Tell us about your early years. What were your formative money experiences?

I am the youngest of many children and I grew up in a working-class family - not that I knew it really as we had everything we needed, including a stable home, organic homemade food and new clothes when we needed them.

I grew up with two belief systems that my mum and dad modelled for me: one, there is always enough to go round; two, there are always creative ways to make do. So while I may have been at the lower end of the social economic system, I never felt this.

My parents did everything together and shared the responsibility equally for money, chores, cooking and childcare. That was unusual for that time, but it is all I knew growing up, equality seemed normal to me. They instilled in me a notion that I should not borrow money or spend what I didn't have.

While well-intended, that advice would have stopped me from borrowing money to buy things, such as a car that impacted my ability to travel for work or stopped me from investing in property.

What was your first job and how much did you earn? What did you spend that money on?

My first job was in the Coles bakery in my local area. I didn't spend my wages, I always saved them. I'm going to guess about $4 an hour.

You're a money coach with three decades in the field, helping Australians navigate their finances. Tell us the main insights you've garnered about our relationship with money. 

That we all have one and it was formed between the ages of two and 10. I liken it to the theory of 'attachment'; we all have a money story or an attachment style to money if you will, be it avoidant, anxiously attached or securely attached.

The main insight is that until we address this core belief/wound/story that drives our negative money beliefs or fears, no app, spreadsheet, system, financial product or course will be enough to sustain behavioural change and better outcomes.

Why did you found Money Strong and what is unique about it?

I founded Money Strong because the current financial ecosystem only has about 15,544 financial planners and 1500 counsellors and we are a population of 27.3 million people trying to do better with money.

There are a lot of people stuck in the middle; they are not in hardship and needing the services of a financial counsellor, they are not financial-advice ready or deemed financial-advice worthy, so they have nowhere to go. Enter Money Strong.

Money Strong is a non-advice alternative for Australians who want to do better with money. It is unique because it services a section of the market that is not met by financial counsellors at one end of the spectrum or financial planners at the other end of the spectrum. It takes care of those in the middle.

It helps ordinary people change/improve their relationship with money, while helping them level up their money smarts. More importantly, it supports people to implement and set themselves up for financial wellbeing.

What does money mentoring provide that a financial adviser doesn't?

A behavioural science approach to addressing our relationship with money and improving it.

It helps ordinary people upscale their money smarts, addresses serious money issues, such as under-earning, over-spending, mismanagement of money and assisting with behavioural change.

It shows people how to manage money in ways that align with their values and life goals. It also helps people set up and automate their money life.

You've recently focused some of your advocacy on issues that separated can face over delay and control tactics in family court proceedings. Tell us about that.

We know that in 95% of domestic violence cases financial abuse in some form is present.

One way abuse is continued after the victim leaves (if via the Family Court) is by using financial abuse as a vehicle to continue controlling the victim's life by forcing them to attend court, pushing them into financial hardship due to excessive legal fees, using court hearings as a means to see the victim and bringing vexatious matters before the court to mentally torment a victim.

Then there are the tactics of child-support avoidance to reduce the mother/child's quality of life, impacting where they can live and what experiences they can have. It is an extension of the need to control by withholding money.

I have researched, studied and learnt about this topic for more than 16 years and the reality is it happens, to nice people, to innocent people and to those who believe it could never happen to them.

When it comes to your personal money habits, how have they evolved over time?

The biggest shift in my money habits has been eliminating the use of money on things that are not really values aligned for me. An example, at a small level, would be not buying alcohol and a bigger example would be no longer needing to drive an expensive European car.

I'm very conscious now in my use of money; if it is bad for me I'm not using my money on it, if it is bad for the planet or harms others, my dollars will never find their way to it, if it's unfair on anyone in the distribution chain, it's off limits.

To me money is an extension of using our voice to say what we support and what we will not tolerate. I wish more people used money in more conscious ways.

What's the best investment - financial or personal - you've ever made?

Financially, commercial property. I used the bank's money and the tenants covered 110% of all the costs. Personally, mentors have been my greatest investment. I continue to invest a lot of money in mentors today for various areas of my personal and professional life.

Please finish this sentence: Money is good for...

... confidence to live our own path, especially as a woman. It is the one thing that will give you the confidence to stay, leave, say no, walk away or say yes to exploring a crazy expensive dream.

Grocery bills are climbing, but a growing number of Australians are using AI tools to plan meals, reduce food waste and avoid impulse purchases.

Australians now spend about $207 a week on groceries, up from the mid-$160s just a couple of years ago, according to Finder's Consumer Sentiment Tracker.

The good news is that free or low-cost AI tools can help you stretch your grocery budget further.

Why grocery prices keep rising

The overall inflation rate sits at 3.8% for the year to June 2026, yet in that same time, certain grocery items have outpaced inflation.

Beef and veal have risen by 13.5%, coffee, tea, and cocoa by 11.5%, and snacks and confectionery by 6.7%.

You can't control global events, beef prices or supermarket margins, but you can control what goes into your meal plan, your list, and your trolley.

That's where AI comes in.

1. Use AI meal planning to cut grocery costs

Structured meal plans can feed a household for $93-$193, often well below the $200-plus figure many Aussies now spend.

Take stock of your pantry

On your phone, photograph what's on the shelves in your pantry and in your fridge and freezer, or quickly type a list of what you already have.

Give an AI tool a clear brief

You can use any mainstream chatbot or a grocery app with built-in AI.

Make sure your prompt includes your household size and ages, dietary needs (gluten-free, kids' lunchboxes, CSIRO Total Wellbeing Diet), weekly grocery budget (set your target, not what you're currently spending), and a list or photos of pantry and freezer items to use up first.

The more specific you are to your circumstances, the better the results you'll get.

For example, a family spending $220 a week could ask AI to create five dinners using ingredients already in the pantry plus a $120 shopping budget.

The chatbot might recommend using frozen vegetables, beans and existing staples before suggesting additional purchases.

Turn the AI's menu into a realistic week

Ask AI to swap out expensive proteins for cheaper alternatives in some meals. Ask for 2-3 'leftover night' meals that intentionally empty any fresh produce.

Check AI's suggestions against what your household will actually eat.

Price it and sanity-check your savings

Plug your ingredients into WiseList (a Melbourne-developed app that compares prices between Coles, Woolies, and ALDI) or your usual supermarket's online cart to see the total upfront.

2. Use AI to create a smarter shopping list

Sort your list into three buckets

In their productivity book First Things First, Stephen R. Covey, A. Roger Merrill, and Rebecca Merrill taught the idea of managing by importance.

You can apply this idea to shopping by organising your list around:

• Essentials (core ingredients for the week's meals)
• If on special (brands or extras you'll only buy on discount)
• Only if under budget (treats and non-essentials)

Ask AI to structure and price your list

Paste the AI-generated meal plan or your own recipes into a chatbot.

Ask it to output a shopping list grouped into the three buckets.

Ask it to estimate prices, then verify them using your supermarket's online catalogue or price comparison tools.

Remember that AI can make mistakes or use outdated information. Always verify prices, specials and dietary advice before making purchasing decisions.

Use AI to find cheaper swaps

Try prompts like "Suggest cheaper supermarket-brand alternatives for each item in my Essentials list." "Where can I swap in beans, lentils or frozen veg without sacrificing nutrition?"

On a $178-$207 weekly shop, a 5-10% saving is $9-$20 a week, or $450-$1000 a year.

3. Use AI to beat your impulse triggers

The best laid plans can be derailed by habitual impulse buys. Here's how to beat them:

Find your weak spots

Make a list of your impulse triggers and then ask AI to help identify common impulse triggers (half-price snacks, bakery smells, shopping while hungry, kids in tow).

Write 'if-then' rules with AI

Plan how you'll handle each trigger in advance.

Examples include: "If I see something that isn't on my list, I'll take a photo and add it to next week's plan instead of buying it now." "If a treat is half-price, I'll only buy it if my cart is still under budget."

Prompt AI to condense these into a simple 'shopping rules' card you can save on your phone.

Start with one small change this week

To save money on your grocery bill, you don't have to become an AI power user. If you can write a text message, you can ask a chatbot to map out a week's dinners or tidy your shopping list.

Start with one tactic on your next grocery shop. Even a small reduction in your weekly spend can add up to hundreds of dollars over a year.

That could mean paying more than $10 extra to fill a family-sized car, just as global oil prices continue to climb.

Motorists who need fuel in the coming days may want to act now. Experts say prices are likely to rise as service stations begin replenishing stocks after the tax increase, meaning drivers who fill up this week could avoid some of the incoming pain at the bowser.

What's happening to fuel prices?

Fuel prices have already risen sharply this month, with regular unleaded increasing by about 20 cents a litre in some capital cities over the past two weeks.

"In our major capital cities, we've seen a 10 cent (per litre) increase in the regular unleaded price in the last week, and that follows a similar increase the week before," says Dr Ian Jeffreys, principal economic and affordability specialist at the Royal Automobile Club of Queensland.

The increase in diesel prices has been "significantly higher", he adds.

Early this week, motoring groups reported the average national bowser rate for unleaded was around $1.90 per litre, while for diesel it was around $2.30.

The recent increases have been driven by escalating conflict between Iran and the US and continuing fighting between Russia and Ukraine, but NRMA spokesperson Peter Khoury says prices are about to get even higher.

"We've seen those national averages go up somewhat significantly in the last few weeks. And unfortunately, given what we're expecting next Monday, we will see that continue."

Why petrol prices could rise from August 3

Monday, August 3, will see the fuel excise (the federal government's fuel tax) return in full, after months of discounts designed to ease cost pressures on consumers.

On top of this incoming 16 cents per litre levy, an extra one or two cent charge will also be added to the tax, as it's adjusted in line with inflation.

The exact increase will depend on how much of the excise is passed on by retailers and local competition.

What is the fuel excise?

The fuel excise is a tax on petrol and diesel designed to fund Australia's road and transport infrastructure.

It's charged on wholesale prices and then filters down to the price consumers pay at service stations.

It's normally 52.6 cents per litre, but was halved to 26.3 cents in March, after fuel prices spiked following the outbreak of war between Iran and the US.

A federal deal with the states and territories soon after cut it by another 5.7 cents.

This lower rate applied until the beginning of this month, when the federal government re-introduced some of the tax.

Next week is expected to see the remaining discount wound back and the excise return in full. The inflation indexing is expected to take the incoming charge on prices to around 17.5 cents per litre.

How much more could drivers pay?

"[The fuel excise] is applied at the wholesale level. So that won't immediately hit retail prices," explains Dr Jeffreys, who says when the extra charge will flow through to bowser prices depends on where you're filling up.

"The capital cities respond quicker because those retailers will be getting resupplied quicker... then regional cities next and more remote locations last."

How you can save

Experts say you shouldn't let fear of fuel shortages drive you to buy more fuel than you need.

"It's the only way you're going to create a supply issue, given that Australia has secured supply for the months ahead," says Khoury.

Seeking to shore up confidence in the national stockpile, Prime Minister Anthony Albanese said on the weekend there's more fuel in Australia today than there was when conflict kicked off between Iran and the US in February.

1. Shop around

Even as prices increase, there can be big differences between fuel costs per litre between competing petrol stations in the same area.

A difference of 20 cents per litre could save a driver $12 on a 60-litre fill. For someone filling up weekly, that's more than $600 a year.

Luckily, there are dozens of free apps and websites you can use to find the cheapest price near you.

Most draw their prices from government databases that retailers are required to report to, while others rely on crowdsourcing for their data.

In addition to the retailer databases, most state and territory governments also operate their own local price comparison apps and websites for consumers.

Money motoring expert and host of The Right Car channel on YouTube, Matt Campbell, says it can pay in the long run to try premium fuels, even if these are more expensive.

"You might see better efficiency from your petrol engine than if you bought the cheaper fuel," he says. "You might spend a little more, but you might end up getting more kilometres per tank."

2. Care for your car

Campbell also has two main practical tips for how you can treat your vehicle differently to save fuel.

Check your tyre pressure

"If you are running a low tyre pressure, you're putting more load on everything," he says.

"If your tyres aren't at the right level, then you will potentially be using more fuel."

Clean out your boot

"Take stuff out of your car that you don't need in there. Some people have a boot full of stuff that they just take everywhere, and we're talking potentially an extra 100 kilograms of stuff. Take that out. If you add weight, it adds to your fuel consumption."

3. Avoid aggressive driving

Rapid acceleration, hard braking and speeding can all increase fuel consumption.

Maintaining a steady speed and anticipating traffic conditions can help reduce fuel use.

So where should people start if they want to get on top of it?

On this episode of the Friends With Money podcast, Money's Tom Watson is joined by Deb Shroot, financial counsellor and Financial Counselling Australia sector advocate, to discuss prioritising debt, freeing up cash flow and working towards becoming debt free.

Episode timestamps

00:00 Introduction

02:00 Rising debt stress: mortgages, credit cards and utilities

03:00 First steps when debt feels overwhelming

04:30 How to prioritise multiple debts

07:00 The danger of the debt spiral

08:00 Common debt repayment mistakes and hardship options

09:00 Where to find extra money in a tight budget

12:00 Why you should seek help before reaching breaking point

14:00 Building healthy financial habits that last

15:00 Seeking trustworthy financial advice

16:05 Conclusion

Listen to this episode of Friends With Money

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Watch on YouTube for closed captions

Subscribe to Friends With Money

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Friends With Money podcast FAQ

What is the Friends With Money podcast?

Friends With Money is a weekly personal finance podcast by Money magazine, offering expert insights on investing, budgeting, superannuation, property, and other money strategies for everyday Australians.

Where can I listen to the podcast?

You can listen on Apple Podcasts, Spotify, or YouTube (with closed captions available).

Who hosts Friends With Money?

Episodes are hosted by Vanessa Walker and Tom Watson from Money magazine, featuring expert guests and real conversations about money.

Is the podcast suitable for beginners?

Yes! It's designed to be accessible for beginners while still offering valuable insights for seasoned investors.

What topics does the podcast cover?

The Friends With Money podcast covers topics including banking, property, budgeting, superannuation, investing, saving, insurance, employment, travel and more.

How often are new episodes released?

New episodes are released weekly, so you can stay up to date with the latest financial tips and trends.

Can I watch episodes with captions?

Yes, full episodes with closed captions are available on YouTube.

Why subscribe to the Friends With Money podcast?

Boost your financial literacy anytime, anywhere with the Friends With Money podcast from Money magazine. Whether you're commuting, working out, or relaxing at home, this weekly podcast makes it easy to grow your money knowledge on the go.

Each episode dives into real conversations about money - how it's earned, shared, saved, and grown - with tips and insights that make finance simple and relatable. Perfect for beginners and seasoned investors alike, it's your go-to guide for building better financial habits.

Subscribe to the Friends With Money podcast today and start learning when it suits you.

Student exchange - where kids travel overseas to live and study - is becoming more popular.

We have a school-age student staying and we are finding it a great way to learn about another country and culture.

My daughter will stay with her family later in the year. It will test her independence.

She is enjoying the new friendship and looking forward to making new friends at her overseas school.

If it all works out, going on an exchange can be a rewarding experience, boosting kids' confidence and developing their judgement skills.

And it can fast-track learning a foreign language.

How much does a student exchange cost?

It isn't cheap. Australia is a long way from popular destinations such as Japan, France, Germany, Italy, Great Britain and South America, making airfares a big cost.

If the school organises a reciprocal exchange, the main cost is the airfare.

You provide food, accommodation and the day-to-day costs for the student who comes here.

In return, the host family provides food and, depending on the family's generosity, organises trips and sightseeing.

Your child will need money for incidentals such as transport to and from school, school lunches and some entertainment.

You will also want to make sure your child is covered by travel insurance.

As well as school-organised exchanges, plenty of external companies offer short-term and one-year exchanges.

The costs are considerably higher but this is partly offset by not having to host a child yourself.

You can expect to pay from $10,500 to more than $12,000 for a long-term Rotary Youth Exchange in Australia in 2026, depending on the destination.

Not all host families may work out - the benefit of an organised group is that your child can be moved to another family.

Exchanges in a gap year after school are popular. Your kids are more mature, and capable too.

There are some terrific programs around the world but they are expensive.

Are student exchanges worth it?

A friend of mine's daughter is spending four months in Peru, working in a local school and living with a family.

She is with a group of Australian students and there is a co-ordinator on the ground that looks after the group.

This came in handy when she ended up in hospital with food poisoning.

The parents were notified immediately and she was well looked after.

One of the advantages with an end-of-school exchange is that you can encourage your kids to save up over high school to meet part or all of the cost.

While a student exchange can be a significant financial commitment, many families see it as an investment in their child's future.

The experience can help teenagers develop maturity, confidence and a broader view of the world, qualities that may last far longer than the trip itself.

Test your knowledge with this week's Money Quiz, featuring the latest developments in super, property, workplace trends, loyalty programs, share investing and more.

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How the Money Quiz works

What is the Money Quiz?
A free, weekly 10-question challenge that tests your knowledge of personal finance, investing, property, superannuation, consumer trends, economic news and more.

How long does it take?
Less than five minutes - perfect for a quick money-smarts boost.

What will I learn?
Each question relates back to a recent money story or trend, helping you stay informed in a fun, interactive way.

How often is it updated?
New quiz released every week.

Is it free?
Yes - always.

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Why take the Money Quiz?

Staying financially informed doesn't have to be boring. The Money Quiz is a quick, enjoyable way to learn:

• How major money stories affect your life
• Useful financial terms and concepts
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• Real-world examples pulled from weekly news

By playing regularly, you'll sharpen your financial literacy, improve your confidence and pick up practical money tips along the way.

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How did you score this week? Share your result and see how others went.

Leave a comment below or tag @moneymagaus on social media.

It's a brave new world out there in the workforce. In the space of a generation, workplaces have changed radically, and it's creating opportunities for some, while others may be struggling to keep pace.

We still refer to the nine-to-five grind, but rigid working hours are fast becoming a relic of the past. Australian Bureau of Statistics (ABS) data shows that 30% of employees work flexible hours - and one in three of us works from home.

Despite these advances, it can be easy to yearn for simpler times when we clocked off work at 5 pm, had the rest of the day to ourselves and enjoyed reasonable income security.

Today, one in five employees - about 2.4 million people - works on a casual basis. A similar number of employees doesn't have guaranteed minimum hours, making it hard to plan ahead.

There are many stressors in the modern workplace.

Pressure to meet deadlines, schedules and key performance indicators mean we are under intense pressure to be always 'on'. It's made the eight-hour working day a pipe dream for many.

Unions NSW says Australians typically work nine hours of unpaid overtime each week - and it's costing us about $21,563 annually.

The situation reached a tipping point in 2024 when right-to-disconnect laws were introduced, allowing employees to refuse to monitor, read or respond to the boss's emails outside of working hours. We're also more likely to be white collar workers - more Australians (about 34%) hold university degrees than ever before.

This has fuelled the rise of jobs that are less physically demanding than blue collar jobs. The downside is that more than 5.5 million people are entering the workforce with a five-figure HECS debt.

The biggest workplace challenges reshaping every generation

Deloitte Access Economics partner David Rumbens, points to "structural changes in the labour market", notably the rise of artificial intelligence (AI).

According to Rumbens, demand for roles involving routine tasks is weakening, while demand for trades, physical roles and human-centred services continues to expand. So, who will win, who risks falling behind, and what steps can we each take to shore up our value in the workforce?

Here's how different generations of Australians are dealing with the challenges of today's workplace including real people who have made the workplace work for them. We show what each generation wants and tap into expert advice to get there.

Gen Z: Building a career in the age of AI

While all generations of workers are concerned about losing their jobs to AI, a recent Finder survey found this fear is highest among Gen Z professionals, with two in five worried they'll be replaced by AI.

Those fears are not without foundation.

Anglicare Australia's annual jobs availability snapshot confirms entry-level roles are among the most vulnerable to automation and AI because they often involve routine or standardised tasks.

Reflecting this, entry-level jobs now make up only 11% of all job vacancies - the lowest share in a decade.

Will AI replace entry-level jobs?

Graham Cooke, consumer insights analyst at Aussie Insights, says, "The risk isn't just about robots taking over jobs, it's about roles quietly shrinking, hours being cut and fewer opportunities coming through the door."

Despite the concerns, global recruitment agency Robert Half's director Tom Ward says AI is broadly being embraced by workers, with 83% believing "generative AI skills are now necessary for career success".

"There is some pushback," he adds.

"But it is mostly a trust issue, not a technology issue.

Employees will embrace AI when it helps them do better work, but they push back when it feels like a surveillance tool or a shortcut that ignores quality."

It seems plenty of Gen Zs are embracing AI at work even if it is with cautious optimism.

Sarah Carney, Microsoft ANZ's national technology officer, says 78% of Gen Z workers have introduced a new AI tool, shortcut or hack that was later adopted more broadly.

Three in five (61%) have built or customised an AI agent, proactively looking for ways to automate part of their job.

That said, Carney points to an emerging digital divide that risks creating a two-speed workforce where some young employees race ahead with AI, while others are left behind.

Carney says, "AI should be a launchpad for every worker, not a privilege for a few. Especially for young professionals whose entire careers will be shaped by how they harness AI.

"Even in heavily regulated sectors, the answer isn't to stand still; it's to adopt AI safely and responsibly, because there is also the risk of doing nothing."

How Gen Z workers are building multiple income streams

Bernadette Schwerdt, author of Secrets of the New Online Entrepreneurs, says "Gen Z don't clock off; they just switch income channels. The idea of a single job as a safety net is an outdated concept.

Where security for Gen Xers used to be a salary, for Gen Z, it's a portfolio.

One income stream is risky, so for them, multiple streams is the go-to strategy."

According to Schwerdt, freelancing, content creation, micro businesses and digital products run in parallel, with each adding a layer of protection to ward off a restructure, redeployment or realignment.

"They no longer rely on one employer, but build a system that can move, adapt and deliver a pay cheque, no matter what happens to them, the economy or the world."

That change demands a different kind of mindset. As Schwerdt notes, "Creativity is no longer a hobby; it's a revenue model. Gen Z are looking at their skills, interests and experiences through a commercial lens, asking: how can this be monetised?"

Managing all of this requires discipline. "For Gen Z, the 9-5 funds the 5-9," says Schwerdt.

"Their primary job provides stability, but the real opportunity resides in the side hustle. Gen Z aren't job stacking; they're risk spreading.

"They are building income streams that scale independently of their time, using platforms and audiences that offer optionality."

Careers are no longer a series of steps on a ladder to the top. For Gen Zs, every skill is an asset and every asset can be monetised. Constant reinvention is the name of the game and knowing their next job probably doesn't exist yet, means everything that happens today is an opportunity for tomorrow.

Why one future lawyer doesn't expect one career for life

A job for life is a thing of the past. But so is a career for life.

Research suggests the average Australian will have at least three careers during their working life. Gen Z could have as many as seven.

Nicholas Terrell, 20, is studying to be a commercial lawyer, but he doesn't see this dominating his career path.

"I think careers are a lot less linear today," he says.

"There's more movement between roles and industries. "I don't see myself doing just one thing for my entire career. I want to start in law and build a strong foundation, but I'd be open to moving into other areas."

Workplace mobility - how frequently we change jobs - is highest among younger Australians. Like many of his generation, Terrell has no expectations of staying in the same job long term.

"I'd say two to four years in a role provides enough time to properly develop skills and actually contribute." While salary is Terrell's top priority when choosing an employer, remote working and flexible work also matter.

"Life comes before work and a workplace that recognises this is doing a far better job than the alternative," he says.

And he's "not overly concerned" about the possible impact of AI on his career.

"I think it'll change the nature of work more than replace it," he says.

"More repetitive tasks are already being automated. That means there's more of a focus on judgement, strategy and client-facing work."

Gen Y: Caught between housing costs and career change

The resilience of Gen Y (Millennials) has to be admired.

They copped the global financial crisis early in their careers and have seen property values skyrocket 43% nationally in the past five years, while wage growth has limped along at a little more than 3% annually.

But Millennials have a few aces up their sleeve.

They are the first generation to have employer-paid super throughout their entire working lives and have benefitted from first-home buyer incentives from the First Home Owner Grant, launched in 2000, to, more recently, the Federal government's 5% deposit scheme.

Why Millennials won't give up hybrid work

For many Gen Ys, the COVID pandemic shifted the dial on workplace expectations and many are lukewarm about returning full-time to formal workplaces.

On the plus side, Robert Half's Tom Ward, says, "Employers are still willing to offer hybrid work.

"In fact, the 2026 Robert Half Salary Guide found that 43% of Australian employers say working from home and hybrid work options have the highest usage among their staff."

Still, the market has shifted.

"Hybrid is still very much alive because employers know it helps attract and retain talent," says Ward.

"But businesses are under pressure to maintain productivity, collaboration and team culture. As a result, many employers are now setting clearer expectations around office attendance, rather than offering full flexibility by default."

Notions of loyalty to an employer have changed too. "Loyalty today is less about tenure for tenure's sake and more about whether the employer delivers an experience people believe in," says Ward.

"Culture and flexibility matter much more than they used to, but they are not silver bullets.

"Employees are less willing to stay somewhere that no longer fits with how they want to work or what they want from an employer."

Should you pay off HECS or buy a home?

Like Gen Z, Millennials are likely to have a hefty HECS-HELP debt.

But Vince Scully, financial adviser and founder of Life Sherpa, says, "HECS-HELP remains the lowest cost debt available," he says.

"It also dies with you. And the government is developing a habit of writing off chunks of it." However, it's different if you're in the housing market. Scully says,

"A single person earning the average weekly earnings for a full-time adult, of $2051, with no other debts could borrow $470,000.

"With a typical HELP debt of $29,000, this would fall to $414,000. So, using $29,000 of savings to repay a HELP debt could leave them with more to spend on a home."

Scully adds that engagement with super is "critical" for Gen Ys, but says, "the fund that's right for you now may not always be".

"When your balance is low, fixed fees matter. A $1.50-a-week fixed admin fee is 0.78% of a $10,000 balance. This is usually more than the investment fee. Look for a fund that has only asset-based fees. As your balance grows, returns and asset allocation become more important," he adds.

"At $50,000, that $1.50 weekly fee is a much more respectable 0.16%." Interestingly, Scully cautions against making additional contributions at a young age.

"The trade-off for the tax benefit is that you don't get to spend the money until you turn 60. Don't forget about super, but focus on aspects outside super until you are more settled - like having the home loan under control, eliminating consumer debt and holding investments outside of super."

The redundancy that changed everything

Plenty of Gen Ys are discovering that career experience is no protection from the tap on the shoulder that spells redundancy.

Human resources specialist, Lyra Jai, 32, found herself on the receiving end of redundancy in mid-2025.

"I wasn't completely shocked," says Jai.

"I was managing the (company's) redundancy processes at the time, so I knew where things were heading.

"The overall morale in the company had dipped quite a bit, so moving on didn't feel like a loss so much as a natural next step." Fortunately, Jai received a job offer before her redundancy payment ran out. Even so, the experience cemented what really matters to her in a job.

"Perks such as remote or hybrid working are a big one for me, probably because I've been working in a hybrid setup since COVID," she explains.

"It's hard to unlearn the joys of not having to sit in traffic each workday or give up the freedom to throw on a load of laundry between meetings."

Jai says she would now find it hard to join a company without a strong hybrid policy.

"To me, flexible working reflects a level of trust. It means you have leadership believing that their people are capable and responsible, and don't need to be watched to do good work."

Jai and her husband recently became first homeowners though this meant added pressure to hold onto a good job.

"It's really exciting to finally have a place we can call our own," says Jai.

At the same time, it comes with a sense of responsibility. I feel more motivated to stay financially stable and contribute as much as I can to our household."

Gen X: Squeezed by ageism, AI and retirement

Gen X has faced unique generational challenges. They were the first to pay for a tertiary degree.

They had to navigate the global financial crisis at the outset of their careers and later adapt to the COVID pandemic.

Today, many Gen X hold leadership roles, although they can still face workplace threats.

Too old at 50? The growing ageism problem

A survey by the Australian Human Resources Institute found one in four (23%) employers now classifies over-50s as 'older' workers, more than double the proportion (10%) in 2023.

This suggests Australians may be considered 'old' long before they plan to retire and well in advance of the average intended retirement age (65).

And if Gen X doesn't feel threatened by younger, cheaper and more digitally savvy jobseekers, they may fear the looming spectre of AI.

According to Boston Consulting, over the next two to three years, almost half of jobs in the US will be reshaped by AI.

This doesn't necessarily translate to job losses, but it can see workers face radically new expectations for how they work. Career expert Robyn Greaves, says, "Artificial intelligence is accelerating change, but it is highlighting also the value of deeply human capabilities."

She explains, "Experience is not just knowledge. It is judgement, pattern recognition, perspective and the ability to navigate complexity. These are strengths that tend to deepen over time. The key is to make that visible."

Greaves says this means demonstrating curiosity and engagement with new tools, including AI, showing how experience translates into better decisions and outcomes.

In a plus for Gen X, Greaves is confident that as work becomes more complex, their ability to interpret, guide and connect becomes more valuable, not less.

The super and mortgage dilemma

For Gen X, outdated skills are less about ability and more about pace and pressure.

Rapid change is the primary driver, compounded by practical constraints, such as limited time to upskill (29%) and uncertainty around which skills are now required (21%).

Gen X are often at the peak of their earning power. The flipside is that they may be facing peak expenses - a home loan and school fees, coupled with the need to grow super savings.

Financial adviser Shaun Ganguly believes Gen X can crisis-proof their finances by building a cash buffer equal to "three to six months' worth of expenses, held either in cash or available in an offset account, if anything goes wrong."

He recommends reviewing personal insurances too, adding, "When something goes wrong, you want options, not panic."

As for super, Ganguly says most people focus on their balance - usually with the $1 million threshold of savings in mind.

"That was a marketing gimmick from an industry fund and it's the wrong starting point," he says. "You need to start with the lifestyle you want." He says the key is to convert a super balance into income.

"That's where most people get lost. A number on a statement doesn't tell you what you can safely spend."

As Ganguly notes, salary sacrifice is a useful way to grow super savings, especially if you have a stable salary. Personal deductible contributions are typically better for people with variable incomes such as business owners.

"You can wait until year end, see your income position, then contribute to super and claim the deduction. The real opportunity is carry-forward contributions. These are available if your super balance is under $500,000. But timing matters because older unused caps expire."

