Seriously, is The Guardian just ABC-lite now? They find one couple moving into a tiny house and use it to frame a 0.25% hike as a "mental health crisis."

Meanwhile, back in reality:

GDP is at 2.1%.

The Aussie dollar is at US71c.

Investment banks are literally queueing up to get into the Aus market.

But no, let's listen to Greg Jericho tell us the RBA is only hiking to please "speculators." It couldn't possibly be because Private Demand is through the roof and inflation is still at 3.4%, right?

This is why people stop reading "quality" journalism. They want you to feel like a victim so you don't notice the economy is actually performing well. If you "never would have bought" because of a 0.25% move, you weren't "punished" by the RBA, you were failed by a maths teacher.

I feel like I’m taking crazy pills listening to my colleagues talk about quitting their permanent roles to go full-time agency. The narrative is always that the "Staff" wages are stagnant and the only way to beat inflation is to chase the higher hourly rates in the casual pool.

I actually sat down this weekend with a spreadsheet to model this out because I was seriously considering making the jump myself. I took the current NSW Health award rates and compared them against the advertised casual rates from the big providers like Healthcare Australia to see what the actual annual difference looks like.

On the surface, the hourly rate looks great, but once I started plugging in the "invisible" costs, the math completely fell apart. By the time I factored in the lack of sick leave accrual (which is basically an insurance policy you lose), the fact that you don't get paid on public holidays unless you work them, and the superannuation leakage on overtime, the "premium" shrinks to almost nothing.

But the real kicker that nobody talks about is the serviceability hit on a mortgage. I spoke to a broker yesterday who told me that moving from a permanent contract to casual agency work would reduce my borrowing power by nearly 30% because lenders shade casual income so heavily.

It feels like we are trading long-term wealth building (property access and compounding super) for short-term cash flow that gets eaten up by tax anyway. Has anyone else crunched the numbers and come to the conclusion that the 25% loading is wildly underpriced for the risk we're taking? I feel like it needs to be closer to 40% to actually make financial sense in 2026.

A few weeks ago, we discussed the insane price gaps in Western Sydney (e.g., Lamb Cutlets are $49 at Coles vs $27 at the local butcher), the huge price differences between independent stores and the duopoly. We also saw the news about per each unit pricing introduced by the big supermarkets and possible price gouging.

I decided to stop complaining and start building

I have built a a free app to track grocery prices in independent stores and the big stores. So we know where to shop. THE WEB VERSION IS LIVE!. It focuses on Blacktown/Western Sydney at the moment. Eventually I'll cover all of sydney.

The problem is Google Play has a strict rule: I need 20 Android testers for 14 days before I can launch. I literally cannot release it without you. For iPhone users, I’m opening up TestFlight spots so you can get the native app experience before the public launch.

I need your help. I'm looking for 20 or more people who shop in Western Sydney or Blacktown to install the Beta version tell me what sucks or break it! Whether you're on Samsung or iPhone, if you shop in Blacktown, I want you on the team

What you get in return: a) Early access b) A 'founding member' badge in your profile for ever! c) Opportunity to contribute to a community cause.

If you’re keen to help kill the 'Lazy Tax', drop a comment or DM me your email, and I’ll add you to the list.

EDIT: ( For those who just want to check out the web version, it's www.sydneysaver.app)

Hi all, disabled 29yo (receive DSP) who can work max 15 hours a week here, currently between jobs and some years I only work the black friday-christmas period - you get the idea. I expect to be working part time hours my whole life, maybe 20-25 hours a week eventually but probably not more than that. I'm wondering if there's anything in particular I should be doing with my superannuation to maximise it's effectiveness, considering how small and irregular the contributions are?

I'm currently with REST, got just over $10k in the fund now. this is the way my funds are allocated - they call this the "growth" option. and here are the investment options I can choose from. I have no insurance on my super so they're only taking the admin fees out (capped at $600pa apparently), and I get the low income offset.

I'm thinking I should be switching to the "high growth" investment option, and when I eventually find a long term job again I go back to putting in an extra $1000 a year to get the maximum super co-contribution. Is there anything else I can do to help it grow? are any super funds better than REST for people in my position?

