The Australian Finance Podcast
The Australian Finance Podcast is your crash course guide to sorting out your finances, one episode at a time. Owen & Kate bring you actionable information that you can put into practice today, so you can smash those money goals and set yourself up for success. Catch Owen @RaskAustralia or @owenrask on Twitter, and Kate @HowToMoneyAUS or on the How To Money Australia website.
Does the topic of money stress you out or make you want to run for the hills? Are you interested in achieving financial freedom and getting out of debt? Are you trying to save up for your dream vacation, house or retire comfortably? Although we can’t snap our fingers and make those things a reality for you right now, if you stick with us during this podcast series it is our intention that you’ll walk away with actionable knowledge and resources to kick-start those goals and work towards making them a reality.
Banking, Budgets and Emergency Funds! We know they’re probably some of your least favourite words but when it comes to your finances, they’re probably some of the most important. Without understanding the products that you’re using, your money in/money out picture and having an emergency fund for life’s unexpected curveballs, you’re putting yourself in a position where your money (or lack of) controls you.
In this episode, we break down some of the key things you should look for in your common banking products, how to start putting together your budget and why an emergency fund is an essential step towards building a sound financial future!
Why is an emergency fund important?
- You’ll get wiped out if you stop earning
- Helps you stay afloat when unforeseen situations happen (without going into debt)
- Helps you to avoid selling assets at a bad time to get the money you require
- Gives you peace of mind and freedom to get out of a bad situation
50/30/20 Budget & Calculator
You’ve seen Afterpay popping up all over the place, and are starting to realise that it’s a lot easier to get a credit card than you thought. Maybe you’ve decided to pay off your consumer debt and cut up your credit card. In this episode, we break down the various debt and credit products you may be already using or looking at, chat about the true cost of a personal loan and some debt demolition methods.
Credit Card Example
Assumptions: the effect of fees and additional spending are excluded; 2% minimum repayment rate; the extra repayment rate is held constant. This result is an estimate only. Use the MoneySmart Calculator (CLICK HERE).
Financial Counselling Resources
Stuff happens in life that you don’t expect – we both know that, but despite that knowledge, we often don’t prepare financially for when (excuse my French), shit hits the fan. In this episode, we chat about the importance of having an emergency fund and why it should be a key priority when you’re starting to sort out your financial health. We also delve into the strange and often complex world of insurance, the stuff no one wants to pay for, but they’re grateful they did when the unexpected happens.
Insurance Comparison Sites
Have you heard the phrase cash is king before? Well, in this episode we’re diving into why that phrase doesn’t quite hold true, and the downsides to purely leaving your money in cash. We’ll also look at the difference between saving and investing, and dispel some of those pesky rumours that are holding you back from investing. Let’s just say, you definitely don’t need to be wealthy to start investing and building wealth.
You’ve decided that working for the rest of your life isn’t going to cut it anymore and you want to have freedom over your time. Putting money aside in a jar or savings account is going to be a slow journey, and you’d like to be financially free prior to going grey. Building wealth over time is absolutely possible through investing, and in this episode, we review the core asset classes that people just like you are investing in. The barriers to getting started are virtually nonexistent nowadays, so get started today in building something that’ll support those great dreams of yours!
Start by identifying your goals and reasons behind investing, as this helps you to stay on track and grow your wealth. Why do you want to build wealth and financial security in your life – is it for freedom, choice, happiness, ability to direct your time, mastery, power or self-fulfillment?
Excerpt From the Rask Finance Investing Basics Course
“One of the most important lessons I’ve learned from all of my years investing is this: if you don’t understand it, don’t buy into it. Shares, property, Bitcoin or gold, it doesn’t matter. If you don’t understand the potential benefits and risks and how an investment will make you money, don’t own it.”
What the heck is Super and who cares? You will. This episode of The Australian Finance Podcast is short and sweet. We’ll tell you why you need to give a damn, the simplest ways to change Super funds, how to check your insurance, ways to add extra and how most people could retire with a few hundred grand extra. If you follow the ideas in this episode, we think it could be the most important 25 minutes of your financial life.
