Search

Australia’s largest super fund fined $27 million

Australia's largest superannuation fund has been charged a whopping $27 million for charging duplicate fees to tens of thousands of customers. AustralianSuper was first sued by the Australian Securities and Investments Commission (ASIC) in 2023. During the investigation, it was discovered that more than 48,000 members’ accounts were not merged in their best interests, allowing duplicate fees to eat in to the retirement savings of hard-working Aussies. About 90,000 AustralianSuper members were affected between July 2013 and March 2023, costing them $69 million. Both ASIC and AustralianSuper appeared in the Federal Court at Melbourne on Friday, where Justice Lisa Hespe handed down her decision. AustralianSuper were fined $27 million, and were also ordered to pay ASIC’s legal costs up to $500,000. “By failing to properly remediate that beneficiary, AustralianSuper did not exercise in relation to the interests of that beneficiary the same degree of skill, care and diligence as a prudent superannuation trustee would have exercised,” Justice Lisa Hespe ruled. AustralianSuper apologised to members when the lawsuit began, saying it regretted that its processes to identify and combine multiple accounts did not cover all instances of multiple member accounts. In a statement after the hearing, AustralianSuper chief executive Paul Schroder said they had taken steps to prevent similar mistakes. “We found this mistake, we reported it, we apologised to impacted members, we compensated them, and we’ve improved our processes to prevent this happening again,” he said. Image credits: Shutterstock

Money & Banking

Use it or lose it as historic super cap prepares to expire

Jordan Kennedy is a Partner at accounting and advisory firm Pitcher Partners Sydney. Australians could be sitting on a golden opportunity to spur their super savings this year — but if they don’t act fast, they will miss out. That’s because in July they will lose the entitlement to claim any unused superannuation tax concessions from 2019-20, known as the concessional cap. The concessional cap is the total annual amount that can be contributed into super by a person’s employer, through salary sacrifice or claimed as a tax deduction, before the person is charged at the ordinary taxable rate. In other words, for most Australians there is a gap between what they or their employer contribute each year and the total amount they could contribute, taking advantage of tax concessions. In 2019-20, that capped amount was $25,000, and unless people were making or receiving contributions above the superannuation guarantee, they would have needed to earn about $260,000 to hit the cap. If they didn’t, there may still be ‘available’ cap that has built up over the last five years and can be used to access the 15% tax rate on earnings — until July 1, when the cap expires. While this sounds technical, reviewing past superannuation contributions and checking to see that caps have been maxed out is one of the easiest ways to achieve a tax deduction. Of course, there are a few aspects to this strategy that bear consideration. The concession cap system is a use it or lose it play. Any gap between contributions and cap will expire after five years, so this is the last chance to retrospectively boost your superannuation using the 2019-20 cap. That said, as this is the first year we have seen the cap expire, it might have slipped the minds of many. Even if you have maxed out the cap for that year, you should take the opportunity to look at more recent years as well to see if you have been carrying forward an available pool of tax concessions. The second thing to note is that the vast majority of Australians will have a tax cap opportunity available. For anyone on an average salary, the cap gap can grow by $10,000 or more each year, unless additional contributions are made through salary sacrifice or as a tax deduction. The concession is also available for those who might have stopped work to have children or who are reducing their workload approaching retirement. Check with your accountant or your super fund — you might have tens of thousands of dollars in tax concessions available for use. Thirdly, consider your timing. If you know you will have tax capacity in coming years, try to time your use for those years where you have a significant tax event, such as realising capital gains. This can reduce your tax liability without disrupting your other plans. In this case, seeking strategic advice is extremely important to determine the optimal outcome for your circumstances. And finally, recognise there are exceptions. People whose superannuation balance is already over $500,000 are excluded from taking advantage of the cap rollover, but could still benefit from advice on how they should balance their tax liabilities while maximising their superannuation. Whatever your circumstance, speaking to a qualified, independent advisor is the first step to ensure you are working within the complex rules that govern super and taking best advantage of the tax concessions available. But if there is an opportunity to reduce your tax liability for limited effort, you would be mad not to explore your options. Image credits: Shutterstock

Retirement Income

Readers response: What’s the earliest lesson you remember learning from your parents?

We asked our readers what the earliest lesson they remember learning from their parents is, and the response was overwhelming. Here's what they said. Susan Taber - Didn't realise we were learning at the time .. but manners, respect, kindness, doing chores, doing what we were told. Diane Lovell - Always be polite and kind. Hentie Jacobs - Saying please and thank you, cleaning up after yourself, and always lend a helping without asking. Lynette Miller - There is always someone worse off than yourself. Judith Forbes - To be respectful of your elders. Tina Shaw - Integrity, know and be your integrity and you will always sleep peacefully. Kerry Houston - Manners and kindness. Sylvia Ure - To stop at the footpath before crossing the road. Margaret Gleeson-Walden - Not to answer back. Rosalie Jones - To love my siblings. Heather Gem - Manners. Image credits: Shutterstock

Family & Pets

Want your loved ones to inherit your super? Here’s why you can’t afford to skip this one step