One of the challenges Gen X faces is paying down their home loan ahead of retirement.

More than one in four (27%) Gen X expects to have a mortgage when they retire.

Is it better to focus on paying down a mortgage sooner or tuck extra cash into super?

Ganguly says, "Higher income earners tend to benefit more from putting money into super. You're turning income taxed at up to 45% into contributions taxed at 15%, with the benefit of concessionally taxed investment earnings.

"For lower income earners, paying down the mortgage can be more effective. It's a guaranteed, tax-free return and your home is exempt from the age pension assets test."

Why more Gen X workers are becoming their own boss

Running your own show is often seen as one of the great Australian dreams and, when thrown out of the workforce, Gen X is turning that dream into reality and becoming their own boss.

The Committee for Economic Development of Australia (CEDA) says that more than one in 10 (13%) adults aspires to business ownership as part of their career journey.

But starting an enterprise from scratch isn't easy. CEDA chief executive Melinda Cilento, says, "New and small firms often have fewer resources to navigate regulation, secure finance or compete against established incumbents."

The solution can be to buy an existing business with a proven track record.

Simon Winter, principal of Raine & Horne business sales, says, "Higher interest rates can boost demand for business acquisitions. But it boils down to risk versus return.

"Nobody would buy a small business unless the return is there. There are very few small businesses that have a really low risk.

"I'm talking about post offices, childcare centres and maybe a few others that derive much of their revenue from government sources."

Winter adds that about 80% of businesses he sees listed for sale are coming onto the market because the owners wish to retire - and the sellers are typically motivated and flexible when it comes to price negotiations.

Even so, buying a business calls for plenty of homework.

"Due diligence is not necessarily that complicated," says Winter.

"The three issues to address are income, gross profit and expenses. Income can be confirmed by looking at a tax return - nobody's going to overstate their income in a tax return.

"Or look at a BAS (business activity statement) that declares sales results.

"When you're looking at expenses in a business, if you look at wages and rent alone, you'll find they generally represent 60%-70% of expenses, with inventory costs making up the balance.

"Probably the most important aspect of due diligence is meeting the owner," says Winter.

"That's a chance for the buyer to ask whatever questions they want and gauge their sense of trust in the owner."

Business operations specialist and founder of Auvie Consultants, Lyn Nguyen, says 'boring' businesses could easily be overlooked but they can offer lucrative opportunities.

"Boring businesses are the unsexy ones," says Nguyen.

"Those that don't typically attract attention or headlines. Think waste management, solar panel cleaning or pest control.

"These businesses tend to be consistently profitable, in steady demand and, in many cases, more resilient during periods of economic uncertainty. They're also less exposed to disruption from technology, including AI, because they rely on essential, hands-on services."

How divorce sparked a second career

Gen X couples are especially vulnerable to separation and divorce. If it happens, it can radically overhaul the work patterns of one or both partners.

That was the case for Fiona Knodler, founder and managing director of NSW-based Leave it to me Cleaning.

Knodler, 56, had previously worked as a truckie. By the time she and her former husband separated eight years ago, she had been a homemaker for 15 years.

When the dust settled on her divorce, Knodler walked away with both the family home - and the mortgage.

With two primary school-age children, she needed to return to work but faced a wall of hurdles.

"I could only work school hours," says Knodler.

"And when I applied for jobs, my age, lack of tech skills and the fact I'd been out of the workforce for 15 years worked against me."

But when the going got tough, Knodler found a solution.

She launched her own professional cleaning service.

It ticked the boxes for flexible work hours, low capital requirements, and plenty of demand.

One in three Australians outsources household jobs to the tune of $6 billion annually. Hard work, attention to detail and sheer determination has seen Knodler's business bloom.

Today, she leads a team of employees, with cleaning contracts that span residential properties to the defence industry. Her workplace journey, while not easy, has been rewarding.

"I'm getting to the point where I am finding out who I am," says Knodler.

"I am proud of what I have achieved personally and professionally.

"The next step is to work on the business, rather than in the business - if that happens I could keep going for another 10 years."

Baby Boomers: Why retirement isn't what it used to be

One of the most significant changes to the workforce occurred 34 years ago, yet its impact is only being felt today.

Compulsory employer-paid super, introduced in 1992, has seen about 18 million Australians - close to four in five of us - build retirement savings, one of the highest coverage rates in the world.

Retirement is being rewritten

While this has helped the Baby Boomer generation retire with more of a nest egg, they also face the prospect of greater longevity. One in two (48%) Australians aged 50 to 66 is worried they will run out of money in retirement.

At the same time, Boomers are realising that employment offers more than a regular income.

Staying in the workplace for longer doesn't just stretch out super savings, it also provides non-financial benefits - a sense of purpose, social connection and mental stimulation.

The catch is that holding onto an existing role or scoring a new job isn't always easy as we age. Boomers can come up against the brick wall of ageism in the workforce.

Robyn Greaves, career change expert and author of Your Third Chapter says, "Many of the assumptions we hold about ageing and retirement come from an outdated model of life and work.

"For decades, careers followed a predictable path: build, peak, then step back," she says.

"That model no longer reflects reality. We are living and working longer, and many people still have the energy and desire to contribute in meaningful ways well beyond traditional retirement age."

One option for Boomers keen to stay in the workforce is to move beyond the advertised job market into portfolio, advisory and project-based work. Greaves says this is "often where the most meaningful and flexible work sits".

Many later-career opportunities can emerge through conversations and referrals.

"Organisations are increasingly looking for people who can solve specific problems, bring perspective and lead through complexity, often without a full-time hire," says Greaves.

"To access this, people need to shift how they position themselves. That means moving away from listing past roles and towards clearly articulating who they are now, how they work and how they add value today.

"When you focus on contribution rather than chronology, age becomes far less relevant."

How to make your super last through retirement

From age 60, it's possible to access super through a transition-to-retirement pension (TRP).

But Shaun Ganguly, founder of Prime Years financial planning, urges caution about using a TRP.

"Investment earnings are taxed at 15% within a TRP," he says. You are forced to draw down funds and, if markets drop, this could mean crystallising losses by selling depressed assets."

Ganguly adds, "The tax savings aren't always there for higher income earners, especially under 60. Plus the income drawn out is generally subject to income tax (with an offset).

"But you really need to know what the taxable components (of super) are. I've seen DIYers with unexpected tax bills."

The upshot, he says, is to get advice before drawing on super ahead of full retirement.

From age 65, the tables can turn.

It's possible to access super whether you're working or not and, at this point, Ganguly says, "The biggest risk for most people isn't running out of money, it's being so scared that they never actually spend it properly.

"I see this constantly. People go into retirement with a decent (super) balance, then spend like they're about to go broke, it's like they live their best years in fear.

"Longevity risk shows up as underspending, not overspending for most," says Ganguly.

According to Ganguly, one of the most effective ways to manage money in retirement is by "income layering".

He explains this isn't about "having one big account-based pension and hoping it lasts", but instead blending an account-based pension with:

• A guaranteed income, through the likes of a lifetime annuity, to cover essential costs 
• Investments, such as shares, property, managed funds and investment bonds, for discretionary spending, and 
• Accessing the age pension where possible. 

"This helps with the psychology of fresh money coming in, so people actually enjoy spending their money after a lifetime of hard work, while leaving something for the kids/grandkids," says Ganguly.

Made redundant in her late 50s

For Janelle Turek, 63, a change to her work prospects came hard and fast.

In her late 50s, Turek found herself staring down the barrel of redundancy, despite 40 years of experience managing quality control across some of Australia's largest television networks.

"I was so angry," says Turek.

"It was pure ageism. My employer could hire younger, less experienced workers who cost less.

"To rub salt into the wound, it didn't matter that my replacements had less experience because so many systems and processes were becoming digitalised."

With rent to pay and ageing parents to care for, Turek needed an income stream fast.

"I soon realised that when no money is coming in, your savings start to run down very quickly," says Turek.

"I needed a job that at least let me pay the bills."

However, as she approached 60, Turek found her options narrowing.

She took on jobs in meat-processing factories, where long hours standing at production lines in near-zero temperatures took a toll on her physical health.

A fresh career 'break' came about a year ago when Turek landed a role as retail assistant at a local pharmacy.

"I really enjoy the job," says Turek. "The hours are flexible, I have lots of contact with local community members and I have built close relationships with my customers."

While Turek is confident her super savings will help her enjoy a comfortable retirement, she has no immediate plans to stop working.

"I'm physically healthy, I enjoy the social contact of the pharmacy and, frankly, none of us likes to believe we are getting older - retirement to me still seems a long way off," she explains.

Australia's highest-paid CEOs revealed

The top-paid ASX 200 chief executive earned almost $48 million last year.

The Australian Council of Superannuation Investors (ACSI) has revealed Australia's highest-paid chief executive officers of ASX200 companies.

Chris Hulls, CEO of Life360, which runs a family tracking app, topped the leaderboard for the 2025 financial year with annual pay of $47.7 million.

That's about 430 times the average annual pay of $110,790 for a full-time worker.

The crazy thing is, Hulls doesn't even live in Australia. Along with four other top 10-earning CEOs, he's based in the US.

The highest-paid Australian-based CEO, Vikesh Ramsunder, CEO of Sigma Healthcare, earned $42.6 million.

Not all CEOs are on multi-million-dollar pay packets. The median pay is a more modest $1.83 million.

Are they worth the money?

"Where CEOs appear in the highest-paid list, their companies will generally have delivered strong performance over the long term," says Ed John, executive manager of stewardship at ACSI.

Flybuys members can now redeem up to $100 at Coles

Customers can use reward points to save more on their grocery shop.

Pay with points launched at Coles this week, letting shoppers tap into instant rewards at the checkout.

Flybuys members can use reward points to save up to $100 on purchases.

You'll need at least 2000 Flybuys points to redeem $10 at the checkout, rising to 20,000 points to claim a $100 saving.

Previously, Flybuys members were limited to a $10 saving.

Coles chief customer experience officer Michael Courtney says the expansion of Pay with Points will give customers more choice and value when they shop in-store.

It's a move that replicates Woolworths Everyday Rewardshttps://www.moneymag.com.au/woolworths-slashes-everyday-extra-perks, which lets members claim at least $10 off a future shop or convert to 1000 Qantas Points every time they reach 2000 points.

Flybuys has more than nine million members, and according to Anna Lee, Flybuys chief executive officer, "Millions of members who shop in store at Coles already have enough points to redeem."

How investors can earn Qantas points through share trading

Webull Australia's new partnership rewards investors with Frequent Flyer points.

Webull Australia has joined with Qantas Frequent Flyer, allowing investors to earn Qantas points through account funding and trading activity.

Webull investors can earn:

• 1000 bonus Qantas points by opening a new account with at least $500
• Up to 2000 Qantas points per month by trading international equities
• Up to 100,000 bonus Qantas points if you have an eligible balance of $2000, earning 1 Qantas point for every $1 held, up to a maximum of 100,000 points. Offer ends September 30, 2026.

Rob Talevski, CEO of Webull Australia, says the partnership with Qantas Frequent Flyer "gives clients a new and compelling way to keep earning Qantas Points through an activity they're already doing".

Webull charges brokerage of $1 per trade for ASX-listed shares or 0.03% of trade value, whichever is greater.

Webull's offer replaces the partnership between Superhero and Qantas Frequent Flyer, which ended on June 30, 2026.

Are Australians paying too much for pet insurance?

New provider says many pet owners could save thousands over a pet's lifetime.

One in seven Australian pet owners spend more than $1000 a year at the vet, prompting newly launched CoverMy Pet to offer more affordable pet insurance.

CoverMy Pet says many pet owners are paying high premiums for cover they'll never use.

As a guide, just 1.49% of owners claimed more than $8000 in the past 12 months.

Grant Pugh, general manager of CoverMy Pet, says, "What we see across the industry is that pet owners start to cancel their policies after three or four years because the premiums have increased dramatically since they signed up.

"Unfortunately, shortly after they make this decision their pet is injured or becomes ill and they find themselves grossly out of pocket."

CoverMy Pet offers cover from $22 a month, covering 85% of usual vet bills for the lifetime of a pet. The average cost of pet insurance in Australia is $134 a month.

Pugh says shopping around for cover can mean saving upwards of $30,000 over the life of a pet.

Working from home could be affecting your health

Research suggests remote work may contribute to weight gain over time.

Close to one in two (46%) Australians work from home at least part of the time.

Along with flexibility, it can offer valuable savings.

The Committee for Economic Development of Australia (CEDA) estimates working from home cuts an average of three hours off weekly commute times, a saving worth around $5308 annually.

Add in the option of a 70-cent tax deduction for each hour worked from home, and it's easy to see why returning to the office full-time can hold limited appeal.

But there can be a downside.

A study by RMIT found working from home increases the likelihood of obesity over time.

That's because we no longer race to catch the bus, and without strict lunch breaks, we tend to snack more at home.

On the plus side, the research notes working from home doesn't always lead to weight gain, and it comes with the upside of greater flexibility around when we choose to exercise.

Consumer advocates estimate millions of Australians were impacted by Telstra's outage last week, including over 600 who, alarmingly, had trouble reaching triple zero.

But for many, waking up unable to connect to services crucial to daily life might not have been an entirely unfamiliar experience.

Ever since Optus' first big blackout in 2023, it feels like major telco outages have rarely been out of the news, in a period when we've also seen glitches across major bank networks.

Telco outages like last week's snafu might just be an inconvenience for those of us with only our own phone to worry about, but can cause major pain for anyone running a small business.

What caused the Telstra outage?

In the early hours of last Wednesday, a device Telstra uses to keep time synchronised across parts of its mobile network malfunctioned, leading to customers across the country waking up to find they couldn't access data or make calls on their devices.

But it wasn't just the screens we use for social media scrolling that were affected - some EFTPOS terminals businesses rely on to take card payments also went dark.

Soon after the outage began, EFTPOS system provider Tryo confirmed the Telstra breakdown had left some of its machines unable to process transactions.

With cards used for 73% of payments made by Aussie consumers, according to the RBA, this left any cafés, coffee shops and other businesses relying on these machines for their morning trade seriously out of pocket.

"When those services fail, the impacts can be immediate and costly," says Skye Cappuccio, CEO of the Council of Small Business Organisations Australia.

"Small business owners should not be left carrying the cost of failures in essential services they pay for and rely on to operate."

Hinting at the scale of the issue, Telstra said some business customers were without service for longer than individual consumers, as the federal government noted the issue was causing "real stress" for these small enterprises.

Why did EFTPOS terminals stop working during the Telstra outage?

The breakdown of Telstra's network affected EFTPOS payments because some terminals used by businesses to process transactions need to connect to 4G or 5G to work

When these systems go down, as they did during Telstra's blackout, and the machines have no backup way to connect to the internet, they stop working.

Latest payment glitch after bank bug

This isn't the first time a malfunction in the systems of a major company has caused havoc with finances.

In 2024, Money reported on a glitch at Commonwealth Bank that caused customers to be charged twice for purchases they had made through their accounts.

How to claim compensation after the Telstra outage

The Telecommunications Industry Ombudsman (TIO) -- the independent body that mediates disputes between telcos and their customers - says it expects service providers to make compensation available to customers affected by outages.

In accordance with this, Telstra has already promised assistance for individual and small business customers affected by last week's outage.

If you run a business that lost money or are someone who was otherwise left out of pocket, you can request compensation by lodging a complaint on Telstra's website.

The TIO says requests for compensation are more likely to be successful if you also provide records of:

• Your attempts to contact Telstra about the issue and any responses you received
• How long your service was disrupted for
• Any extra costs you incurred because of the outage, such as buying additional mobile data, travelling to access communications or losing business sales
• Receipts, invoices or other proof of these expenses
• Records showing impacts of the outage, such as screenshots, emails or messages about disrupted work or missed appointments.

The TIO says to contact them if you're having trouble reaching a resolution with Telstra or are unhappy with the outcome you're being offered.

Compensation scheme criticised

Consumer advocacy group the Australian Communications Consumer Action Network has welcomed the compensation scheme, but has criticised it for "putting the onus back on consumers."

The TIO agrees it shouldn't all be up to customers and says it's ready to help Australians having trouble with the process.

"Consumers shouldn't have to do all the heavy lifting after a major outage," said Ombudsman Cynthia Gebert. "If consumers aren't happy with the outcome they receive from their telco, they can reach out to the TIO for free and independent help."

The ABC reports Telstra executives will answer questions about the outage when they appear before a Senate inquiry on Friday.

How to prepare for the next telco or EFTPOS outage

Telstra's outage is a reminder of how reliant we are on telco networks, not just for chatting on the phone, but also for making payments, receiving information and organising our lives.

Consider these strategies if you're a small business owner or regular consumer looking for ways to build resilience before the next outage:

1. Carry cash as a backup

Many of us go without it these days, but notes and coins can be a lifesaving backup for essential purchases when payment networks or bank systems go down.

Financial adviser Amir Rodnia is a "big fan" of always keeping notes and coins on hand in case of an outage.

"It's sort of like keeping a spare tyre in your car: You hope you're not going to need it, but you know it's there when you have to use it," the author of Freedom Gameplan explains.

"Anywhere between $50 to $100 should suffice, unless you're in a regional area, where you may need a little bit more. [Keep some] on your person, in the car, maybe even a little bit in the house."

2. Be prepared to keep records

Your telco may ask for proof of costs you incurred, your attempts to resolve issues or other pieces of information if you go seeking compensation after an outage. Be prepared to collect this evidence.

3. Get to know your EFTPOS terminal

Running a business that uses an EFTPOS terminal connected to a mobile network to process payments? Seek information from the bank or financial institution that provided you with the device to see if there are backup options for keeping your terminal online during an outage.

4. Watch out for scams

Telstra says it's received reports of fraudsters calling customers and trying to take advantage of the recent outage by claiming to work for the telco and asking for personal details.

Beware of calls, emails, texts or social media messages appearing to come from Telstra if you haven't already lodged a request via the telco's online form. Any legitimate messages from the company should also appear in your account in the My Telstra app.

Contact the telco using details you've found yourself to confirm any suspicious requests or directions.

Beware of text messages labelled as coming from "Unverified". These have been flagged by Australia's SMS Sender ID Register - a new system designed to protect consumers and businesses from scammers.

When it comes to relationships, few things shape your future as much as money. Yet many couples who communicate well still find themselves financially out of sync. They may share the same values but have different priorities, spending habits or long-term financial goals.

Being financially aligned does not mean agreeing on everything. It means creating a shared plan that reflects your values, supports your lifestyle and gives both partners confidence about where their money is going.

Why couples argue about money

Take James and Rebecca, both in their early 40s with two children in primary school. James wanted to save aggressively and pay off the mortgage early. Rebecca felt they should enjoy life more now that their income had grown.

Every few months they found themselves having the same argument: should we spend or save?

Neither was wrong. They simply had not created a system that balanced both priorities. Once they worked out what mattered most to each of them, they defined shared goals and built a financial plan around them. The process improved not only their finances, but also their relationship.

Set shared financial goals

Most couples spend more time discussing day-to-day expenses than what they are actually working towards. The first step towards financial alignment is clarity.

Start by defining what financial success looks like for both of you. Whether that means paying off the mortgage sooner, taking annual family holidays, funding school fees or planning an early retirement, shared goals create direction and help guide decision-making.

When both partners understand the bigger picture, it becomes easier to make everyday spending and saving choices.

Create a budgeting system that works for both partners

A clear financial structure can help remove friction and reduce money-related stress.

Many couples benefit from keeping separate personal accounts alongside a shared account for household expenses and savings goals. This approach allows for individual freedom while maintaining a commitment to shared priorities.

Automatic transfers to savings or investment accounts can also help keep progress on track and make financial goals feel more achievable.

Build trust through financial transparency

Transparency is a key part of any successful financial partnership.

Regularly reviewing your finances together helps both partners stay informed and involved. It can also prevent misunderstandings, improve communication and ensure financial decisions remain aligned with your shared goals.

The more open couples are about money, the easier it is to navigate financial decisions together.

Schedule regular money check-ins

Financial alignment is not a one-off conversation. Income changes, life circumstances evolve and priorities can shift over time.

The most effective couples schedule regular money check-ins to review what is working, what needs adjusting and whether their financial goals still reflect the life they want to build together.

These conversations do not need to be complicated. Even a monthly discussion can help keep both partners accountable and engaged.

When professional financial advice can help

Working with a financial adviser can help keep discussions objective and productive.

A trusted adviser can model different financial scenarios and provide guidance on balancing lifestyle choices with long-term financial security. This can be particularly valuable when couples have competing priorities or are making major financial decisions.

Financial alignment is about teamwork

Financial alignment does not mean identical spending habits. It means moving from tension to teamwork.

When couples share a clear understanding of their goals and a plan for achieving them, they can make financial decisions with greater confidence, flexibility and connection.

After 15 years as a nurse and midwife, Sarah Starbuck was burnt out.

Today, she's an award-winning carpenter, proving it's never too late to reinvent your career.

Sarah Starbuck, 40, did a big midlife career switcheroo.

A highly qualified nurse and midwife, she spent many years working at hospitals all over Australia, including the Newborn Intensive Care Unit at Sydney's Westmead Children's Hospital.

A chance encounter at a Latin dancing class led to a major career pivot in the form of a carpentry apprenticeship and in 2026 she won the HIA Construction Apprentice of the Year.

She now holds a Certificate IV and is employed by her former dance teacher as a carpenter at Wright Building & Carpentry.

That's quite a career shift. Why did you decide to leave nursing to start a building and construction apprenticeship?

I had been a nurse for 15 years at that point.

I'd been working throughout the pandemic, and as restrictions eased, conditions didn't really get any better for us.

We'd been working with minimal staff and resources for so long that many of us were burnt out, and with no sign of things improving in the near future, I was looking for a change.

I had met my current boss, Peter, through Latin dancing, as he is a Latin dance instructor.

We became friends and I started doing some casual labouring on his sites, and quickly realised I looked forward to going to work on a construction site far more than going to the hospital, so I made the decision to do a trade apprenticeship.

Peter asked me if I wanted to be his carpentry apprentice, and I said yes.

How did you manage the change in career in practical terms?

It was a clean break.

I still did casual shifts every few weekends (and teach advanced life support as well to supplement my income), but the more I got into carpentry, the less I wanted to work in hospitals.

What role did income or earning ability play in your decision to switch careers?

Doing an apprenticeship as an adult with no financial support was really tough.

I was in a good position to make it work though, as I had recently sold a house so I had some savings put aside to live off.

The base wage as a carpenter is less than I was earning as a nurse with a Master's degree, but the potential for growth in the building industry is so much greater than in nursing.

If I keep learning and progressing my skills, then my pay can go up based on merit, and I'm not limited to an industry-set wage.

Did you first work out if it was financially viable or did you decide to do it regardless?

I decided regardless of the money that I would make it work.

I went from $49 an hour to $24 an hour at the time of my apprenticeship.

I completely appreciate why a lot of adults just can't do it. It's not a livable wage.

I also understand that a first- and second-year apprentice doesn't really earn the company any money while they're learning for those first few years, so it's also difficult to ask builders to pay them more.

How did you change your lifestyle and finances to accommodate that change?

I had to limit social activities, be careful what I bought for groceries, and work weekends whenever I could to supplement my income.

I made a decision early on that the savings I had would be expendable to cover the cost of my apprenticeship.

I sacrificed the ability to buy my own house with those savings to get through my apprenticeship, with the aim to rebuild that wealth over the next few years as a qualified carpenter.

What was it like to go back to studying after 15 years in a different profession?

I have been studying all my life.

I did my nursing degree, then shortly afterwards did a postgraduate certificate, then diploma, then Master's degree.

Then a postgrad diploma in Midwifery and a bunch of certificates in various activities and fields.

Nursing also taught me to always keep up-to-date with the latest guidelines and research in my specialty, so I've never really stopped studying.

To go back to a Cert III was pretty easy, although a lot of work, and I had a lot of support from my boss to get everything completed quickly, as I was working one-on-one with him for a significant part of my apprenticeship.

How have you found being a mature woman working in a traditional male environment?

I've been lucky to be working with my best friend.

He has always had confidence in my ability to do everything that any man in the industry can do.

Just because I'm smaller and a woman doesn't make me less capable.

I may have some minor strength differences simply as a matter of physiology, but regular work in the gym and being smart about how I tackle heavy work doesn't slow anything down.

Tell us about your upbringing. What shaped your attitude towards money?

I grew up in housing commission in a small country town in Victoria, so I'm no stranger to being tight with finances.

I had a job from when I was 14 and did shifts after school and on the weekends to help pay for food and clothes.

I've always had a strong work ethic, and understanding of what hard work can accomplish.

I put myself through university in Melbourne by living in share housing and working whenever I could, until I graduated and started working at the Royal Melbourne Hospital.

What is the best money advice you've ever received?

Stop using a credit card!

I stopped using a credit card during my apprenticeship, because it's easy to spend money on it, then realise you don't have enough in your savings account to pay it off at the end of the month.

I use a credit card now but I always pay it off in full at the end of the month so I don't pay interest.

Finish this sentence. Money is good for...

Surviving.

While I was an apprentice, I had to change the way I thought about money, and limit my spending to things I needed to survive: rent, food, fuel and bills.

I had to find other ways to spend my time that were free.

Luckily in the Blue Mountains, where I live in NSW, that wasn't too hard to do.

I made sure that every now and then I put aside a bit of money to do the things I really enjoyed, like Latin dancing or Brazilian jiu-jitsu, or just going out for a coffee and breakfast, but otherwise the focus had to be getting through my apprenticeship without losing all of my savings.

The $2177 'savings bonus' trap

Complex savings account conditions can see savers miss out on high returns.

A saver with $40,000 in the bank could miss out on as much as $2177 a year by choosing the wrong savings account, according to new modelling from AMP Bank.

It's an issue driving growing frustration among consumers.

According to AMP Bank, more than half of Australians say savings accounts are too complicated.

Close to seven in 10 believe banks try to catch people out to avoid paying the full rate.

John Arnott, director at AMP Bank GO, says, "When interest rates go up, people assume their savings will benefit automatically, but if you're not meeting every condition, that often isn't the case.

"For many Australians juggling busy lives, the reality is those hoops are easy to miss. And that can cost you thousands over time.

"When you're comparing savings accounts, it's important to look beyond the headline rate.

"Short-term 'honeymoon' offers can act like a bait-and-switch, delivering a strong return upfront before dropping back to a much lower base rate, often with little visibility."

AMP Bank GO currently offers 5.10% p.a. for personal savers and 4.75% p.a. for business savers.

Women and professionals most at risk from AI disruption

Government research shows some occupations face far greater exposure to AI than others.

A report from the Department of Employment and Workplace Relations (DEWR) suggests there is no evidence so far that artificial intelligence (AI) is driving a major upheaval in the labour market.

That's not to say jobs won't be impacted in the future.

According to DEWR, aged care and disability workers plus a range of tradie roles from sparkies to chippies are least likely to be impacted by AI.

At the other end of the scale, several degree-qualified roles such as accountants, software programmers and marketing professionals are classified as 'most exposed' to the impact of AI.

DEWR found nearly 70% of workers in the least-exposed group are men, while over half those in the most-exposed group are women.

In worrying news for uni students, 44% of the most-exposed group are tertiary-qualified jobs.

The report notes that predictions about the potential impact of AI on jobs differ dramatically, and a wide range of outcomes is possible.

Home buyers may need to prove where their deposit came from

New anti-money laundering laws mean buyers may be asked to explain the source of their funds.

A cash gift from the Bank of Mum and Dad or an inheritance from well-meaning relatives can see homebuyers caught by new Australian Anti-Money Laundering laws that came into effect on July 1.

The new rules apply if you're buying, selling or transferring property, and it can see your real estate agent, conveyancer or solicitor complete a 'source of funds' check before they can act on your behalf.

You may, for instance, be asked to provide evidence of where purchase funds or your deposit came from.

The solution can be as simple as providing a statutory declaration that you received a cash gift from family members.

The key is to speak with your solicitor at an early stage so that the paperwork is ready to go when you see a property you're interested in buying.

The tax scam warning every Australian should know this July

Scammers are exploiting tax season to target Australians expecting a refund.

Tax time is one of the busiest periods of the year for scammers, with fraudsters using texts, emails and phone calls to impersonate the ATO.

Jenny Wong, tax lead at CPA Australia, says, "Tax time is a peak period for scam activity.

"Scammers use email, text messages and phone calls impersonating the Australian Taxation Office (ATO) or tax agents to trick people into handing over personal information or money."

Wong advises against clicking on unsolicited links or providing sensitive information in response to unexpected communications.

"If something doesn't seem right, pause and verify the source," says Wong. "Access official services through the ATO website or app, or contact your registered tax agent directly."

NSW drivers could save more than $500 a year under new toll cap

The lower weekly cap is expected to extend toll relief to another 200,000 motorists.

Sydney motorists could save more than $500 a year after the NSW government lowered the weekly toll cap from $60 to $50.

Sydney has more toll roads (13 in all) than any other state, and the saving is expected to benefit an additional 200,000 Sydneysiders, on top of the 948,000 toll accounts that have reached the previous $60 threshold.

Western Sydney residents are set to be the biggest winners of the toll cap as they account for half of all toll relief claims.

If your elderly parents are managing their finances perfectly, there is no need to get involved.

But when they do need help, it can be a fine line between respecting their ability to manage their money, which they probably did so well, and diving in when you sense their distress.

My parents were pretty good at covering up their physical and mental decline. But several signs concerned me, including financial mishaps.

They were determined to be independent and it could be a battle to get them to accept any help.

But letting them hang in there, making their own financial decisions as their health crumbled resulted in substantial losses to their wealth.

They had separated after 43 years of marriage. Mum lived on her own and Dad had a new family. Dad developed Parkinson's and Mum, vascular dementia.

Dad was targeted by silver-tongued share brokers, phoning him with hot sharemarket tips that he 'couldn't lose money on'.

Mum didn't remember she had been to the bank with a family member and signed away a fifth of her savings.

The thing is that they prided themselves on being good with money and would have been horrified to know that they were scammed.

Most likely they would have asked, why didn't their daughter stop this.

One reason was a busy life, and I recommend checking if your employer has any special leave entitlements.

Under the National Employment Standards, all employees except casuals qualify for paid sick and carer's leave to care for or support a member of their immediate family if they are sick or have an unexpected emergency.

Warning signs often emerge gradually.