Rask Tip: Paying 1% more in Super fees could mean 20% less at retirement (e.g. in 30 years). It should take a few hours — at most! — to choose a Super investment strategy/options and keep costs low.
Owen Explains Investment Options
Super Fees Explained
If you only take one thing out of this, it’s that your super is your money!
True or false: Australian property prices double every 10 minutes? In this episode we’re going to debunk some of the myths of property, give you a checklist on what to do, explain the best ways to save for a deposit, the best ways to get burned by property, tell you how you can get into the property market with around $500 and attempt to answer “why the heck does anyone buy an apartment off the plan?”
Property Happiness Bubble
WTF is an ETF? Are Robo Advisers really robots?
This episode is designed for people who like to make money and get rich slowly. Don’t watch your friends get rich, in less than half an hour we’ll tell you how you can learn the not so mystical art of investing, how you can get started in like 5 minutes with just a few hundred bucks and what to look for.
Are shares like gambling? Are they risky? How do I buy shares? How much do I need?
If you ever ask yourself questions like that, this episode is what you need. We’ll tell you what the sharemarket is, how it works, why it works, why Owen buys individual shares and more.
Canstar’s broker comparison’s (tip: also take note of the brokers they don’t recommend and do your own research)
Public Podcast Description:
Finance is bloody confusing. While it’s often cheaper and far more empowering to learn it for yourself we know it’s NOT for everything. This episode is all about getting access to the best advice and information which is often free, and avoiding dodgy advisers and scammers who seem to be lurking around every corner.
Rask Video: What Does Financial Planner Do?
Research & Resources:
- MoneySmart adviser website <– USE THIS CHECK TO CHECK ON YOUR FINANCIAL PLANNER
- ASIC website <– USE THIS CHECK TO CHECK ON YOUR FINANCIAL PLANNER OR FUND MANAGER
- Independent Financial Planners
- Links to financial counsellors
- Hotline numbers
- Finance ombudsman / ACFA
- Insurance Financial Rights Centre (good for knowing whether it’s worth making a car insurance claim)
- Stockspot Fat Cat Report (Super report)
The Australian Finance Podcast is pumped to release the first Q&A episode!
Kate and Owen have had some great questions submitted on our website (click here to submit your own). In this episode, Owen and Kate discuss:
- Is CFD trading risky?
- How can I motivate my partner to save and invest?
- Can I retire comfortably by investing in shares (not property) after 50 years of age?
- Do I pay tax on shares I own for 10+ years?
Compound interest is the single most important money and finance concept everyone needs to know, understand and USE! But what the heck is compound interest and how do you get your money to work for you?
Kate and Owen explain everything you need to know in this episode of The Australian Finance Podcast.
Research & Resources:
What is Compound Interest Video:
In this episode of The Australian Finance Podcast, Kate and Owen discuss what it means to “invest in yourself“, why it’s so darn important, and how you can start today.
Kate also busts some myths when it comes to “Side Hustles” and HECS or HELP loans — including when you get one, how they’re repaid and ask ‘should I repay my student loan?’.
Finally “ARE ROBOTS GOING TO TAKE MY JOB?!!
- Rask Finance & How To Money (both free and awesome)
- Khan Academy
- Community courses
This is The Australian Finance Podcast’s Question and Answers (Q&A) episode. In this episode Kate and Owen answer:
- Is it wrong to invest solely for dividends? Can I compound without them?
- How do I find a good financial adviser and what should I look for?
- How do I build a team of finance and investing experts around me?
- The best investing apps for iPhone and Android
- Are ‘micro saving/investing’ apps a good idea?
- MoneySmart: Choosing a Financial Advisor
- MoneySmart: Financial Advice and You (PDF)
- ABC: How to find the right financial advisor for you?
- Financial Planning Association of Australia (FPA)
- ABN Lookup
- Copyright/Trademark Registry
- Tim Hansen Humility Curve
- Investing Resources + Rask courses:
- Rask Media (daily news)
- Rask Investors Podcast
- How To Money Podcast
- Shares course 1 (absolute basics)
- Shares course 2 (better for the “how do I buy shares?” type questions)
- Emailed investing course 1 — “The Investing Masterclass”
- Emailed course 3 — “The ETF Masterclass”
- Owen’s valuation course (advanced — and time-consuming)
- Apps mentioned:
- ING round-up
The Australian Finance Podcast’s tackles Listed Investment Companies (LICs).
