings slowly dropped. When the savings ran out the people used their credit cards and re financed until they couldnt any more. The banking institutions became extremely callous towards the people that couldnt afford their repayments and made a lot of people bankrupt so they could no longer get finance and wernt game enough to have savings. So once where people happily gave their money to the bank to hold onto their savings it now sits in shoe boxes under their beds. Just like their grandparents used to do sixty years ago. And the banks still cry for more money from the same people they have penalised.
Posted by: Jason of St George 9:02am today
Comment 2 of 79
Seven percent is not worth it with property in Melbourne going