An ageing parent may start forgetting important financial decisions, miss bills or appointments, become vulnerable to scams, struggle with technology or withdraw from social activities.

Recognising these changes early can help protect their finances, health and independence.

Signs your ageing parent may need help

• Forgetting important financial decisions
• Falling victim to scams or cold callers
• Missing bills or appointments
• Increasing confusion about money
• Difficulty managing technology
• Trouble preparing meals or maintaining the home
• Concerns about memory or cognitive decline
• Withdrawal from friends and community activities

How can you help your parents as they age?

Watch for changes in health

Ask about doctor or allied health visits. Do they need help making appointments and understanding any medications?

If the medical visits are complicated or distressing, can you go with them?

Make sure they're eating well

For an elderly person living alone, cooking for one may be too much of a chore.

I cooked for my mum and ordered pre-prepared food, but it was often left untouched. She needed someone to prepare food for her but also check she was eating.

Ideally, she needed to eat with others.

Check their home is safe

Do they need rails in the bathroom or on stairs?

Brighter light bulbs can help their vision and removing any rugs that are slipping hazards.

Motion-sensitive lights are helpful at night.

Review their finances

If your parents want you to manage their money, check how their super account-based pension is invested.

They may be comfortable with the default balanced option, but depending on their age a more conservative option might be appropriate.

If you have a parent who can't sleep for fear of running out of money, an annuity could be the answer, but you need to understand the product thoroughly.

Do they need help with their age pension or at tax time?

Is their cash earning the best interest rate?

Get legal documents in place

Before it is too late, sort out who can make financial decisions for your parents and draw up a power of attorney.

Who will make decisions about their health? Draw up enduring guardianship.

Do they have a will?

Look for memory warning signs

Memory can be unreliable as you age and often there is no need to worry.

But if there are big lapses, it can be a wake-up call that early dementia may be present.

Mum forgot the names of her beloved nieces and nephews whose lives she followed closely.

Increasingly, she couldn't remember where she parked her car and called in a panic.

Her best friend of 50 years worked it out in a flash and told me: "Your mum needs assisted living."

Review health insurance cover

Often the big medical bills are racked up in the last years of a person's life and health insurance can take the sting out of major medical costs.

Protect them from scams

I have heard of so many parents who have been swindled, in particular with romance scams.

My mum was constantly called by charities, and some sent her letters asking her to sign over her estate when she died.

If they are worrying about money, they could have been scammed.

What are their spending patterns?

Is there anything irregular that you notice?

They can be too ashamed and confused to admit it.

Plan ahead for aged care

Lengthening lifespans mean parents are living longer and they may not be able to cope on their own.

You may be unable to care for them as much as they want you to.

It can take time to find conveniently located care, so start looking around.

Help them stay connected

Hitting a glitch with a computer, passwords or mobile phones is frustrating.

But ironing out these problems is important to maintain their connection to friends and family.

Watch for signs of elder abuse

Family members will take advantage of the elderly, in some cases believing they are entitled to their money.

Around 17% of people in Australia aged 65 and over were experiencing some sort of abuse in 2021.

Adult children were most likely to commit financial, physical and psychological abuse, according to the National Elder Abuse Prevalence Study.

It found that sons were almost twice as likely as daughters to commit financial abuse.

Adult children were on par with intimate partners as perpetrators of neglect.

Encourage social connections

Encourage your parents to be connected with people.

Check out any local community groups for older people.

They can provide well-priced or free services such as transportation, social outings, movies and exercise classes.

Reader question

Hello Paul, I am a 62-year-old single teacher with a $165,000 mortgage. I have $110,000 in UniSuper and $500,000 managed by a financial adviser.

I can't see myself retiring before 70.

I need advice about whether I should transfer all my money to UniSuper because I'm not happy with the investments managed by my planner.

Also, should I wait until I retire to pay off my home loan?

I'm concerned that I'll be dropping my standard of living once I hit 70. - Beth

Paul's response

Financial security as we move into later life is one of the big questions of our time, Beth, and no wonder.

In Australia there are more than six million of us aged 60-plus. Some 2.75 million are 60 to 70, 2.5 million 70 to 80 and a little more than 1 million are 80-plus.

This in itself is quite extraordinary.

If we go back to the start of the industrial revolution in the period 1760 to 1840, our life expectancy was only 30 for men and 32 for women, and this was in longer-living countries.

Retirement age

The year 1908 is of particular interest to me. In the long history of humans, it isn't that long ago.

This is the date when Australia introduced the age pension for males. The pension for women was not far behind, starting in 1910 at age 60.

Today the age pension date is 67, which seems a sensible age to consider retirement.

Much has changed and today's life expectancy would shock our forebears who made the age qualification decision in 1908, when life expectancy for males was 58. The age pension was seen as a safety net for those who lived to the ripe old age of 65.

If we applied the 1908 rule of the age pension cutting in seven years beyond our life expectancy, today that would see the male pension age being 88 and women 91.

Despite the proposed change to our tax system, I don't see this idea being put on the table by any government.

Sure, our age pension scheme is not perfect. But if we cast our eyes on other age pension systems around the world, it is better than pretty much anywhere else and it does provide a good, basic safety net.

Where it is remarkably generous is the level of assets you can own and still qualify for at least a part pension.

As a homeowner, Beth, using today's limits, which will increase with inflation, at age 67 you would qualify for a part pension with assets, not including your home, of $722,000.

Invest and diversify

I appreciate that you are not happy with your planner.

In my view, being a planner is not much about investing your money. That's the easy bit.

Today you can own a diversified portfolio at low cost with your fund manager. Outside of super we can have money invested in pretty much whatever we like for next to nothing.

Global managers will spread money across all asset classes, including many hundreds of underlying investments, for as little as 0.1%.

Where I find advisers valuable is with strategy, tax planning, estate planning and providing a lifetime plan.

As a 71-year-old, working part-time, like you I want to do my best to maintain our standard of living in a volatile global economic climate.

I'd need a lot more information than you have given me, and many more pages in this magazine, to answer you fully.

But I can tell you what you need to do.

First, you need to put a dollar amount on your standard of living, in today's dollars.

That number is the key step in moving to an answer. You must have this starting point.

Then we look at your assets and liabilities.

I see you have a mortgage of $165,000, but what is the value of your home?

It may well be this is your home for life. Or if it is bigger than your long-term needs, a longer-term plan may be that it is sold so you free up capital and pay off your mortgage by downsizing.

Work out a life plan

You may also get a part pension at age 67 or later. Any pension amount helps to take pressure off your capital.

Pensioners are also eligible for the government's reverse mortgage, where, for a reasonable interest rate of 3.95%, you can draw up to twice your pension in a reverse mortgage against your home.

This is not repayable until you sell or pass away.

To sort this out you need a meeting with your adviser, a new adviser, or one from your super fund.

There is so much complexity.

I want you to have a life plan that goes with you into your nineties.

With the money you have now and can save in your remaining working years, I suspect you'd be able to draw some $30,000 a year while keeping your capital growing with inflation.

This is probably too little to maintain your standard of living, so you may go into a drawdown strategy, with an age pension gradually cutting in, and possibly the government reverse mortgage.

Your life plan model may gradually incorporate an age pension, which becomes more complex.

You may find your super fund provides advice or can refer you to another adviser.

Having your funds in a low-cost super manager, such as UniSuper, is a sensible strategy, but as I say above, I am not so concerned about investment.

The part that will be a terrific guide to your future standard of living will be a life plan.

What to read next

• Ask Paul: I finally invested - then lost money straight away
• Australians saved hard - why do they still fear retirement?
• The super boost most Australians aren't paying attention to
• What happens if you miss a mortgage payment
• Why thousands of retirees are better off with less super

Can't get a refund? Waiting months for an insurance claim? Frustrated by internet dropouts or unexplained bank fees?

Many Australians assume the ACCC is the place to lodge a complaint. But the consumer watchdog doesn't resolve individual disputes.

Australians collectively make hundreds of thousands of complaints each year about everything from unauthorised bank transactions and delayed insurance claims to faulty products and poor internet service.

Many people waste valuable time by taking their complaint to the wrong organisation.

Instead, different complaints are handled by different ombudsmen and agencies, depending on whether the issue involves banking, insurance, superannuation, telecommunications, utilities or consumer purchases.

The trick is identifying the right option for the specific situation.

What to do before lodging a formal complaint

As tempting as it may be to take a grievance to the relevant body straight way, Claire Tacon, assistant director, financial counselling, at the Consumer Action Law Centre, suggests taking another step first.

"Contact the business or financial firm directly and clearly explain the problem. Many complaints can, and are, resolved at this stage," she says.

"Be clear and upfront about what you want, such as a refund, repair, compensation or correction of an error.

"Then give the business a reasonable opportunity to respond through its internal complaints process. Financial firms are required to have an internal dispute resolution process."

Tacon says that it's also important to keep a record of any relevant emails, receipts, contracts and even notes of conversations with the business, just in case the complaint is escalated.

If someone doesn't have any joy taking their complaint to the business itself though, the next step could be making a formal complaint with the relevant body.

Consumer purchase complaints

Relevant bodies: Access Canberra, NSW Fair Trading, NT Consumer Affairs, Office of Fair Trading Queensland, SA Office of Consumer and Business Services, Tasmania Consumer, Building and Occupational Services, Consumer Affairs Victoria and WA Consumer Protection

Example: The battery with your new laptop is draining much faster than it should, but the electronics retailer you purchased it from is refusing to repair it or refund your money.

There's nothing worse than buying a product or paying for a service, only for it to fall short of what was promised by the manufacturer or business.

In the case of the faulty laptop, the buyer may be entitled to a repair, replacement or refund under Australian Consumer Law.

That should be facilitated by the retailer it was purchased at, but if they refuse for whatever reason, the place to lodge a complaint is with the relevant state or territory consumer protection agency.

These are the bodies responsible for handling complaints related to products and services, such as a retailer refusing a refund, a product that never arrives, substandard trade work and billing disputes.

NSW Fair Trading, for instance, can assess your complaint and determine whether consumer law has been breached, direct you to a more appropriate organisation to handle the dispute (if necessary) and, in some cases, assist in resolving the issue.

Banking complaints

Relevant body: Australian Financial Complaints Authority (AFCA)

Example: You spot some transactions in your bank account that you didn't authorise, but your bank is refusing to reimburse the money.

Australians made close to 55,000 banking and finance complaints in the 2024-25 financial year, with transaction accounts generating more complaints than any other financial product.

That's according to AFCA - the independent ombudsman that helps consumers and small businesses resolve disputes with their banks and other financial institutions. It replaced the Financial Ombudsman Service in 2018.

AFCA can consider complaints involving unauthorised transactions, scams, disputed fees, financial hardship and more across banking products like bank accounts, home loans and credit cards.

If you're unable to resolve the issue with your bank, you can lodge a complaint with AFCA online, via email or over the phone. AFCA may then be able to investigate the issue, provide mediation and decide on compensation (if it's needed).

Insurance complaints

Relevant body: Australian Financial Complaints Authority (AFCA)

Example: Months after lodging a claim for storm damage to your roof, you're still waiting for repairs and answers from your home insurer.

Beyond banking issues, AFCA is also the go-to for Australians looking to lodge a complaint about an insurance provider. These also used to be handled by the Financial Ombudsman Service.

That includes issues related to life insurance, home and contents insurance, car insurance, travel insurance, pet insurance and insurance for small businesses.

So, what are the main reasons insurance customers turn to AFCA? In the 2024-25 financial year, complaints about add-on insurance, claim handling delays and denial of claims topped the list.

Superannuation complaints

Relevant body: Australian Financial Complaints Authority (AFCA)

Example: You instructed your super fund to change your investment option, but the request wasn't carried out correctly.

In years past, superannuation complaints were handled by the Superannuation Complaints Tribunal. But since 2018, AFCA has assumed responsibility for them.

Australians with money in a retail or industry super fund can turn to AFCA for assistance across a wide range of issues, as can people with self-managed super funds (though these will need to go through AFCA's investments and advice unit).

Common complaints include delays in processing insurance and death benefit claims, funds failing to follow member instructions, mismanaged transactions and incorrect fees.

Energy and water complaints

Relevant bodies: ACT Civil and Administrative Tribunal, Energy and Water Ombudsman NSW, Ombudsman NT, Energy and Water Ombudsman (QLD), Energy and Water Ombudsman South Australia, Energy Ombudsman Tasmania, Energy and Water Ombudsman Victoria and WA Energy and Water Ombudsman

Example: Your latest electricity bill came in hundreds of dollars higher than usual, leading you to believe that you've been overcharged.

Like consumer complaints, each state and territory has its own ombudsman that handles issues related to electricity, gas and water services.

That could be anything from an ongoing fault or problem with your connection, a dispute about an energy bill or payment, or even an issue with the customer service you've received.

Take the Energy and Water Ombudsman NSW, for example. New South Wales residents can either make a complaint online or over the phone, then the ombudsman will either refer you to a senior contact at your provider or investigate the complaint themselves.

Mobile and internet complaints

Relevant body: Telecommunications Industry Ombudsman (TIO)

Example: You're experiencing constant drops-outs and speed issues with your home internet.

Individuals and small businesses across Australia with complaints involving their landline, mobile or internet services can reach out to the Telecommunications Industry Ombudsman for help.

Unsurprisingly, two of the more frequent complaints (according to the TIO's Annual Report 2024-25) were customers who experienced no phone or internet service or intermittent dropouts, but issues related to fees, delays in establishing services and failures in cancelling services, were also common.

To lodge a complaint with the TIO, consumers will first need to provide details about their telco service and the issue at hand.

The TIO will then usually give the provider an opportunity to resolve the issue within ten business days, but if the complaint remains unresolved, it can then step in to investigate.

Where else can people turn to for help? 

The best course of action for most Australians with a consumer or financial complaint is going to be engaging with the business first and then reaching out to the relevant ombudsman or authority.

Consumers may be able to access additional help along the way though.

"Seek assistance from a consumer protection agency, such as Consumer Affairs Victoria, for consumer disputes," Tacon says.

"Consumers may also look to apply to a tribunal or court if they cannot reach an agreement and believe they have a legal claim.

"And if the matter is complex or involves a significant financial loss, obtain legal advice or speak with a community legal centre. AFCA also points consumers towards support services where appropriate."

If the issue relates to a bill or debt that someone is struggling to pay, Tacon suggests that reaching out to an independent financial counsellor through the National Debt Helpline is always an option.

However, this is not automatically the case.

Under Victorian law, separation alone does very little to alter your inheritance entitlements, and without prompt action, the consequences can be significant and emotionally devastating for loved ones.

1. What if my will nominates my estranged spouse as an executor and/or beneficiary, and we are separated but not yet legally divorced?

Any existing will remains fully operative.

Separation has no effect on any appointments or dispositions contained in it.

This means the estranged spouse will remain entitled to receive their share of your estate exactly as your will provides.

Equally, if your ex-spouse is appointed as executor - which is often common between married couples - they will retain full authority to administer the estate, manage personal affairs and interact with other family members and beneficiaries after death.

In circumstances where the separation is acrimonious, this can be deeply distressing for loved ones.

2. What if I am separated and die without a will?

If you die without a will, the estate will be dealt with in accordance with intestacy provisions of the Administration and Probate Act 1958 (Vic), or other state equivalent.

In Victoria, a separated spouse remains a 'spouse' for the purposes of intestacy laws and will benefit directly from the estate as a priority, alongside any children that may exist.

3. What about jointly held property?

Assets held as "joint tenants" will be excluded from whatever is included in the will and bypasses intestacy laws and will automatically pass to the surviving owner upon death, regardless of what your will says (or even without a Will).

A will cannot override this.

The only way to prevent this is to take steps to legally sever the joint tenancy prior to death, so that it is converted to being held as "tenants in common".

This conversion means each owner's share is dealt with separately and forms part of that person's estate, and dealt with under a will (or intestacy laws if there is no will ).

4. What if I am already engaged in a family law matter?

If you are engaged in property settlement litigation in the Federal Circuit and Family Court of Australia (the court) at the time of passing, the executor may continue the litigation on behalf of the estate.

However, if the will has not been updated since separation and appoints the estranged spouse (and opposing party) as executor, they will have the power to manage or even discontinue litigation on behalf of the estate.

If property settlement proceedings have not yet been filed in the court at the time of passing, the executor is not able to issue proceedings on behalf of the estate, and any claim by potential beneficiaries will need to be made pursuant to family provision legislation.

This can mean that any claim to marital assets held in the estranged spouse's name will be lost.

5. What if I obtain a divorce?

Under the Wills Act 1997 (Vic), a divorce automatically revokes any appointments or dispositions in your will that benefit the former spouse.

However, the remainder of the will continues to operate.

This can create issues for example, where an ex-spouse is the sole named beneficiary or executor potentially resulting in a partial intestacy or an estate with no named executor.

It is therefore important to update your estate planning documents promptly to nominate alternate beneficiaries and/or executors in your ex-spouse's place.

6. Can my estranged spouse challenge my will?

Yes. Even if a will is updated to exclude an estranged spouse, they may still have a claim against the estate.

Under Part IV of the Administration and Probate Act 1958 (Vic), a spouse, including a separated spouse, is an "eligible person" who may apply to the Court for further provision from your estate if they believe they have not been adequately provided for.

The Court will consider a range of factors, including the nature of your relationship, the size of your estate, and their financial needs.

Until a divorce is finalised (in some cases, even after) the risk of a challenge remains available.

In summary, separation alone does not protect your estate.

If you have recently separated, or are contemplating separation, it is important to obtain prompt legal advice to review your will, powers of attorney, superannuation nominations, and any jointly held assets.

Proactive estate planning at this stage can safeguard assets and ensure they pass to those intended to be provided for.

Money conversations are often dodged due to fear of conflict, judgment, or a lack of confidence. But avoiding them can make financial stress worse.

According to Meray El-Khoury of MetLife Australia, the key is to start small. Use gentle, time-bound openers such as "Can we spend 15 minutes talking about money?" Focus on "we" rather than "you", and break topics into manageable chunks, such as cash flow, debt, protection and retirement.

Regular, calm check-ins help families plan for life's curveballs and build financial resilience together.

If you don't talk about money, you risk missing warning signs, being unprepared for emergencies and leaving one partner vulnerable.

Open, positive conversations help families set goals, avoid nasty surprises and take control of their financial future, rather than letting circumstances dictate outcomes.

Timestamps

00:02:04 Why we avoid money talks: fear, judgment, lack of confidence

00:04:50 How to start: gentle openers, time-bound, "we" language

00:06:45 Order of topics: cashflow, debt, protection, retirement

00:08:01 Protection: insurance, planning for the unexpected

00:13:34 Retirement: conversation starters and positive framing

00:12:02 Regular check-ins: monthly, calm, non-confrontational

00:15:22 Inclusivity: making sure both partners are involved

00:17:05 Incremental progress: clarity comes from talking

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Friends With Money podcast FAQ

What is the Friends With Money podcast?

Friends With Money is a weekly personal finance podcast by Money magazine, offering expert insights on investing, budgeting, superannuation, property, and other money strategies for everyday Australians.

Where can I listen to the podcast?

You can listen on Apple Podcasts, Spotify, or YouTube (with closed captions available).

Who hosts Friends With Money?

Episodes are hosted by Vanessa Walker and Tom Watson from Money magazine, featuring expert guests and real conversations about money.

Is the podcast suitable for beginners?

Yes! It's designed to be accessible for beginners while still offering valuable insights for seasoned investors.

What topics does the podcast cover?

The Friends With Money podcast covers topics including banking, property, budgeting, superannuation, investing, saving, insurance, employment, travel and more.

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New episodes are released weekly, so you can stay up to date with the latest financial tips and trends.

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Yes, full episodes with closed captions are available on YouTube.

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Each episode dives into real conversations about money - how it's earned, shared, saved, and grown - with tips and insights that make finance simple and relatable. Perfect for beginners and seasoned investors alike, it's your go-to guide for building better financial habits.

Subscribe to the Friends With Money podcast today and start learning when it suits you.

Qantas compensation payouts move a step closer

More than one million customers can claim a share of $105 million settlement

The next few weeks will see more than one million Qantas customers receive emails and text messages regarding the $105 million Flight Credit Class Action.

The class action relates to tickets for Qantas domestic or international flights that were cancelled between 2020 and 2022, including due to the COVID-19 pandemic.

The court-approved messages will explain the proposed settlement and set out the steps participating class action members need to take to claim their share of the payout.

Even if you have used the flight credit, or have since received a refund, you could still be eligible for a share of the payout.

The minimum payout per person is expected to be $50.

Echo Law, which is handling the class action, says settlement payments could start to be made as early as December 2026.

The generation that faced Australia's toughest home loan crunch

New research reveals it wasn't the Boomers or Millennials who carried the heaviest debt burden

Did the Boomers have it hardest when they stared down mortgage rates of 17.5% in the 1990s?

Or are Gen Ys (born 1981 and 1996) doing it tougher paying rates of 6%-plus on mega-mortgages averaging $735,000?

The answer is neither.

KPMG combed through archives looking at interest on home loans , personal loans and credit cards as a percentage of household income.

It found Gen Xers (born 1965-1980) faced the biggest challenge during the global financial crisis (GFC) of 2008-2009, when interest as a share of income peaked at 7.9%.

Back then the cash rate was 7.25%.

For Boomers, interest payments peaked at 5.7% of household income in 1990 despite double digit mortgage rates.

For today's Gen Y home owners, interest is around 5.4% of household income.

KPMG Senior Economist Terry Rawnsley says the GFC stands apart because central banks effectively lost control of interest rates.

"As the global system seized up, rates stayed higher for longer," he explains.

Rawnsley adds that  in today's economy higher house prices have led to bigger loans, leaving household budgets susceptible to even modest interest rate hikes.

The simple food label change that could save families money

Confusion over use-by and best-before dates is helping drive food waste worth up to $1500 a year

Aussie households waste up to 113kg of food a year, and it's costing families around $1500 annually.

Part of this waste results from confusion over food labelling, and the difference between "use by" and "best before" dates.

The US state of California is attempting to solve the problem by banning "sell by" food labels to cut food waste.

Now, manufacturers selling food in California must use two standardised labels - a "Best if Used By" label for peak quality and a "Use By" label for product safety.

Apparently, Californians bin 2.5 billion meals worth of unspoiled food each year, making perfectly edible food a major contributor to organic waste in landfills.

Back in Australia, use-by dates show the last day a product is safe to eat, while best-before dates show peak quality.

It is illegal for stores to sell products that are past their use-by date.

One exception to these labelling rules is bread, which can be labelled with a 'baked-on' or 'baked-for' date if its shelf life is less than seven days.

Australia's ninth property downturn begins

Sydney and Melbourne prices are falling, but history suggests the recovery could be far stronger than the decline

The latest property price index from Cotality shows home values nationally dipped 0.4% in June - the largest monthly fall since December 2022.‍‍

The national result was dragged down by Sydney and Melbourne, where home values fell 1.2% and 1.0% respectively in June.

Several cities saw an uptick in values including Brisbane (up 0.3%), Perth (0.7%), Hobart (0.6%) and Darwin (1.4%).

According to real estate platform Domain, the worst may be yet to come.

It's predicting Sydney house prices will fall up to 7% in 2027, with Melbourne prices to dip by 8%.

Brisbane, Adelaide and Perth are expected to remain in growth.

Domain Chief Residential Economist Dr Nicola Powell says Australia has now entered its ninth housing downturn in 30 years.

But there could be a silver lining to the property price cloud.

The past eight downturns have each been followed by a recovery that not only reversed any losses but pushed prices to new highs.

While downturns have typically seen a 2.9% decline in house prices, the upswings have been longer and significantly stronger, delivering 32% growth on average over the following three years.

Help to Buy expands with 10,000 new places

Higher income limits and fresh funding could help more Australians buy a home with a 2% deposit

The next 12 months will see 10,000 new places up for grabs for the Help to Buy Scheme.

The scheme allows home buyers to purchase a home with as little as 2% deposit while the federal government contributes up to 40% of the purchase price for new homes and up to 30% for existing homes.

In addition to more place, taxable income limits have increased to $103,000 for single applicants and $165,000 for joint and single parent applicants.

Since the scheme launched in late 2025, Help to Buy has received more than 7200 applications. Almost seven out of 10 have been single home buyers.

Help to Buy is also supporting older single women - one of the fastest growing groups experiencing housing insecurity. Since launching, 42% of women supported by Help to Buy are aged 40 or above.

The median deposit among buyers using Help to Buy is $30,000.

Reader-voted categories were determined through a national survey conducted by Rainmaker Information and Money, with Australians rating providers on products and features, customer service and digital experience.

Expert-assessed categories, including Insurer of the Year, Business Bank of the Year and Margin Lender of the Year, were selected by Rainmaker Research using detailed industry analysis.

Below are the winners of the 2026 Consumer Finance Awards.

2026 Consumer Finance Awards winners

Bank of the Year
Reader voted
The winner had the highest overall composite rating scores across products and features, customer service and digital experience. Only national full-service banks were eligible to win this premier award.
Winner: Macquarie Bank

Bank of the Year - Digital
Reader voted
The banking provider that achieved the highest overall rating scores for digital experience.
Winner: Bank Australia

Customer-owned Bank of the Year
Reader voted
Like Bank of the Year, but only full-service, customer-owned banks were eligible to win this premier award.
Winner: Bank Australia

Bank of the Year - Young People
Reader voted
The banking provider that achieved the highest overall composite rating scores across products and features, customer service and digital experience from readers aged 18 to 34 years.
Winner: NAB

Bank of the Year - Retirees
Reader voted
The banking provider that achieved the highest overall composite rating scores across products and features, customer service and digital experience from readers aged 55 or older.
Winner: Macquarie Bank

Bank of the Year - Savers
Reader voted
The banking provider that achieved the highest overall composite rating scores across products and features, customer service and digital experience from readers aged 35 to 54 years.
Winner: Macquarie Bank

Bank of the Year - Product
Reader voted
The banking provider that achieved the highest overall rating scores for products and features.
Winner: Macquarie Bank

Bank of the Year - Customer Service
Reader voted
The banking provider that achieved the highest overall ratings for customer service.
Winner: Newcastle Permanent

Non-Bank Lender of the Year
Awarded by Rainmaker Research
The winner was the non-bank lending institution judged by Rainmaker Research to score highest across seven core dimensions: product range, business strength, ability to raise lending capital, innovation, corporate transparency, loan quality and customer depth.
Winner: La Trobe Financial

Business Bank of the Year
Awarded by Rainmaker Research
There is more to being a leading business bank than simply offering a good deal on business accounts and loans. This is why Rainmaker Research identified the leading national full-service business banks that offered the most comprehensive services across business accounts, loans, credit cards, term deposits, currency management, cyber-risk and fraud protection, point-of-sale and ecommerce, international transactions and merchant support.
Winner: Commonwealth Bank

Credit Card Issuer of the Year
Reader voted
The banking provider that achieved the highest overall composite rating scores from readers for credit card products and features, customer service and digital experience.
Winner: American Express

Money Minder of the Year
Reader voted
The banking provider that achieved the highest overall composite rating scores from readers for everyday savings accounts and term deposit products and features, customer service and digital experience.
Winner: Macquarie Bank

Home Lender of the Year
Reader voted
The banking provider that achieved the highest overall composite rating scores from readers for mortgage products and features, customer service and digital experience.
Winner: Macquarie Bank

Investment Property Lender of the Year
Reader voted
The banking provider that achieved the highest overall composite rating scores from readers for investment mortgage products and features, customer service and digital experience.
Winner: Macquarie Bank

Insurer of the Year
Awarded by Rainmaker Research
This category took into consideration competitive home and contents and car insurance premium rates, and holistic factors such as corporate strength, what the winner delivers and how it supports customers, customer engagement and reliability in paying claims.
Winner: Budget Direct

Retirement Income Provider of the Year
Awarded by Rainmaker Research
The winner was judged by Rainmaker Research to be the best retirement income product designed to assist retirees in meeting the challenges of finances and longevity risk by providing flexible and reliable income-stream solutions.
Winner: AMP

Investment Bond Provider of the Year
Awarded by Rainmaker Research
The winner was judged by Rainmaker Research to be the investment bond with the best financial and market strengths, product benefits, customer service, and support and training of financial advisers.
Winner: Generation Life

Margin Lender of the Year
Awarded by Rainmaker Research
The winner was judged by Rainmaker Research to achieve the highest score across core dimensions, spanning product and investment choice breadth, depth, research services, type of investment available, access to international markets and interest rates payable on loan products.
Winner: NAB Margin Lending

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When Sydney-based accountant James saw headlines announcing that electricity prices would be coming down from July 1, he naturally assumed that he would benefit.

It came as a surprise then when an email from his retailer, Origin Energy, revealed a different story. While his consumption charge was dropping, his supply charge was set to jump.

"Whilst I can understand and accept that prices generally rise each year, I was angry about a 70% increase in the daily supply charge," James says.

"The increase was stated with no explanation as to why or how it is calculated, and I felt insulted when the letter further went on to explain my bill would likely decrease.

"As a relatively low user of power, I calculated my overall bill will increase by about 25%, which Origin should already know full well."

James' experience is by no means unique. Money has seen similar price-change notices from energy retailers across different states and territories. So, what's going on?

Why electricity bills may still rise in 2026

In late May, the Australian Energy Regulator (AER) revealed that most households and small businesses on the Default Market Offer (DMO) would see their electricity prices drop from July 1.

The DMO is the maximum price that retailers can charge on standing offers to residential and business customers in New South Wales, South East Queensland and South Australia.

Households on the Victorian Default Offer are also set to see their prices fall after an announcement from the Essential Services Commission.

"This year's Default Market Offer means many households on standing offers will see their energy bills decrease between 1% and 11%, and small business on standing offers will see bill relief between 6% and 21%," says Patrick Veyret, general manager of public affairs and strategy at Energy Consumers Australia.

"In Victoria, default prices will fall by an average of 5%."

But there's a catch. Only 8% of households and 15% of small businesses are currently on the DMO. The vast majority of households are signed up to market offers.

"Most customers are on market offers. While these offers are set by retailers and not the regulator, some retailers are adjusting offers towards the supply charge," Veyret explains.

"This means that, while prices in the market may come down on average, whether consumers will experience a bill reduction will depend on their plan and their energy use pattern."

How much are electricity supply charges increasing?

Like James, plenty of other customers have been expressing their frustrations about upcoming increases to their daily supply charges, the fixed fees charged for supplying energy to a home.