- What is a listed investment company or LIC?
- How do they differ to ETFs and managed funds?
- Can I buy them on the ASX?
- What are the risks of LICs?
In this episode of The Australian Finance Podcast, Kate and Owen answer all that and loads more.
In this episode of The Australian Finance Podcast, Ted Richards joins Owen & Kate.
Ted is a behavioural economics/investment expert at Six Park. Ted is the host of the Richards Report investing podcast and a former AFL player for the Sydney Swans. In this episode of the Australian Finance Podcast, Kate, Owen and Ted talk about behavioural biases and how they can work with — or against — you, such as:
- Loss Aversion
- Status Quo
- Availability bias – overweighting small probabilities
- Present bias
You: “Diversification. That’s something to do with eggs and baskets, right?”
Not so fast, buster…
Diversification means spreading your investments so you can help control the total risk of your investment portfolio. The aim of diversification is to hold investments that perform differently to each other so that losses made on some investments will be balanced by what you gain on others. However… there are other types of diversification that need to know about. Tune in now!
What’s a stock brokerage account? Should I buy ETFs instead of paying off my mortgage? How can I save for a home deposit? AND… Is my pet fish Roger actually a female?
These are all great questions to be discussed in this Q&A episode of The Australian Finance Podcast. Ask a question: podcast[at]raskfinance.com
You’ve covered the basics and started building your financial toolkit, and are ready to take the next step. The only problem is you don’t know where to start. Taking the step between thinking and doing can sometimes be overwhelming, so in this episode Owen and Kate break down the key steps to start taking control of your financial future.
DOWNLOAD THIS AMAZING CHECKLIST:
We love talking about ASX ETFs on The Australian Finance Podcast and how they have made the world of investing more accessible. While they can be risky we know they’re simple and they work, and you don’t need any financial know-how to get started. It’s as easy as opening up a brokerage account, picking a low cost diversified ETF and buying small parcels frequently over a long period of time. They can be your entire portfolio or just the core, but they instantly open up the world of investing to you. They definitely have changed our investing journeys, and have simplified the complex world of finance. So in this episode we talk about exactly why we’re so keen on ETFs.
Kate’s Financial Toolkit
Budgeting & Financial Goal Setting/Tracking
- Frollo (tracking spending)
- Google Sheets (working out budget)
- Up Money (setting specific savings goals)
Investing & Portfolio Management
- CommSec (brokerage account)
- ShareSight (reporting)
- InvestSMART Portfolio Manager
- Research (follow good fund managers – sign up to their newsletters and learn about their investment cases, learning to sift through the noise and scammers, beware the intentions of forum participants)
- Listen Money Matters – US-based personal finance content
- Invest Like the Best – insights helping you better manage your time and money
- Australian Investors Podcast – interviews with professional Australian investors
- Side Hustle School – short daily interviews with individuals running side-hustles
- The Money (ABC) – how the Australian and global economy works
- Money Magazine – Australian financial news and money-related content
- Miss Money Box — a strong focus on financial education
- Fearless Female Traders — female-focused personal finance community
- Livewire – free investment insights from leading financial professionals
- AFR – digital and hard copy magazine covering Australian financial news (paywall)
- The Simple Path to Wealth – J L Collins
- The Year of Less – Cait Flanders
- Side Hustle – Chris Guillebeau
- Millennial Money – James and Patrick O’Shaughnessy
Owen’s Financial Toolkit
- ING & ME Bank
- NAB (for business)
- Google Sheets & Drive
- Stocklight App
- Twitter (news)
- Apple Pay
Books & Podcasts
- Richest Man in Babylon – centuries old good n stuff like that
- Happy Money – attitudes to money
- Zen In The Martial Arts – life advice
- How To Money Podcast
- How Owen lost big buying shares in Slater & Gordon and Newsat — and why he bought a ute using a personal loan (WTF was he thinking!), and
- Why Kate decided to become a day trader… while also working full time (during the day!)
