Backlash as Woolworths axes popular discount offer

Woolworths scraps Big W 10% discount offer, why you could get a bigger tax refund this year, and the popular bank that doesn't want its money back. Here are five things you may have missed this week.

Woolworths axes popular 10% discount

Subscribers to Woolworths rewards program are about to get less bang for their buck.

Despite paying $7 each month, or 70 bucks annually, to enjoy extra savings through Everyday Extra, Woolies is scrapping the scheme's monthly 10% discount at BIG W.

The reason?

Woolworths says Big W prices are already so low there's no need for the discount.

Everyday Extra subscribers aren't buying it, with a number of Reddit users claiming they will cancel their subscriptions.

"I cancelled everyday extras and delivery unlimited today. Bye bye Woolies, I'm shopping at Aldi," wrote one user.

"Not renewing my membership," wrote another.

New users were particularly irate.

"This makes me angry. I only signed up a few months ago. And I really regret it now."

The 2x Everyday Rewards points benefit for Delivery Unlimited subscribers will also be removed.

It's not just customers who will feel the pinch.

Big W's 15,000 employees will see their additional 5% Everyday Extra monthly discount scrapped from August .

Everyday Extra still offers 10% off one shop each month at Woolies plus double the Everyday Reward points at Woolworths and Big W  along with occasional perks and freebies.

Big W has struggled with declining profitability over recent years. The brand's earnings before interest and tax (EBIT) were down 90% in 2024 compared to 2023.

Work from home? Your tax refund could be bigger this year

Around one in three Australians spend at least part of their week working from home.

If that sounds like you, this year's tax refund could be bigger than normal.

The Tax Office has bumped up the fixed rate that can be claimed for working from home - to 70 cents per hour, up from 67 cents previously.

To claim the 70 cents hourly rate you will need time sheets or other records showing the hours worked from home through the year.

An additional cost can be claimed for the depreciation of office furniture and equipment.

The bank that doesn't want its money back

The so-called Bank of Mum and Dad has been Australia's silent property giant for several years, helping first-time buyers with home loans and financial lifelines.

But Mozo research shows this 'bank' no longer wants its money back.

Parents are now gifting $74,040 on average to adult children to help with home loan deposits.

Worryingly, some parents are turning to high-risk credit, with 3% borrowing on credit cards or loans to help their children get on the property ladder.

Yet, 75% of Australian parents helping their children buy a place in 2025 don't expect to be repaid - double the figure in 2021.

Mozo's Rachel Wastell says, "It's one thing to help your kids, but using debt to do it is dangerous, parents could be trading short term generosity for long term financial concerns."

She adds, "Before offering that helping hand, it's crucial to make sure you're not relying on high interest debt and that your own financial future is secure."

Holiday card surcharges could be at an end

We all love public holidays but they can go hand in hand with higher card surcharges, which can really bump up the bill especially for costs like for dining out.

But the days of paying an over-the-top holiday surcharge could be at an end.

Australia's consumer watchdog, the ACCC, has put businesses on notice to check that their card surcharges are in line with the law.

Card surcharges are perfectly legal. However, businesses can only charge what it costs to accept card payments.

For example, if it costs 1% for a café to accept Visa card payments, the maximum surcharge that can be passed on to customers using a Visa card is 1%.

The ACCC is urging businesses to check with their bank, accountant or business adviser if they are unsure about their cost of card acceptance.

Australia is the only OECD nation to impose surcharges for card payments.

The ticking time bomb in your bathroom

A new Suncorp Insurance study has revealed flexi-hoses are a leading cause of major water damage in Australian homes.

Flexi-hoses, made from rubber tubing covered with braided steel mesh, are commonly found in bathrooms, kitchens and laundries.

And while they may seem harmless, these little critters can dish up serious damage bills.

Suncorp says the average cost of a burst flexi-hose insurance claim is over $27,500.

Scarier still, Suncorp Insurance's Steven Hussey says, "We inspected thousands of flexi-hoses and found 30% were at risk of bursting and needed to be replaced - an average of two flexi-hoses in every home."

Most flexi-hoses go bust due to the breakdown of the steel braiding, and if the home owner is absent when a hose breaks, it can release enough water to fill a household swimming pool in just 24 hours.

The moral of the story is to take a few minutes every six months to pop your head under the sink and behind the loo to see how your flexi-hoses are holding up.

Hussey adds, "If you are heading off on holidays, please remember to turn your water off at the mains to save yourself from potentially returning to a flooded home."

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