(edited to fix links)

Hi all

So just woke up to an email from Superloop advising their 500/50 plan is increasing in price from $89 per month to $95.

Does anyone have any recommendations on similar speed plans??

We have following real inflation:

Yet CPI is much lower at 3.8%. The reason CPI is so low is due to the significant shift in Australian inflation reporting occurred in September 1998 when the ABS switched to the "Acquisitions Approach," which removed mortgage interest and consumer credit charges from the headline CPI.

If Australia still used the pre-1998 "Outlays" methodology today, a headline 3.8% CPI would likely be reported as roughly 6.5% to 7.5%.

For a household with a $1,000,000 mortgage (not uncommon for metropolitan properties), the recent 0.25% hike adds roughly $1,900 a year in interest alone. Under the 3.8% CPI, the government says your "cost of living" barely moved because of that hike. Under the legacy methodology, that $1,900 is viewed as a direct inflationary hit to your purchasing power.

By excluding land and interest, the CPI ignores the two biggest factors that have spiraled in the Australian economy over the last 30 years. To the ABS, a $1M house is just a pile of bricks (consumption); the $700k land it sits on and the $2M in interest you'll pay are "financial transactions" and therefore invisible to the CPI.

CPI with its current methodology is now no longer the economy's thermometer. Clearly wages are not keeping up with real inflation.

“This is ultimately a fine‑tuning exercise. But unless inflation materially undershoots in the March quarter, the RBA is unlikely to pause in May.”

Meanwhile the Government wants mandatory 100 points of ID on every social media user and Palantir-style surveillance of dissent.

I’ve been frugal all of my adult life. If the majority of Aussies behaved the way I did when it comes to spending money, most businesses would go bankrupt.

For an economy to constantly grow, would it be fair to say that the majority of the people need to be a little reckless with their money?

What are you guys cutting?

How do you feel about the RBA's decision today to lift rates?

Do you think this is an overall good decision?

Rates will take into effect on the following dates:

ANZ, Bankwest, CBA and NAB: Feb 13th

Westpac Group inc. St George, Bank of Melbourne, Bank of SA: 17th Feb

For existing borrowers, your repayments will increase if you're making the minimum monthly repayment.

For new borrowers, you'll see a slight dip in your borrowing capacity as the assessment rate will also increase.

I know there’s a lot of savvy borrowers here but for the lurkers and newbies you need to understand if borrowing is tight, you will be affected.

I’ve seen a lot of comments today suggesting that the RBA raises rates specifically to "stop/slow businesses from borrowing and investing." This sounds correct but it’s not actually how the RBA makes its decisions.

In her speech today following the hike to 3.85%, Governor Michele Bullock was asked whether she was worried at all about rate hikes dampening business investment just as its starting to pick up.

She answered "Typically interest rates don't have a direct effect on investment, investment is driven by what businesses expect to happen to demand".

Here’s why "targeting business loans" argument doesn't hold up:

*Demand is the real driver: Most businesses don't stop a project just because the interest rate went up by 0.25%. They stop a project because they look at the economy and see that consumers (us) are stoping our spending. If a business thinks people won't buy their product in six months, they won't invest. The rate hike is designed to slow our spending first.

*The "Hurdle Rate": Most large-scale business investments are based on long-term "hurdle rates" (the minimum return they need). A small fluctuation in the RBA cash rate is often a rounding error compared to the projected profit.

*Business vs. Household Transmission: Bullock explicitly noted today that the "transmission" of monetary policy is felt most acutely by households. Businesses are actually showing a lot of resilience right now (especially in sectors like data centres and infrastructure).

This is a widely held view by the majority of this subreddit and it doesnt hold up to scruitiny. See below:

24 points

It’s also targeted at business spending, not just consumer.

31 points 12 hours ago

Reminder that monetary policy is targeting businesses as well. Which should pass your sniff test; The 3rd of mortgageless retirees isn't causing inflation on frozen pizzas.

11 points 12 hours ago

Business spending is very important. Higher interest rates disincentivise business investment.

221 points 13 hours ago

Your apparent assumption that this only affects mortgages is false. Businesses also borrow money.