<div class="theconversation-article-body"><a href="https://theconversation.com/profiles/tobias-barkley-1271340">Tobias Barkley</a>, <a href="https://theconversation.com/institutions/la-trobe-university-842">La Trobe University</a> What happens to our super when we die? Most Australians have superannuation accounts but about <a href="https://www.austlii.edu.au/cgi-bin/viewdoc/au/journals/SydLawRw/2024/10.html#Heading24">one in five</a> of us die before we can retire and actually enjoy that money. If we do die early our money is paid out as super “death benefits”. They can be substantial. Even people who die young can have $200,000–$300,000 of death benefits through <a href="https://moneysmart.gov.au/how-life-insurance-works/insurance-through-super">super life insurance</a>. Death benefits have recently been in the news for all the wrong reasons. Last week <a href="https://ministers.treasury.gov.au/ministers/jim-chalmers-2022/media-releases/mandatory-service-standards-superannuation-industry">the Treasurer Jim Chalmers</a> expressed concern about delays paying out death benefits. <a href="https://lawcouncil.au/resources/submissions/proposed-reform-to-superannuation-death-benefits">The Law Council</a> is concerned people do not have enough control over how death benefits are distributed. <a href="https://www.watoday.com.au/national/western-australia/championing-for-molly-perth-mum-s-milestone-in-her-quest-for-justice-20241206-p5kwiu.html">Others are devastated</a> about death benefits being paid to alleged violent partners. <h2>How can you decide who gets your unspent super?</h2> Our first thought might be writing it in our will. However, super is not covered by our will as it does not become part of our <a href="https://www.austlii.edu.au/cgi-bin/viewdoc/au/cases/cth/FCA/2001/1535.html">deceased estate</a>. Instead, death benefits are distributed by the trustee of your superannuation fund. Under the law, there are two main mechanisms controlling distribution: <a href="https://www.australiansuper.com/superannuation/access-your-super-early/nominate-a-beneficiary#:%7E:text=A%20binding%20nomination%20instructs%20AustralianSuper,the%20date%20we%20accept%20it.&text=Lapsing%20binding%20nomination%20%E2%80%93%20This%20nomination,date%20you%20sign%20the%20form.">binding nominations</a> and the trustee’s discretion. Every super member has the option to create a binding nomination. It’s like a will for your super that the super trustee is obliged to follow. It also needs two witnesses to execute it. However, there are actually more ways for a binding nomination to fail than for a will to fail. The law only allows you to nominate certain people: your “<a href="https://www.lawsociety.com.au/resources/resources/my-practice-area/elder-law/superannuation-FAQs#collapse_165">dependants</a>” or your estate. If you nominate anyone else your entire nomination stops being binding. Plus, unlike wills, there is no way to fix execution errors. Also, many binding nominations expire after three years. If you don’t have a binding nomination, then the trustee can choose who your death benefit goes to. There are two main mechanisms controlling how the trustee chooses who gets your death benefit. First, <a href="https://treasury.gov.au/sites/default/files/2019-03/c2019-t371937-discussion-paper.pdf">legislation</a> requires the trustee to give the death benefit to your dependants or deceased estate before anyone else. This means that your parents, for example, will only receive something if you have no children, partner or other dependants. Second, decisions made by trustees can be disputed by complaining to the <a href="https://www.afca.org.au/">Australian Financial Complaints Authority (AFCA)</a>. The authority has a rigid approach to who should get death benefits and trustees usually follow this course of action. <a href="https://openjournals.library.sydney.edu.au/SLR/article/view/20199">Research I’ve done with Xia Li</a> of La Trobe University reveals what AFCA does in practice. Most crucially, people’s wishes expressed in non-binding nominations were essentially ignored. Our research found there was no statistically significant association between being nominated in a non-binding nomination and receiving any of the death benefit. This was true even for recent nominations. Other factors the complaints authority ignores are family violence and financial need. In one case, five daughters provided evidence, including a police report, that their deceased mother was a victim of violence perpetrated by her new partner. <a href="https://service02.afca.org.au/CaseFiles/FOSSIC/701195.pdf">In keeping with the Federal Court, AFCA gave the alleged perpetrator</a> everything because he alone would have benefited from the deceased’s finances if she had lived. In another case, <a href="https://service02.afca.org.au/CaseFiles/FOSSIC/874050.pdf">the deceased’s adult son received nothing</a> despite living with disability and “doing it tough”. He had refused financial help so was not financially dependent. AFCA gave everything to the partner. AFCA ignores these factors because of one key issue. It places “<a href="https://service02.afca.org.au/CaseFiles/FOSSIC/832049.pdf">great weight</a>” on whether beneficiaries are financially dependent on the deceased. This means when choosing between a financial dependent – such as a new partner who shares home expenses with the deceased, and non-financial dependants, such as most adult children – AFCA will almost always give everything to the spouse. Relying on financial dependence can be arbitrary. Unlike in family law, a de facto partner <a href="http://www.austlii.edu.au/cgi-bin/viewdoc/au/legis/cth/consol_act/sia1993473/s10.html#spouse">does not need to be living with you for two years</a> before becoming entitled. For example, <a href="https://service02.afca.org.au/CaseFiles/FOSSIC/753556.pdf">in one case AFCA gave a partner of possibly only seven months</a> (and 41 years younger than the deceased) everything and the deceased’s three children aged 27–33 nothing. Also, AFCA treats any regular payment that supports daily living as financial dependence. For example, <a href="https://service02.afca.org.au/CaseFiles/FOSSIC/714258.pdf">a son paying A$100 a week board to parents means both parents are financially dependent on the son</a>. In another case, payments from the deceased to his brother of $5,000, $7,000 and $5,000 made over a year <a href="https://service02.afca.org.au/CaseFiles/FOSSIC/842323.pdf">was not financial dependence because they were irregular</a>. The whole process is slow. The average time it takes to resolve a death benefit case that goes to AFCA is nearly <a href="https://www.austlii.edu.au/cgi-bin/viewdoc/au/journals/SydLawRw/2024/10.html#Heading248">three years and the longest case I’ve seen took over six</a>. The only thing that you can do that will make a difference is execute a binding nomination; non-binding nominations are worthless. But take care to execute your binding nomination correctly (get legal advice) and leave reminders for yourself to review it every three years.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/248019/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/tobias-barkley-1271340">Tobias Barkley</a>, Lecturer, <a href="https://theconversation.com/institutions/la-trobe-university-842">La Trobe University</a> Image credits: Shutterstock This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/want-your-loved-ones-to-inherit-your-super-heres-why-you-cant-afford-to-skip-this-one-step-248019">original article</a>. </div>

Money & Banking

Many people don’t get financial advice even though it can help ensure a comfortable retirement

<div class="theconversation-article-body"><a href="https://theconversation.com/profiles/antonia-settle-1019551">Antonia Settle</a>, <a href="https://theconversation.com/institutions/monash-university-1065">Monash University</a> Many Australians, particularly those on lower incomes, are often characterised as <a href="https://www.mpmwm.com.au/latest-news/50475">lacking knowledge or interest</a> in superannuation. <a href="https://www.superannuation.asn.au/wp-content/uploads/2024/09/Research-Note-Survey-on-superannuation-and-retirement-Advice-Sept-2024.pdf#_msdynmkt_linkid=48e751d5-debe-4eb2-9309-4bc96b01930a">Research</a> by the Association of Superannuation Funds of Australia (ASFA) confirms this. It found only 51% have sought any sort of financial advice before retiring. Financial advice plays a critical role in helping people maximise their super. But most of us don’t seek professional guidance. To make matters worse, <a href="https://www.theaustralian.com.au/business/wealth/retirement-and-superannuation-questions-not-being-asked/news-story/cc2142c3b32c706ea6ff1dc99dab62a5">superannuation experts</a> say those with small amounts of super are the least likely to seek it. <h2>Financial literacy</h2> The failure of households to approach super like experienced asset managers is often attributed to <a href="https://treasury.gov.au/sites/default/files/2021-02/p2020-100554-ud00b_key_obs.pdf">poor financial literacy</a>. Better <a href="https://www.investopedia.com/terms/f/financial-literacy.asp#:%7E:text=%25%2025%25%200%25-,What%20Is%20Financial%20Literacy%3F,management%2C%20budgeting%2C%20and%20investing.">knowledge</a>, it is often reasoned, would help lower income households make financially savvy decisions. This would help give them a better chance of achieving a comfortable retirement. Getting professional advice about managing retirement savings is a first step towards knowing what you don’t know. Learning to trust independent advice can optimise risk and returns, even if those decisions conflict with our instincts. ASFA <a href="https://www.superannuation.asn.au/wp-content/uploads/2024/09/Research-Note-Survey-on-superannuation-and-retirement-Advice-Sept-2024.pdf#_msdynmkt_linkid=48e751d5-debe-4eb2-9309-4bc96b01930a">research</a> found while trust in super funds was relatively high, only 12% sought information or advice from the funds. <h2>Career interruptions</h2> Some households might have little superannuation because their hourly wages are low and they have long breaks from the workforce. This might be due to raising children, personal illness or caring for others. Instead of being able to rely on public healthcare or pay others to provide this support, they are required to reduce or abandon paid work to do it themselves. This group consists overwhelmingly of <a href="https://www.wgea.gov.au/publications/superannuation-gender-pay-gaps-by-age-group">women</a> They are also unlikely to have benefited from high employer contribution rates, such as those of <a href="https://www.csc.gov.au/Members/Funds-and-products/PSSap">federal public servants</a> or university employees, who have long earned a standard 17%. <h2>Tax and other benefits</h2> Low balance households are also unlikely to have paid large sums into super to avoid income tax. <a href="https://www.apra.gov.au/news-and-publications/apra-releases-superannuation-statistics-for-june-2024">One in every four dollars</a> contributed to super is deposited as voluntary contributions, which attract a low tax rate. But most of these low tax contributions are made by <a href="https://australiainstitute.org.au/wp-content/uploads/2024/06/P1527-Who-benefits-The-high-cost-of-super-tax-concessions-Web-1.pdf">the 20%</a> with the highest incomes. In fact, with <a href="https://povertyandinequality.acoss.org.au/inequality/">70% of superannuation assets owned by the wealthiest 20% of households</a>, low balance households have relatively little to gain. Research shows those with the <a href="https://melbourneinstitute.unimelb.edu.au/__data/assets/pdf_file/0008/4630688/ri2023n03.pdf">lowest balances</a> believe superannuation is a largely a tool for high income earners to avoid tax. And while financial advice will always be more useful to those who are able to use <a href="https://www.commbank.com.au/articles/tax/five-ways-to-save-tax-using-superannuation.html">super as a tax minimisation strategy</a>, even for low-balance households – getting financial advice is worthwhile. Financial advice can help households choose investments that optimise the risk/return profile of superannuation at each stage of the life cycle. It can help avoid unnecessary fees and taxes and help people make the best decisions about <a href="https://www.investopedia.com/terms/d/drawdown.asp#:%7E:text=A%20drawdown%20in%20retirement%20is,known%20as%20a%20drawdown%20percentage.">spending in retirement</a> so they can get the most out of their super. <h2>Potential sticking points</h2> The <a href="https://www.royalcommission.gov.au/banking#:%7E:text=The%20Royal%20Commission%20into%20Misconduct,into%20misconduct%20in%20the%20banking%2C">2017 royal commission</a> into banking and finance misconduct revealed major conflicts of interest in the advice sector. This only made some people more wary about trusting a stranger with their life savings. At between $4,000 and $12,000 for a <a href="https://www.moneymag.com.au/financial-planning/learning/how-much-does-financial-advice-cost">personal financial plan</a>, independent financial advice is not cheap. There is free counselling to manage debts but there is no free, independent advice for longer-term financial planning. Recent <a href="https://ministers.treasury.gov.au/ministers/stephen-jones-2022/media-releases/government-unveils-comprehensive-financial-advice">regulatory efforts</a> to better position superannuation funds to provide free financial advice to households will improve access for many. But these efforts won’t resolve the conflict of interest issue, given there is little incentive for funds to suggest investment strategies using other providers. This is particularly important during the <a href="https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/withdrawing-and-using-your-super/retirement-withdrawal-lump-sum-or-income-stream">draw down phase</a>. This is where people start using their super which they receive as either a lump sum or income stream. The products offered by any single super fund to set this up are limited. Superannuation balances can be seriously eroded by <a href="https://www.ato.gov.au/calculators-and-tools/super-yoursuper-comparison-tool">unnecessary fees</a>, inappropriate investments and poorly planned <a href="https://www.superguide.com.au/in-retirement/minimum-pension-payments-reduced">draw down</a> strategies. This is particularly damaging when low balances are involved. <h2>Facing poverty in retirement</h2> As a result, failure to seek financial advice can increase the risk of elderly poverty, especially if people retire without having bought or paid off a home. Any savings that can be preserved can make a meaningful difference to the capacity of such households to have a dignified retirement. For these reasons, access to free and independent advice is critically important for the superannuation system to better serve low-balance households. But free, independent advice is still not available in the superannuation system. It is not surprising low-balance households are reticent to engage in super given the lack of accessible advice. But the peripheral role of low-balance households in a system dominated by Australia’s wealthiest households may play a role in that reticence as well.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/240207/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/antonia-settle-1019551">Antonia Settle</a>, Lecturer, <a href="https://theconversation.com/institutions/monash-university-1065">Monash University</a> Image credits: Shutterstock This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/many-people-dont-get-financial-advice-even-though-it-can-help-ensure-a-comfortable-retirement-240207">original article</a>. </div>