“Just Afterpay it, yo!” In this week’s Australian Finance Podcast episode Kate plays both sides of the Buy Now, Pay Later (BNPL) debate and Owen offers a (very poor) overview of each of the major BNPL apps that are available in Australia.
Do you use Afterpay or BNPL apps? Have your say on Twitter or Instagram!
Shoutout to financial guru and popstar, Ariana Grande!
Kate and Owen from Australian Finance Podcast were joined by Alec (Ren) and Bryce, co-hosts of the Equity Mates podcast for an Australian finance podcast extravaganza!
We share our introduction to finance/investing, and experiences with our podcast series since.
Boom! The Australian Finance Podcast is BACK with a FRESH Q&A episode in which Kate and Owen answer:
- WTF is the FHSSS (First Home Super Saver Scheme) and is it worth it?
- How do I teach my 20-year-old about finance and investing?
- What are the best brokerage accounts?
- What are the disadvantages of investing passively or using robo advice? And…
- HELP — I’ve got a $20k credit card, $20k loan and tax debt? What should I do now?
In this Australian Finance Podcast episode we discuss how we go about using and consuming financial media, and discuss some of the ideas the experts have on how best to filter through the mud.
- Who should you listen to?
- Do they know what they’re talking about?
- Are my previously held opinions incorrect?
- Are their claims based on fact, fiction or FLUFF?
- Have they cherry picked their numbers and statistics?
Read stuff you disagree with, written by people you respect. Charlie Munger says a prerequisite to having an opinion is stating the opposing side’s view as well as they can.
Every piece of financial news you read should be filtered by asking the question, “Will I still care about this in a year? Five years? Ten years?” The goal of information should be to help you make better decisions between now and the end of your ultimate goals.
Read old news and you’ll quickly see that the life expectancy of your goals is higher than that of the vast majority of headlines.
Three Questions to Ask
- Is the article based on data or opinion?
- Is it descriptive of past conditions or predictive of the future?
- Does the article have a testable hypothesis?
Like money? Got time? Have a hobby? Get a side hustle!
Earning extra money without having to give up the stability of an existing job is a powerful motivator.
In this episode Kate drops her wisdom on side gigs and Owen chimes in with some nuggets too.
- ATO: Sole Trader Tax Obligations
- 100 Side Hustles – Chris Guillebeau (Book)
- Side Hustle: Build a Side Business and Make Extra Money – Without Quitting Your Day Job – Chris Guillebeau (Book)
- Side Hustle School – Daily Podcast
- Side Project Sessions
- Finder: 15 Australian Side Hustle Ideas
- ABC: ‘Side hustles’ are all over social media, so what’s behind the trend?
- The Ultimate Side-Hustle How-to Guide: 10 Rules for Side-Hustle Success
Did you know, if you pay 25% tax you’re effectively working 3 months (25%) of your year just to pay the Tax Man?
In this episode of The Australian Finance Podcast, Kate & Owen talk taxes, why we pay them, how we pay them and when we pay them.
Topics covered include:
- Income tax
- Capital gains tax
- Company tax
- Franking credits
- Tax deductions
- How to find an accountant
- Private health insurance
- The Medicare Levy
- ATO: Tax File Numbers
- MoneySmart: Make Tax Work For You
- MoneySmart: Income Tax Calculator
- The Age: How Our Tax System Works?
- The Age: Interactive Tax Guide
- ATO: History of Tax in Australia
- 340 Pages on the History of the ATO (this actually exists)
- Budget 2018: Where every dollar comes from, and how it’s spent
- History of Ancient Egyptian Taxes
Rask tax tutorials:
Kate and Owen are back to answer your questions. Questions answered in this podcast include:
- The duo’s favourite personal finance books
- The new Commsec Pocket app
- Is it normal for a financial planner t0 charge $1,000 and receive a commission?
- Investing with $15,000 – do I need a financial adviser?
- Buying or building a new house — and where to get advice
- What 3 ETFs would you buy and why?
- If you could buy just one share for your child which would you pick?
- Are there any part-time jobs in finance?
- Is a Master of Applied Finance a good qualification for finance professionals?