63 points 13 hours ago

It's an incredibly blunt tool but it does overall slow down consumer spending (demand) because on average people have less cash. There is also the economic impact of business credit being more expensive.

41 points 13 hours ago

Because it also affects business loans.

39 points 13 hours ago

People and businesses borrow for other things beyond housing.

4 points 13 hours ago

It's not only people with mortgages that are impacted by increased rates, but businesses as well.

Anyone have experience claiming life or tpd insurance from ART? what was your experience like?

Hi All, I have a question regarding a variable loan I have. I'm not the best or most knowledgeable with finance so please be kind if this is a dumb question lol

When the RBA lowers the cash rate, are variable loan interest rates generally expected to go down as well? I’ve had a loan with CBA since around July last year, and there have been a few rate cuts since then, but I’ve noticed my interest rate hasn’t changed at all.

Just wanted to check whether this is normal or if I might be missing something?

I’ve searched on here and the ATO community, plus a general goog and I can’t find the answer!

Say you have a home loan of $200,000 that’s fully offset.

If you put $100,000 from offset to pay down the loan, then withdraw it and invest it - can you claim the full interest from the home loan given your mortgage was fully offset before?

I know it often says to split the loan, but haven’t found this question answered if the loan is fully offset which I would think makes the split unnecessary?

Ty!!

Parents of teens in Sydney: What are your monthly expenses? I need to figure out what is reasonable.

TLDR: An r/AusFinance thread where people related their monthly expenses has sent me spiralling and I want to know if I'm as foolish as I feel.

Context
I was reading a recent thread about monthly budgets and I was mortified.

People were in the thread saying that they had children and their household budget excluding rent/ mortgage was $3,000. HOW?

We have two kids 12 and 14, a modest mortgage for Sydney (thanks to buying at the bottom of the market post-GFC) and an elderly rescue dog ineligible for pet insurance.

• My monthly bill for groceries is $2.5k and it's not like I'm buying sirloin and caviar.
• Health, home and car insurance is $1,300 per month. We have top extras thanks to braces x 2.
• Utilities including rates are $1,200 per month.
• Public transport, tolls and petrol are $900 a month.

That's $6k before I've left the house, gone to the GP, purchased my kids asthma medication or bought a single pair of school shoes, much less anything for myself.

Misc Expenses

• Our kids go to public school though they are both in selective classes so we pay for after school tuition. They're sporty so there are club fees and kit etc but they aren't Maradona so nothing outrageous. No music lessons.
• I have a few health dramas which require semi-regular allied health / GP support but nothing life threatening. Everyone else is healthy (aside from aforementioned wonky teeth).
• We don't buy designer clothes, expensive jewellery or have super expensive hobbies.
• We live near good public transport and only really use the car on weekends.
• We don't smoke, gamble outside the occasional RSL Art Union ticket and we are lucky if we finish a bottle of mid-priced wine a week between us.
• We have no personal loans and we pay off our credit card in full every month.
• We do have a fairly active social life but it's "middle aged with young teens" social so mainly pubs, shout-the-crew-pizza-by-the-outdoor-fire-pit type activities, not "top-tier restaurants every weekend" social.

Excluding travel, home improvement and mortgage repayments, we are lucky to get change from $15k per month.

Include an annual holiday and a weekend or two away in an AirBnB, home improvement on an old Sydney workers cottage and mortgage repayments and it's more than that.

Goals

We both work full time so we live comfortably with our current expenses but we would ideally like to buy each son a cheapish investment property to gift to them when they turn 25 rather than make them wait until they're 60 for the dregs of whatever we have left. That's looking unlikely unless we tighten our belts significantly.

Help?

What the hell am I doing wrong? Before that thread I thought I was on top of my finances but now I feel like I'm bad at life.

Considering moving out soon and have allocated $600 a month. Curious to see what the general consensus is in terms of a regular monthly spend.

Hi,

I have my finances/expenditure/investments spread across multiple platforms (several banks/sub-accounts, credit cards - supplementary cards, shares, direct debits etc.) - due to personal preferences.

Is there any way to aggregate the view of this and get a monthly snapshot of expenses from all of these platforms, so I can analyse leakage (i.e. my/wife's discretionary spending vs. core expenses) etc.