Money & Banking

Retiring with debt? Experts explain downsizing, using super for your mortgage, and pension eligibility

<div class="theconversation-article-body"> <a href="https://theconversation.com/profiles/kathleen-walsh-218536">Kathleen Walsh</a>, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a> and <a href="https://theconversation.com/profiles/jemma-briscoe-2234812">Jemma Briscoe</a>, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a> About <a href="https://cepar.edu.au/sites/default/files/cepar-research-brief-housing-ageing-australia.pdf">36%</a> of homeowners still have a mortgage when they retire, up from 23% a decade ago. This increase in mortgage debt is due to soaring property prices, <a href="https://www.mlc.com.au/content/dam/mlc/documents/pdf/retirement/retirement-reports-housing-report.pdf">changes in retirement ages</a> and easy access to <a href="https://www.dss.gov.au/our-responsibilities/seniors/benefits-payments/home-equity-access-scheme">drawdown equity loans</a> (where you use your home as security to get a loan, which can be used to fund travel, medical costs and other expenses). So, what are the options for homeowners who carry debt into retirement? <h2>Option 1: keeping the home and the debt</h2> If you keep the family home in retirement, you get to own a property and can still receive the <a href="https://www.dva.gov.au/get-support/financial-support/income-support/what-changes-your-payments/your-property-or-accommodation/how-owning-home-can-affect-pensions-and-payments">age pension</a>. For example: Jackie has a home worth A$2 million with a $200,000 mortgage. She also has $800,000 in superannuation. She is 67 but is not eligible for the age pension because her <a href="https://moneysmart.gov.au/how-super-works/tax-and-super#:%7E:text=If%20you're%20aged%2060%20or%20over%20and%20withdraw%20a,as%20a%20public%20sector%20fund.">assessable assets</a> – her super – is above the $695,500 cut off. If Jackie takes $200,000 from her super and repays the outstanding mortgage debt, she will save on interest and principal repayments for the next ten years. She will also reduce her assessable assets by $200,000. This makes her eligible for a part pension. So while Jackie has less super, she gets to receive a pension and gets all the subsidies associated with being a pensioner. <h2>Option 2: downsizing to clear the debt</h2> Downsizing can extinguish any remaining debt, and can free up money for holidays, restaurants and the good life in retirement. It also enables a move to a more age-friendly home or apartment. And the government does provide a superannuation incentive via the <a href="https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/growing-and-keeping-track-of-your-super/how-to-save-more-in-your-super/downsizer-super-contributions">downsizing contribution</a>. This allows homeowners over 55 who have lived in their home for more than ten years to make a one-off contribution of $300,000 (singles) and $600,000 (couples) to their super, using money from the sale of their home. But when a person reaches pension age, currently 67, any money in super will be included in <a href="https://www.servicesaustralia.gov.au/deeming?context=22526">the government’s assessment</a> of your financial assets and income. It could mean you don’t qualify for a pension or pensioner subsidies. Of the approximately 2.6 million who receive a part or full the age pension, only <a href="https://www.ato.gov.au/about-ato/research-and-statistics/in-detail/super-statistics/downsizer-super-contributions-data">78,000 people</a> have taken up this initiative. That begs the question if this option really does create a true financial downsizing incentive. Think again of Jackie, the woman with the $2 million home and the $200,000 in mortgage debt. Say she decides to sell her home and move to a smaller house close to family and friends. This will incur about $40,000 in selling and marketing fees, and stamp duty of around $62,000 on her new $1.4 million apartment. Downsizing leaves her with $1.1 million in financial assets (after transaction costs), which means that Jackie is not eligible for the pension. While she’ll be able to fund a comfortable lifestyle, this decision to downsize may not be as attractive as keeping the house. The decision to sell and move has cost her an extra $100,000 in transaction costs and her pension. So, people need to think carefully about downsizing. It can allow people to move closer to children, grandchildren, and the services they need – but these must be balanced against the financial implications. <h2>What about renters?</h2> Paying market rent while on a fixed income can be very hard, so renting is a challenge for retirees. According to the <a href="https://www.abs.gov.au/statistics/people/housing/housing-census/latest-release">2021 census</a>, women aged 55-64 and those over 65 are among the fastest-growing groups experiencing homelessness. The good news is many profit and not-for-profit retirement communities provide rental models and discounted entry contributions to residents with limited means (but there are often waiting lists). Retirement village residents may also be eligible for <a href="https://guides.dss.gov.au/social-security-guide/4/6/4/30">rent assistance</a> depending on their circumstances. Rent assistance is an extra $5,751 per year in social security benefits and provides extra financial support to <a href="https://guides.dss.gov.au/social-security-guide/5/1/7/10">eligible age pension recipients</a>. Retirement communities provide vulnerable older Australians a unique opportunity to move into a community under a leasehold or licence agreement. More than 260,000 senior Australians live in about <a href="https://www.propertycouncil.com.au/media-releases/retirement-living-construction-leads-wary-market">2,500 retirement communities</a> across the country. While a retirement village may not be the first option for many retirees, they can provide affordable accommodation. <h2>Making the best choice</h2> Navigating housing decisions as you approach retirement means balancing financial, emotional, and lifestyle considerations. Homeowners retiring with a mortgage face a choice: keep their home or downsize to alleviate debt. Keeping the home and accessing super to pay the outstanding debt improves cash flow and allows you to keep your biggest asset. Downsizing helps eliminate debt and boosts the super balance, but comes with extra transaction costs (and you may end up with less pension, or none at all). Seeking professional <a href="https://moneysmart.gov.au/financial-advice/choosing-a-financial-adviser">financial advice</a> is crucial, and ensure they are a registered <a href="https://moneysmart.gov.au/financial-advice/financial-advisers-register">financial advisor</a>.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/240679/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/kathleen-walsh-218536">Kathleen Walsh</a>, Professor of Finance, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a> and <a href="https://theconversation.com/profiles/jemma-briscoe-2234812">Jemma Briscoe</a>, Adjunct lecturer in finance, <a href="https://theconversation.com/institutions/university-of-technology-sydney-936">University of Technology Sydney</a> Image credits: Shutterstock This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/retiring-with-debt-experts-explain-downsizing-using-super-for-your-mortgage-and-pension-eligibility-240679">original article</a>. </div>