Need some tips on how to negotiate your salary? Whatever you do, don’t put it off!
Companies rarely approach you with their best offer, they’ll have a scale that they can negotiate between. You might not ask for the higher amount, which means more savings to them. Working harder isn’t enough to get most of us a raise – we have to ask for it.
- 5 Real-Life Salary Negotiations (And What You Can Learn From Them)
- How to Negotiate Salary: 37 Tips You Need to Know
- Seek: How to negotiate your salary
- Ten Things Never, Ever To Say In A Salary Negotiation
- 6 Tips for Negotiating Your Salary
- Ramit Sethi: How To Negotiate
- Ultimate Guide to Getting a Raise & Boosting Your Salary
Don’t leave setting financial/money goals to January 1st next year — this is something you can do at any time, and review on a regular basis. Your money goals don’t have to only focus on saving money, one of your goals might be to learn more about investing or understand how your Super works.
In pretty much every finance book, article, website and documentary you’ll see some mention of Warren Buffett. Whether that’s in one of his numerous investing quotes or a reference to his billion dollar investment company Berkshire Hathaway, you’ve probably seen his name somewhere in conjunction to finance.
Nicole Haddow is a Melbourne-based journalist. Buying her first home led Nicole to become passionate about helping people enter the property market. She was the executive property writer for the Australian Financial Review. She documents alternative methods of purchasing your first home at smashedavocado.net.
The Australian Finance Podcast is back to answer your questions for our October Q&A session! Kate and Owen answer:
- What are IPOs and how do they work?
- Are Robo advisors regulated?
- What the heck is an investment bond and are they worth it?
- Is there an ETF bubble?
- Raiz V. Commsec V. Stake V. The Rest, and
- Are CFDs the best things since sliced bread?
Don’t forget to send us your questions at [email protected].
Episode LIVE Monday 4th November 2019
When it comes to money, humans have (slightly developed) monkey brains! Behavioural finance is a topic everyone needs to hear because, chances are, unless you’ve worked hard to identify your biases, you won’t even know your biases or habits are impacting your decisions. In this Australian Finance Podcast Kate and Owen discuss the most common behavioural biases and psychological tips to help you succeed with money, investing — and life!
- The Behavioural Investor – Daniel Crosby
- Free edX Course on Behavioural Economics in Action
Behavioural Science Concepts –
Ethical investing. Sustainable investing. Impact investing.
What is ethical investing and why is it such a big deal? In this Australian Finance Podcast episode Kate and Owen talk about the types of ethical or sustainable investing, how you can do it, what to look for and consider, and whether it’s worth it at all.
- What is ethical investing?
- How can you have an impact with your investments?
- Is it expensive to invest ethically?
- What should you be looking for? (or not looking for), and
- Whose ethics are we talking about?
- The Ethics Centre
- Principles for Responsible Investment
- Responsible Investment Association Australasia
Cars, mortgages and education, these are the three biggest expenses for most Australian households. In this episode of The Australian Finance Podcast, Kate and Owen tackle the three BIG expenses and how you can nail them once and for all! Topics include:
- Pre- and primary school education – is it worth it?
- School: Public or Private?
- Buying, selling and using a loan for: Cars
- Mortgages &… don’t be lazy
- Investing in early development, the return to society (as much as $17 for every $1 invested!
- DHS & my.gov websites for childcare (a link to all Centrelink benefits)
- Grattan Institute (2018): Independent schools versus public versus catholic schools – “The Expensive Truth”
- 35% of Australian parents send kids to private schools
- 2019 fees for private schools – it’s craziness
- Car loan & mortgage repayments calculator
- Tony Hansen – How he made ~$300k of net wealth from saving money on cars
15:00 – $276,000 in the bank (per child) or attend a private school?
19:00 – Keeping your Car costs WAYYYY down — & how you can make money from a car (Tony added $300k over 15 years)
25:00 – Mortgages & how you might save $500 per month!
As much as we love Christmas celebrations with friends and family, it can be an expensive and stressful time of the year. By starting to get ready early you can avoid the last minute rush, and by planning your budget you can avoid unnecessary expenses.
MoneySmart: 12 Money Tips for Christmas