Together with consumption charges, the price people pay for the power they actually use, these form the bulk of electricity bill costs.

While any change in supply charges will vary by plan, retailer and distribution network, an analysis of offers from major retailers across three cities indicates that daily supply charges have increased by between 25% and 80% overnight.

The increases vary significantly between retailers and plans. The table below shows examples of how daily supply charges have changed across major electricity providers.

For their part, retailers maintain that while some customers will see their bills get more expensive, the majority will pay less thanks to lower consumption charges.

Still, customer frustration hasn't gone unnoticed, with federal energy minister Chris Bowen announcing last week that he had reached out to both the AER and the Australian Competition and Consumer Commission (ACCC) to ensure that everything is above board.

Will your electricity bill go up or down?

Whether your electricity bill rises or falls will depend on your retailer, plan and household energy usage.

Customers who use relatively little electricity may be more affected by increases in daily supply charges, while heavier users could benefit from lower consumption rates.

How to reduce your electricity bill after July 1

So, for customers facing the prospect of higher energy bills in the months to come, is there any action they can take now?

One place to start, Veyret recommends, is taking the time to compare your current deal to other options on the market.

"To ensure you are on the best deal for your circumstances, we recommend visiting a government energy comparison website such as Energy Made Easy or Victorian Energy Compare for assistance.

"The Energy Consumers Australia website also has a wealth of information aimed at helping households and small businesses save money on their power bills and better understanding their power plans."

Veyret also says that it's worth remembering that even though you might not be on a default offer, that doesn't automatically mean that you are getting a great deal.

"Research by the ACCC has found that 2.5 million consumers on market offers are paying prices at or above the default offer.

"What's more, it found that households and small businesses who've stayed with a retailer for a couple of years are often paying hundreds of dollars more per year simply for their loyalty."

Looking for more ways to lower your electricity bill? Read our guide to five ways to cut your energy bills this winter.

From forgotten subscriptions and low savings rates to uncompetitive home loans and missed tax deductions, many Australians are paying more than they need to without realising it.

The good news is that a few simple money check-ups in July could leave you hundreds, or even thousands, of dollars better off over the next 12 months. Here's a seven-step financial checklist to help you start the year ahead.

1. Review your household budget

If you already have a budget then it's always worth regularly checking in to see if your spending and income still line up with your existing assumptions and, if there's any discrepancy, updating them.

However, if you don't already have a budget there's no time like the present to create one. ASIC Moneysmart's budget planner could be a handy place to get started, while anyone wanting help keeping track of their new budget may be interested in one of the many budgeting apps available.

A budget can also give you confidence to spend on the things you enjoy, because you'll have a clearer picture of what you can actually afford.

Tip: Treat your budget like a financial calendar. By noting upcoming expenses such as birthdays, school fees, insurance renewals and holidays in advance, you can avoid last-minute scrambles and better plan your cash flow throughout the year.

2. Set financial goals for the year ahead

The start of the financial year could also prove a great time to create some new financial goals, like starting an emergency account, building a home deposit or saving for Christmas. But why is now any different to any other point in the year?

It comes down to a psychological phenomenon called the Fresh Start Effect. This is based on findings that people tend to feel more motivated to change their behaviour and attack a new goal from the start of a week, month or year, or another significant date to them.

Of course, successful goal setting requires more than a meaningful start date though, as narrowing your focus, monitoring your progress and automating parts of the process can also be crucial.

3. Prepare for tax time

The beginning of July means that tax season is upon us. Before rushing to lodge your tax return though, it's worth noting that the Australian Taxation Office recommends that taxpayers take it easy for a few weeks to give their income statements and other information time to be finalised.

In the meantime, organising receipts or proof of any expenses you're planning to claim as deductions might make your life (or your tax agents') easier come lodgement time. That might include work-related expenses, charitable donations, investment property expenses and more.

Tip: If you're worried about paperwork piling up, take photos of receipts and store them in a dedicated folder on your phone or computer. Keeping records throughout the year can make preparing your tax return much easier.

4. Check your superannuation balance and employer contributions

When was the last time you logged in to your superannuation account to check on your balance and see if your investment allocation and insurance mix is still what you want it to be?

Checking in more regularly could be a habit worth starting in the new financial year to ensure your employer contributions are being paid correctly, particularly as payday super begins from July 1, 2026 and contributions are now required to be paid much more frequently.

Australians looking to boost their retirement savings may want to consider options such as salary sacrificing or making voluntary contributions, subject to contribution caps and eligibility rules.

5. Review home loan rates, credit cards and other debts

With interest rates as high as they are, it's certainly a good time to compare the competitiveness of the interest rate and fees you're paying on your home loan, personal loan or any other loan you may have.

That's particularly true if it's been a while since you last checked in, because there's a chance that you're paying more than you need to - a situation that could be remedied by negotiating a better deal with your current lender or refinancing somewhere else.

The reality is that many Australians are really struggling with their debt though, meaning that negotiating or refinancing may not be an option. In that case, seeking professional help from a free service like Financial Counselling Australia may be an option worth pursuing.

Tip: Struggling with bill payments? Setting up reminders, calendar alerts or automatic payments can also help avoid unnecessary late fees and penalty charges.

6. Compare high-interest savings accounts and boost your savings rate

If one of your goals for the new financial year is to save up for a new car, or perhaps a trip overseas, one of the more effective ways to increase the money you're putting towards these goals is obviously finding a new income stream or reducing your spending.

Beyond that, it's important to make sure that whatever money you do have in savings is working as hard as it can. So in order to give your savings a boost, it may be time to see how the interest rate you're earning with your savings account or term deposit stacks up.

While there are still savings options with rates above the 5% mark at present, making sure the account is suited to your needs so you're actually earning the highest rate possible while being able to manage your money in the way that suits you best is also an important point to consider.

Tip: Stash your savings in a separate account. Keeping savings out of sight can reduce the temptation to dip into them for non-essential purchases.

7. Audit household bills, subscriptions and direct debits

With some electricity plans changing from July 1, now is the time to audit your regular bills and services to work out if you still need them and whether the deals you're getting are still competitive.

Aside from internet and energy, insurance policies, phone plans, streaming services, subscriptions and any other regular bills can be added to the list. After all, chances are that you could either save money by finding a better deal or entirely cutting out something unnecessary.

Tip: When comparing providers, don't be afraid to negotiate. In some cases, simply mentioning a competitor's offer may be enough to secure a better price or improved service from your existing provider.

The Solar Sharer Offer could change that.

On this episode of the Friends With Money podcast, Money's Tom Watson is joined by Brian Spak, general manager of advocacy and policy at Energy Consumers Australia, to unpack the new Solar Sharer Offer and who will benefit from free electricity.

Episode timestamps

00:00 Introduction

01:29 How the Solar Sharer Offer works

03:54 Which households are eligible for Solar Sharer?

06:07 How to make the most of free midday electricity

07:56 How to sign up for Solar Sharer

08:43 What kind of savings can households expect?

10:17 Why caution and bill monitoring could pay off

11:52 Conclusion

Listen to this episode of Friends With Money

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Friends With Money podcast FAQ

What is the Friends With Money podcast?

Friends With Money is a weekly personal finance podcast by Money magazine, offering expert insights on investing, budgeting, superannuation, property, and other money strategies for everyday Australians.

Where can I listen to the podcast?

You can listen on Apple Podcasts, Spotify, or YouTube (with closed captions available).

Who hosts Friends With Money?

Episodes are hosted by Vanessa Walker and Tom Watson from Money magazine, featuring expert guests and real conversations about money.

Is the podcast suitable for beginners?

Yes! It's designed to be accessible for beginners while still offering valuable insights for seasoned investors.

What topics does the podcast cover?

The Friends With Money podcast covers topics including banking, property, budgeting, superannuation, investing, saving, insurance, employment, travel and more.

How often are new episodes released?

New episodes are released weekly, so you can stay up to date with the latest financial tips and trends.

Can I watch episodes with captions?

Yes, full episodes with closed captions are available on YouTube.

Why subscribe to the Friends With Money podcast?

Boost your financial literacy anytime, anywhere with the Friends With Money podcast from Money magazine. Whether you're commuting, working out, or relaxing at home, this weekly podcast makes it easy to grow your money knowledge on the go.

Each episode dives into real conversations about money - how it's earned, shared, saved, and grown - with tips and insights that make finance simple and relatable. Perfect for beginners and seasoned investors alike, it's your go-to guide for building better financial habits.

Subscribe to the Friends With Money podcast today and start learning when it suits you.

Most Australians tend to focus their energy on the end of the financial year. But the SOFY, start of the financial year, is a good time to take stock and lay plans for the 12 months ahead.

It's especially important this year because of tax reforms announced in May's Federal Budget. Here are five areas to focus on this SOFY:

1. Have your circumstances changed?

Life doesn't stand still for long, and SOFY is an ideal time to review your goals, finances and family situations.

The arrival of a new child or grandchild, or a divorce or separation, these can be cues for a chat with a financial adviser.

2. Could your super be impacted by the new Division 296 tax and other tax reforms?

July 1 marks the start of Division 296, which will see earnings on super balances of more than $3 million taxed an additional 15% and up to an additional 25% for larger super balances.

If your super is likely to exceed the $3 million threshold over the next 12 months, it can be worth looking at an alternative strategy.

We've seen a strong uplift of interest in investment bonds, not just because of the Division 296 tax, but as a result of the recent Federal Budget proposals to introduce a 30% tax on discretionary trusts.

The driver here is that investment bond income is taxed at a maximum 30% inside the bond, whereas investment income of discretionary trusts will be taxed at a minimum 30%.

3. Do your estate plans reflect your wishes?

Wills play a useful role in estate planning, however families can be complex, and if you have concerns about possible challenges to your will, investment bonds may suit you.

Not only do investment bonds that are appropriately structured sit separately from other estate assets, they let you decide how and when beneficiaries can access their bond inheritance.

4. Know how much you can add to your investment bond this year

Annual contributions to an investment bond up to 125% of the previous investment year's contributions can be made without changing the tax benefits of the investment bond.

For example, if you contributed $5000 last investment year, you can add a maximum of $6250 in the current investment year without tax payable until after the 10-year advantage period is reset.

If you'd like to contribute more, simply open a new investment bond.

5. Stay informed, have an expert in your corner

There is a lot to think about following the Budget announcements.

Your financial adviser can play a key role, acting as your personal "Chief Interpretation Officer" to help you navigate any Budget fallouts.

Keep in touch with your adviser over the months ahead to stay informed.

What to read next

• Retirement income - avoiding 'regret risk'
• The hidden money strain for women carers
• Smart EOFY tax moves investors can still make

From claiming work-from-home expenses and super contributions to offsetting capital gains and tracking deductible expenses, these 10 EOFY tax tips could help boost your refund at tax time.

1. Gather receipts to claim tax deductions

If you want to claim work-related expenses, remember the ATO's three golden rules:

• The expense must be directly related to earning your income.
• You must not have been reimbursed by your employer.
• You must have records to prove you incurred the expense.

Take time to gather invoices, receipts, bank statements and any other records relating to work-related spending.

Electronic copies are often easier to manage than paper receipts, which can become lost or fade over time.

If you're unsure whether an expense is deductible, keep the receipt anyway and discuss it with your tax adviser.

If you don't have the paperwork, you generally can't claim the deduction.

2. Claim working-from-home tax deductions

If you work from home, either full time or occasionally, you may be entitled to claim expenses associated with your home office.

Eligible expenses can include:

• Heating, cooling and lighting
• Cleaning costs
• Internet and phone expenses
• Stationery and computer consumables
• Depreciation of office furniture and equipment
• Computers and equipment costing less than $300

You can generally claim using actual expenses or the ATO's fixed-rate method.

If using the fixed-rate method, ensure you have records of your work-from-home hours throughout the year.

3. Update your car logbook

If you claim work-related car expenses using the logbook method, now is the time to ensure your records are complete and up to date.

You'll also need receipts, invoices and evidence of vehicle expenses to support your claim.

If you're using the cents-per-kilometre method, you should still maintain records of work-related journeys.

The ATO continues to closely monitor car expense claims, so accurate record-keeping is essential.

4. Review your mobile phone claims

If you use your personal phone for work, you may be able to claim the work-related portion of your costs.

Keep copies of your phone bills and maintain a four-week usage record showing the split between work and personal use.

The work-related percentage can then be applied across the year.

Remember, if you're using the ATO's fixed-rate working-from-home method, you generally cannot separately claim mobile phone expenses that are already included in the rate.

5. Make a charitable donation

Donations of more than $2 to registered deductible gift recipients are generally tax deductible.

If you're planning to donate, make sure the payment is made before June 30 and keep your receipt.

A charitable donation can support a worthwhile cause while also increasing your deductions.

6. Prepay deductible expenses

You may be able to bring forward some deductions by paying eligible expenses before June 30.

Examples include:

• Professional subscriptions
• Union fees
• Annual insurance premiums
• Other deductible memberships and fees

Prepaying expenses may allow you to claim the deduction this financial year rather than next year.

7. Claim work bags and equipment

If you use a bag to carry work-related items such as a laptop, paperwork or tools, you may be able to claim the work-related portion of the cost.

With many retailers running EOFY sales, now may also be a good time to purchase eligible work-related equipment if you were planning to buy it anyway.

Any deduction must be apportioned between work and private use where applicable.

8. Claim a tax deduction through super contributions

If you have spare cash available, making a personal contribution to super could deliver a double benefit: growing your retirement savings while potentially reducing your tax bill.

Provided your total concessional contributions, including employer contributions, remain within the annual cap of $30,000, you may be able to claim a tax deduction for personal contributions.

Some Australians may also be eligible to use unused concessional contribution caps from previous years.

The contribution must be received by your fund before June 30, and you must submit the required notice of intent form before claiming the deduction.

9. Offset capital gains with capital losses

If you've realised capital gains during the year, consider reviewing your investment portfolio for assets that are sitting at a loss.

Selling those investments before June 30 may allow you to offset capital gains and reduce your tax liability.

However, be careful of so-called "wash sales".

This occurs when an investor sells an asset to generate a capital loss and then repurchases the same or substantially identical asset shortly afterwards.

The ATO has warned that anti-avoidance provisions may apply, with tax benefits potentially denied and penalties imposed.

10. Speak to a tax agent

There is a reason so many Australians use a registered tax agent.

Tax law is complex, and an experienced adviser can help identify deductions you may have overlooked and ensure your claims are properly supported.

A tax professional can also help you avoid mistakes that could delay your refund or attract unwanted ATO attention.

Best of all, the fee you pay to have your tax return prepared is generally tax-deductible.

Tax refund FAQs

Can I claim a tax deduction without a receipt?

In most cases, no. The ATO generally requires evidence that you incurred the expense.

What tax deductions can I still claim before June 30?

Depending on your circumstances, you may be able to claim super contributions, charitable donations, work-related expenses and prepaid deductible expenses.

What is a wash sale?

A wash sale occurs when an investor sells an asset to create a tax loss and repurchases a substantially identical asset shortly afterwards.

Should I use a tax agent?

A registered tax agent may be able to help identify deductions and ensure your tax return is accurate.

The bottom line

With only days remaining until June 30, acting now could mean the difference between claiming an extra deduction and missing out altogether. A few simple steps this week could leave more money in your pocket when you lodge your return.

SBS cycling commentator Bridie O'Donnell will be joining the broadcast team for the 2026 Tour de France which kicks off on July 4.

O'Donnell is a world champion road cyclist, a former rower, and triathlete.

She is also a medical doctor, graduating valedictorian from the University of Queensland, and now focuses on helping cancer patients with behavioural changes to help improve their overall wellbeing.

She was the inaugural director of Victoria's Office for Women in Sport and Recreation.

How was working on last year's Tour de France coverage?

I found it to be quite a wonderful experience.

I was working in Victoria as a doctor in a secondment role in COVID recovery and was working with companies and industries that were very frustrated and angry.

So being part of the coverage team was like a holiday.

I felt like I was in France.

Commenting is a challenge - you have to give the right balance of what the audience wants to hear, not just how smart you are and how much information you know, but how you make it as interesting as possible.

I had ridden many parts of France as a guest on cycling tours so I'm quite familiar with the countryside.

How did you get into cycling?

I came to cycling late.

I had been a rower and triathlete and came into road cycling in 2007.

It took me until my fourth or fifth year in medical school to race triathlons and realise I had capability.

I discovered a friend in med school was doing triathlon and I wasn't good at it but just loved it and realised that endurance sport is about persistence and not falling down or giving up which is a metaphor for life.

You're going to fail at things all along the way but you figure out what went wrong and keep going.

I was 33 years old when I started. It's not a recommended pathway to start late. I rode in the Australian national team and was a professional cyclist for six years.

I then rode and managed a team here in Australia and helped develop domestic riders.

I moved back to track racing and set a new record for women in 2016 (the Women's Hour road race) and kept racing in the individual pursuit and team pursuit in Victoria.

What was your first job?

Cleaning the leaves out of the gutters for my grandfather for $5 for three hours work on a Saturday.

I then started offering my service to the neighbours.

I was around six years old and I probably shouldn't have been on the roof, but that was the 80s.

It felt like a job because I'd approached my grandfather and said, "How about you pay me $5 and I can do this for you?" It was a real negotiation.

My first job after that was working in Donut King in the Myer centre food court in Brisbane - I was 14.

What's the best money advice you've received?

From my mum: "All women should have a running away account."

It's important and sound to have your own bank account. We're seeing more examples of coercive control in abusive relationships.

If you can have independence, it gives security that you can get into a car and leave a dangerous relationship, so that is advice I'd pass onto every woman I know.

"All women should have a running away account."

What's the best investment decision you've made?

To put solar panels on my roof - but not sure it's working out to be as remunerative as I hoped.

I might need to buy a battery. It's saved an enormous amount on electricity bills.

I've also bought a hybrid car and I feel lucky I have a stable job to make those purchases and know they will pay off in the future.

What's the worst investment decision you've made?

Other than getting married and divorced, I would say I don't make too many poor choices!

I'm pretty risk-averse. I've never had a lot of money so I'm pretty careful - I don't gamble or have investments other than property.

What is your favourite thing to splurge on?

Food and wine and experiences.

One of the upsides of finishing each cycling season in Europe is the opportunity to take a couple of weeks holiday there - I went to Lucca in Italy and Berlin with my mum.

There was one experience where we were staying in Antibes near Cannes and went to an incredible restaurant - Bacon - and the owners picked us up on Vespas and rode us around on the way to the restaurant.

It was an incredible meal and an amazing vista.

If you had $10,000 where would you invest it?

I'd buy some Aboriginal art.

There are some incredible artists I saw in the Northern Territory last year; I think it's important to invest in artists but also important to make sure Aboriginal artists are making money from their art from reputable galleries.

What would you do if you only had $50 left in the bank?

I think I'd go to DOC Pizza in Carlton [in Victoria], have a nice bottle of wine, and then celebrate my financial demise.

Do you intend to leave an inheritance?

Yes, I have two nieces and a goddaughter, and they're recipients of my super, and I will leave my property to my two nieces.

What's been your best money-making career move?

Completing a vocational degree in university which provides stability that I never realised.

When I retired from pro-cycling, I could go back to being a doctor and have money go into my bank account every fortnight.

It was a privilege not many other riders have.

I didn't do it for the money.

Since I was a child, I've only ever wanted to be a doctor. I saw it as an interesting and cool way to solve problems for people.

It's a great job and I still use those skills even when I'm not working clinically, because it's about understanding human behaviour and bringing it all together to find an answer.

Finish this sentence: money makes ...

... the hard things less difficult.

This article was first published in 2021 and refreshed in June 2026.

The good news is that memorable school holiday fun doesn't have to come with a hefty price tag.

From free outdoor adventures and rainy-day activities to creative projects and family challenges, here are 32 affordable ways to keep kids busy during the July school holidays.

With the cost of outings, movies and attractions adding up quickly, choosing a mix of free and low-cost activities could save families hundreds of dollars over the winter school holidays.

Outdoor adventures

1. Go for a bike ride

Find quiet, scenic cycling trails through local council websites. Pack snacks for little tummies.

2. Have a picnic

Enjoy the winter sun by packing a picnic and heading outside - to your balcony, backyard or a local park. Invite friends or family to join you.

3. Playground hopping

Visit your favourite local playgrounds or venture further afield and find new gems.

4. Take on parkrun together

Check out your local parkrun, a free 5k where adults, kids and even dogs are welcome to run, walk or volunteer. There are more than 520 parkruns around Australia, and most start at 8am each Saturday.

5. Explore a national park

Plan a digital detox day. Pack a picnic and take the kids hiking in a nearby national park. Use online resources to find easy or moderate trails.

6. Go wildlife spotting

Visit nature reserves or national parks to see native animals and birds. Make it a fun learning experience.

7. Start a winter veggie garden

Get kids involved in watering plants, weeding, or planting flowers and vegetables. Visit a nursery together to pick out seedlings.

8. Camp out at home

Set up a tent in the backyard or go camping at a nearby site to enjoy nature without spending much.

9. Backyard games

Set up ball games like cricket, soccer, basketball, or bocce. Bring out badminton sets or play petanque.

10. Go on a winter nature scavenger hunt

Create a checklist of things to spot on a walk, such as colourful leaves, bird nests, mushrooms, wattle flowers, animal tracks or interesting tree bark. Kids can tick items off as they go and take photos of their finds.

Creative and performing arts

11. Put on a play or dance show

Encourage your kids to write a script, rehearse, and perform a play. Or let them choreograph a dance routine.

12. Art and craft days

Paint pictures, make sock puppets, try potato stamping, or create bookmarks and decorations. Try outdoor sketching or painting sessions.

13. Make a short movie

Use a smartphone and a free video editing app like iMovie, Splice or CapCut to film and edit a family production.

14. Teach your kids a new skill

Teach your kids knitting, embroidery, or woodworking. Or sign them up for a local craft workshop.

15. Visit the library

Borrow books, puzzles, games, and even camping equipment for free. Many Australian libraries also run free or low-cost winter school holiday programs, including craft sessions, workshops and story time events.

Rainy day activities

16. Start a reading challenge

Help kids find genres they enjoy - fantasy, mystery, or real-life stories. Use street libraries for free books.

17. Write stories together

Share family stories, childhood memories, or make up new tales. Write a little each day and read them together.

18. Play board games and cards

Rediscover old favourites like Monopoly, Scrabble, or chess. Learn new games with rules found online or at the library.

19. Word and puzzle games

Challenge your kids with crosswords, Boggle, Wordle, or jigsaw puzzles. Start simple and work your way up.

Learning and helping

20. Have a winter baking day

Bake a favourite treat or plan a meal from scratch, shop at a local market, prepare it together, and clean up as a team. Play MasterChef at home.

21. Volunteer as a family

Join a local volunteer group as a family. Many child-friendly causes welcome young helpers (with parents).

22. Support a cause

Choose a cause you care about-like endangered animals or the environment-and take action. Write letters to local politicians or start a small project.

23. Teach kids smart money habits

Talk about household expenses like electricity, groceries, and petrol. Let kids compare prices while shopping.

24. Declutter and make extra cash

Teach your kids Marie Kondo's "spark joy" method. Clear out old toys and clothes, and even hold a garage sale.

25. Try simple science

Conduct safe science experiments at home or visit science museums. Encourage curiosity and exploration.

Cultural and local activities

26. Museums and art galleries

Visit free exhibitions and children's programs. Permanent displays are often free, while special shows may charge.

27. Festivals and events

Look for free family-friendly events in your area-music, theatre, visual art, or cultural festivals often pop up in parks.

28. Visit an ice-skating rink

Many cities and towns host seasonal ice-skating rinks during winter. Look out for family discounts, off-peak sessions or community events.

29. Market hopping

Visit local markets for fresh produce, handmade items, or secondhand treasures. Great for learning and fun.

Ok, we know we know we said no screens, but rainy days and long drives can be made easier with mindful technology.

Technology with purpose

30. Family movie nights

Pick family movies to stream, pop some popcorn, and take turns choosing the film. Try an outdoor screening with a projector and a white sheet.

31. Listen to podcasts and audiobooks

On long drives or quiet afternoons, tune into family-friendly podcasts like Storynory, Short & Curly, or Six Minutes. Try audiobook services with free trials, or check out the Libby app for free e-books or audiobooks through your local library.

Bonus: Chill time

32. Value downtime

Let kids sleep in, stay in their PJs, or simply hang out at home. Unstructured time fosters creativity and relaxation.

Bottom line

School holidays don't have to be packed with expensive outings to be memorable. A mix of outdoor adventures, creative projects, family games and simple downtime can keep kids entertained during the July holidays while helping parents stay on budget.

Whether you're reading a payslip, comparing super funds, investing, or making a complaint, this regularly-updated guide breaks down common and complex financial language so you can understand what really matters.

Bookmark this page (last reviewed July 2026) and use it as your go-to guide to decoding the language of money.

Most searched financial terms

A

Account-based pension (ABP)

An account-based pension is a regular income stream purchased with superannuation savings, typically after retirement. It allows retirees to draw down their super while benefiting from investment earnings.

Accrued interest

Accrued interest is the interest that has accumulated on a loan or investment but has not yet been paid or received. It is commonly used in bonds and savings accounts to reflect earnings over time.

Administrative Review Tribunal (ART)

The Administrative Review Tribunal (ART) independently reviews decisions made by Australian government departments, agencies and ministers. It replaces the Administrative Appeals Tribunal (AAT).

Afterpay

Afterpay is a buy-now-pay-later (BNPL) service that allows consumers to purchase items and pay for them in instalments over time. Other BNPL services include Zip, Klarna and Humm.

Aged Care Assessment Team (ACAT)

The Aged Care Assessment Team (ACAT) assesses older Australians to determine eligibility for government-funded aged care services.

Aggregate market value (AMV)

Aggregate market value (AMV) is the total value of all outstanding equity shares, according to the market's evaluation.

Amortisation

Amortisation refers to the gradual repayment of a loan over time through regular payments that cover both principal and interest. It also applies to the depreciation of intangible assets over their useful life.

Annual general meeting (AGM)

Annual general meetings (AGMs) of shareholders are required by law where directors inform shareholders of company performance and future prospects. Shareholders vote on board elections and significant company issues.

Annual leave loading

Annual leave loading is an additional payment (usually 17.5%) made to eligible employees when they take annual leave. It compensates for the loss of potential overtime or penalty rates during leave.

Annual percentage rate (APR)

Annual percentage rate (APR) represents the yearly interest rate charged on loans or earned on investments.

Anti-money laundering/counter-terrorism financing (AML/CTF)

Anti-money laundering/counter-terrorism financing (AML/CTF) refers to regulations aimed at preventing money laundering and terrorism-financing activities.

Asset allocation

Asset allocation is the strategy of dividing investments among different asset categories, such as stocks, bonds and cash. It aims to balance risk and reward based on an investor's goals and risk tolerance.

Asset-test exempt (ATE)

Asset-test exempt (ATE) refers to specific assets that are excluded from means tests used to determine eligibility for government benefits, usually through Centrelink.

Association of Superannuation Funds of Australia (ASFA)

The Association of Superannuation Funds of Australia (ASFA) is the peak policy, research and advocacy body for Australia's superannuation industry.

Attorney-General's Department (AGD)

The Attorney-General's Department (AGD) provides legal services and policy advice to the Australian Government.

Authorised credit representatives (ACR)

Authorised credit representatives (ACRs) are individuals authorised to engage in specified credit activities on behalf of a credit licensee.

Authorised deposit-taking institution (ADI)

Authorised deposit-taking institutions (ADIs) are financial institutions, such as banks and credit unions, that are licensed to accept deposits from the public.

Automatic teller machine (ATM)

An automatic teller machine (ATM) is an electronic banking outlet that allows customers to perform basic transactions without the need for a branch representative. Common functions include cash withdrawals, deposits and balance inquiries.

Australian Banking Association (ABA)

The Australian Banking Association (ABA), formerly the Australian Bankers' Association, is the trade association for the banking industry.

Australian Bureau of Statistics (ABS)

The Australian Bureau of Statistics (ABS) is Australia's national statistical agency, providing data on key aspects of the economy, society and environment.

Australian Chamber of Commerce and Industry (ACCI)

The Australian Chamber of Commerce and Industry (ACCI) is the national voice for Australian businesses and commerce.

Australian Charities and Not-for-profits Commission (ACNC)

The Australian Charities and Not-for-profits Commission (ACNC) is the national regulator of charities.

Australian Competition and Consumer Commission (ACCC)

The Australian Competition and Consumer Commission (ACCC) is the Australian Government's chief competition regulator.

Australian Consumer Law (ACL)

Australian Consumer Law (ACL) prohibits certain business practices and creates various enforceable rights for consumers to ensure they are protected when they buy goods and services.

Australian Council of Social Service (ACOSS)

The Australian Council of Social Service (ACOSS) is a national advocate supporting people affected by poverty, disadvantage and inequality, and the peak council for community services nationally.

Australian Council of Trade Unions (ACTU)

The Australian Council of Trade Unions (ACTU) is the largest peak body representing workers in Australia. It is a national trade union centre comprising 46 affiliated unions and eight trades and labour councils.

Australian Financial Complaints Authority (AFCA)

The Australian Financial Complaints Authority (AFCA) is a free and independent ombudsman service that resolves complaints by consumers and small businesses about financial firms.

Australian Financial Counselling and Credit Reform Association (AFCCRA)

The Australian Financial Counselling and Credit Reform Association (AFCCRA) was an organisation advocating for financial counselling and credit reform in Australia. AFCCRA changed its name to Financial Counselling Australia (FCA) in 2011.

Australian Financial Markets Association (AFMA)

The Australian Financial Markets Association (AFMA) is the industry body representing participants in Australia's financial markets and providers of wholesale banking services.

Australian Financial Services Licence (AFSL)

An Australian Financial Services Licence (AFSL) is a licence given by ASIC that allows people or companies to legally carry on a financial services business. This includes selling, advising or dealing in financial products.

Australian Government Disaster Recovery Payment (AGDRP)

The Australian Government Disaster Recovery Payment (AGDRP) is a one-off financial assistance payment for people affected by major disasters.

Australian National Audit Office (ANAO)

The Australian National Audit Office (ANAO) audits government agencies to ensure accountability and transparency.

Australian Prudential Regulation Authority (APRA)

The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry. It oversees banks, mutuals, general insurance and reinsurance companies, life insurance, private health insurers, friendly societies, and most members of the superannuation industry.