Retirement Income

Festive bulge: scientists offer advice on how to beat overeating

<div class="theconversation-article-body"><a href="https://theconversation.com/profiles/thomas-c-erren-336309">Thomas C. Erren</a>, <a href="https://theconversation.com/institutions/university-of-cologne-2576">University of Cologne</a>; <a href="https://theconversation.com/profiles/philip-lewis-429997">Philip Lewis</a>, <a href="https://theconversation.com/institutions/university-of-cologne-2576">University of Cologne</a>, and <a href="https://theconversation.com/profiles/ursula-wild-1398207">Ursula Wild</a>, <a href="https://theconversation.com/institutions/university-of-cologne-2576">University of Cologne</a> Christmas and New Year are holidays with dietary excesses that many of us cannot control. This often leads to the “festive bulge”. As the holidays approach, could there be a recipe to contain this weight gain and pave the way to sustainable nutrition-based health at the same time? There’s a lot of focus on what we eat and how much we eat – but what about when we eat? Chrononutrition is the science of how timing affects our responses to nutrients. <a href="https://www.sciencedirect.com/science/article/pii/S0092867415003025?via%3Dihub">Scientific insights</a> into when we eat suggest it may be worth exploring for better health. While the idea of getting started on <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9370396/">chrononutrition over Christmas</a> can sound challenging, the guilty conscience that tends to follow feasting over the holidays may provide the needed motivation for the year ahead. So for better health in the new year, why not try out time-restricted eating (TRE)? TRE is a type of <a href="https://theconversation.com/is-intermittent-fasting-actually-good-for-weight-loss-heres-what-the-evidence-says-183500">intermittent fasting</a>: a person eats all their meals and snacks within a particular time window, ranging from six to 12 hours each day. This implies 12 to 18 hours of fasting. <a href="https://theconversation.com/is-body-weight-affected-by-when-you-eat-heres-what-science-knows-so-far-143303">More</a> and <a href="https://theconversation.com/delay-eating-breakfast-and-eat-dinner-early-if-you-want-to-lose-body-fat-new-study-101058">more research</a> suggests that this kind of timing may have a significant influence on our health via <a href="https://pubmed.ncbi.nlm.nih.gov/25404320/">interplays</a> between our <a href="https://pubmed.ncbi.nlm.nih.gov/25815987/">body clocks and nutrition</a>. As researchers with a focus on circadian biology, we have <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9370396/">identified the festive season</a> as a suitable starting point for a lifestyle change to time-restricted eating. <h2>What is chrononutrition?</h2> The basic idea of chrononutrition is that the body’s response to the timing of meals can promote well-being and health via the circadian timing system. This timing system refers to the internal 24-hour mechanism that primes our bodies for the challenges and stimuli of the 24-hour day. This includes when nutrients are likely to be consumed, how they are used within the body at a given time and how the body responds to them at a given time. A rodent experiment in the <a href="https://academic.oup.com/jn/article-abstract/10/1/63/4725662">1930s</a> led to a focus on counting calories and calorie-restricted eating. This dietary restriction extended the lifespan of rats in this case. It was subsequently shown in a wide range of species. The promise is large: if you eat less, then weight loss, better health and a longer life may follow. The rodent experiment was followed by research into diets that foster health and prevent disease. Interest in <a href="https://pubmed.ncbi.nlm.nih.gov/3794831/">“meal-timing, circadian rhythms and lifespan”</a> was sparked by Franz Halberg (known as the father of American chronobiology), among others, in the 1980s. These studies around food and behaviour take <a href="https://pubmed.ncbi.nlm.nih.gov/25404320/">evolutionary considerations</a> into account. For instance, rodents gain fitness when fed in a time-restricted manner. In contrast, human behaviour tends to involve more <a href="https://pubmed.ncbi.nlm.nih.gov/26411343/">erratic eating patterns</a> during the hours when people are awake. <h2>Lifestyle changes</h2> So what practical advice can we give on the occasion of Christmas and New Year from the <a href="https://www.nobelprize.org/prizes/medicine/2017/advanced-information/">2017 Nobel Prize-winning field of chronobiology</a>? The field gained recognition for its discoveries into how internal clocks organise our physiology and enable us to live in harmony with the external rhythms of day and night. Findings from this field point to a simple lifestyle change: limiting when you eat to <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4255155/">eight to 10 hours</a> a day could protect you from developing obesity, or even lessen the negative health impacts of existing obesity. And time-restricted eating can work even if practised for only <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4255155/">five days per week</a>. Importantly, if you can reduce a long habitual eating window (for instance, 15 hours) to a time-restricted eating window of eight hours, you are likely to benefit more than someone who reduces a habitual eating window of 10 hours to eight hours. Reductions in eating-time windows have already <a href="https://www.nejm.org/doi/10.1056/NEJMoa2114833?url_ver=Z39.88-2003&rfr_id=ori:rid:crossref.org&rfr_dat=cr_pub%20%200pubmed">been found</a> to help some overweight humans lose weight, sleep better and feel more energised. Granted, much of the evidence comes from animal studies – and humans are certainly not big mice. Nonetheless, there have been no reports of detriments to this practice in humans. However, there has been <a href="https://www.sciencedirect.com/science/article/abs/pii/S0899900722001897?via%3Dihub">one report</a> of possible disadvantages to offspring in a pregnant animal model of time-restricted eating. <h2>Late breakfast and early supper</h2> Why not try what some studies suggest and <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9370396/">start time-restricted eating over Christmas</a>, or put it on your New Year’s resolution list? To get started, consider having a late breakfast and an early dinner. Of course, if in doubt about the impact of time-restricted eating – or if you have medical or dietary restrictions, or are pregnant – talk to your doctors first for advice. Beyond paying attention to calorie intake and food composition, “when we eat” is a relatively simple and potentially sustainable approach.<img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/195822/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/thomas-c-erren-336309">Thomas C. Erren</a>, Professor, <a href="https://theconversation.com/institutions/university-of-cologne-2576">University of Cologne</a>; <a href="https://theconversation.com/profiles/philip-lewis-429997">Philip Lewis</a>, Research associate, <a href="https://theconversation.com/institutions/university-of-cologne-2576">University of Cologne</a>, and <a href="https://theconversation.com/profiles/ursula-wild-1398207">Ursula Wild</a>, Research Associate, <a href="https://theconversation.com/institutions/university-of-cologne-2576">University of Cologne</a> Image credits: Shutterstock This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/festive-bulge-scientists-offer-advice-on-how-to-beat-overeating-195822">original article</a>. </div>

