Hervey Bay Independent : 14th January 2016
One third of Australians will delay their family plans because of the expense One in every three Australians have said they will delay their plans to have children because it is so expensive to raise a family, new data has revealed. According to Mortgage Choice’s inaugural Financial Confi dence survey, 34.9% of surveyed respondents said the cost associated with having children is so high that it is has forced them to put their family plans on the back-burner. Local Mortgage Choice Franchise Owner and Mortgage Broker Peta Short said a growing number of Australians feel as though they can’t afford to have a family. “Almost 50% of Australians said they would have to rely on their spouse or partner for money if they took parental leave, which would suggest the parental leave they are paid by their employer or the government is not enough.” Peta said the data was unsurprising given that the cost of living and property prices continue to grow year on year. “Our data shows more than 85% of Australians have seen their day-to-day expenses rise substantially over the last 12 months, which puts pressure on the hip pocket,” Peta said. “Given that the cost of living is rising and there are costs associated with having children, it is little wonder why more than one third of Australians are actively pushing their family plans back.” Peta said those who were concerned about the cost of raising a family weren’t wrong to do so, as data from the survey found 56.7% of those with children believed they weren’t “fi nancially prepared” for a family. For those who are thinking of having children but are concerned about the associated costs of doing so, Mortgage Choice provides the following tips. Make fi nancial plans Preparations for parenthood often involve plenty of unknowns - could you face unexpected medical bills? How much time can you afford to take off Table 1: Family Plans Is the cost of having children enough to encourage you to delay your family plans? Yes No work? How will you cope fi nancially? The best way to bring certainty to what can be an uncertain time is by making fi nancial plans. Those considering starting a family should set themselves a manageable budget and stick to it. Trim excess debt For those thinking about children, paying off debt like personal loans and car loans etc should be made a top priority. At the end of the day, the more debt you pay off, the more cash you will free up – cash that can then be saved for ‘rainy day’ expenses. Build a savings plan Finally, it is a good idea for anyone considering starting a family to create a regular savings plan that they can stick to. Babies don’t stay little forever and as children grow, so too do the associated costs. By committing to a regular savings plan today, you will have a far better opportunity to give your child a wonderful lifestyle down the track. National NSW VIC 34.9% 38.3% 36.6% 34.8% 65.1% 61.7% 63.4% 65.2% Table 2: Parental Leave If you took parental leave, would you need to rely on your partner for money? National NSW VIC Yes No Table 3: Financial situation Question for those with children: were you fi nancially prepared for your children? Yes No QLD SA WA 32.1% 67.9% 33.0% 67.0% 47.3% 45.8% 50.0% 46.0% 52.7% 54.2% 50.0% 54.0% QLD SA WA 45.1% 54.9% 50.5% 49.5% National NSW VIC 43.3% 47.8% 37.5% 44.6% 56.7% 52.2% 62.5% 55.4% QLD SA WA 43.3% 56.7% 42.7% 57.3% *About the survey Market research company Nine Rewards was commissioned by Mortgage Choice to conduct the 2015 Financial Confi dence Survey. The online survey was conducted in November 2015 and completed by 1,113 Australians. Important information This article is for general information purposes only. It has been prepared without considering your objectives, fi nancial situation or needs. You should, before acting on the advice, consider its appropriateness to your circumstances. About Mortgage Choice Mortgage Choice is an ASX listed company that seeks to help Australians with all of their fi nancial needs. Established in 1992, Mortgage Choice was originally established to help Australians improve their fi nancial situation by offering a choice of home loan providers, coupled with the expert advice of a mortgage professional. Since that time, the company has grown and developed into a fully fl edged fi nancial services provider. Today, Mortgage Choice helps customers source car loans, personal loans, credit cards, commercial loans, asset fi nance, deposit bonds, and risk and general insurance. Further, the company offers Australians access to real, relevant and affordable fi nancial advice through our qualifi ed fi nancial advisers. Mortgage Choice has no balance sheet or funding risk, and consistently delivers strong profi ts and attractive yields. It listed on the ASX in 2004 (MOC) and is a member of the Mortgage & Finance Association of Australia (MFAA). Mortgage Choice holds an Australian Credit Licence: no. 382869 and Mortgage Choice Financial Planning Pty Limited holds an Australian Financial Services Licence: no. 422854. Both licences are issued by ASIC. Recent recognition: 2015, 2014 Australian Broking Awards Best Diversifi cation Program; 2013, 2012, 2011 Australian Broking Awards Major Brokerage of the Year – Franchise; 2013, 2012 Australian Broking Awards Best Ethical/Social Responsibility Program; 2012 Australian Broking Awards Best Training and Education; No.1 on The Adviser magazine’s 2012, 2011, 2010 and 2009 Top 25 Brokerages list; 2012, 2010, 2009, 2008, 2006 and 2005 MFAA Awards Retail Aggregator/Originator of the Year; 2011, 2010, 2009 and 2008 10 Thousand FEET Top 10 Franchise list; 2010 Forbes Asia-Pacifi c Best Under A Billion list. Visit www.mortgagechoice.com.au or call customer service on 13 6678. Hervey Bay 4124 7822 Maryborough 4123 5022 firstname.lastname@example.org MortgageChoice.com.au/peta.short Mortgage Choice Limited ACN 009 161 979. Australian Credit Licence 382869.
7 January 2016
21 January 2016