Australian real estate investment trust (A-REIT)

An Australian real estate investment trust (A-REIT) is an unlisted Australian wholesale property fund which allows investors to invest in large commercial property assets.

Australian Securities and Investments Commission (ASIC)

The Australian Securities and Investments Commission (ASIC) is Australia's corporate, markets and financial services regulator.

Australian Securities Exchange (ASX)

The Australian Securities Exchange (ASX) is an integrated securities exchange which acts as a market operator, clearing house and payments system facilitator.

Australian Small Business and Family Enterprise Ombudsman (ASBFEO)

The Australian Small Business and Family Enterprise Ombudsman (ASBFEO) is an independent advocate for small business owners.

Australian Taxation Office (ATO)

The Australian Taxation Office (ATO) is the principal revenue collection agency of the Australian Government. It is responsible for administering and enforcing tax laws, managing the superannuation system, and overseeing the Australian Business Register.

Australian Trade and Investment Commission (Austrade)

The Australian Trade and Investment Commission (Austrade) is a government agency that helps Australian businesses export products and services and attract international investment to Australia.

Australian Transaction Reports and Analysis Centre (AUSTRAC)

The Australian Transaction Reports and Analysis Centre (AUSTRAC) is the Australian Government agency responsible for detecting, deterring and disrupting criminal abuse of the financial system to protect the community from serious and organised crime.

Australian Workplace Equality Index (AWEI)

The Australian Workplace Equality Index (AWEI) is the national benchmark for LGBTQ+ workplace inclusion in Australia that surveys employees to gauge the overall impact of inclusion initiatives.

B

Balance sheet

A balance sheet is a financial statement that shows a company's assets, liabilities, and equity at a specific point in time. It provides a snapshot of financial health and is used to assess liquidity and solvency.

Basis point (BPS)

A basis point is one-hundredth of a percent (0.01%). It's used to show small changes in interest rates or investment returns.

Bear market

A bear market is when share prices fall 20% or more from recent highs. It often signals a downturn or negative investor sentiment.

Beneficiary

A beneficiary is a person or entity entitled to receive benefits from a financial product, such as a superannuation fund, insurance policy, or will. They are designated by the account holder or policy owner.

Blue-chip stocks

Blue-chip stocks are shares in large, reputable companies with a history of stable earnings and reliable performance. They are considered lower-risk investments and often pay regular dividends.

Budget deficit

A budget deficit happens when spending is higher than income. Governments often run deficits when expenses exceed tax revenue.

Bond

A bond is a fixed-income investment where an investor lends money to an entity (typically government or corporate) for a defined period at a fixed interest rate. Bonds are used to raise capital and are considered relatively stable investments.

Break-even point

The break-even point is the level of sales or revenue at which total costs equal total income, resulting in neither profit nor loss. It's a key metric in business planning and financial analysis.

Broker

A broker is an individual or firm that acts as an intermediary between buyers and sellers in financial markets. Brokers may offer advice and execute trades in exchange for a commission.

Business Activity Statement (BAS)

A Business Activity Statement (BAS) is a form submitted to the ATO to report tax obligations.

Business Council of Australia (BCA)

The Business Council of Australia (BCA) is an industry association that comprises the chief executives of more than 100 of Australia's biggest corporations.

Buy now, pay later (BNPL)

Buy now, pay later (BNPL) payment services such as Afterpay allow customers to pay in instalments over time, instead of paying the full amount upfront.

C

Chartered Accountants Australia and New Zealand (CA ANZ)

Chartered Accountants Australia and New Zealand (CA ANZ) is a professional accounting body with more than 130,000 members in Australia, New Zealand and overseas.

Compound Annual Growth Rate (CAGR)

Compound Annual Growth Rate (CAGR) measures the mean annual growth rate of an investment over time.

Compound interest

Compound interest is interest earned on the initial deposit and the interest already earned (whereas simple interest is only on the principal). For a loan, this means you pay interest on the original loan amount plus any interest that has already been added to your balance.

Comprehensive Credit Reporting (CCR)

Comprehensive Credit Reporting (CCR) provides detailed credit information to lenders for better risk assessment.

Child care subsidy (CCS)

The Child Care Subsidy (CCS) is a government payment that helps families with the cost of approved childcare services.

Cashless debit card (CDC)

The cashless debit card (CDC) was a government program that restricted spending on welfare payments, preventing purchases of alcohol, gambling services and cash withdrawals.

Consumer Data Right (CDR)

The Consumer Data Right (CDR) gives individuals greater control over their personal data, allowing them to share it with trusted service providers, particularly in the banking sector.

Committee for Economic Development of Australia (CEDA)

The Committee for Economic Development of Australia (CEDA) is an independent organisation that promotes economic and social policy reforms to drive Australia's growth and development.

Chief executive officer (CEO)

A chief executive officer (CEO) is the highest-ranking role within an organisation, charged with managing the direction of the company. A CEO is often the public face of the company.

Chief financial officer (CFO)

A chief financial officer (CFO) is the person responsible for managing a company's financial operations and strategy.

Capital gains tax (CGT)

Capital gains tax (CGT) is the tax you pay on profits from disposing of assets including investments, such as property, shares and cryptocurrency.

Clearing House Electronic Sub-Register System (CHESS)

The Clearing House Electronic Sub-Register System (CHESS) is ASX's settlement system and central register for electronic transfer of share ownership and associated cash payments.

Chief information officer (CIO)

A chief information officer (CIO) is the executive responsible for overseeing information technology strategy and implementation.

Chief operating officer (COO)

A chief operating officer (COO) is the executive responsible for overseeing the daily operations of a business. A COO is considered to be second in the chain of command after the CEO.

Certified practising accountant (CPA)

A certified practising accountant (CPA) is a finance, accounting and business professional with a specific qualification. All CPAs are accountants, however not all accountants are CPAs.

Consumer Price Index (CPI)

The Consumer Price Index (CPI) measures household inflation and includes statistics about price changes for categories of household expenditure.

Child Support Agency (CSA)

The Child Support Agency (CSA), which currently operates within Services Australia, helps separated parents manage and receive child support payments for the benefit of their children.

Commonwealth Superannuation Corporation (CSC)

The Commonwealth Superannuation Corporation (CSC) manages superannuation funds for Australian government employees.

Compensation Scheme of Last Resort (CSLR)

The Compensation Scheme of Last Resort (CSLR) provides compensation to eligible victims of financial misconduct who have not been paid, typically because the financial institution involved in the misconduct has become insolvent.

Commonwealth supported place (CSP)

A Commonwealth supported place (CSP) is a subsidised place at an Australian university or approved higher education provider where part of a student's fees are paid by the government.

Chief technical officer (CTO)

A chief technical officer (CTO) is the executive in charge of an organisation's technical operations, opportunities and challenges.

D

Daily accommodation payment (DAP)

Daily accommodation payment (DAP) is an ongoing, non-refundable payment option for aged care residents, covering accommodation costs on a per-day basis.

Defence Housing Australia (DHA)

Defence Housing Australia (DHA) provides housing services to Australian Defence Force personnel, managing and leasing properties across Australia.

Defined Benefit Division (DBD)

A defined benefit division is a superannuation plan where benefits are calculated based on salary and service.

Defined Contribution (DC)

A defined contribution is a superannuation plan where contributions are defined but benefits depend on investment performance.

Department of Veterans' Affairs (DVA)

The Department of Veterans' Affairs (DVA) is a government agency that provides services, support and financial assistance to Australian veterans and their families.

Disability Support Pension (DSP)

The Disability Support Pension (DSP) is a financial support payment for people with a permanent physical, intellectual or psychiatric condition that prevents them from working.

Diversity, equity and inclusion (DEI)

Diversity, equity and Inclusion (DEI) refers to workplace policies and practices that promote representation, fairness and a sense of belonging for all employees.

Dividend Reinvestment Plan (DRP)

A Dividend Reinvestment Plan lets shareholders automatically use their cash dividends to buy additional shares in the same company instead of receiving the money in their bank account. Over time, this can help grow your investment through compounding.

Dollar cost averaging (DCA)

Dollar cost averaging (DCA) is an investment strategy where you invest a fixed amount of money at regular intervals, regardless of market ups and downs.

E

Employee assistance program (EAP)

An employee assistance program (EAP) provides employees with confidential counselling, support and services to address personal and work-related issues.

Earnings before interest, taxes, depreciation and amortisation (EBITDA)

Earnings before interest, taxes, depreciation and amortisation (EBITDA) measures the company's overall financial performance. It is an alternative way of measuring profitability to net income.

External dispute resolution (EDR)

An external dispute resolution (EDR) is a free, independent service for resolving disputes between consumers and financial firms. AFCA is an EDR scheme.

Electronic funds transfer at point of sale (EFTPOS)

Electronic funds transfer at point of sale (EFTPOS) is the electronic payment system that lets customers make a purchase using a credit or debit card or mobile wallet on their phone or a wearable device.

End of financial year (EOFY)

The end of the financial year (EOFY) is June 30, which marks the end of the 12-month fiscal year for business and tax purposes.

Earnings per share (EPS)

Earnings per share (EPS) is a measure of earnings attributed to each equivalent ordinary share over a 12 month period. It is calculated by dividing the company's earnings by the number of shares on issue.

Environmental, social and governance (ESG)

Environmental, social and governance (ESG) criteria are used to evaluate the impact of a company's operations on sustainability, social responsibility and corporate governance.

Exchange traded commodity (ETC)

Exchange traded commodities (ETCs) are exchange traded funds (ETFs) that invest in and track the performance of a commodity such as silver or gold rather than an equity index.

Exchange traded fund (ETF)

Exchange traded funds (ETFs) are investment funds designed to track the performance of an asset such as a share price index.

F

Financial Advice Association of Australia (FAAA)

The Financial Advice Association of Australia (FAAA) is the nation's largest professional association for financial planners.

Financial Claims Scheme (FCS)

The Financial Claims Scheme (FCS) is an Australian Government initiative that protects depositors by guaranteeing up to $250,000 per person per authorised deposit-taking institution (ADI) in the event the institution fails. It also provides limited protection for policyholders of general insurance companies, ensuring quick access to funds during financial distress.

Fringe Benefits Tax (FBT)

Fringe Benefits Tax (FBT) is a tax on non-salary benefits provided to employees.

First Home Guarantee (FHBG)

The First Home Guarantee (FHBG) is a part of the Home Guarantee Scheme that allows eligible first-home buyers to purchase a home with as little as a 5% deposit, without needing to pay for lenders mortgage insurance.

Family Home Guarantee (FHG)

The Family Home Guarantee (FHG) assists eligible single parents to purchase a home with a deposit as low as 2%, even if they have previously owned a home, under the Home Guarantee Scheme.

Fly in, fly out (FIFO)

Fly-in, fly-out (FIFO) refers to a work arrangement where employees travel to a remote job site for a set period before returning home, typically used in the mining industry in Australia.

Financial technology (fintech)

Financial technology (fintech) refers to innovative technologies used to improve and automate the delivery and use of financial services.

FOMO (fear of missing out)

FOMO or the fear of missing out is a feeling of anxiety stemming from the perception that others are experiencing better things than you.

Foreign Investment Review Board (FIRB)

The Foreign Investment Review Board (FIRB) advises the government on foreign investment policy and proposals.

Financial independence, early retirement (FIRE)

Financial independence, early retirement (FIRE) is a lifestyle and investing movement with the goal of gaining financial independence and retiring early.

Financial Services Council (FSC)

The Financial Services Council (FSC) represents Australia's retail and wholesale funds management businesses, superannuation funds, life insurers, financial advisory networks, licensed trustee companies and public trustees.

Family Tax Benefit (FTB)

The Family Tax Benefit (FTB) is a government payment designed to help families with the costs of raising children.

Funds Under Management (FUM)

Funds Under Management (FUM) is the total value of assets managed by an investment firm.

Foreign exchange (FX)

Foreign exchange (FX) refers to the global market for trading currencies, where the exchange rates between different currencies are determined.

G

Generally Accepted Accounting Principles (GAAP)

Generally Accepted Accounting Principles (GAAP) is a standard framework of accounting rules and procedures.

Gross domestic product (GDP)

Gross domestic product (GDP) is the total value of goods and services produced in a country over a specific period, used as an indicator of economic performance.

Global financial crisis (GFC)

The global financial crisis (GFC) refers to the period of extreme stress in global financial markets and banking systems between mid 2007 and early 2009.

General Insurance Code Governance Committee (GICGC)

The General Insurance Code Governance Committee (GICGC) is the independent body that monitors and enforces insurers' compliance with the General Insurance Code of Practice.

Goods and services tax (GST)

The goods and services tax (GST) is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia.

H

Higher Education Contribution Scheme-Higher Education Loan Program (HECS-HELP)

Higher Education Contribution Scheme-Higher Education Loan Program (HECS-HELP) is a loan from the Australian Government that can be used to pay a student's contribution towards their tertiary studies.

Home Guarantee Scheme (HGS)

The Home Guarantee Scheme (HGS) is an Australian government initiative that helps eligible home buyers purchase a home with a smaller deposit, by providing a guarantee on part of the loan.

Holder identification number (HIN)

I

A holder identification number (HIN) is the unique number issued by the Australian Securities Exchange (ASX) that identifies you as a CHESS-sponsored shareholder with a broker.

Industry superannuation fund

Industry super funds are not-for-profit and return profits to members, generally offering lower fees. Originally for specific sectors, most are now open to everyone.

Insurance Brokers Code Compliance Committee (IBCCC)

The Insurance Brokers Code Compliance Committee (IBCCC) monitors adherence to the Insurance Brokers Code of Practice to help insurance brokers deliver high-quality service standards to consumers.

Insurance Council of Australia (ICA)

The Insurance Council of Australia (ICA) is the representative body for the general insurance industry.

International Energy Agency (IEA)

The International Energy Agency (IEA) is an international organisation currently consisting of 31 countries and 13 association countries, which provides policy advice and promotes energy security.

International Monetary Fund (IMF)

The International Monetary Fund (IMF) is an international organisation that promotes global financial stability and provides financial assistance to countries facing economic difficulties.

Interest-only loan (IO)

An interest-only loan (IO) allows the borrower to pay only the interest on the loan for a specified period, after which they must start repaying the principal along with the interest.

International Organisation of Securities Commissions (IOSCO)

The International Organisation of Securities Commissions Global (IOSCO) is the body of securities regulators promoting market integrity.

Initial public offering (IPO)

An initial public offering (IPO) is the process by which a private company offers shares to the public for the first time, allowing them to become publicly traded.

K

Key performance indicator (KPI)

A key performance indicator (KPI) is a metric used to evaluate success in achieving objectives.

Know your customer (KYC)

Know your customer (KYC) refers to the process by which businesses verify the identity of their clients to prevent fraud, money laundering and other financial crimes.

L

Least-cost routing (LCR)

Least-cost routing (LCR) is a payment processing method that allows businesses to process transactions through the network that charges the lowest fee.

Low exercise price options (LEPO)

Low exercise price options (LEPOs) are European-style options with a strike price of 1 cent, in the case of stock LEPOs, or 1 point, in the case of index LEPOs.

Listed investment company (LIC)

Listed investment companies (LICs) provide exposure to a basket of underlying securities, often shares, although increasingly there are funds providing exposure to other asset classes, such as fixed income.

Lenders mortgage insurance (LMI)

Lenders mortgage insurance (LMI) is a type of insurance paid by the borrower that protects the lender if the loan defaults.

Loan-to-value ratio (LVR)

The loan-to-value ratio (LVR) is a measure used by lenders to assess the risk of a loan, calculated by dividing the loan amount by the appraised value of the property, expressed as a percentage.

M

Market darling

A market darling is a stock or company that is highly favored by investors and analysts, often due to strong performance, growth potential, or positive sentiment.

Medicare levy surcharge (MLS)

The Medicare levy surcharge (MLS) is an additional tax for high-income earners in Australia who do not have private hospital cover.

Memorandum of understanding (MOU)

A memorandum of understanding (MOU) is a type of agreement between two or more parties.

N

Net asset value (NAV)

Net asset value (NAV) is the book value of a company's assets divided by the number of shares on issue.

National Credit Code (NCC)

The National Credit Code (NCC) is a national consumer protection regime that offers protections to individuals borrowing money from institutional lenders for non-business purposes.

National Debt Helpline (NDH)

The National Debt Helpline (NDH) is a free, independent and confidential financial counselling service.

National Disability Insurance Scheme (NDIS)

The National Disability Insurance Scheme (NDIS) provides funding and support to Australians with a permanent disability to help them live independently.

Negative gearing

Negative gearing is when your investment property costs more to run than it earns in rent, creating a taxable loss. You can usually offset that loss against your other income, reducing your overall tax bill.

Net flows

Net flows are the total money moving into or out of an investment fund over a period. Positive net flows mean more money is coming in than going out; negative means the opposite.

Non-fungible token (NFT)

Non-fungible tokens (NFTs) are a type of digital cryptoasset. They are digital certificates that authenticate a claim of ownership to an asset, and allow it to be transferred or sold.

No interest loans (NILS)

No interest loans (NILs) are safe and affordable interest-free loans that Australians at risk can use to pay for essentials such as appliances or rental bonds.

Net tangible assets (NTA)

Net tangible assets (NTAs) are calculated as the total assets of a company, minus intangible assets such as goodwill and less all liabilities.

O

Organisation for Economic Co-operation and Development (OECD)

The Organisation for Economic Co-operation and Development (OECD) is an international organisation, currently with 38 member countries, that aims to promote policies to improve the economic and social well-being of people worldwide.

Owner-occupied (OO)

Owner-occupied (OO) refers to a property that is the primary residence of the borrower, as opposed to an investment property.

Open Training and Education Network (OTEN)

The Open Training and Education Network (OTEN) is a provider of online and distance education and training across a variety of industries and fields offered by TAFE NSW.

Open Universities Australia (OUA)

Open Universities Australia (OUA), previously called the Open Learning Agency of Australia, offers online courses from a range of Australian universities, providing flexible education options for students.

P

Principal and interest loan (P&I)

A principal and interest loan (P&I) requires the borrower to make payments on both the loan principal and the interest charged on the outstanding balance over the term of the loan.

Pay As You Go (PAYG)

Pay As You Go (PAYG) is a system for paying income tax in installments throughout the year.

Product disclosure statement (PDS)

A product disclosure statement (PDS) is a document that financial service providers must provide to you when they recommend or offer a financial product.

Price-to-earnings ratio (PE)

Price-to-earnings ratio (PE) is the number of times the price covers the earnings per security over a 12-month period. Investors commonly use this ratio to measure the attractiveness of particular shares and to compare shares in one company with those in another.

Property Exchange Australia Limited (PEXA)

Property Exchange Australia Limited (PEXA) is a digital property settlement platform that allows for the online completion of property transfers and settlements.

Payment reference number (PRN)

A payment reference number (PRN) is a unique set of numbers and letters applied to a financial transaction such as a bank transfer, direct debit, a standing order or a payment made using a debit or credit card.

R

Real estate investment trust (REIT)

Real estate investment trusts (REITs) provide exposure to the value and rental income from properties owned by the trust.

Refundable accommodation deposit (RAD)

The refundable accommodation deposit (RAD) is a lump sum payment for accommodation in an aged care facility, which is refunded when the resident leaves or dies.

Regional First Home Buyer Guarantee (RFHBG)

The Regional First Home Buyer Guarantee (RFHBG) helps first-time home buyers purchase a home in regional areas of Australia with a reduced deposit, as part of the Home Guarantee Scheme.

Reserve Bank of Australia (RBA)

The Reserve Bank of Australia (RBA) is Australia's central bank and banknote-issuing authority.

Retail superannuation fund

Retail super funds are run by financial institutions for profit, often with a wide range of investment options. They typically charge higher fees and may include adviser commissions.

Return on Equity (ROE)

Return on Equity (ROE) is a measure of financial performance calculated as net income divided by equity.

Return on Investment (ROI)

Return on Investment (ROI) is a performance measure used to evaluate efficiency of an investment.

S

Salary sacrifice

Salary sacrifice is an arrangement where you ask your employer to direct part of your before-tax salary into your super account. This reduces your taxable income and increases your concessional super contributions.

Software as a service (SAAS)

Software as a service (SaaS) is a distribution model used to license and deliver software applications over the internet.

Superannuation guarantee (SG)

The super guarantee (SG) is the minimum amount of super employers must pay to their employees. The SG rate is 12% as of July 1, 2025.

Small and medium-sized enterprise (SME)

Small and medium-sized enterprises (SMEs) are businesses with a relatively small numbers of employees and lower revenue compared with large corporations.

Self-managed super fund (SMSF)

A self-managed super fund (SMSF) is a private financial structure for saving for retirement.

Society for Worldwide Interbank Financial Telecommunication (SWIFT)

The Society for Worldwide Interbank Financial Telecommunication (SWIFT) is a global messaging network used by banks and financial institutions to securely send and receive information about financial transactions.

Stagflation

Stagflation is an economic environment where inflation remains high while economic growth slows and unemployment rises. It can put pressure on households, businesses and investors as living costs increase, but the economy struggles to gain momentum.

T

Target market determination

A target market determination (TMD) is a document that clearly outlines which group of people a specific financial product is best suited for, based on their goals, financial situation, and needs. It also explains how the product should be marketed and sold, and when it will be reviewed to ensure it remains appropriate.

Tax file number (TFN)

A tax file number (TFN) is a unique number issued by the Australian Taxation Office (ATO) to individuals and organisations.

Term account

For an investor, a term account generally refers to a structured investment in a loan or credit facility with a fixed maturity date, where the investor provides capital to a borrower (usually a private company) and earns returns over a defined period. Private credit term accounts are not guaranteed under the Australian Government's Financial Claims Scheme (FCS).

Term deposit (TD)

A term deposit is a type of savings account offered by banks and financial institutions where you deposit a fixed amount of money for a set period of time (the "term") at a predetermined interest rate. Term deposits are guaranteed under the Australian Government's Financial Claims Scheme (FCS), provided they are held with an Authorised Deposit-taking Institution (ADI).

Ten-bagger

A ten-bagger stock is an investment that grows to be worth ten times the price you paid for it. It's investor-speak for a rare, home-run stock that delivers massive long-term returns.

Total and permanent disability (TPD)

Total and permanent disability (TPD) insurance cover pays a lump sum if you become totally and permanently disabled.

Transition to Retirement (TTR)

Transition to Retirement (TTR) is a strategy allowing access to super while still working.

V

Vocational education and training (VET)

Vocational education and training (VET) provides workplace skills, technical knowledge and qualifications for rewarding jobs and careers.

W

Work health and safety (WHS)

Work health and safety (WHS) refers to regulations, policies and practices that ensure the health, safety and welfare of employees in the workplace.

Wage price index (WPI)

The wage price index (WPI) measures changes in the cost of wages and salaries over time in Australia.

Why this glossary matters

What is the purpose of this financial terms glossary?

This glossary helps readers decode common financial terms and jargon used in banking, investing, superannuation, insurance, and financial media. It's designed to make financial literacy more accessible to everyone.

Who should use this glossary?

Anyone looking to better understand financial terms - whether you're a student, investor, professional, or simply trying to make sense of your bank statements or super fund reports.

How often is the glossary updated?

The Moneymag.com.au team updates this glossary regularly to reflect changes in financial regulations, emerging industry terms, and reader feedback.

Where can I learn more about personal finance topics?

Visit Moneymag.com.au for expert articles, guides, and news on budgeting, investing, superannuation, tax, and more.

Can I suggest a financial term to be added?

Yes! If you notice a missing acronym or term, you can contact the editorial team via the website's contact form.

Is this glossary suitable for beginners?

Absolutely. Each acronym is explained in plain English, making it easy for beginners to understand complex financial concepts.

Why is understanding financial terms important?

Finance terms are everywhere - from your payslip to your investment portfolio. Knowing what they mean helps you make informed decisions and avoid costly mistakes.

I met someone recently at a party who told me that his daughter had scored an ATAR of 97.8 in Year 12.

I congratulated him and asked what she was studying.

He told me she didn't get into medicine, but was studying medical sciences, with the aim of transferring into medicine.

I could feel the high expectation and pressure on his daughter.

I understand how important it is for children to do well at school.

It will hopefully lead them to further study, to achieve a qualification that ensures they have interesting work and are financially secure.

It is normal for parents to be concerned about their school-age children's academic performance.

And this concern has spawned a billion-dollar tutoring industry, with one in seven Australian school students having tutoring, according to a report by University of Sydney academics Ben Zunica, Bronwyn Reid O'Connor and Katherin Cartwright.

They estimate there were as many as 80,000 private tutors working in 5000 tutoring businesses in Australia in 2024, as competition between students intensifies.

Certainly, tutoring can give kids an edge.

It can help them perform within tight timeframes, such as exams. The right tutor can help school children catch up if they have fallen behind, teach them valuable study skills or help them prepare for exams.

I remember finding out that one of my child's primary school friends was being tutored in most subjects.

I was surprised but started thinking that I should be doing the same for my children, but decided they were too young to spend time after school and on weekends being tutored in maths, science and English.

They were already dealing with plenty of homework.

In my mind, tutoring was more for secondary students in the lead-up to final high school exams, to deal with any gaps in their subjects, in particular maths.

Why tutoring is starting in primary school

It doesn't work that way anymore.

Primary students are under pressure to perform well academically in NAPLAN tests as early as Years 3 and 5, or to sit exams to be chosen for a selective school or a scholarship to a private school.

Parents are paying big money and they want results.

Some children have multiple weekly tutoring sessions for 18 months before the competitive selective schools test, according to Christina Ho, associate professor in social and political sciences at UTS.

Ho is following 38 families with upper primary children preparing for the selective schools exam.

Parents are spending thousands, but how do you know it's worth it?

Tutoring can be a bit of a free-for-all.

The nature and impact of tutoring can be hard for parents to assess.

"Parents seeking high-quality tutors are left to navigate a marketplace where anyone can advertise services, delivered online or in private homes, without demonstrating qualifications or accountability," says Zunica, lecturer in secondary maths education.

For me, it was word of mouth when I was looking for an English tutor for one of my children when she was studying for the HSC.

I came across a young university student whose credentials were a high mark in his final English exam.

But he wasn't a teacher and didn't work out.

Then I heard about an English teacher who took a small number of students.

She could identify what my child needed to work on and there weren't too many sessions needed.

The Australian Tutoring Association, a private tutoring organisation, recommends asking a prospective tutor about their qualifications and experience in the subject.

How long have they been tutoring or teaching this subject?

Also, find out if they have a university qualification in education.

You want to make sure they understand the requirements of the Board of Studies in your state or territory.

Look at case studies, testimonials and reviews on their website, too.

The cost of tutoring

How much tutors charge depends on their experience and qualifications. Teacher-trained tutors typically charge $55 to $180 per hour, according to the Australian Tutoring Association.

One-to-one sessions are more expensive than joining a tutoring class or signing up for online tutoring.

If it is a one-on-one arrangement, ask the tutor to assess your child and give you an idea about how long they will need tutoring and much you can expect to pay for tuition.

If it's group tuition, find out if there are discounts for attending a certain number of tuitions, say 10 sessions.

Not all children respond well to tutoring, so be clear about a refund policy if your child is unhappy or if they want to cancel the tutoring. How much notice do you have to give in order not to be charged for the session?

New tax cuts, payday super, minimum wage increases, free electricity offers and tougher anti-scam protections are among the measures set to take effect.

Here's what you need to know.

Payday super starts from July 1

More than three years on from the federal government's original announcement, payday super will finally come into effect on July 1.

Under the new rules, employers will need to pay employees their superannuation guarantee at the same time they as they are paid - whether that's weekly, fortnightly or monthly.

As things currently stand, employers can elect to make payments on a quarterly basis.

The reform is designed to help crack down on instances of unpaid super, but it also has the potential to boost retirement balances for members who will receive more regular contributions.

Higher tax begins for super balances above $3 million

Australians with relatively large superannuation balances will pay a higher rate of tax on their earnings from next month.

The new Division 296 rules, which passed parliament in March, will see earnings on total super balances exceeding $3 million taxed at an effective rate of 30% (up from 15%) from July 1.

Balances over $10 million will also face a higher tax rate (40%, up from 15%) on the proportion of earnings that exceed that mark.

New SMS scam protections start on July 1

Ever received a fishy text claiming to be from AusPost or myGov? Well, Australians should find it easier to spot SMS impersonation scams when new rules kick in on July 1.

Going forward, texts sent using an unregistered branded sender ID (like the name of a business or organisation), will be labelled as 'unverified' and grouped in a single thread.

Messages from legitimate, registered senders will appear normally in their own threads though.

Nearly $18 million was lost to SMS scams last year, the Australian Media and Communications Authority says, with scammers commonly impersonating major brands to trick consumers.

New $1000 instant tax deduction starts

Proposed earlier this year and outlined in more detail in the recent federal budget, the government's $1000 instant tax deduction will commence on July 1.

The measure will allow taxpayers to claim an tax deduction worth up to $1000 without providing the usual receipts.

Claims above that amount will still need proof though.

While the new measure will apply to deductions in the 2026-27 financial year, taxpayers won't be able to make use of it until they start putting together their tax returns from mid-2027.

New income tax cuts

Taxpayers are set to keep more of their earnings from next month when the first part of a two-stage income tax cut comes in to effect.

From July 1, the 16% tax rate (which applies to income between $18,201 and $45,000) will fall to 15%.

The rate will then drop again to 14% in July 2027.

The government suggests that the cuts will save people up to $268 in the first year, then up to $536 every year from July 2027 onwards.

Electricity price changes 

Electricity prices are set to drop for the majority of households on the Default Market Offer (DMO) in New South Wales, South East Queensland and South Australia.

From July 1, households on flat-rate DMO offers will see prices fall by up to 5% in New South Wales and 7.2% in South East Queensland. They will increase by 1.4% in South Australia.

Customers on time of use plans will see prices drop by up to 7.7% in New South Wales, 10.7% in South East Queensland and 1.1% in South Australia.

Less than one in ten households are on DMO offers though, so customers on other plans may need to watch out for price increases from their energy retailers.

Free electricity offer launches for eligible households

From the start of next month, eligible households in New South Wales, South East Queensland and South Australia (the areas covered by the DMO) will be able to tap into free electricity through the new Solar Sharer Offer.