Body

Holiday budgeting tips for over-60s: Expert advice for a stress-free season

<div> The festive season is a time for joy, but it can sometimes also bring a little extra financial stress. With the rising cost of essentials, many Aussies in retirement might be feeling the pinch. And it’s not your imagination – recent <a title="https://protect.checkpoint.com/v2/___https:/nam02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.superannuation.asn.au%2Fmedia-release%2Frising-insurance-premiums-add-strain-to-retirees-finances-says-super-peak-body%2F*23%3A~%3Atext%3DThe%2520latest%2520figures%2520from%2520ASFA%2Cover%2520the%2520last%252012%2520months.&data=05%7C02%7Cdardisa%40we-worldwide.com%7C3306a1dfb9de4e30dd3b08dcfecff5e5%7C3ed60ab455674971a5341a5f0f7cc7f5%7C0%7C0%7C638665416381860501%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C0%7C%7C%7C&sdata=3ePPI8b1SEXOATgcY6vYWJRi8gBzZHv0jM1dgqkIoUI%3D&reserved=0___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6YjM1NDo4YTdiNGQ5MTcwZjBhYzgwNzI4ZDVmYTlhNTA0OWVhYThkZTU0NWJhN2FhZDgzZGQ2MGQ1ZjZiYWU5MTc3MGI1OnA6VDpG" href="https://protect.checkpoint.com/v2/___https:/nam02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.superannuation.asn.au%2Fmedia-release%2Frising-insurance-premiums-add-strain-to-retirees-finances-says-super-peak-body%2F*23%3A~%3Atext%3DThe%2520latest%2520figures%2520from%2520ASFA%2Cover%2520the%2520last%252012%2520months.&data=05%7C02%7Cdardisa%40we-worldwide.com%7C3306a1dfb9de4e30dd3b08dcfecff5e5%7C3ed60ab455674971a5341a5f0f7cc7f5%7C0%7C0%7C638665416381860501%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C0%7C%7C%7C&sdata=3ePPI8b1SEXOATgcY6vYWJRi8gBzZHv0jM1dgqkIoUI%3D&reserved=0___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6YjM1NDo4YTdiNGQ5MTcwZjBhYzgwNzI4ZDVmYTlhNTA0OWVhYThkZTU0NWJhN2FhZDgzZGQ2MGQ1ZjZiYWU5MTc3MGI1OnA6VDpG" data-auth="Verified" data-outlook-id="1a0a0a08-2e36-4601-a0a3-f9c8bb379afe">data</a> from the Association of Superannuation Funds of Australia (ASFA) reveals that the cost of maintaining a comfortable retirement has increased by 3.7% in the last year. For those in retirement, managing holiday spending can help ensure a stress-free festive season. </div> <div> Toby Perkins, a Certified Financial Planner® at industry superfund NGS Super, shares his helpful tips to ensure retirees manage their budgets during the holidays. </div> 1. Avoid personal debt <div> Credit cards and overdrafts may seem like quick solutions, but they often lead to high-interest debt. "If you need extra funds for the festive season, it might be worth considering options like your superannuation income stream instead," advises Toby. Avoiding extra debt may help you to maintain your financial stability in the long run and help set you up for a stress-free Christmas next year. </div> 2. Plan ahead: Budget for the entire year <div> Although it may be too late to adjust your budget for this holiday season, now is a good time to start planning for next Christmas. "Incorporating holiday spending into an annual budget can prevent financial strain in December," Toby suggests. By tracking your expenses throughout the year, you can identify potential savings and plan for any extra costs, such as gifts and travel. </div> 3. Review government entitlements <div> It’s important for you to ensure you are receiving the correct government entitlements. "If you’re receiving the Age Pension, make sure all your details are up to date," Toby advises. Even if you're not eligible for the Age Pension, you may qualify for the Commonwealth Seniors Health Card or state-based Seniors Cards, which can help reduce costs on health care, transport, and other services. For more information, visit <a title="https://protect.checkpoint.com/v2/___https:/www.servicesaustralia.gov.au/most-useful-information-for-retirement-years___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6Y2YwMTo3YWJkZWYyYTY5NjAwZTQ5YjczNWQwMGY2ZjZmN2RhNzY5MzJjYWJkMmYyNWM5ZTkzODg4NTJlZDc3MmIwZGI1OnA6VDpG" href="https://protect.checkpoint.com/v2/___https:/www.servicesaustralia.gov.au/most-useful-information-for-retirement-years___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6Y2YwMTo3YWJkZWYyYTY5NjAwZTQ5YjczNWQwMGY2ZjZmN2RhNzY5MzJjYWJkMmYyNWM5ZTkzODg4NTJlZDc3MmIwZGI1OnA6VDpG" data-auth="Verified" data-outlook-id="0b03c4dc-e32a-4f0f-adaf-6d20058cd703">the Services Australia website.</a> </div> 4. Stay vigilant about financial security <div> There are two reasons to closely track your spending throughout the holiday season: 1. To ensure you stay within budget, and 2. To ensure you don't fall victim to financial scams. The holiday season can be a prime time for financial scams, so be cautious when making purchases online. </div> 5. Prepare for post-holiday financial health <div> After the holidays, plan to set aside some money for future expenses or to replenish your savings. A bit of post-holiday planning will help you avoid financial stress in the months ahead - and even get you set up for next Christmas. </div> 6. Travel smart: Plan off-peak <div> Travel can be one of the biggest holiday expenses, especially if it coincides with peak Christmas and school holiday periods. Toby recommends traveling outside of these busy times to save money. "Off-peak travel can significantly reduce costs and make your holiday dollar stretch further," he says. Consider planning trips in advance to secure better deals. </div> <div> Planning ahead, managing debt, and reviewing entitlements can help you enjoy the festive season without financial stress. As Toby puts it, "Smart budgeting today helps ensure a more comfortable retirement tomorrow." </div> <div> For those seeking personalised advice, NGS Super’s team of financial planners is here to help guide you to a secure and joyful future. Read the <a title="https://protect.checkpoint.com/v2/r01/___https://protect.checkpoint.com/v2/___https:/www.ngssuper.com.au/files/documents/financial-services-guide.pdf___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6MDk5ZToxNWJlNDQ0ODUwMWZmYzczYmUzZDY5N2NkNWFmY2M4ZTM0M2I5ZDQyNTI5ZGIwNjdjMDUxZDViY2E1YWRmYWFhOnA6VDpGHYPERLINK___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmM0OTdjMzdkZjcxOGIxNDQxYjdiMzQxMzA0NTcyMzc4Ojc6ZDgzMDowMTA3N2IxNTZmN2JhZDAzOTM5MDc4ODZjM2Y4NTUzYTkwNWE4ZDAxYmJhMmIxMTc0OWZjNjhmNmM5ODNlNzYyOmg6VDpG" href="https://protect.checkpoint.com/v2/r01/___https://protect.checkpoint.com/v2/___https:/www.ngssuper.com.au/files/documents/financial-services-guide.pdf___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6MDk5ZToxNWJlNDQ0ODUwMWZmYzczYmUzZDY5N2NkNWFmY2M4ZTM0M2I5ZDQyNTI5ZGIwNjdjMDUxZDViY2E1YWRmYWFhOnA6VDpGHYPERLINK___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmM0OTdjMzdkZjcxOGIxNDQxYjdiMzQxMzA0NTcyMzc4Ojc6ZDgzMDowMTA3N2IxNTZmN2JhZDAzOTM5MDc4ODZjM2Y4NTUzYTkwNWE4ZDAxYmJhMmIxMTc0OWZjNjhmNmM5ODNlNzYyOmg6VDpG" data-auth="Verified" data-outlook-id="c4bb4623-ec0a-4e3a-a747-7bf0d2f5659b">NGS Financial Planning Financial Services Guide</a>. </div> <div> For further information, visit NGS Super’s <a title="https://protect.checkpoint.com/v2/___https:/www.ngssuper.com.au/articles/news/whats-foro-what-can-you-do-about-it___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6YzlhNDphZGM4Y2Q1YTFlZmQyNjExMGQ4ZDJmYWM3Y2IyOWMxM2FiNjE2MDMwMDc3YjA5ODE5OTY0NjQyYmZkNWE2NGM1OnA6VDpG" href="https://protect.checkpoint.com/v2/___https:/www.ngssuper.com.au/articles/news/whats-foro-what-can-you-do-about-it___.YzJ1OndlY29tbXVuaWNhdGlvbnM6YzpvOmMyMDk4YTI2ZGE5OWUzY2FhZWQ2Nzc5ZTg1YWM0OGJiOjY6YzlhNDphZGM4Y2Q1YTFlZmQyNjExMGQ4ZDJmYWM3Y2IyOWMxM2FiNjE2MDMwMDc3YjA5ODE5OTY0NjQyYmZkNWE2NGM1OnA6VDpG" data-auth="Verified" data-outlook-id="7c65864b-3f33-43bc-9037-cc1e7ca1acc0">website</a>. </div> <div> Toby Perkins is authorised to provide financial advice in Australia and is an Authorised Representative (Number 1002908) of Guideway Financial Services Pty Ltd, AFSL Number 420367. Any advice given in this article is general and does not consider your financial situation, needs or objectives so consider whether it is appropriate for you. Be sure to read the relevant PDS and TMD before deciding whether a financial product is right for you. Image credits: Shutterstock </div> <div> </div>

