Money Magazine February 2017

A budget tells us what we can’t afford, but it doesn’t keep us from buying it. WILLIAM FEATHER, U.S. PUBLISHER & AUTHOR Welcome back! New year, new you. This year I promise to save more, spend less and accept any losses gracefully. Not that I’m expecting to lose anything but if I’m to anticipate any decent returns I will have to dial up the risk. For the first time since 2014, the interest paid on savings accounts has fallen below the official inflation rate. Meaning money in the bank will send you broke. According to figures from the Reserve Bank, the average interest rates paid by the banks on online savings accounts fell to 1.25% in December – below the annual inflation rate of 1.3%. So a lazy $1 million…

Tip of the iceberg This is a letter of thanks to the team at Money. I’m 35 and, truth be told, I have been putting off gaining money smarts out of some kind of juvenile embarrassment. I think others may have been winging it, like me, and thinking that they’ll get by with blatant naivety. I’ve been employed professionally, earning an average income, for about 10 years. I am not from an affluent background and for lack of a better term I’m your pretty typical average Joe. There are higher-earning, more financially fortunate people than me in this country but there are also many who are less fortunate. I have a small mortgage on a one-bedroom apartment in a nice area of Melbourne. But apart from that, all I know…

Money-saving tips have paid off Keeping a check on things can save us all money. Two things happened recently that have saved my wife and I money and may have gone unnoticed. The first: our toilet cistern was leaking straight into floor waste and was undiscovered for a couple of years. It is fixed and our water use has dropped by 30%. The second: an unknown debt from our credit card of $132. I advised the bank it was an illegal debit and it is being investigated. Thank you very much for a great magazine with lots of saving tips and information. Rob, email…

Money is published by Bauer Media Pty Limited (ACN 053 273 546), part of the Bauer Media Group, 54-58 Park Street, Sydney NSW 2000. The trade mark Money is the property of Bauer Consumer Media Limited and is used under licence. Printed by PMP Moorebank 31 Heathcote Rd, Moorebank NSW 2170 IMPORTANT DISCLAIMER The information provided in this magazine has been obtained or derived from sources believed byMoney magazine to be reliable. However, Money does not make any representation or warranty, express or implied, as to its accuracy or completeness. We recommend persons making investment decisions contact their financial advisers. Bauer Media Limited, its related bodies corporate, and their directors and employees, do not accept any responsibility arising in any way (including negligence) for errors in, or omissions from, the…

TERRY RYDER Terry is the founder of hotspotting.com.au and PropertyU, and author of four real estate books. Terry says: “My financial resolution for 2017 is to sharply reduce debt, especially the non-tax-deductible type, and to achieve by working smarter not harder.” CHRIS BATCHELOR Chris is a sharemarket expert and co-founder of Skaffold. Chris says: “My financial resolution is to grow my investment savings (both super and non-super) by at least 10% and also put enough aside to take the family to Thailand next Christmas.” NERIDA COLE Nerida is Dixon Advisory’s managing director – head of advice. Nerida says: “It’s a continuation from last year’s – to help more women feel confident making financial decisions and to make my money work harder for me by updating my budget and balance sheet.”…

EDITORIAL Chairman & chief commentator Paul Clitheroe Editor Effie Zahos Deputy Editor Maria Bekiaris Art Director Ann Loveday Designer Chantelle Galaz Senior Sub-editors Bob Christensen, Janice Hogg Senior Writers Susan Hely, Pam Walkley Staff Writer Steph Nash Online Content Producer Sharyn McCowen CONTRIBUTING WRITERS Heidi Armstrong, Chris Batchelor, Nerida Cole, Alan Deans, Nicola Field, Ross Greenwood, Greg Hoffman, Craig James, Anthony O’Brien, Marcus Padley, Vita Palestrant, Scott Pape, Terry Ryder, Annette Sampson CONTRIBUTING ARTISTS Yianni Aspradakis, Reg Lynch, Jim Tsinganos, John Tiedemann, Richard Whitfield PHOTOGRAPHS Getty Images, iStockphoto ADVERTISING NSW & Vic Peter Balinski (02) 9282 8075 Queensland Nikkola Hogan (07) 3101 6636 South Australia Jo Moroney (08) 8267 5032 Western Australia Vikki Stacy (08) 9449 9908 PRODUCTION Controller Rosanna Quinzon Advertising Production Dominic Roy MARKETING Brand Manager Georgia Mavrakakis…