The offer will provide three hours of free electricity in the middle of the day when solar generation is most abundant.

In New South Wales and Queensland, the window will be between 11am and 2pm, while in South Australia it will be from 12pm to 3pm.

The offer may make sense for households who are able to shift their energy usage to coincide with the free electricity window, but prices outside of that period are expected to be more expensive than with other plans.

Minimum wage rises to $26.44 an hour

Millions of workers will take home more in their pay packets next month following a recent decision by the Fair Work Commission to raise minimum wage rates for modern award earners by 4.75%.

Meanwhile, roughly 100,000 of the lowest-paid workers in Australia will see their wages increased by 5.97% in the coming weeks.

From July 1, the national minimum wage will rise from $24.95 per hour to $26.44 per hour.

For someone working a 38-hour week, that means their pay will increase from $948 to $1004.90.

Paid parental leave expands to 26 weeks

Families of children who are born or adopted from July 1 will be able to access 130 days (26 weeks) of government-funded pay under the Paid Parental Leave scheme.

That's up from 100 days in the 2023-24 financial year and 120 days in the current financial year.

The amount of leave reserved specifically for partners will also increase from 15 days to 20 days from July.

This leave is meant to encourage both partners to take time off and expires if it's not used.

Since July last year, recipients have also received superannuation on their paid parental leave at the super guarantee rate of 12%.

New supermarket price-gouging laws begin

New laws aimed at banning price gouging on groceries by supermarkets with annual revenue greater than $30 billion (i.e. Coles and Woolworths) will come into effect from July 1.

The government says that the laws, which were passed in December, will prohibit charging prices that are, "...excessive when compared to the cost of the supply plus a reasonable margin."

Exactly what that will mean in practice remains to be seen, with the Australian Competition and Consumer Commission set to be responsible for enforcing the policy.

Petrol prices could top $1.80 a litre

Fuel excise relief is being wound back from July

The fuel excise relief introduced in March was due to expire on June 30.

It has been extended by another month though not to the same value.

The current 32 cents a litre excise discount will be slashed to 16 cents in July, and cut out altogether at the start of August.

The scaled back relief is still expected to see Australians save around $11 on a 65-litre tank of fuel.

Motoring association - NRMA, says the price of a litre of unleaded petrol is likely to rise above $1.80, up from an average of about $1.65 in June, once the excise cut is halved.

Diesel prices could top $2.10 per litre, up from around $1.97 at present.

Of course, a lot hinges on the full reopening of the Strait of Hormuz - a major oil shipping route.

NRMA spokesman, Peter Khoury, says global oil prices have been falling: "The hope is if the peace deal holds and the strait opens we will see further falls."

ATO warns against lodging tax returns too early

Early lodgers are twice as likely to need amendments

In these cash-strapped times it's tempting to lodge your tax return ASAP and pocket a juicy refund sooner.

But the Australian Tax Office (ATO) is warning 'not so fast!'.

Lodging your tax return as soon as the calendar flips to July 1 brings the risk of incomplete and inaccurate returns, which can trigger a 'please explain' from the ATO.

The ATO pre-fills information into your tax return based on data gathered from your employer, banks, government agencies and health funds.

It takes time for all these organisations to pull together accurate data and send it to the ATO.

So, lodging your tax return early can mean getting these details wrong.

Last financial year, taxpayers who lodged before pre-fill details were available were more than twice as likely to have their returns amended.

That saw the ATO correct more than 140,000 individual tax returns where discrepancies appeared in employment income, interest, dividends, welfare payments, Medicare levy exemptions and private health insurance.

ATO Assistant Commissioner Anita Challen says taxpayers can save time and effort by waiting until all their pre-fill is available.

"Many taxpayers assume getting in first means getting a faster refund, but that is not always the case," explains Challen.

"Early lodgment increases the likelihood of missing information and mistakes being made, which can delay processing and require amendments."

The ATO recommends waiting until late July. By this stage, most pre-fill information is available.

NSW hits property underquoting with $110,000 fines

Homebuyers will gain more pricing transparency

The NSW Government has passed legislation cracking down on real estate agents underquoting homes listed for sale.

The new laws lift the penalty for underquoting from $22,000 to $110,000 or three times the agent's commission, whichever is greater.

Businesses that engage in dummy bidding at auctions will face a $110,000 penalty, up from $55,000.

In practical terms, it means no more homes advertised for sale with 'contact the agent' rather than stating a clear price.

Agents will also have to provide a Statement of Information (SOI) that shows how they arrived at the selling price, including comparable sales and the suburb's median sale price.

It's all designed to prevent prospective buyers wasting time on properties outside their budget.

The changes come six months after Victoria tackled underquoting through 'comparable property' guidelines, which call on agents to select three recently sold properties in the local area to compare against when setting an estimate of a home's selling price.

Robodebt victims to share $475 million payout

Australia's largest class action reaches final stage

This week saw the Federal Court approve a $475 million compensation payout to be shared between 125,000 registered Robodebt victims.

A further $60 million will go to funding administration of the payouts, and an extra $13.5 million is earmarked for legal fees.

Law firm Gordon Legal, says the new settlement (totalling $548.5 million) is in addition to the $112 million paid in the original class action, plus Robodebts forgiven, cancelled or repaid.

This final judgement will see more than $2.4 billion clawed back for the benefit of Robodebt victims.

The disastrous Robodebt scheme, which ran from mid-2015 to late 2019, saw Centrelink aggressively pursue hundreds of thousands of Australians for 'overpayments' of social security payments calculated using income averaging.

ASIC exposes car loans with rates as high as 22%

Some borrowers paid more than $9000 in fees

Following an increase in complaints about car loans, the Australian Securities and Investments Commission (ASIC) checked out 350,000 loans across eight car finance providers, including some of Australia's largest.

The results are not pretty.

ASIC found interest rates on car loans can range from 10% to a whopping 22%.

Loan fees can be punishing too, with establishment fees ranging from $299 to $995, plus a distributor establishment fee ranging from $912 to $2500.

One lender imposed a third fee, with one customer paying over $9000 in fees on a $49,162 car loan.

This included over $7800 in fees to the lender and $1320 to the broker - around 18% of the total loan amount.

Hardship provisions can also be sketchy.

In a sample of 250 loans where cars had been repossessed, 90% of consumers still owed over half their total loan amount, and in some cases over 100% of the loan amount.

ASIC Commissioner, Alan Kirkland, says, "'If a large proportion of customers are falling behind on repayments early, it raises serious questions about whether those loans were appropriate in the first place and how lenders conduct their affordability checks."

ASIC's intervention has already driven some changes across the car finance sector,  but it's a cue for motorists buying a car to take a good look at the fine print - and fees - of any car finance they sign up for.

Reader question

My name is Qi and I'm a long-time reader of Money. My life - and my financial situation - is unconventional and I would value your advice.

I'm 37 and a few years ago I transitioned from a career as a lawyer to fine pastry making. My goal is to be a master craftsperson, like my grandfather.

Financially, things look stable on paper.

No debt aside from HECS.

A paid-off apartment valued at about $800,000.

Super of $198,000, with a $300 contribution per fortnight.

Cash savings of $64,440 in Australia and £56,000 ($105,000) in a UK account.

ETF investments of $8000, with $500 invested per fortnight.

However, my lifestyle means I often spend two to three months at a time with little to no income.

My biggest concern isn't for myself, but for my mum who is in her mid-60s. She liquidated her savings and super to give to my dad, who 'invested' it all in a pyramid scheme. They are separated now and I want to ensure I can support her, if needed.

I'm unsure how best to plan for that, given my lifestyle.

So how should someone like me, who values learning and mobility over stable income, structure their finances? What would you suggest I do with my savings? How do I balance long-term security with a non-linear career?

I do hope to start my own business, but for now my focus remains on developing mastery in my craft. I want to have lived a rich life, but also be able to later on financially support my mum. - Qi

Paul's response

Goodness, Qi.

I think that at the age of 37 you have already lived a very rich life.

What a good call on your part to build investments and pay off your apartment, rather than focusing on paying off an interest-free student loan (HECS).

Who knows, as a master craftsperson, you may well end up with a chain of profitable stores, in which case your student debt would soon disappear anyway.

As I am sure you have calculated, with money you control what you can.

Where you have saved me many words is that you have used your logical lawyer's mind to build a financial plan as good as I could produce, and probably better.

Buying and paying off an apartment was so important. Living your dreams is one thing, but if things go wrong later in life through health or misfortune, living in a car is not fun.

I am sure you knew this before you made your call to become an apprentice fine pastry maker.

Your apartment gives you security for your lifetime accommodation. It will grow in value over time and, of course, can be rented if you are overseas for longer periods, generating valuable cashflow.

Then you have your super of $198,000 and, very sensibly, you are adding $300 a month. If you follow this strategy, based on very long-term investment returns, you'll have about $1.5 million at age 65.

You also have cash of $64,440. With the recent rate rise that should be earning about 4.8% and, with your long periods of low or no income, it's a sensible cash reserve.

There is also your £56,000 ($105,000).

Looking at your ETF investments with your extra $500 a fortnight, if you keep doing that, without indexing the $500 a fortnight, history indicates that your ETF investment would grow to about $1 million in today's money.

Frankly, all you need to do is keep doing what you are doing and you not only have a creative career, but a clear path to financial security.

All this assumes your career as a craftsperson. Continuing with lifetime learning does not generate much additional income.

I appreciate that you have gone down a somewhat unconventional path, but it sounds like a lot of fun.

I often hear from people who are living their passion, but few are as well organised as you are.

I could suggest investing some of the cash you have here and in the UK, but in those times when you earn very little, I'd prefer you kept up your regular contributions to super and ETFs.

Let's talk about your mum.

I am devastated that she gave her savings and super to your father.

I am assuming she owns a home and, with no savings, at her likely qualification age of 67 she will draw a full Age Pension, with pensioner health benefits. This would come to about $31,000 a year.

An option for her when she receives her pension is to apply for the Home Equity Access Scheme.

This is a terrific product, providing a pensioner clearly understands how it works.

The government currently charges a modest 3.95% p.a. on the amount borrowed, secured against her home, which can be up to a maximum of 150% of her pension.

Obviously, the amount a pensioner draws, plus the 3.95% interest, must be repaid. This is usually done on the sale of the home or from the estate.

Here your training will be very valuable to your mum.

I would doubt a pensioner would need to borrow another 150% of the pension. But let's say she borrowed about 50% of her pension, an additional $15,000 a year. This would make a huge difference to her lifestyle.

I don't see you needing to inherit her home. Your financial path looks solid.

But you may have siblings who need this money in years to come. Those personal matters I will leave to you, but the Home Equity Access Scheme is worth a look.

Another path is that based on your projected assets at age 65, you could provide her with an extra $13,000 a year, which I appreciate is a number I just made up, by pausing your $500 a fortnight into ETFs.

This $500 a fortnight will be important to you in decades to come.

You're a lawyer, you could document this and treat it as a reverse mortgage supplied by you and repayable from the estate.

But I think the first port of call is the Home Equity Access Scheme.

Qi, I have much enjoyed pondering your question.

But most of all, I admire you quitting a powerful job with high financial rewards to follow a life as a master craftsperson, particularly in pastry.

I do love pastry, and my very best wishes to you and your mum.

What to read next

• How much super do you need for a comfortable retirement?
• Ask Paul: Should I pay off HECS or save for a home?
• How does a reverse mortgage work in Australia?
• Why family finances work differently for migrants
• Four questions you need to ask yourself before changing jobs

As consumers, we have the right to buy whatever is on the shelves that meets our needs.

That raises two questions: 'What is the right purchase for us?' and, more fundamentally, 'Do we really need the purchase at all?'

For example, many of us are tempted to buy more clothing than we really need.

As a result, globally, we bought 60% more garments in 2014 than in 2000 and kept the clothes for only half as long.

The environmental impact of the clothes we use or don't use, keeps piling up.

The fashion industry is second only to agriculture in its use of water and is responsible for 2% to 8% of global carbon emissions. Six out of every seven tonnes of the textiles it uses goes to landfill in the same year. Washing synthetic clothing sends microplastics to the ocean.

Similarly, while an estimated 733 million people are still going hungry, about 27% of all food produced is lost as wastage through the supply chain, and another 50% of what's left is lost after it reaches retail shelves.

Food waste in landfills alone contributes 8% to 10% of agricultural carbon emissions.

Obviously, we need clothes and food, but we might reconsider those needs from time to time and how they are fulfilled. We might decide that the carbon footprint of red meat or petrol cars is just too high.

Or, that a sustainably sourced and sold T-shirt is worth a little more than a T-shirt whose cotton comes at a heavy ecological cost and whose tailoring comes at a heavy human cost.

Or, that we can fully use what we buy and not let it rot at the back of the fridge or cupboard.

Ignorance may be bliss, but if you're reading this it's unlikely to be enough. How can we find out what's going on without losing our weekends and without losing optimism?

The main questions seem to be:

What everyday items might you avoid or reduce buying? 

When you go into the facts, there's plenty of downside to farmed salmon, very cheap clothing and disposable coffee cups.

We'll need them from time to time, but we would argue against making them an indispensable part of your world.

Are your go-to retail brands part of the problem or part of the solution?

We give a large slice of our weekly budgets to grocery stores, banks, energy companies, phone companies and the like.

Similarly, we put a large slice of our income to expensive one-off purchases like a car or refrigerator. S

ome of these companies are making an effort to reduce their social and environmental impact, others less so.

How can you check who does what?

What can you do to help level the playing field for companies that are seeking solutions?

At the moment, companies that responsibly bear the real cost of their business are undercut at the checkout by those who do not.

We argue that the best companies will win in the end, but a lot of harm is being done by their competitors in the meantime.

Letting companies know what you think may be one thing, but in the end only regulation can set a level playing field.

However, that regulation may just be the lowest bar the government believes it can set at the time, and not necessarily the standard needed to address the issues.

A shortcut may be to do an ESG 'stocktake' every year or so.

Look up the ESG ratings of the companies you buy from, or might consider, and see which of them are leading or improving, which means they are taking sustainability seriously, and looking to minimise avoidable harm where possible.

Make choices based on either their total ESG rating, or if you prefer the social, environmental or governance rating, depending which means the most to you. Stick with your choices for the year, and then take a look again next year.

Alternatively, you could see whether your company is certified by B-Corp. B-Corp Certification of a business indicates that it meets performance, accountability and transparency standards on all sorts of ESG factors, from employee benefits and charitable giving, to supply chain practices and input materials.

Seeing through greenwashing

If a company claims that its product is 'sustainable', then that claim must be substantiated by someone else whose word can be trusted. In most industries, there are frameworks for third-party certification that the product is being made or grown in a reasonably sustainable way.

If there is no such verification, then ignore the claim, and treat the product and the company that makes it with a little more suspicion.

Then there are the advertising campaigns by whole industries who want to keep things the way they are - profits for them, and losses (of natural, social, human or financial capital) for others. They are 'externalising' the costs - imposing them on others, while 'internalising' the profits.

Or, as the saying goes, 'private gain and public pain'.

The examples of dishonest campaigns since consumerism really kicked in after World War II are legionary and legendary.

In 1946, in response to an epidemic of lung cancer, the R. J. Reynolds Tobacco Company advertised through newspapers and medical journals that "More doctors smoke Camels than any other cigarette".

While asbestosis was formally identified in the 1930s, asbestos was advertised as the 'magic material' to protect farms and homes well into the 1970s.

In 2011, the industry peak body Clubs Australia fought back against any form of restrictions on poker machines on the basis that it was 'un-Australian'.

That may be true given that Australians then (as now) comfortably led the world in gambling losses per capita, but we're not sure that's what the campaign meant.

Those campaigns are now being reined in, on some platforms.

In 2021, Google announced that it will "prohibit ads for, and monetisation of, content that contradicts well-established scientific consensus around the existence and causes of climate change".

Your responsibility, not ours

There's another industry sleight of hand it is worth keeping an eye on. Rather than an industry taking responsibility for the public losses it may cause, it blames you - in the nicest possible way, of course.

Consider what all the following campaigns have in common.

Support from the fast-food industry for a personal fitness campaign 'Life. Be in it'.

A campaign by BP for us to all measure a new thing called our 'carbon footprint'.

A campaign by plastics companies to 'Do the Right Thing' when it comes to putting our garbage in the bin.

A campaign by the gambling industry to 'gamble responsibly'.

A campaign by the global alcohol industry to 'drink responsibly'.

What they have in common is that a complex public challenge is reduced to personal responsibility.

These industries seem to be saying 'If you are worried about what climate change/obesity/plastic pollution/gambling/alcohol is doing to your society or environment, watch your carbon/sugar/plastics/gambling/drinking manners. We'll just focus on what we do best: selling carbon/sugar/plastics/odds/drinks.

And, while we're doing that, we'll push back hard against any attempt to regulate our industries.

Avoiding harm 

All is not lost, however. There are some simple choices that do nothing to affect one's quality of life but help reduce social or environmental harm.

On the environmental front, we can all think twice before using single-use plastics, cheap gadgets, 'disposable' clothing, styrofoam and other non-recyclable plastics, single-use batteries, chemical-laden cleaning products, paper towels, non-recyclable coffee pods and air fresheners.

A quick web search will offer any number of lists.

As we noted earlier, throwaway clothing may be the most problematic item.

We'd also like to make mention salmon. It may seem an environmentally friendly protein alternative to red meats, but unfortunately that is unlikely to be the case.

In his ground-breaking book Toxic, author Richard Flanagan sets out the grim existence of retail salmon that is factory produced in marine pens.

Their nitrogen-rich diet is defecated by the tonne, obliterating all sea life around them. Lacking open sea nutrition, the fish are limp grey when harvested, and dyed pink to the retailer's order.

On the social front, we can think twice about cheap gadgets and the sources of our electronics, food, footwear, jewellery, toys and furniture. All these industries have several examples of child or slave labour being used to make the products.

Slavery is not a thing of the past.

The non-profit organisation Walk Free estimates that 50 million people were working in slavery in 2004 including 28 million people in forced labour and 22 million in forced marriage.

About one in five were in working under conditions of forced commercial sexual exploitation, and about one in 10 were children. Alternatively, people are working in wealthier countries like the US, the UK and Australia under conditions of modern slavery: they may not have full working visas, and work to survive without any union or regulatory support.

Checking out your brands

At the time of writing (late 2024), the brand identity of Tesla was hitting some road bumps.

Tesla cars led the world in performance electric motoring, and in home batteries to store electricity generated from rooftop solar. Now, the very people who are most likely to buy those things - wealthier people who are concerned about climate change but appreciate good design - are embarrassed that their expensive and much-loved cars bear the brand of Elon Musk.

Musk's political values appear far from those he had when founding the company, and far from those of his customers.

Re-branding stickers are selling like hotcakes, declaring 'I bought this before Elon went crazy', or 'Anti-Elon Tesla Club', 'Elon eats my cats', or simply 'I regret this purchase'.

Tesla, it must be remembered, was at one point in 2021 valued at more than the rest of the global auto industry put together.

et even then there were signs all was not well with the company.

Despite very high environmental ratings, its overall ESG ratings were very low - below even that of Chevron, a major fossil fuel company.

This upset Musk, who decried ESG as 'the devil incarnate'.

But Tesla's low performance on governance issues (too much power in the hands of the chief executive) and social issues (worker disputes and conditions) were perhaps a sign of things to come.

It's rare that such a major brand has been dropped so quickly and completely by its own customers.

In the same industry, Volkswagen (VW) lost customer support when it was found to have cheated on its emissions testing.

In 2015, VW admitted to the US Environmental Protection Agency (EPA) that it had used 'defeat devices' in its diesel cars to disguise actual emissions data, enabling it to meet emission targets and regulatory standards. The actual emissions were up to 40 times more than that recorded by the cars' software and in testing.

When the EPA notified markets that it was halting certification of VW's 2016 models, VW's global share price fell 38.2%, and its earnings per share fell 382% (that is, a previous profit turned into a loss 2.82 times as great).

Nudging change

Companies do respond to customers.

It may not be immediate, or exactly what you're looking for, but your voice adds up.

An NGO may be running a campaign against a government and/or industry on the issue that concerns you.

Joining campaigns in whatever works for you is another way of nudging for change.

Governments respond too, hard as that may be to believe at times. So, if you want something done, you may need to get in touch or even get involved.

This is an edited extract from Chapter 15, 'Buying things without harming others', from ESG Unlocked: How successful companies and investors can build our natural, social, human and financial capital. (De Gruyter, $45). Enter now for your chance to win a free copy.

On this episode of the Friends With Money podcast, Money's Tom Watson is joined by Greg Elias, senior private client adviser at UniSuper.

They discuss the steps you can take before June 30 and the upcoming super changes worth knowing about.

Episode timestamps

00:00 Introduction

01:44 Making a concessional contribution

05:35 Contribution caps explained

06:18 The benefits of salary sacrificing

09:00 Division 296: who it affects and what to know

12:01 What are the payday super changes?

15:03 Market volatility and superannuation

18:40 Common EOFY mistakes

20:38 Conclusion

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Friends With Money podcast FAQ

What is the Friends With Money podcast?

Friends With Money is a weekly personal finance podcast by Money magazine, offering expert insights on investing, budgeting, superannuation, property, and other money strategies for everyday Australians.

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You can listen on Apple Podcasts, Spotify, or YouTube (with closed captions available).

Who hosts Friends With Money?

Episodes are hosted by Vanessa Walker and Tom Watson from Money magazine, featuring expert guests and real conversations about money.

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What topics does the podcast cover?

The Friends With Money podcast covers topics including banking, property, budgeting, superannuation, investing, saving, insurance, employment, travel and more.

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Boost your financial literacy anytime, anywhere with the Friends With Money podcast from Money magazine. Whether you're commuting, working out, or relaxing at home, this weekly podcast makes it easy to grow your money knowledge on the go.

Each episode dives into real conversations about money - how it's earned, shared, saved, and grown - with tips and insights that make finance simple and relatable. Perfect for beginners and seasoned investors alike, it's your go-to guide for building better financial habits.

Subscribe to the Friends With Money podcast today and start learning when it suits you.

Almost everyone has done it.

In an effort to save money, we've bought something cheap that didn't last, stocked up on things we didn't need, or turned leftovers into a meal nobody would eat.

Sometimes being frugal works brilliantly. Sometimes it backfires.

From damaging your car with the wrong fuel to filling your home with "free" clutter, here are seven money-saving habits that ended up costing more in the long run.

1. The driving trick that no longer saves fuel

In my twenties, I was travelling in the mountainous province of Lanzhou in Northern China, and the bus driver turned his engine off most of the way down.

Scared? I was terrified.

Some drivers still shift into neutral on downhill stretches to save fuel.

But experts warn the trick no longer delivers meaningful savings and could increase wear on your vehicle.

According to motoring expert Toby Hagon, shifting into neutral is a classic false economy.

"Years ago, you could have saved money switching to neutral," he said.

"But modern engines are designed not to use any petrol at all when not in use. Further, every time you switch in out and of gears, you put pressure on your gearbox - and that will eventually mean you will need to get it serviced sooner."

2. Why cheap petrol isn't always cheaper

Choosing the cheapest fuel can save money at the pump, but using the wrong fuel for your vehicle could lead to costly repairs and even affect your warranty.

According to Hagon, studies show that cars generally get more mileage out of more expensive petrol, but if the higher-end petrol is too expensive, there is no way to recoup the expense.

To work out the most cost-effective fuel for your vehicle, he advises drivers to fill up with 3-4 litres of a particular type of petrol, monitor the mileage, calculate the cost, then fill up and repeat with other types of petrol.

But Hagon cautions it is false economy to fill up with cheaper fuel if your car requires premium unleaded.

"Many European models specify premium unleaded, and this is because Australia's lower-priced fuels often have a higher sulphur content than the engines are designed for," he said.

"You could damage your motor and void your warranty by filling up with cheaper fuel."

3. The cleaning hack that can damage your home

I'm a huge fan of using affordable, natural cleaners, including vinegar and bicarbonate of soda.

On their own, they are powerful, but when combined the acid and alkaline properties creates a chemical reaction that can clear blocked drains, remove stubborn stains and save burnt pans.

Unfortunately, there are times when these ingredients are unsuitable for cleaning.

You should avoid using vinegar, for instance, when cleaning French polished furniture, wooden flooring or granite and marble surfaces.

Experts also advise not to use vinegar as a rinse aid in your dishwasher as it can break down the rubber gaskets and hoses.

Always follow your manufacturer's instructions and use appropriate products.

And as for bicarbonate of soda, let's just say that my oven has never recovered since I cleaned it with bicarb.

In theory, bicarb is great at removing baked-on grease.

But despite the many TikTok clips proclaiming the virtues of using bicarb for cleaning ovens, my oven walls are covered in powdery, white streaks.

4. When homemade cleaners become an expensive mistake

I love innovating and experimenting, and that includes making homemade cleaning products. I've featured several in my book, and I have a Household Hacks section on my website.

Many of them save me hundreds of dollars a year. But that doesn't mean I get it right all the time.

My frugal and eco-friendly homemade dishwashing powder was an epic fail (still hoping to nail it one day).

It didn't dissolve fat and grime properly, the pipes in the dishwashing machine blocked, and the shelves went orange and mouldy.

Meanwhile, friends have reported making homemade washing powder that doesn't work for them.

My good friend, Trish, made several kilos from a recipe (not mine) that made her skin itch so severely she had to throw the lot out.

5. The leftover meal that ended up in the bin

I am committed to reducing food waste and like to find creative uses for leftovers.

Recently, I converted some beyond best-before cream into ice-cream.

The result wasn't a money-saving win. It tasted sour, nobody would eat it, and I ended up wasting not only the cream but all the extra ingredients that went into the recipe.

I invested cream in this recipe and sugar, vanilla, evaporated milk and chocolate syrup, all of which I will throw out unless I can convince hubby to eat it.

In this case, my kitchen creativity was a little off. But you can also get serious food poisoning from eating food that has gone bad.

While I dislike wasting food, if you are unsure how long something has been lurking in the fridge, it is best to turf it. When in doubt, throw it out.

6. The hidden cost of op-shopping

I have a fortnightly allowance just for op-shopping.

I love a good op shop, and find it difficult to go past a store without walking in.

I love the fact that I am contributing to community-based organisations, encouraging sustainability - and getting bargains.

Can you have too much of a good thing? Absolutely.

There are only so many clothes, retro pieces of cookware, china trios and books that you need.

The problem with op-shopping (and I hate to admit this) is that most of the time, purchases are wants rather than needs.  And if I don't really need it to start with, it is never a bargain.

7. Why free stuff can end up costing you

Free isn't always free. Many people end up spending time, fuel and storage space collecting items they never use.

I love my Buy Nothing community so much I'm now an admin.

The sharing economy is great for saving money, and I save hundreds of dollars each year from things that people have given me.

The problem is that it is super easy to comment on items that I don't need, and then when chosen (oh, the joy!), feel obliged to go and collect - even if it is going to become a dust gatherer.

I still have things collected more than five years ago that I haven't used - like an unusual square red glass bowl (I think it's an ashtray - don't smoke), a miniature pan and brush (lost under the sink).

Nothing is ever truly free; you need to invest time and effort to pick items up, store them and dispose of them when you no longer need them.

The moral is that it's fine not to save things from being thrown out. If you don't need it, then you don't need it - even if it's free.

8. Buying in bulk and throwing half of it away

Buying in bulk is often held up as one of the easiest ways to save money.

Larger pack sizes usually work out cheaper per unit, and warehouse stores can offer significant discounts.

The catch? You only save money if you actually use what you buy.

I've lost count of the number of times I've stocked up on a "bargain" only to discover months later that half of it had expired in the pantry or freezer.

From family-sized packs of snacks to bulk cleaning products and giant bags of produce, it's easy to overestimate what you'll realistically use.

The same applies to sales. Buying three of something because it's half-price isn't a saving if you only needed one.

A good rule of thumb is to ask yourself: would I still buy this quantity if it wasn't on special? If the answer is no, it may not be a bargain after all.

9. Choosing the cheapest option every time

There's a difference between getting value for money and simply buying the cheapest product available.

I've learned this lesson the hard way with everything from kitchen gadgets to shoes.

A low upfront price can be appealing, but if the item breaks quickly, performs poorly or needs replacing sooner, you may end up spending more in the long run.

The same principle applies to services.

Choosing the cheapest tradesperson, appliance or insurance policy can sometimes mean paying for repairs, replacements or unexpected costs later.

That doesn't mean the most expensive option is always the best.

But before you buy, it is worth looking beyond the price tag and considering durability, quality and ongoing costs.

Sometimes paying a little more today can save you a lot tomorrow.

Bottom line

Frugality isn't about spending the least amount possible.

It's about getting the best value from every dollar.

Before you buy the cheapest option, rescue a freebie or try a money-saving shortcut, ask yourself one simple question: will this genuinely save money, or will it cost me more later?

That's often the difference between being frugal and falling into a false economy.

ATO letters are landing in mailboxes across Australia, warning hundreds of thousands of taxpayers that the tax office already has access to a growing amount of financial data.

The warning has sparked concern online, with many Australians questioning whether the correspondence is genuine. Tax experts say it is, and that it reflects the ATO's increasingly sophisticated data-matching capabilities.

While receiving a letter doesn't mean you've done anything wrong, it serves as a timely reminder that mistakes, omissions and unusual claims can quickly attract attention.

Here are some of the red flags that can put your tax return on the ATO's radar this tax season.

The ATO receives data from a range of third-party sources and can compare that against your tax return.

Before you lodge your tax return, it's worth understanding what information the ATO already has access to and the mistakes most likely to attract scrutiny.

Most Australians will never face an ATO audit. But that doesn't mean the tax office isn't keeping an eye on your return.

Using sophisticated data matching and risk assessment tools, the ATO compares information from employers, banks, government agencies and other sources to identify returns that may warrant closer scrutiny.

Large deduction claims, cryptocurrency transactions, unreported income and significant capital gains can all attract attention. Here are some of the most common red flags that can put you on the tax office's radar.

The ATO doesn't need proof you've done anything wrong to take a closer look.

Often, it is unusual patterns, inconsistencies or transactions that stand out from the norm that trigger a review.

A review doesn't necessarily mean you've done anything wrong. In many cases, the ATO simply wants more information.

But understanding the red flags that attract scrutiny can help taxpayers avoid common mistakes and keep better records at tax time.