Travel Tips

Grandma shares blunt advice for gift-giving season

A grandmother has shared valuable advice for other grandparents who are prone to going over the top for birthday and Christmas presents. DeeDee Moore, who runs the TikTok account @morethangrand, reignited the debate on finding the line between spoiling your grandkids with an abundance of gifts, and not going over the top. With Christmas right around the corner, DeeDee shared some advice for grandparents before they hit the shops. "Too much stuff from grandparents is at the top of the list of topics that parents struggle with," Moore explained in a viral clip. A recent survey from <a href="https://www.morethangrand.com" target="_blank" rel="noopener">More Than Grand</a> found 75 percent of the parents surveyed, wished grandparents respected their wishes about gifts, for a few reasons, but the most common was the sheer volume of stuff. "Parents often don't have the physical space to accommodate the toys indulgent grandparents buy," she continued. However, the issue is that one grandparent probably isn't the only one going all out on gifts. "Say your grandson has four other grandparents and four aunts and uncles. Each of these people get him one gift for a second birthday. That's already nine gifts plus something for mum and dad. We're up to 10," she explained. "But if all of those grandparents buy him three things, and two of the aunts get him a little extra something, that's 22 presents for a two-year-old who would be just as happy with a box." Moore also pointed out while many kids are fortunate enough to be spoilt at Christmas, there are many children who are living in hardship and don't have the same luxuries. Her advice is to take some of the things you would have given to your grandchildren and donate them to a charity or organisation who works with less fortunate families. Dozens of mothers chimed in the comment section of the video, praising DeeDee's advice and sharing their own stress about presents. "I used to have so much anxiety about Christmas because my in-laws used to buy more than Santa, us and my parents combined. It was stressful," commented one mum. Image credits: Shutterstock

Family & Pets

Readers response: What’s the best advice you’ve received on staying healthy as you age?

We asked our readers what the best advice they’ve received on staying healthy as you age is, and the response was overwhelming. Here's what they said. Fred Pilcher - Don't smoke. That's the most important advice you're likely to get. If you do smoke, quit now. Today. I've lost parents and friends to lung cancer and emphysema - both terrible ways to go. (I say this as a former two pack a day addict.) Kate Caddey - Stay as fit as you can. Walk, do the stretch, balance and dance offerings. Travel the slightly harder way with ups and downs included. Stay curious about people you meet and about everything in general. Never stop learning. Marie Jones - Keep laughing. Gloria Hickey - Keep active, but wish I had been told to have my B12 added to yearly blood work too. Peter Connolly - Best advice I got was "Whatever you do, go out with a bang. There is absolutely no point in lying in bed in a hospital, dying of nothing!" Terry Dolman - Enjoy being happy. It takes more energy to be grumpy than smile. Plus, a good Friend in Vietnam now said "don't carry the past plus a drink of whisky a day." Heather Dixon - Keep busy. Lydia Poli - Enjoy the ride while you can! Marlene Cochrane - Don't stop moving. Both physically and mentally. Karen Ambrose - Keep dancing! Image credits: Shutterstock

Body

Readers response: What advice would you give someone visiting Australia?

We asked our readers what advice they would give to someone travelling to Australia, including where tourists need to see and what hidden gems cannot be missed. Here's what they said. Peggy Rice - Respect our rules, the outback needs to be researched, swim between flags, don't swim with crocodiles. It's the best country in the world, let's keep it that way. Also do yourself a favour and put Tasmania on your list of beauty. Kay L Bayly - Number 1 advice! Check distances between desired destinations. It is a much bigger country than most people understand. Michael Pender - Bring a sense of humour. Toni Stewart - You will need a year at least to see all the different areas from desert, scrub, rainforest, cities, beaches, country side fabulous little towns and lots of festivals. Maureen Prince - We don’t have Kangaroos running the streets. Koalas are not in everybody's back yard trees. Whilst we do have snakes you’d be very unfortunate if you were to come across a venomous one. We don’t all go around saying “Good day mate”. Our scenery is incredible. Our food is superb and, best of all, we have good friends who do say “Good day mate”. Tina Shaw - Leave preconceptions at customs. See who we are and you'll have a fantastic time. Dianne Savage - Put Tasmania on your must do list. Margaret Higgs - Use sunscreen, wear a hat, drink lots of fluids. Cheryl Anne - Don't assume you can cover the whole country in 6 weeks. Sarah Hayse-Gregson - Obey the beach culture. The flags, lifesavers are there for a reason. If a sign says, “beach closed” there’s no one to assist you if you get into difficulty. Our lifesavers are volunteers, don’t forget that. They give up their free time to monitor the beaches and are highly trained. Never turn your back to the sea. Ann Lusby - Watch out for drop bears. Image credits: Shutterstock

Domestic Travel

"Completely out of touch" boomer slammed for housing advice

An Aussie boomer has been slammed online after sharing advice for younger generations to buy a house, with her words of wisdom being labelled as "infuriating". The Sydney homeowner shared her matter-of-fact views when asked about her own property journey for a TikTok video by property app Coposit Street, who regularly hit the streets to ask people of all ages about their opinions on home ownership. The woman, who chose not to disclose her age or how much she has in savings, didn’t hold back when asked about younger Aussies, saying they “don’t make sacrifices” in order to break onto the property market. “When I was younger …. I never did brunches and partied and now (it’s what) they wanna do, she explained in the video, before admitting “it’s harder for them now”. “Things are so expensive but they can start off small. A lot of people buy places that are too big but you’ve got to make sacrifices.” When asked how she built her savings, she added, “I take my own lunch to work, I always have.” “If you want a place of your own, start small but make the sacrifices, do two jobs, work a lot. Don’t go out as much as you want to.” “I mean I feel sorry for the younger generation now because they’re thinking why bother because it’s too expensive, I’m just going to party and have a good time, which you can still do.” “When I entered (the property market) it was quite a while ago. I had a lot of difficulty because I was a single woman and I had prejudice against me so my father had to go guarantor and that was able to help,” she explained. “I had two jobs, I worked really hard. I was actually trying to save to go overseas and then I cancelled that and I was renting … and I thought, well, maybe if I saved a bit of money and worked hard, I could put a deposit down for myself.” These days, the woman acknowledged the cost of living in Sydney is “very expensive”, saying, “It’s terrible … Rents have all gone up and everyone’s willing to pay for everything so people are just thinking we’ll charge this and then everyone’s charging on top, and people aren’t getting assistance so it’s hard these days.” The woman's comments were met with a wave of backlash online, with many younger Australians calling her advice "infuriating". “We’ve turned our cars into taxis and our spare rooms into hotels to try and afford the same thing they had on a single income,” one person wrote. “How are people this completely out of touch?” another wrote. “Most of my mates have worked since 14/15 (years old), Not gone away internally (sic), have clacked out cars and still only scrape by. I’m 20 and I can’t even remember the last time I went clubbing.” “Yes not buying coffee is going to be enough to save for a house,” another sarcastically quipped. The woman's comments come after research conducted last year shows Gen Z and Millennials have a tougher path to buying a home than previous generations, with the latter facing mortgages 12 times their average income. Image credits: TikTok <p style="box-sizing: inherit; border: 0px; font-stretch: inherit; line-height: inherit; font-family: 'Helvetica Neue', HelveticaNeue, Helvetica, Arial, sans-serif; font-size-adjust: inherit; font-kerning: inherit; font-variant-alternates: inherit; font-variant-ligatures: inherit; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-variant-position: inherit; font-feature-settings: inherit; font-optical-sizing: inherit; font-variation-settings: inherit; font-size: 18px; margin: 0px 0px 24px; padding: 0px; vertical-align: baseline;">