The tax return red flags the ATO is watching this year

At its simplest, the ATO will look for risk factors like these:

Reporting and compliance issues

• Failure to lodge tax returns or other required documents on time
• Failure to pay outstanding tax debts
• Incomplete or inaccurate information in tax returns
• Declining or erratic tax performance over several years

Income and deduction mismatches

• Inconsistencies between tax returns and third-party data
• Unusual or high-risk refund claims
• Lifestyle not supported by reported after-tax income
• Results outside ATO benchmarks for similar taxpayers or businesses

Business and investment red flags

• Capital gains transactions, including property, shares and cryptocurrency
• Unexplained losses
• Private use of business assets
• Large, one-off or unusual transactions
• Loans to associates or related parties

Structures and tax planning arrangements

• Complex group structures
• Unexplained flows of funds between related entities
• International or offshore dealings
• A history of aggressive tax planning
• Tax outcomes that appear inconsistent with the intent of the law

This is by no means complete but it gives a flavour of the types of factors which the tax office takes into account.

Broadly speaking, the more risk factors a taxpayer triggers, the more likely they are to be reviewed/audited.

The transactions attracting the most ATO scrutiny

There are certain issues which consistently deliver results for the ATO, either because the law is complex and poorly understood or because the nature of the transaction is particularly prone to non-disclosure, partial disclosure or incorrect disclosure.

If you fall into any of these areas, make sure you are satisfied that the transactions have been correctly disclosed, that your understanding of the law is right or at least reasonably arguable and that you have appropriate records and supporting documentation:

• Capital gains and losses, including profits from shares, investment properties and cryptocurrency sales
• Work-related deductions such as car expenses, home office costs, uniforms and self-education claims
• Whether a profit or loss is of a revenue character or capital in nature
• International transactions
• Trusts, including distributions and loss provisions
• Taking money out of a private company by way of a loan
• Small business benchmarks

What's the difference between a review and an audit?

Review

Because a review can feel (to both the taxpayer and the tax agent) like an audit, this is often mistaken for an audit, but it isn't.

A review is designed to firm up the ATO's initial view of the risk so it is important to note that at this point, the ATO is still approaching the taxpayer (in theory at least) with an open mind and you need to convince the auditor that the risk does not exist in order to avoid an audit.

At this point, the Tax Office will contact you (or your tax agent) and will ask for information in relation to the risk areas they have identified.

They may ask for:

• copies of records, invoices, contracts
• diaries
• records of meetings and conversations
• explanations surrounding the commercial and/or taxation drivers around the suspect transactions

They may provide a bespoke questionnaire, and they may also request formal or informal interviews.

Requests for documents and other information are likely to be informal but if satisfactory and timely responses are not forthcoming, they may use formal access powers.

A review will take on average about six months.

If the auditor is satisfied that the risk does not exist, is not provable or if ATO resourcing does not permit, compliance action may be terminated at this point.

If the risk is established as likely to be real (and if the tax at stake is also significant), the matter will be approved by ATO management to progress to audit.

Audit

This is the place where you do not want to be.

The ATO will write to you to advise that an audit is commencing.

This letter will provide the taxpayer with an opportunity to voluntarily disclose.

This may be the last opportunity to do so whilst suffering the lowest penalty rates.

Before an audit commences, penalties can be remitted by up to 80%.

From this point on, higher penalty rates are likely to apply and the maximum remission available will be 20%.

The ATO will request further documentation, interviews and technical opinions to back up the legality of the transactions undertaken. This may be done informally or using formal powers.

The audit may look at the specific issues first identified in the review (above).

If further issues have been identified at those stages, or if further issues come to light during the audit itself, the audit may open out into a comprehensive audit of the taxpayer's whole situation.

An audit can last up to two years.

What to do if you get audited

• Understand where you are in the process and what product you are dealing with (review or audit)
• Make contact with the ATO auditors. Obtain their names and contact details and give them yours
• Determine the technical issues in dispute
• Determine whether the ATO is still in time to issue assessments (an audit can only commence within two years of the date of lodgement of the tax return, for individuals and some small businesses)
• Quantify the amount of tax/penalties at stake
• Consider making voluntary disclosures if there is something you want to get off your chest!
• Consider whether to settle or argue

How to manage your relationship with the ATO

• Don't wait
• Be perceived as low risk
• Bring in experts if required
• Open clear communication lines
• Build a constructive relationship
• Make sure documentation is in order
• Be proactive. Don't delay and don't tolerate delay from the ATO
• Understand ATO guidelines and policies
• Respond to all communications
• Don't be afraid to escalate to higher levels within the ATO

What happens if the ATO audits you?

Generally speaking, an ATO audit will follow a set series of steps:

• Commencement of the audit, involving notification
• Information gathering
• The issue of a facts/position paper
• The taxpayers response
• The issue of assessments
• Objections
• Settlement and/or alternative dispute resolution (this stage may be reached earlier)

What if you owe an ATO debt

Many taxpayers are convinced that they have done nothing wrong and baulk at paying any assessments which the ATO may raise during an audit.

Nevertheless, by failing to pay, taxpayers leave themselves open to being pursued by ATO debt collectors, who increasingly these days are actually third-party debt collectors acting on behalf of the ATO.

Even though debts are disputed, the ATO will still look to enforce them.

Given the need to collect revenue on behalf of a cash-strapped government, the ATO is likely to be more assiduous in pursuit of such debts than ever.

For taxpayers, the stress of being under audit can be bad enough.

Being pursued by debt collectors can be a step too far.

You should consider offering to pay the tax whilst the amount is in dispute, if not all of it then some of it.

The ATO is open to 50:50 arrangements whereby half the tax in dispute is paid and the other half unpaid.

The ATO will formally accept such arrangements and will not generally pursue the unpaid amount.

Even if you are unable to pay 50%, speak to the ATO debt staff and come to some arrangement with them such that you pay something.

Failure to pay (even where the amount is disputed) or failure to come to an arrangement may lead to formal debt collection action including garnishee notices on bank accounts, prosecution and bankruptcy proceedings.

Penalties

The relevant penalty percentages and penalty units and the types of taxpayer conduct to which they relate are set out below:

If a taxpayer makes a voluntary disclosure before an audit commences, the ATO may reduce tax penalties by 80%.

Even once an audit commences, it is still possible to persuade auditors to apply the 80% penalty remission if the matter being disclosed is either not the subject of the audit or has not been 'discovered' by the auditor.

Once the audit commences (subject to the above comments), the amount of penalty remission will be capped at 20% where a voluntary disclosure is made.

The overall extent of penalties before remission is determined by the behaviour of the taxpayer and their advisers.

Culpable behaviour may lead to penalties being increased by 20%, which may include:

• Taking steps to prevent or obstruct the ATO from finding out about the tax shortfall
• Failing to correct a statement made to the ATO about a shortfall within a reasonable time
• Having a previous shortfall amount

It can affect your tax return, Medicare levy surcharge, government benefits and even how much capital gains tax you pay when selling property. Here are the key tax rules couples should know before lodging this year.

How does marriage affect your tax return?

Four marriage tax rules that could affect your refund

Lodge your tax return separately from your spouse

You don't have to lodge a combined tax return if you're married (as happens in some other countries).

Joint income is recorded separately in each spouse's tax return.

Disclose your spouse and their income 

You need to show on your tax return that you now have a spouse, and disclose his or her taxable income each year.

Prepare for your combined income to be assessed

Your combined income is used to assess whether you pay the Medicare levy surcharge.

For 2025-26, couples earning more than $202,000 without eligible private hospital cover may pay an extra 1% to 1.5% in tax, and it can also affect eligibility for some benefits such as family tax benefits.

Notify the ATO of your new name

If you elect to change your name, the details will need to be updated before your tax return is lodged.

The easiest way to do that is online or you can do it by phone. You'll need to verify your identity with the ATO when you do it, so you'll need documents such as your birth certificate or marriage certificate.

You cannot notify the tax office simply by noting it on the front cover of your next return as used to be the case.

The costly CGT rule many couples don't know about

For homeowners, the biggest tax surprise often comes when both partners own property.

Many couples don't realise getting married or entering a de facto relationship can affect their capital gains tax position.

Normally, you can sell your main residence without CGT.

However, spouses are only entitled to one CGT main residence exemption between them. (This applies once you're treated as spouses for tax purposes, not just legally married.)

If both members of a couple each own a main residence they must either:

• select one residence for the exemption
• apportion the CGT exemption between the two residences.

Provided the homes meet the requirements for the main residence exemption, they will both be wholly exempt from CGT for the period prior to the couple being treated as spouses.

In some cases, the exemption can be split between both properties, but this can reduce how much of the gain is tax-free.

How the CGT rule works in practice

Susan bought a house in 2004.

She lived in it until she married Roger in 2020 at which point they moved into his house, which he had owned since 2010.

Roger's house became their main residence for CGT purposes.

If she chooses to sell her house, Susan will be subject to CGT on her house for any growth in value from 2020 but she will not have to pay CGT on any capital growth in the period before she married Roger.

Can wedding gifts be tax-deductible?

For most couples, property and Medicare levy rules have a much bigger financial impact than wedding gifts.

If your guests choose to make gifts to a charity of your choice as a wedding gift, they can claim a tax deduction for the gift provided it's to a charity registered as a Deductible Gift Recipient.

Tax rules for married, de facto and same-sex couples

The definition of spouse includes both de facto relationships and registered relationships.

Your spouse is another person (whether of the same sex or opposite sex) who:

• is in a relationship with you and is registered under a prescribed state or territory law
• although not legally married to you, lives with you on a genuine domestic basis in a relationship as a couple.

That means that people living in same-sex relationships are now treated in the same way as heterosexual couples for tax purposes.

They now fall under the same rules in areas such as these:

• Medicare levy reduction or exemption
• Medicare levy surcharge
• Main residence exemption for capital gains tax.

From suggesting tax deductions to explaining tax rules, AI is increasingly being used as a digital tax assistant.

But the Australian Taxation Office warns that AI-generated information can be inaccurate, outdated or based on overseas tax laws, leaving taxpayers responsible for any mistakes.

With one in two Australians open to using AI at tax time, the big question is whether the technology can boost your refund, or land you in hot water with the ATO.

"As Australians prepare their tax returns for the 2025-26 financial year, many are navigating a much more complicated income environment shaped by hybrid work, side hustles, digital platforms and AI-driven work opportunities," says Angel Zhong, a professor of finance at RMIT University.

A 2024 Compare Club survey found that one in two Australians would consider using artificial intelligence to help prepare their tax return.

So can AI help boost your tax refund, or is it a shortcut that could land you in trouble with the ATO?

How Australians are using ChatGPT and AI for tax returns

There are at least two different ways that taxpayers are harnessing artificial intelligence to help with their returns: through generative AI tools or via AI-powered tax apps.

For instance, Zhong says that more Australians are using generative AI tools - like ChatGPT and Claude - to provide them with tax deductions related to their role or specific expenses.

There are also a number of dedicated tax apps boasting AI-powered functions such as the ability to search through bank account statements or receipts to find applicable deductions.

When AI can help with your tax return

Rather than dismissing it outright, Mark Chapman, director of tax communications at H&R Block, says that AI can be useful for people wanting to organise their information and get to grips with tax concepts.

"AI can help taxpayers create checklists of documents they need before lodging, explain common deductions in plain English, summarise ATO guidance, or help categorise expenses.

"Someone working from home might ask an AI tool what records they should keep to support a work-from-home claim, while a rental property owner could use it to understand the difference between repairs and capital improvements.

"AI can also be useful for prompting taxpayers to think about deductions or income sources they may otherwise overlook."

It may also help taxpayers organise receipts, understand ATO terminology and prepare questions for a tax agent.

Chapman emphasises that while AI can work well as a research and educational tool, taxpayers shouldn't see it as a substitute for professional advice or as a definitive source of tax law though.

Despite growing interest in AI at tax time, many Australians remain cautious about relying on the technology.

ATO warning about AI-generated tax advice

The biggest risk with AI-generated tax advice is that it can sound convincing while still being wrong.

"AI can be helpful, but it often draws from a broad and inconsistent range of sources, which can lead to inaccurate advice," says Anita Challen, assistant commissioner at the Australian Taxation Office (ATO).

"For example, it could be drawing content about tax obligations or laws from outside of Australia or outdated sources."

The same risk can apply to deductions, with the potential for AI to either make them up entirely or suggest deductions that may not be relevant to an individual.

"A taxpayer might ask whether they can claim a particular expense and receive a general response suggesting it is deductible," Chapman explains.

"However, the AI may not explain that the expense must be directly connected to earning assessable income, that private use must be excluded, or that specific substantiation requirements apply.

"Rental properties are another area where mistakes can occur. AI may correctly identify that certain expenses are deductible but fail to distinguish between an immediately deductible repair and a capital improvement that must be claimed over time."

Can AI mistakes cost you money?

Using incorrect advice or information when preparing a tax return may sound like a harmless mistake, but it can have real consequences.

For example, claiming a deduction you aren't entitled to, or incorrectly categorising a rental property expense, could result in the ATO adjusting your return, reducing your refund or requiring you to repay money.

If the ATO finds out, it could result in a delayed refund - or worse, a financial penalty.

"Tax misinformation often sounds convincing, but dodgy tax advice doesn't just mislead - it can also lead to significant penalties," Challen says.

"Taxpayers remain accountable for ensuring the information they or their agents provide to the ATO is accurate - whether the advice came from a friend, online sources or if AI tools were used in its preparation."

Listen: Friends With Money: Tax time 2026

Is it safe to upload tax information to ChatGPT?

Even if the tax advice is accurate, experts say Australians should think carefully before uploading sensitive financial information to AI platforms.

This is not an unknown risk. A survey conducted last year by Adobe found that the biggest impediment to consumers using AI for tax purposes was data and privacy concerns.

"People should think carefully before entering personal information into an AI platform," says Chapman.

"Tax file numbers, bank account details, salary information and other sensitive financial data should not be uploaded into public AI tools unless the user fully understands how that information will be stored and used."

Should you use ChatGPT for your tax return?

While AI can be a useful tool for understanding tax concepts and getting organised, experts warn it should not be relied on as a source of definitive tax advice. Ultimately, taxpayers remain responsible for the accuracy of their returns, regardless of whether the information came from a tax agent, a website or ChatGPT.

When in doubt, check the ATO website or seek advice from a registered tax professional.

The ATO says taxpayers should wait until late July, when income statements are marked "tax ready" and pre-fill data has been loaded into returns.

In 2024, 142,000 Australians who lodged in the first two weeks of July had to amend their return or had it adjusted by the ATO because information was missing or incorrect.

With many households counting on a tax refund to boost stretched budgets, here's why the ATO says late July is often the best time to lodge.

Tax return deadlines every Australian should know

If you're preparing your own tax return, you have until October 31 to get it into the Australian Taxation Office (ATO).

Lodge after this date, and penalties or interest charges can apply if you owe a tax debt.

Tax agents have far longer deadlines.

As long as you are on a tax agent's books by October 31, you can usually lodge your return much later, which is handy if you're likely to owe money on tax.

Why lodging your tax return too early can backfire

Eager beavers take note: Just because you can lodge your 2025-26 tax return in early July doesn't mean you should.

The ATO is warning taxpayers not to lodge their tax returns until their income statement is marked as 'tax ready' and data has been pre-filled by the ATO.

ATO Assistant Commissioner Rob Thomson explains, "We pre-fill information from your employer, banks, government agencies and health funds into your tax return to help you get it right the first time - regardless of whether you use a registered tax agent or lodge yourself."

It takes time for all these organisations to pull together accurate data and send it to the ATO.

When should you lodge your tax return?

Thomson says waiting until late July allows for the ATO to prefill all the information in your tax return.

"We know doing your tax return is something to tick off your to-do list each year, but there's no need to rush," explains Thomson.

"The best time to lodge is from late July once everything is ready."

If you wait until then, all you need to do is check your information, add anything that's missing and include any deductions or offsets you're eligible for.

How to check if your tax return is 'tax ready'

You can check if the ATO has received all your pre-fill information by starting your tax return in myTax or speaking with a registered tax agent.

Sure, the wait can be frustrating.

But use the time to get all your ducks in a row.

Thomson recommends making sure you:

• Have all the necessary records
• Ensure your personal information and bank details are up to date with the ATO, and
• Check the ATO's online occupation guides to see the work-related deductions you may be able to claim.

Made a mistake on your tax return? Here's what to do

Rushing your tax return can make errors more likely.

While making a mistake isn't the end of the world - as long as you aim to correct it, it can delay your tax refund.

If you know you've made a mistake, or forgotten to include something, or your circumstances have changed, you will need to make an amendment.

The ATO advises waiting until you receive notice that your original tax return has been processed.

This will help reduce future processing delays.

Don't leave it too long. In most cases, you have two years from the date of your notice of assessment to amend a tax return.

If the issue at stake is complex, it could pay to speak with a registered tax agent.

From sunscreen and sunglasses to handbags, conferences and overtime meals, some work-related expenses can be surprisingly easy to overlook.

Whether you're a tradie, teacher, healthcare worker, retailer or office worker, knowing what you can and can't claim could make a meaningful difference to your tax refund this year.

Here are some of the tax deductions available for five professions, plus the records you'll need to support your claim.

Tax deductions tradies can claim in 2026

Tools worth more than $300: You can claim the cost of any tools or other work-related equipment that you're required to buy for your job. You can claim an immediate deduction for tools costing up to $300. Anything more expensive than that generally needs to be depreciated over the life of the asset.

Tool insurance and finance costs: You can claim a tax deduction for the cost of insuring tools and interest charged on finance taken out to buy tools and equipment.

Uniforms: You may be able to deduct expenses for buying and maintaining your uniform if you're required to wear one and it has your employer's logo on it. Ordinary clothing, such as a plain khaki shirt that could be worn outside work, is generally not deductible. A shirt bearing your employer's branding may qualify.

Protective clothing and sunscreen: The cost of protective items such as helmets, ear muffs, safety goggles, sunglasses, sun hats and sunscreen can also be claimed.

Trade union fees: Trade union fees can be deducted.

Licences and registrations: The cost of renewing professional licences, registrations and subscriptions is generally claimable.

Self-education: The cost of self-education courses run by a university or TAFE, such as an apprenticeship course, may be deductible if the course relates directly to your current job.

Overtime meal expenses: You may be able to claim overtime meal expenses up to the amount actually spent where you have received a genuine overtime meal allowance under an industrial law, award or agreement.

What other professions can claim on tax

Healthcare worker tax deductions you may be missing

Uniforms: If you're required to wear a uniform as part of your role, the cost may be deductible.

Protective clothing: You may also be able to claim clothing used to protect your ordinary clothes from damage or soiling, such as laboratory coats and aprons. Protective footwear such as non-slip shoes may also qualify.

Conferences: Conference expenses may be deductible. This can include registration costs, travel, meals and accommodation. If part of the trip is private, you'll need to apportion the expenses accordingly.

Professional memberships: Professional subscriptions, whether paid to a professional body such as the AMA or to a trade union, may be deductible.

Overtime meals: If you're required to work overtime and receive an overtime meal allowance, you may be able to claim the cost of meals.

Agency fees: If you obtain work through an agency, those agency costs may be claimable.

Car expenses: Many healthcare workers use their own vehicle for work purposes. Travel between medical facilities, transporting patients or travelling between patients' homes may be claimable.

Tax claims retail workers should know about

Uniforms: If you're required to wear a uniform at work, the cost may be deductible. Conventional clothing isn't deductible, even if you're required to wear items sold by the retailer you work for.

Training and courses: You may be able to claim the cost of work-related training, including first aid, workplace health and safety courses, management training and relevant retail qualifications.

Travel between stores: Travel from one work location to another may be deductible, including trips between stores and temporary work assignments at other locations.

Tax deductions for office, admin and professional workers

Handbags and briefcases: The cost of a handbag or briefcase may be claimable if it's used for work purposes, such as carrying paperwork or a laptop.

Work clothing: Occupation-specific clothing such as barristers' robes may qualify. Conventional clothing worn at work, including suits and business attire, isn't generally deductible.

Practising certificates: Annual practising certificates and similar professional registrations may be deductible.

Working from home: If you work from home, you may be able to claim a proportion of your home running costs using either actual expenses or the ATO's fixed-rate method.

Work travel: If you travel as part of your job, such as visiting clients or suppliers, you may be able to claim eligible travel expenses. Parking, tolls and public transport costs may also be deductible in some cases.

Client entertainment: The cost of entertaining clients generally isn't tax deductible.

Club memberships: Membership fees for social, sporting or recreational clubs generally can't be claimed, even if networking is involved.

Professional indemnity insurance: Professional indemnity insurance premiums may be deductible.

Teacher tax deductions and work expenses you can claim

Registration fees: Annual teacher registration fees are generally deductible.

Reference books and professional libraries: The cost of reference books and professional resources related to your teaching area may be claimable.

Classroom supplies: Stationery, art materials, stopwatches and computer consumables such as printer ink and toner cartridges can generally be claimed.

Laptops, tablets and phones: Computers, laptops, tablets, mobile phones and printers used for work may be deductible. Higher-cost items may need to be depreciated over time.

Teaching aids: Many teaching aids and classroom resources may qualify as work-related expenses.

Professional development: Conferences, training and professional development courses related to your teaching duties may be claimable, along with associated costs such as textbooks and travel.

Working from home: If you prepare lessons, mark homework or perform other duties at home, you may be able to claim eligible home office expenses.

School excursions: If you pay for excursions, camps or sporting trips out of your own pocket and aren't reimbursed, those costs may be deductible.

Why you need to keep receipts for tax time

Keep records. It doesn't matter what you've spent, if you can't prove that you spent it, you can't claim it. So, gather together all those receipts and invoices. If you've lost a receipt, try to get a copy from the retailer.

If that fails, a bank or credit card statement might do if you can clearly identify the item.

Don't try to claim if you don't have the paperwork. You're leaving yourself open to an ATO review. The best way to ensure your return is correct and that you're maximising the deductions you're entitled to is to visit a tax agent.

Best of all, if you get a tax agent to help you lodge your return, the cost is itself tax deductible.

The bottom line

Missing even a few legitimate deductions could mean leaving money on the table at tax time.

Before lodging your return, review the work-related expenses that apply to your occupation, gather your records and ensure any claims meet ATO requirements.

If you're unsure, a registered tax agent can help identify deductions you may have overlooked and ensure your return is compliant.

Yet many people who finally catch up discover they're actually owed money and have been missing out on tax refunds worth hundreds or even thousands of dollars.

Tax experts say fear of tax debts, penalties and ATO scrutiny often causes one missed tax return to snowball into years of unlodged returns.

Here's what happens if you haven't lodged a tax return, and how to get back on track.

Why do people avoid lodging tax returns?

Missing a tax return doesn't mean the problem will go away.

But in many cases, taxpayers who have fallen behind can get back on track, avoid harsher consequences and even uncover refunds they didn't realise they were owed.

"People miss a tax return for various reasons, including money troubles, personal difficulties and ill health," says Mark Chapman, director of tax communications at H&R Block.

"It isn't unknown for a client to come into our offices with a 20-year backlog of outstanding tax returns," he says.

"Often they become scared to interact with the system because they can't afford to pay the unpaid tax or the potential penalties for late lodgement, which leads to them missing the next year's return and the next year's and so on."

While there are plenty of downsides that come with not filing one or more tax returns, the good news is that it's never too late to make amends.

Before tackling overdue returns, it's important to understand who is actually required to lodge one in the first place.

Who needs to file a tax return in Australia?

Most Australians need to lodge a tax return because they earned taxable income during the financial year.

However, you may also need to lodge if tax was withheld from your pay or other income, or if you want to claim deductions and access any refund you're entitled to.

Foreign residents may also need to file a return if they earn income in Australia (with a few exceptions), or if they received a study or training support loan during the year.

While it may be a chore or even a source of anxiety, submitting a tax return is important for a number of reasons. Avoiding penalties is one of them (more on that below), but as Chapman notes, a lot of the time people may be actually missing out on a refund owed to them.

"Many of the people who don't lodge don't actually realise that they don't owe any tax - they are actually due for a refund," he says.

"This means that as well as missing out on the refund, which is actually their money, not the ATO's, they aren't liable for a late lodgement fine because the ATO only penalises late lodgers where there is tax owing."

What are the penalties for lodging a late tax return?

It's entirely possible that someone might be able to avoid the tax office for a few years, but if the ATO is owed money, it's likely that they'll eventually come calling.

"The ATO have now taken a firmer approach with taxpayers who don't engage with them and have outstanding obligations," says Gavan Ord, spokesperson for CPA Australia.

"Getting your tax return right is your responsibility. This means declaring all your income and claiming the appropriate expenses. Failure to properly declare your income increases your chances of being audited by the ATO."

So what could non-lodgers be looking at in the way of fines?

The penalty approach from the ATO is based on a sliding scale which also differs depending on the size of the entity in question.

"There are penalties for non-lodgement of a tax return which means that you are likely to be penalised by $330 for each 28 days that the return is late, up to a maximum of $1650," explains Chapman.

"If that doesn't get you to lodge, the ATO can issue you with a default assessment - which is an estimate of what the ATO thinks you owe, based on their third party data - which is likely to be excessive because it won't include any deductions you are entitled to."

Failing that, the ATO may go down the prosecution route as a last resort.

Can you lodge a tax return years late?

The good news for taxpayers is that outstanding tax returns can generally still be lodged years after the original deadline.

In some cases, people discover they are entitled to refunds. Others may find they owe tax, but can work with the ATO on a payment arrangement.

However, delays can increase the risk of penalties, interest charges and compliance action, so it's generally better to act sooner rather than later.

Tax agents can often help reconstruct records and identify information already held by the ATO, which can make it easier to bring multiple outstanding returns up to date.

What should you do if you've missed several tax returns?

Whether it's a matter of a couple of weeks or a couple of years, Chapman suggests that it's always better to be proactive about rectifying an overdue lodgement rather than sticking your head in the sand.

"Telling the ATO of any difficulties you are in and explaining the situation almost always produces a better outcome, in terms of penalties, than ignoring the issue and hoping that it goes away - it doesn't, it simply means greater consequences down the track."

When should you speak to a tax agent?

Both Chapman and Ord also recommend that those looking for additional help about their options and obligations consider seeking advice from a tax agent.

"If you have lodgements outstanding from previous years, your tax agent will be able to bring you up to date. The sooner you get in touch, the better," Ord says.

"The more complex an individual's earning activities and finances, the more they should consider expert advice.

"For instance, if you're receiving rental income, hold shares in multiple companies, or have bought and sold cryptocurrency, you should consider speaking to a tax agent."

People experiencing financial difficulty who owe money to the ATO may also be eligible for a payment plan in order to break down the balance owed into smaller instalments.

The bottom line

The key message from tax professionals is simple: don't let one missed tax return turn into several.

Whether you're one year behind or 20, taking action now can help minimise penalties, reduce stress and could even uncover a refund you didn't know you were owed.

Around 2.7 million Australian businesses are set to avoid the toughest impacts of Labor's planned capital gains tax (CGT) overhaul after Treasurer Jim Chalmers announced significant carveouts for small businesses, founders and investors.

The biggest change is an increase in the turnover threshold for the small business 50% active asset CGT reduction, from $2 million to $10 million. Treasury estimates the move will cover about 98% of Australian businesses.

The concessions follow widespread criticism of Labor's Budget proposal to replace the long-standing 50% CGT discount with inflation indexation and a 30% minimum tax.

Alongside the higher business threshold, Treasury will introduce a new Innovative Business CGT Concession (IBCC), allowing eligible start-ups and their investors to retain access to the existing 50% CGT discount.

"These measures build on the over $3.5 billion in new measures to support business risk-taking and investment in the Budget, including two-year loss carry back, loss refundability for start-ups, expanded venture capital incentives, and making the instant asset write-off permanent," Chalmers says.

Start-ups keep access to 50% CGT discount

Under the new IBCC, start-ups must have annual turnover of less than $50 million, be operating for less than 10 years and be undertaking genuine innovative activity.

Shareholders must have held their shares for at least five years to access the concession.

The concession will apply to founders, early-stage investors and employees who hold shares through employee share schemes and share option plans.

Eligible shareholders will be able to calculate their CGT liability using the existing 50% discount without a minimum tax, or choose cost-base indexation and the proposed 30% minimum tax when they realise a capital gain.

Transitional arrangements will apply to shares issued by innovative start-ups before July 1, 2027. Investors who hold eligible shares on June 30, 2027, will be able to access the concessional treatment on future gains from July 1, 2027.

For the minority of small businesses that operate through discretionary trusts, a new 30% minimum tax will apply.

Chalmers says more than 90% of Australia's 2.7 million active small businesses would not be affected in a typical year.

"Small businesses will be supported if they choose to restructure, primary production income (such as farming) is exempt, and other trusts (like fixed trusts) are also exempt."

Government says threshold increase is final

The consultation period on the proposals closes on July 10.

Chalmers says the changes were designed to provide "more certainty for investors, more support for small businesses and more incentives for innovation".

"We've said for some weeks that we're engaged with the small business community to make sure that we get that turnover threshold right," he says.

Asked whether the revised turnover threshold could change again, Chalmers says the government considered the matter settled.

"We'll seek to legislate that in the parliament in the next couple of weeks and it means, as I've said, 100% of active small businesses and 98% of all active businesses will get concessions and carve-outs, so we consider that to be a finished piece of work," he says.

On Budget night, Labor proposed replacing the existing 50% CGT discount with inflation-adjusted indexation, effectively returning parts of the system to a pre-1999 model.

The broader reforms are due to begin on July 1, 2027, and will apply to individuals, trusts and partnerships.

Negative gearing reforms are also scheduled to commence on the same date, with tax deductions for residential property generally limited to new housing that adds to supply.

Industry groups welcome concessions

Business Council chief executive Bran Black says the changes would ease some concerns for small businesses.

"The changes take some sting out of the tax bite for small businesses but the overall pain will remain for the broader economy when investment takes a hit," he says, describing the $10 million threshold as "a common sense and practical step".

Tech Council of Australia chief executive Kate Cornick says the start-up concession showed the government had listened to industry concerns.

"Successful startups and scaleups create jobs and build the industries that underpin future prosperity for all Australians. To grow more innovative companies here, productive risk-taking must be rewarded."

This article first appeared on Financial Standard

In reality, some of the most common assumptions about separation are wrong, and getting them wrong can be costly.

Family lawyer Hayder Shkara, director of Melbourne Family Lawyers and Collective Family Law Group, answers 10 questions that every Australian should understand before a relationship breaks down.

1. When a relationship ends, what does Australian family law take into account when dividing assets and debts?

Australian family law doesn't simply split assets down the middle.

The court considers the financial and non-financial contributions each person made and looks at their future needs.

Contributions can include factors such as how much money you made and whether you came into the relationship with property or superannuation, but it also includes raising children and running the household.

Then the court will decide whether one person will have more of a need for future funds.

For instance, they may have a lower earning capacity or be the primary carer of a child.

The courts will work out how much each person will receive as an overall percentage of the asset pool.

2. What are the best legal tools for protecting personal assets before a relationship or marriage breaks down?

Get a prenup! In Australia we call this a binding financial agreement.

These agreements allow couples to decide in advance how assets, debts and, sometimes, spousal maintenance will be handled if they separate in the future.

When properly drafted and executed, they can remove the uncertainty of litigation later.

3. Do prenups or binding financial agreements really work in Australia? Who should consider getting one?

Binding financial agreements absolutely can work in Australia, but they need to be done properly.

The legislation sets out strict requirements, including that both parties receive independent legal advice.

They can be helpful for couples who simply want certainty.

The key point is that they are a risk-management tool, like buying insurance.

4. What financial mistakes do people make before or during separation that end up costing them later?

One common mistake I see is when one party has very little insight into the financial affairs of their relationship.

They don't know what bank accounts they have, who their accountant is, or understand the bank loans and mortgages they have signed.

When relationships break down, access to documents can quickly become difficult.

Bank records, superannuation statements, loan documents and tax returns are incredibly important later.

5. Will you keep assets you brought into the relationship?

No. There is absolutely no guarantee that you will keep them, in fact, it is more likely to be the opposite.

Over time the significance of those initial contributions can diminish.

If both parties build a life together, raise children and combine finances, the court may view the relationship as a joint enterprise.

The longer the relationship and the more intertwined finances become, the less decisive those starting positions tend to be.

6. Can joint debts follow you after separation?

Debts are treated as part of the asset pool, just like assets.

An important point to understand is that a court order does not change the contract with the lender.

If both names are on a loan or on a credit card, that creditor can pursue both parties.

And they will.

This is why refinancing or restructuring debts as part of settlement is often necessary to truly separate financial ties.

7. What can someone do if they discover debts have been taken out in their name without their knowledge?

The court can consider whether a debt should properly be attributed to one party rather than the other.

If a partner incurred debt secretly and for their own purposes, the court may adjust the property settlement to account for that.

The sooner the issue is identified and addressed, the better.

8. What if you think your partner is hiding money?

If there is a risk that assets are being moved or spent, the court has the power to make urgent orders to preserve the asset pool.

In extreme cases that can include freezing bank accounts or preventing the sale of property.

The key is to act early and get legal advice before the situation escalates.

9. Can your ex empty a joint bank account?

Technically, if both parties have access to a joint account, either of them can withdraw funds.

If this happens, the person who withdrew the money may effectively have it counted against their share.

To avoid this mess, it is best to ensure that upon separation, joint accounts require dual signatures.

10. What happens to the family home if, during separation, one person wants to sell and the other does not?

If the parties cannot agree, the court has the power to order that the family home be sold.

In some situations one party may instead refinance the property and buy out the other's interest.

The court ultimately focuses on what is practical and fair, in particular where children are involved and housing stability becomes a key consideration.

The bottom line

Separation can be emotionally and financially challenging, but understanding your rights and obligations early can help prevent costly mistakes.

Shkara says gathering financial documents, understanding your asset position and seeking legal advice early can put you in a much stronger position if a relationship breaks down.

Australia's top earners aren't CEOs

New ATO data reveals the jobs earning more than $500,000 a year

Surgeons have been crowned Australia's top income earners, with an average taxable income of $519,998 in 2023/24 according to newly released figures from the Tax Office.

Anaesthetists took second place with average earnings of $475,455, followed by internal medicine specialists with income averaging $362,120.

Only financial dealers broke the dominance of medical professionals, taking out fourth place with average taxable income of $347,375.

Finance, legal and mining jobs also rank highly, each with average incomes in excess of $200,000.

By comparison, Aussie workers pocketed average taxable income of a more modest $78,127 in 2023-24.

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Grill'd sued over burger donation claims

Only about 4% of Tuesday burgers qualified for a donation

Popular burger chain Grill'd is being sued by the Australian Competition and Consumer Commission (ACCC)  over alleged false claims about eco-friendly donations.

Grill'd ran a promotional campaign called Tree Day Tuesday for several years between January 2021 and April 2024.

The idea was that Grill'd would donate $1 from every burger purchased on a Tuesday towards the planting of trees.

However, some very fine print applied.

Burger purchases needed to meet seven conditions to qualify for a donation. Among them, buyers had to be a member of Grill'd's Relish loyalty program, and the purchase needed to be dine-in only.

As a result, the ACCC alleges that of more than 5 million burgers purchased on a Tuesday, only around 4% qualified for a donation.

ACCC Chair Gina Cass-Gottlieb alleges the promotion was a form of greenwashing, with Grill'd's advertising overstating the circumstances in which donations would be made.

The news follows years of legal action and public backlash after staff were allegedly underpaid thanks to traineeship loopholes.

A new wage agreement was signed in December 2026, but a class action lawsuit is before the Federal Court.

The sneaky EOFY sales tricks to watch for

Consumer advocates warn of fake discounts and pressure tactics

Three million Australians plan to skip EOFY sales this year, while consumer advocates warn shoppers to watch for fake discounts, fake urgency and unnecessary warranties.

While under-35s and over-50s are each expected to spend around $1900 in the June sales, shoppers aged in their 30s and 40s - the 'mortgage belt' years - are likely to spend a more modest $1400.

The Australian Retail Council says 3 million Australians who scored discounts last year, plan to give the current sales a miss altogether.

Meanwhile, consumer group CHOICE is cautioning consumers to think before they click this sale season.

CHOICE's Mark Serrels says, "It's important to know the tricks and traps to avoid getting ripped off."

CHOICE recommends watching for:

1. Discounted duds - products that are poor performers can attract big discounts during the sales.
2. Fake urgency - messaging like 'must buy, sale ends soon!' or 'only 2 left in stock' encourages panic buying. Take the time to  check if you're really landing a bargain.
3. Unnecessary extended warranties - these are usually nothing more than a sneaky sales tactic to get you to spend more, and may offer no more protection than you already have under Australian Consumer Law.

The passwords hackers hope you're using

'Admin', 'password' and '123456' remain top choices

The end of the financial year sees plenty of us moving money around to get our affairs in order.

And, according to ANZ Bank, that makes the run-up to June 30 a peak time for cyber criminals to strike.

Having secure passwords for online accounts can be your first line of defence.

Remarkably though, plenty of Australians stick to a short list of preferred passwords.

Nordpass says the three most common passwords are: 'admin', 'password' and '123456' - each used by tens of thousands of Aussies.

Surprisingly, the fourth most common password is 'jollyjol', used by around 25,000 accounts.

The crazy thing is, '123456' and 'admin' are also the top two passwords globally - both used by more than 21 million people.

Nordpass found the password habits of an 18-year-old are strikingly similar to those of an 80-year-old, with "12345" and "123456" still emerging as the top password choice across every age group.

Nordpass offers tech password tips:

• Use strong passwords and passphrases
• Keep all your passwords unique, and
• Switch on multi-factor authentication where available.

The super knowledge gaps costing Australians

New research reveals major gaps in super knowledge

New research by Super Consumers Australia shows Australians are paying more attention to their super, but knowledge gaps remain across generations.

As a guide, seven in 10 working Australians monitor their super balance, up from 64% in 2022. But only six in 10 read communications from their super fund.

There are also big gaps in our understanding of how super works:

• One in five don't know they can put extra money into their super
• More than one in four (28%) are unaware they can change how their super is invested after joining a fund, and
• More than one in two Australians don't realise employer super contributions are taxed at just 15%.

Despite the knowledge gaps, Xavier O'Halloran, CEO of Super Consumers Australia, says, "There are things you can do right now with your super to set yourself up for the future."

Super Consumers suggests the following steps for each generation:

• Gen Z: Log in! Sign into your superannuation account and check you're being paid.
• Millennials: Check the insurance in your super meets your family's needs.
• Gen X: Calculate your retirement target to know how much you'll need. (The Moneysmart website has handy resources for this.)
• Boomers: Choose what happens to your super if something happens to you (your death benefit nomination).

In my street, it's visible every fortnight. An elderly man moves silently between bins at night, collecting containers worth 10 cents each.

Down at my local beach at 6.30am, a middle-aged couple in their athletic wear tilt the recycling bins, efficiently sorting bottles and cans into bags that they will later feed into a machine in a car park.

Cashing in on the 10 cents a can or bottle container deposit scheme is widespread where I live.

Those bottles and cans can relieve the stress and anxiety about cost-of-living pressures. One thousand items will earn $100.

Queensland now accepts wine and spirit bottles, but most other states are still rolling this out over the next few years.

The rise of second jobs in Australia

When Australians embark on a side hustle to supplement their earnings from their main job, recycling tops the list for many people, according to a 2024 survey by Finder.

Recycling tops the list of side hustles, with about 36% of Australians collecting bottles and cans in one Finder survey.

Living costs have continued to rise, up between about 2.3% and 4.2% over the past year depending on the household.

Many Australians have long used up their savings, run down the extra in their offset accounts, cut costs such as streaming services, switched to cheaper products, and put off renovations and holiday travels.

Taking on a second or third job to earn an income can be the only way to deal with financial stress and hold onto their home or pay their rent and everyday bills.

Around 973,000 Australians, about 6.5% of the workforce, now have more than one job, according to the latest ABS data.

Some 7.6% of women have a second job compared with 5.6% of men.

Workers aged 20-24 are the most likely to juggle multiple jobs, at about 8% to 9%.

People working in healthcare, social assistance, retail, the arts, recreation services and administration have the highest rate of multiple jobs.

Some seasonal industries, such as fishing, agriculture and forestry, lend themselves to many jobs.

The most popular ways to earn extra money

According to Finder, people prefer earning money through things they enjoy or a job where they can be their own boss and don't have to leave the house.

Providing services and goods through an online marketplace such as Etsy, Uber or Airtasker can make a second job easy to manage and fit around a full-time main job.

Around 27% make and sell things online, while 22% are paid for a hobby.

Why flexibility is driving the shift

Flexibility is key for a second job, with 16% working as food delivery drivers and 15% as tutors.

Both jobs allow people to determine their own hours. Eight per cent work as rideshare drivers.

Using a home as a cashbox is popular for those reaping a second income, with 9% of Australians renting out a room or the whole house. Close to 5% rent out their garage.

The appeal of holding a second or third job is mainly financial, but it can also allow people to try out a second career.

You could run a small business on the side - such as a market stall selling food or clothes - to see how it goes.

Buoyed by a strong labour market, there are a number of companies, such as Australia Post, offering short shifts that can be lucrative.

The hidden costs of a second job

But you need to weigh up the pros and cons before you sign up for a second job.

How can you monetise your skills? For example, a teacher, scientist or engineer may be able to tutor.

When you take on two jobs, expertly managing your time is key.

I have known people to work a second job at night all their working lives, but it requires sacrificing time with family and friends. Exercise regimens often fall away.

While a second job can boost your earnings, it is always a good idea to invest in your full-time job.

Focus on learning more and specialising in your area. Hopefully your reputation as a knowledgeable and hard-working employee will lead to promotions and more income.

If your workplace is toxic, the second job could be a place to shine.

While a second job might boost your home deposit, you need to be disciplined about saving hard.

It is tempting to pamper yourself to boost your spirits by spending money, but this defeats the purpose of a second job.

Do you come clean about a second job with your boss and work colleagues? How would they feel about you working a second job?

Some people with a second job believe what they do in their own time is their own business, so long as it's not interfering with their work and doesn't conflict with the employer's interests - for example, if you are working for a competitor.

Just how long you hold down a second job before you burn out is worth weighing up.

Burnout and fatigue can lead to decreasing productivity, not to mention the potential to make mistakes.

A second job might put you into a higher tax bracket, but this shouldn't be enough to put you off.

If you were to read most job descriptions, you would be forgiven for thinking modern work is still largely about tasks. Deliverables.

As though the day unfolds in a calm, linear fashion and all that is required is a functioning brain and a reasonably reliable wi-fi connection.

This is, of course, nonsense. What most jobs demand is not just competence, but emotional endurance.

The ability to think clearly while context switching between seven priorities across multiple projects, navigate politics, manage workflow and expectations and not flip out at the disengaged, unhelpful or incompetent.

You might start the morning analysing data, move quickly into a team meeting where you need to read the room, manage a difficult conversation just before lunch, respond to a passive-aggressive email mid-afternoon and finish the day presenting confidently to a group while quietly wondering if your earlier decision was the right one.

Each of those moments carries a different emotional requirement.

Focus. Patience. Diplomacy.

Resilience. Confidence. Doubt management.

The modern worker isn't just switching tasks. They're switching emotional states. Constantly. And that switching comes with a price.

Why uncertainty is making you anxious

Each time you shift, a small recalibration of your internal system takes place.

You suppress one reaction, generate another and attempt to remain coherent in the process. Do this enough times in a day and you do not just feel busy.

You feel depleted.

This is not burnout in the traditional sense, but a kind of low-grade emotional fatigue.

The feeling of having been 'on' all day in ways that are difficult to measure, but very real.

Layer on top of this the second major shift in modern work. Ambiguity.

Roles are less defined. Career paths are less linear.

Decisions are made with incomplete information, under time pressure and often without a clear right answer.

In previous generations, work was more predictable, more structured, expectations were clearer and, therefore, emotional demand was lower.

Today, uncertainty is the norm.

Humans are remarkably good at solving problems when the parameters are known.

We are far less comfortable when the rules are unclear and the outcome is uncertain.

This is where anxiety creeps in.

Not because people are incapable, but because their nervous system is trying to make sense of a situation that does not resolve neatly.

Emotional skills are now essential, not optional

Unfortunately, many still treat emotional skills as 'soft'. Nice to have.

This is outdated thinking.

In a world defined by constant change, complexity and human interaction, emotional skills are no longer decorative. They are load-bearing.

The ability to regulate frustration, sit with uncertainty, read emotional cues and respond proportionately is not separate from performance.

It is performance. Without it, even highly intelligent individuals struggle to execute consistently. Decisions become reactive. Communication deteriorates. Relationships strain. Energy drains.

And very few workplaces train for emotional capacity.

We invest heavily in technical skills, strategy and systems, while assuming that people will somehow figure out the emotional side on their own.

Occasionally we run a workshop, perhaps mention 'wellbeing', then return to business as usual.

The result is predictable.

Capable people, operating in emotionally demanding environments, without the tools to manage the load effectively.

This is also where the generational conversation becomes more nuanced than it is often presented.

So what can you actually do about it?

How to handle the pressure at work

Younger generations have grown up in a world where emotional language is more accessible.

They are more willing to name stress, question purpose and push back on environments that feel unsustainable.

Older generations have often developed resilience through necessity, learning to tolerate discomfort without necessarily addressing it.

Neither approach is inherently superior.

One risks over-sensitivity without sufficient coping strategies.

The other risks endurance without reflection. What modern work requires is something different again. Not just awareness. Not just endurance. But emotional agency.

The ability to understand what you are feeling, regulate your response and use that emotional information deliberately.

It is the difference between being overwhelmed by a difficult conversation and navigating it with intent.

Between reacting to uncertainty and working with it. Between carrying emotional load unconsciously and managing it as part of the job.

This is not about becoming calmer, nicer or endlessly patient.

It is about becoming more precise. Recognising when your frustration is useful and when it is not.

When your anxiety is signalling a genuine risk and when it is simply responding to ambiguity. When to push, when to pause and when to let something go.

The demands of work are unlikely to become simpler any time soon.

Technology will continue to accelerate pace.

Roles will continue to blur. Expectations will continue to evolve. The cognitive demands will remain high, but the emotional demands will increase.

The question is whether we can build the capacity to meet them.

And that, increasingly, is what separates people who are merely coping from those who are genuinely effective.

Not just what they know or can do, but how well they can think, decide and act when the emotional load is high.

Which, it turns out, is most of the time.

The average Australian wedding now costs $38,252, up 8% in a year, as cost-of-living pressures force couples to rethink how they commit.

Instead of splurging on one day, more couples are moving in together, pooling money toward property or everyday expenses.

But in Australia, that decision can come with many of the same legal and financial consequences as getting married.

So where does a binding financial agreement (BFA) comes in?

Why more couples are ditching the aisle

Weddings are blowing out by 23%, forcing couples to rethink the cost of 'I do'.

The latest Australian Wedding Industry Report shows couples are spending 23% more than planned on average, driven by higher supplier costs, rising expectations and personalised celebrations.

For some, that's enough to skip the aisle altogether.

South Australia's Katharine Crane says a wedding never made financial sense.

After 17 years with her partner and a child together, she sees little reason to formalise it.

"We joke about going somewhere to get married, but does a piece of paper really change anything?" she says.

"Yes, it's a lovely big party. But at the same time, it costs a lot."

Crane says even a modest wedding could cost up to $15,000 - money she'd rather put towards an investment property.

"From a legal perspective, getting married wouldn't change anything either."

When moving in together triggers de factor legal status

Living together can give your partner the same rights as a spouse under Australian law.

If you live together for two years, or have a child, you're generally considered de facto. That means assets can be split if the relationship breaks down.

Skipping the wedding doesn't mean skipping the risk.

ABS data shows 120,844 marriages were registered in 2024, slightly up from 118,439 the year prior.

But couples don't need to marry to fall under the Family Law Act. De facto relationships apply when two people live together on a genuine domestic basis.

Asset division: What happens if a de factor couple splits?

If a relationship ends, courts will assess whether a de facto relationship existed before dividing assets.

They consider factors such as how long you lived together, shared finances, children, and how the relationship was presented publicly.

Legal experts warn that many couples underestimate the financial consequences.

Key upcoming change: From July 1, 2026, Legal Aid NSW has also cut grants across a range of family law matters following Federal Budget changes. That means many separating couples may need to cover legal costs themselves.

How to protect yourself

Research from the Australian Institute of Family Studies shows many Australians don't fully understand how the law treats their relationships.

De facto relationships have surged, rising from 6% of couples in 1986 to 20% today. More than 80% of couples now live together before marriage.

Money habits are also shifting. While 78% of couples have a joint account, 47% keep separate finances.

Experts recommend documenting financial contributions and say couples should consider a BFA before moving in.

Also known as a prenup or cohabitation agreement, it sets out how assets will be divided if the relationship ends.

Both partners must get independent legal advice for it to be binding.

The $6000 wedding alternative

Southern Highlands PR executive Allie Cracknell took a different approach, keeping her wedding to just $6000.

After having a baby, the 32-year-old opted for a simple, intimate ceremony instead of a traditional wedding.

"It didn't make sense to spend tens of thousands on one day when we had a child to raise and bills to pay," she says.

She held a small ceremony at home with close friends and family.

"It was small, intimate, meaningful and affordable."

Online communities are also shaping decisions, with forums like Reddit's r/AusWeddingPlanning drawing millions of views from couples sharing real costs.

The community received 108 million views in the last 12 months as couples turn to real, unfiltered communities to navigate the pressure, expectations and rising costs that come with planning a wedding in 2026.

While Allie admits she loves big weddings, it wasn't the right choice for her.

"The house was small and the budget was tight. In many cases, big weddings aren't really for the bride and groom. They're for everyone else.

"Because honestly, if it were entirely up to me, I would have run down to that registry office in a heartbeat."

For many, the shift is simple: less about the big day, more about long-term financial security.

My annual income averages out to approximately $45,000.

The few thousand dollars I have in savings is always stored and calculated carefully and I am always on a budget.

There is a very clear reason why I'm in this financial position: endometriosis and the resulting chronic pelvic pain that has left me disabled.

For me, those numbers aren't abstract, they shape every financial decision I make.

The hidden cost of endometriosis

While the physical symptoms of endometriosis are becoming more widely known - and, thankfully, are starting to be diagnosed earlier - what is less commonly discussed is the economic impact the condition carries.

Endometriosis - a chronic pain condition that can cause infertility and organ dysfunction - causes tissue similar to the uterine lining to grow outside of the uterus.

According to Endometriosis Australia, it affects more than 830,000 Australian people during their lifetime (approximately 11% of the population assigned female at birth).

Endometriosis Australia cites an Australian government study showing endometriosis costs Australia $9.7 billion per year - $2.5 billion coming from direct healthcare costs, the remaining assigned to loss of productivity.

How a $30,000-a-year illness breaks budgets

At the personal level, a study published in PLOS ONE found that the average cost to those diagnosed is close to $30,000 per annum.

It's a figure that doesn't surprise me given I'm affected by both the direct and indirect costs of the condition every day.

When your career shrinks with your health

Prior to a rapid decline in my health in 2017, I was working full-time in a high-stress job.

My annual income was $65,000 with pathways to grow my role both in scope and pay.

I was incredibly fortunate to have a sympathetic employer who paid out my contracted entitlements (both sick leave and annual leave) so that I could remain financially afloat while I recovered from a stint in hospital, and then redesigned my role so that I was able to return to work part-time.

Freelancing gives flexibility, but no safety net

Four years later, I now work in a freelance capacity.

This allows me to work from home, which is not only easier on my body but also helps to protect my compromised immune system.

With this decision, however, means a relinquishing of key protections such as sick leave.

If the work dries up or if I fail to get government grants for certain projects, I am immediately vulnerable to sliding into poverty and homelessness.

For many of us not yet eligible for the Disability Support Pension, JobSeeker often falls short for disabled and chronically ill people who are unable to maintain consistent work.

The stress of this precariousness sits with me on a daily basis and contributes to the mental costs of living with disability and chronic illness.

The bills that never stop

Then there are the direct health costs.

I need to see a GP who specialises in women's health, so I'm unable to access doctors who bulk bill. The gap in standard appointments is $41.05; for longer appointments it is $68.95.

I see her roughly every six weeks.

I see a specialised psychologist who is trained in health and pain management, as well as trauma. This is a key combination of skills that is essential to my ongoing health and welfare.

I can only see her as a private patient, so each appointment covered by Medicare's mental health care plan carries a gap of $120.

During COVID-19, the number of subsidised psychology sessions temporarily increased from 10 to 20 per year.

That has since been rolled back to 10, meaning I still have appointments where I pay the full rate of $200.

Costs that are incurred with less regularity yet are still essential include appointments with my gynaecologist (the gap ranging from $93.45 to $192.25), pelvic ultrasounds (a gap of $249) and pain medications -the cost and rebate of pain medications vary greatly and not all fit within the PBS.

Why private health isn't optional

Finally, a key cost that is non-negotiable for many with endometriosis is private health insurance .

My policy carries a gap of $150.18 per month. Despite my low income this is something that I must prioritise - without it I face lengthy wait times in public hospitals due to surgery for endometriosis deemed to be elective.

Increasingly, more patients are being forced to "self-insure" by paying the full cost of the surgery (after Medicare rebates) to avoid the current wait times, which can stretch from months to years, depending on the public system and urgency.

Medibank quotes a laparoscopy as costing from $5546, which, even with private health cover, requires $785 from the patient (combining the excess with the out-of-pocket cost) and does not include the cost of the anaesthetists.

This also does not take into account more complex cases or complications.

The cost no one can see

The economic costs of endometriosis are of course only one facet of the disease - there are also the social and mental costs that I value more than the missed professional development opportunities and promotions.

Endometriosis hasn't just affected my health, it has taken away my financial safety net. And that's the cost I fear most.

First published April 2021. Last updated June 2026.

"I was sitting in a meeting with a client talking about how we could get people to spend more money buying things they didn't really need," recalls 58-year-old Kim McDonnell.

"And I had a bit of a moment: is this really how I want to be remembered for the rest of my life and is this really the role model I want to be for my kids?"

The answer was no, and she decided to use the skills she'd acquired after a quarter of a century in the advertising and marketing business to try to prompt people to do "a little bit of good in the world".

That led her to set up Thankful, a for-good company trying to draw on the power of gratitude as a motivator for people to do good.

After being unable to find funding for the new venture in Australia, she and her husband, Mike Chuter, sold up in Melbourne and moved to New York. This led to McDonnell's latest venture, Saveful, a for-purpose enterprise that helps households tackle food waste and save money.

The $20 billion problem hiding in Aussie kitchens

Food waste is a significant problem in Australia, where every week each household on average bins two-thirds of a loaf of bread, more than half a litre of dairy products, fruit and vegetables, and 700g of meat.

In 2018-19, Australia produced about 7.6 million tonnes of food waste, or 312kg per person, and nearly three-quarters of that was edible, according to the government-commissioned National Food Waste Strategy Feasibility Study.

This equated to $19.8 billion of food wasted by households, at a cost of $2000 to $2500 each. The latest reliable data is from 2018-19 and since then inflation has undoubtedly pushed the cost significantly higher.

Singles and couples wasted less overall, but their per-person loss is much higher.

How one app could save you up to $4000 a year

Launched at the end of 2023, Saveful aims to educate householders and help them use food they would otherwise throw out.

It's an app that flips the recipe book on its head. Rather than starting with a recipe, which often requires home cooks to go out and buy ingredients, it starts with an ingredient.

Householders can enter a food item they have in their fridge or pantry and Saveful will provide them with recipes to use it up rather than throw it out.

And if they don't have one of the ingredients, the app will give them substitutes so they can use what they have instead of buying more.

Mayonnaise, for instance, can be used in place of eggs in a chocolate cake. Greek yoghurt can replace sour cream, mayonnaise or cream. Mashed banana or applesauce can replace sugar.

The app is also designed to educate users about what's in season and abundant, because these foods are usually less expensive.

Saveful says that the average Australian household could save between $2290 and $4352 a year by rethinking how they use food.

Why most Australians don't think they waste food

McDonnell and Chuter drew on their work in data-driven advertising to prompt change.

"We spent about two years researching to understand behaviour within our homes and understood what the key motivators were and what behaviour we had to overcome," says McDonnell.

"And that's when we identified that a technology tool, an app, could be a powerful way of helping people to save food at home as well as to save money and time."

They found that money is the main motivator for people to act, so they avoid talking to users directly about food waste.

"There's a reason the app is called Saveful and not Wasteful."

Most Australians don't consider themselves to be food wasters and believe that food waste occurs on the farm, at supermarkets and restaurants. In fact, 61% of wasted food is generated in the home.

The simple habit that could cut your carbon footprint

There is a strong environmental element to Saveful as well.

The numbers are striking. Food waste produces 8% of global greenhouse gas emissions.

If food waste was a country, it would be the third largest greenhouse gas emitter, behind the US and China.

About 2600 gigalitres of water is used to grow food that isn't used, equivalent to five Sydney Harbours.

Throwing away a loaf of bread wastes about the same amount of water as a 60-minute shower.

"Another bit of research told us that if we talk about climate change again, that's also not going to resonate. There will be a lot of shoulder shrugging and eye rolling because everyone thinks the problem is so large that our individual actions won't make a difference," says McDonnell.

"In fact, saving food at home is the single easiest and most impactful thing we can all do in the fight against climate change."

The new features designed to save you even more

Saveful introduced a more advanced paid version to sit alongside its free model in late April.

It includes a virtual fridge and pantry feature, where people can enter what they have at home and the app will tell them when and how they need to store it.

There is also a dynamic shopping list that integrates with supermarket shopping list apps, along with several other features.

In April, the app also launched Saveful for Business, a subscription-based platform for restaurants and catering companies.

They can list their surplus food on the app and charities can arrange to pick it up.

It provides businesses with traceability of the quantity and volume of food they have diverted from landfill, and Saveful can convert that into saved carbon dioxide emissions that the business can use in its sustainability and ESG reporting.

Businesses are charged to use the software-as-a-service application according to their size, while it is free for charities.

From small-town roots to a global mission

McDonnell grew up in the remote Queensland mining town of Mt Isa, where her father was a mine security guard and first aid officer.

"My parents were working class. They both worked incredibly hard and everything that we had was a result of their hard work. So if there was one lesson they imposed on me it was hard work and nothing comes easy," she says.

Keen to see life beyond Mt Isa, the then 17-year-old McDonnell moved to Melbourne to study economics but found it boring, so switched to history but didn't finish her degree.

She started work in publishing, then "stumbled" her way into advertising, which led to her own business, to New York and, ultimately, Saveful.

Why she redefined what wealth really means

After watching drought, fire and flood ravage Australian farmers from the other side of the world in 2019, McDonnell and Chuter decided to come home and see how they could use the power of gratitude to help them.

They discovered that while farmers were grateful for the help, they didn't want sympathy but instead wanted their efforts in producing food to be appreciated.

It was in thinking about how farmers' labours could be appreciated that the pair came up with the idea for Saveful.

McDonnell says that her attitude towards money has changed since she sold her advertising business.

"If you looked at it as an outsider, you would think life was pretty good," she says of her days with her own business, holiday home and overseas trips.

"But I felt incredibly unfulfilled by all of that, and in a world that defines success often as excess and where so often our self-worth is defined by our net worth, I think I've learned over the years that my wealth is not what I have in the bank."

The money lessons she lives by today

These days McDonnell is frugal with money, buying only what she needs and, now that she's launched Saveful, practising what she preaches.

Her smartest investment, she says, was in her children's education, which has helped them become "very good, decent human beings", all of whom are working in the service professions.

Their oldest daughter is a teacher of children with learning difficulties in a low socioeconomic area.

Her son works as a nurse in regional Victoria. Her youngest daughter is about to finish a Master's degree in counterterrorism and join the police force.

"The dumbest thing I've ever done with money is probably not always prioritising our needs before the business.

"Anything that we earn gets reinvested back in the business, which some might argue is not always the smartest thing."

But it's not something she regrets.

Running Saveful and Thankful, McDonnell enjoys the creativity and freedom to think about solutions to some of the world's biggest problems in an entrepreneurial way.

Most of all she likes hearing about the impact her work is having on people, like the Queensland mother of five who said that without Saveful, she couldn't afford to put food on the table.

She buys food when it's on special, a cabbage for instance, and uses the app to help her cook it in a way that will mean her children will want to eat it.

"Hearing those stories and hearing the impact that it has, it gives you the inspiration and the motivation to keep going," says McDonnell.