Money & Banking

Readers response: What’s the best travel advice you’ve ever received?

When planning a holiday, it's not unlikely to receive travel advice from others who have explored the world. We asked our readers to share the best travel advice they have ever received, and the response was overwhelming. Here's what they said. Liz Mendygral - You must have travel insurance. Nancy Rogers - Travel light and clever. Anne Denise Houghton - If you are in a different country and see something you would really like to do, do it then as tomorrow you may miss the opportunity! Deedee Cullum - Get off the beaten tourist track and meet the real people. Karen Ambrose - When crossing the road in busy Vietnam cities, keep walking and the traffic will go around you. DON'T STOP! Fran Cresswell - Pack what you think you will need then take out half of it!! Bill King - Respect the customs of the country you are visiting. Lorraine Kirkwood - Pack a spare set of clothes and Pjs in your cabin luggage. When your suitcases get lost you are ok. Chris Walker - Go while you can. Terry Dolman - Book your flight way ahead. Saves mega $$. Denise Sutherland - Where your passport is concerned NEVER BEHAVE BADLY, save that for your backyard. Image credits: Shutterstock

Travel Tips

New report reveals huge amount of super needed to retire

Australians will need nearly $600,000 in their superannuation to retire comfortably, according to a new report. The Association of Superannuation Funds (ASFA) Retirement Standard report found that home-owning singles would need $595,000 to retire at 67 with a “comfortable” lifestyle, while a home-owning couple in relatively good health would need $690,000. This means that home-owning couples would need $73,337 per year while home-owning singles would need $52,085 for a comfortable lifestyle. Their analysis also found that for a more modest lifestyle, a superannuation balance of $100,000 is needed for both singles or couples. Both budgets assume the retirees own their homes and are relatively healthy. On Wednesday, financial commentator Betsy Westcott told Sunrise that Aussies needed to start thinking about retirement earlier to make the most of their savings. “The longer that you contribute to super and pay attention it to it, the less you have to do to create that really golden retirement because age is your superpower,” Westcott said. “If you’re not paying attention to your super, which, let’s be honest, most of us aren’t, you could be missing out on some really big gains (to the overall balance).” She added that most people retired closer to 65 than 67 and ended up with a lot less superannuation than the benchmark. While the ASFA retirement standard took into account “everyday spending,” Wescott said it did not factor in expenses like helping children buy a home, or buying into a retirement village. She also stressed that these benchmarks were just a guide saying: "Personal finance is just that, it is personal.” “Your idea of a golden retirement will look different to your neighbour’s, your cousin’s, your best friend’s." Image: Shutterstock

Retirement Life

"Super uncomfortable for everyone": Qantas plays R-rated movie for every passenger

Qantas has issued an apology after an R-rated movie was played for every passenger onboard a flight from Sydney to Tokyo. On Saturday, the flight was delayed by an hour due to problems with the in-flight entertainment system, which resulted in cabin crew only being able to play one film on everyone's individual screens. After requests were taken by passengers, the movie Daddio was chosen. The 2023 drama stars Sean Penn and Dakota Johnson as a taxi driver and his passenger as they discuss their relationships, including an affair Johnson’s character had with a married man. One passenger took to Reddit to share their experience of the flight, saying it was "extremely inappropriate", due to scenes of “graphic nudity and a lot of sexting”. “The kind where you could literally read the texts on screen without needing headphones,” the passenger wrote. “It was super uncomfortable for everyone, especially with families and kids on board.” Another passenger said the airline made the switch to Inside Out 2 followed by a New Zealand nature show after playing “40 minutes of penis and boobs”. “These poor kids and the parents because y’all should’ve heard the audible gasps across the plane,” the passenger said. Cabin crew members attempted to fix the screens of those who didn't want to watch the R-rated film, but when this didn't work, resorted to switching the movie entirely. “The movie was clearly not suitable to play for the whole flight and we sincerely apologise to customers for this experience,” a Qantas spokesperson stated. “All screens were changed to a family-friendly movie for the rest of the flight, which is our standard practice for the rare cases where individual movie selection isn’t possible." “We are reviewing how the movie was selected.” Image credits: Shutterstock

Travel Trouble

Readers response: What’s your best advice for managing medications while travelling?

When taking a trip, many people often have to factor in how their changing schedule will affect their regular medication routines. We asked our readers for their best advice on managing medications while travelling, and the response was overwhelming. Here's what they said. Kristeen Bon - I put each days tablet into small ziplock bags and staple them at one corner. All that goes into one larger ziplock bag and into my toilet bag. I store all the outer packs flat into another ziplock bag and that stays in the zip pack with my first aid kit in the main suitcase. I travel long haul up to six times a year and this is the most manageable way I have found. Diane Green - Firstly, take sufficient supply of all meds to last the time I'm away. I separate morning medications and evening medications. Then it depends on how long I'm away. I have one that needs to be refrigerated. Depending on where I travel, this can entail arranging overnight in the establishment fridge while taking a freezer pack for daytime travel. Irene Varis - Always get a letter from my doctor, with all my prescriptions for when I get overseas. Saves you a lot of trouble! Helen Lunn - Just get the chemist to pack into Medipacks. I usually take an extra week. I alway put some of the packs in my partners baggage incase my bag goes missing and a pack and a doctor’s letter in my hand luggage. Jancye Winter - Always pack in your carry on with prescriptions. Jenny Gordon - Carry a letter from doc with all medications, leave in original packaging. Double check that it isn’t illegal to carry your medication as some countries have strict regulations for things like Codeine. Always carry in carry on as you don’t want them to get lost. Nina Thomas Rogers - Be organised with all your medicines before you leave. Image credits: Shutterstock

Travel Tips

ATO urges Aussies to cash in on nearly $18 billion in lost or unclaimed super

The Australian Taxation Office is urging people to check whether they are eligible to cash in on almost $17.8 billion in lost or unclaimed superannuation. Lost super is when your fund has lost touch with you or your account is inactive, and this can occur if you've changed your name, moved homes or changed jobs, without updating your details. The lost super becomes unclaimed when your fund transfers this lost money to the ATO. "Since 2021, the ATO has reunited almost $6.4 billion of unclaimed super with its owners. But there is still more than $17.8 billion waiting to be found," ATO deputy commissioner Emma Rosenzweig said. "If you've changed jobs, moved house or simply forgotten to update your details, you may have lost or unclaimed super. "We're urging Australians to check if some of the $17.8 billion in lost and unclaimed super belongs to them." As of June 30, 2024, super funds and the ATO are holding lost super for over 7.1 million accounts, with retirees among those with lost or unclaimed super. The ATO revealed it was holding $471 million on behalf of those aged over 65. “Superannuation is a key part of your retirement, and we want to make sure Australians are claiming the investment they’ve worked for,” Rosenzweig said. You can check for lost super online through the <a href="https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/growing-and-keeping-track-of-your-super/keeping-track-of-your-super/super-health-check#ato-Check3Checkforlostandunclaimedsuper" target="_blank" rel="noopener">ATO</a>. For those wanting to search for unclaimed cash, including unclaimed refunds, share dividends, uncashed cheques and more, you can visit <a href="https://asic.gov.au/for-consumers/unclaimed-money/" target="_blank" rel="noopener">federal</a> and state websites to see if you have anything owed to you. Unclaimed money is cash owed to people who can't be located, either due to name or address changes, lost paperwork or just forgot about the cash. Image: Shutterstock

Money & Banking

Readers response: What advice would you give to seniors looking to start a new relationship?

When entering the dating world, there are always nerves, expectations and excitement at any age. But when it comes to dating and starting new relationships in your senior years, priorities can be skewed, and meeting someone can be nerve-wracking. We asked our readers what advice they would you give to seniors looking to start a new relationship, and the response was overwhelming. Here's what they said. Judy Chappell - Don’t! Nothing better than independence & freedom late in life after 63 years married. I have my kids, grandkids, great grandies & great friends that’s enough for me. Don’t need another male around. Jan Heggie - If it feels right, do it. If it doesn’t feel right after a while, leave. Life is too short to not enjoy it. Karen Simpson Nikakis - Put legals in place to protect your assets, do not cohabit or marry, and split all bills. Lois Hone - Be true to yourself. Choose someone who completes you, the one person you feel you can’t live without. The one person, who makes you smile, laugh and is still there when you are sad and hurt and wants to support you. Oh and if they like to cook and clean as well, go for it! Julie Fauser - Live each in your own home. Marilyn Langelaar - Do not compare to previous partner. Janet Olsson - Be careful. Don't rush into anything. Lynn Dilley - Just go for it if you are happy and feel safe, but keep your money and documents to yourself. Merle Finlayson - Go for it! It’s never too late. Margot R McCamley - Enjoy the relationship, but there are always buts so tread carefully. Think it through thoroughly, but don't dismiss it as folly. Image credits: Shutterstock

Relationships

Peter Overton's heartfelt advice on Father's Day

In the delightful chronicles of the Overton family, one thing has become abundantly clear: Peter Overton absolutely adored witnessing the close bond between his father, John, and his daughters, Allegra and Giselle. It was a sight that not only warmed his heart, but reassured him that the family ties would endure through generations. Overton has often reflected on his father’s age – nearly 87 – and marvelled at how John and his mother still live in the family home where Peter himself grew up. Even at 58, Peter couldn't help but beam with pride when talking about his parents. “They loved all their grandchildren,” he told <a href="https://honey.nine.com.au/parenting/fathers-day-2024-peter-overton-interview-fatherhood-two-daughters/f39eb07c-f966-4bcf-bc74-0e78c69d8458" target="_blank" rel="noopener">NineNews</a>, “but Allegra and Giselle were the youngest, and they talked to them every day.” This Father's Day just gone, however, held special significance. The family hadn’t seen each other "for a while", and Peter knew it was high time they rectified that. The plan? A simple yet heartwarming meal of barbecue chickens and salad, enjoyed together at his parents' home. "We're going to buy barbecue chickens and salad and go over and sit with them," Peter had said in the days leading up to Father's Day, “because he's been an amazing mentor and friend and dad to me. He's an extraordinary, extraordinary human." As Peter reminisced, he couldn’t help but hope that his daughters would hold him in similar regard. “I hope my girls see that in me,” he said, “and I’m sure they do.” Peter has always been a hands-on dad, always encouraging open communication and making sure Allegra and Giselle know they can talk to him and his wife Jess Rowe about anything without fear of judgment. Peter has often recalled how his father had been a great communicator, even with the demands of his career as a professor of paediatric anaesthesia for 40 years. Peter remembered the early mornings when, after a night out, he and his siblings would cross paths with their father in the backyard. “Where are you going, Dad?” they’d ask, only to hear about some emergency with sick kids being flown in from Dubbo. Despite his busy job, John had never taken his eye off his children. Now, as a father of two daughters, Peter has found himself similarly devoted. He's currently been teaching his eldest, Allegra, how to drive. “She’s got about 50 hours down,” he brags, though not without a hint of stress: “I’ve ripped out the grab handles in the car from stress,” he admits, only half-jokingly. It's all part of life’s passage; the gradual letting go as children navigate their teenage years. Peter understands the delicate balance of being there for his daughters while allowing them the freedom to make their own choices, and yes, even mistakes. “You’ve got to let them fly, don’t you?” he says, with a wisdom that can only come from years of parenting. He and Jess have certainly found that balance, even as they continue to support their daughters through the ups and downs of school and teenage relationships. And while there are many special memories the close-knit family have shared, Peter often recalls the days when his daughters were born as the most precious. “I remember both of them vividly,” he says, describing how he could still feel the weight of newborn Allegra in his hands as he proclaimed, “It’s a girl!” And with Giselle, born via emergency cesarean, he cherished the moment he held her skin-to-skin while Jess was tended to. These moments, etched forever in his heart, are Peter’s best memories by a million. So, when asked what advice he’d give to new dads, Peter kept it simple: “Rely on your instincts”. And with that, the legacy of love, devotion and the occasional heart-pounding driving lesson continues in the Overton family, one barbecue chicken at a time. Images: Instagram

Family & Pets

Readers response: What is the best piece of advice you've passed down to your children?

if there's one thing you can count on your parents or grandparents for, it's to hand down valuable advice that will work its way through generations. This advice could be simple everyday words of wisdom, or more life-altering affirmations. We asked our reader what is the best piece of advice they have passed down to their children and grandchildren, and the response was overwhelming. Here's what you said. Margaret Barnes - Treat other people as you would like them to treat yourself. Kate Stephens - Listen to your mother. Keryn Bache - I recently advised my 22 year old granddaughter that if you have nothing nice to say, then say nothing at all. Linda Kauffman - Be careful in relationships. Janice Evans - Live within your means. Norell Standley - Learn self defence to protect yourselves. Les Thornborough - Look after your parents in their old age. Linda Kauffman - Thinking before acting. Liz N Jeff Busky - Don't try drugs, you may just like them. Rick Dayes - Mind your own business. Margie Buckingham - Live respectfully. Marian Arakiel - Get a job, get up, dress up and show up. Image credits: Shutterstock

Family & Pets

News

Shop

Catalogues

Contests

Entertainment

Travel

Health

Lifestyle

Finance

Property

Games

Information

Keep up to date

Search

Australia’s largest super fund fined $27 million

Use it or lose it as historic super cap prepares to expire

Readers response: What’s the earliest lesson you remember learning from your parents?

Want your loved ones to inherit your super? Here’s why you can’t afford to skip this one step

Many people don’t get financial advice even though it can help ensure a comfortable retirement

Retiring with debt? Experts explain downsizing, using super for your mortgage, and pension eligibility

Festive bulge: scientists offer advice on how to beat overeating

Holiday budgeting tips for over-60s: Expert advice for a stress-free season

Grandma shares blunt advice for gift-giving season

Readers response: What’s the best advice you’ve received on staying healthy as you age?

Readers response: What advice would you give someone visiting Australia?

"Completely out of touch" boomer slammed for housing advice

Readers response: What’s the best travel advice you’ve ever received?

New report reveals huge amount of super needed to retire

"Super uncomfortable for everyone": Qantas plays R-rated movie for every passenger

Readers response: What’s your best advice for managing medications while travelling?

ATO urges Aussies to cash in on nearly $18 billion in lost or unclaimed super

Readers response: What advice would you give to seniors looking to start a new relationship?

Peter Overton's heartfelt advice on Father's Day

Readers response: What is the best piece of advice you've passed down to your children?

Our Partners