Gen Z will be richer than their parents. But here's the catch
The messages from two of the nation's economic leaders – that something must be done to lift productivity – were a reality check for millions of Australians.
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The Advertiser
4 hours ago
- The Advertiser
Uber makes app changes to take more seniors for a ride
Australians will be among the first in the world to test features designed to make ride-share services easier for seniors to access. Uber announced the rollout of two features designed for riders over the age of 65 on Monday, including one that will allow family members to book, pay for and track their trips. The announcement comes one month after the features were launched in the US and after a study showed more than one in three older Australians found it difficult to arrange their own transport. The features added to the tech giant's app would include "simple mode" that had been designed for older travellers who wanted easier access to rides, Uber Australia and New Zealand managing director Emma Foley said. "Many older Australians have a smartphone these days, but figuring out how to use something new for the first time can still be a challenge," Ms Foley told AAP. "Simple mode is for independent seniors who are happy to be out on their own but want to have a simpler way to book a ride." When activated, the mode will show larger text in the app, fewer icons, and allow users to save frequently visited locations for quick access. Also introduced in the update, "senior accounts" will feature more controls for family members, allowing them to track trips, contact drivers directly, as well as booking and paying for rides. "The classic use case for this might be someone who is caring for their elderly mum and can't be there to take them to a doctor's appointment but wants to book a ride for them, track that trip, call the driver directly... and make it really simple to keep an eye on their loved one," Ms Foley said. The features, tested in the US in June, will be delivered after a survey of more than 1000 Australians conducted by YouGov found 36 per cent of seniors considered organising transport to be a challenge in their daily lives. It also comes less than a year after Uber launched a Caregiver feature in Australia to book trips on behalf of others, and a Teen mode expected to be delivered to NSW, Victoria and the Northern Territory shortly. Research undertaken by Roy Morgan showed Uber had become significantly more popular than taxis in Australia, with more than 7.4 million people using the app-based service in March 2025 compared to 4.2 million hailing taxis. Uber was significantly less popular with older generations, as the research found 1.05 million Baby Boomers used the service compared to 1.02 million using taxis, while the Interwar generation, born before 1946, preferred taxis to ride-share options. Australians will be among the first in the world to test features designed to make ride-share services easier for seniors to access. Uber announced the rollout of two features designed for riders over the age of 65 on Monday, including one that will allow family members to book, pay for and track their trips. The announcement comes one month after the features were launched in the US and after a study showed more than one in three older Australians found it difficult to arrange their own transport. The features added to the tech giant's app would include "simple mode" that had been designed for older travellers who wanted easier access to rides, Uber Australia and New Zealand managing director Emma Foley said. "Many older Australians have a smartphone these days, but figuring out how to use something new for the first time can still be a challenge," Ms Foley told AAP. "Simple mode is for independent seniors who are happy to be out on their own but want to have a simpler way to book a ride." When activated, the mode will show larger text in the app, fewer icons, and allow users to save frequently visited locations for quick access. Also introduced in the update, "senior accounts" will feature more controls for family members, allowing them to track trips, contact drivers directly, as well as booking and paying for rides. "The classic use case for this might be someone who is caring for their elderly mum and can't be there to take them to a doctor's appointment but wants to book a ride for them, track that trip, call the driver directly... and make it really simple to keep an eye on their loved one," Ms Foley said. The features, tested in the US in June, will be delivered after a survey of more than 1000 Australians conducted by YouGov found 36 per cent of seniors considered organising transport to be a challenge in their daily lives. It also comes less than a year after Uber launched a Caregiver feature in Australia to book trips on behalf of others, and a Teen mode expected to be delivered to NSW, Victoria and the Northern Territory shortly. Research undertaken by Roy Morgan showed Uber had become significantly more popular than taxis in Australia, with more than 7.4 million people using the app-based service in March 2025 compared to 4.2 million hailing taxis. Uber was significantly less popular with older generations, as the research found 1.05 million Baby Boomers used the service compared to 1.02 million using taxis, while the Interwar generation, born before 1946, preferred taxis to ride-share options. Australians will be among the first in the world to test features designed to make ride-share services easier for seniors to access. Uber announced the rollout of two features designed for riders over the age of 65 on Monday, including one that will allow family members to book, pay for and track their trips. The announcement comes one month after the features were launched in the US and after a study showed more than one in three older Australians found it difficult to arrange their own transport. The features added to the tech giant's app would include "simple mode" that had been designed for older travellers who wanted easier access to rides, Uber Australia and New Zealand managing director Emma Foley said. "Many older Australians have a smartphone these days, but figuring out how to use something new for the first time can still be a challenge," Ms Foley told AAP. "Simple mode is for independent seniors who are happy to be out on their own but want to have a simpler way to book a ride." When activated, the mode will show larger text in the app, fewer icons, and allow users to save frequently visited locations for quick access. Also introduced in the update, "senior accounts" will feature more controls for family members, allowing them to track trips, contact drivers directly, as well as booking and paying for rides. "The classic use case for this might be someone who is caring for their elderly mum and can't be there to take them to a doctor's appointment but wants to book a ride for them, track that trip, call the driver directly... and make it really simple to keep an eye on their loved one," Ms Foley said. The features, tested in the US in June, will be delivered after a survey of more than 1000 Australians conducted by YouGov found 36 per cent of seniors considered organising transport to be a challenge in their daily lives. It also comes less than a year after Uber launched a Caregiver feature in Australia to book trips on behalf of others, and a Teen mode expected to be delivered to NSW, Victoria and the Northern Territory shortly. Research undertaken by Roy Morgan showed Uber had become significantly more popular than taxis in Australia, with more than 7.4 million people using the app-based service in March 2025 compared to 4.2 million hailing taxis. Uber was significantly less popular with older generations, as the research found 1.05 million Baby Boomers used the service compared to 1.02 million using taxis, while the Interwar generation, born before 1946, preferred taxis to ride-share options. Australians will be among the first in the world to test features designed to make ride-share services easier for seniors to access. Uber announced the rollout of two features designed for riders over the age of 65 on Monday, including one that will allow family members to book, pay for and track their trips. The announcement comes one month after the features were launched in the US and after a study showed more than one in three older Australians found it difficult to arrange their own transport. The features added to the tech giant's app would include "simple mode" that had been designed for older travellers who wanted easier access to rides, Uber Australia and New Zealand managing director Emma Foley said. "Many older Australians have a smartphone these days, but figuring out how to use something new for the first time can still be a challenge," Ms Foley told AAP. "Simple mode is for independent seniors who are happy to be out on their own but want to have a simpler way to book a ride." When activated, the mode will show larger text in the app, fewer icons, and allow users to save frequently visited locations for quick access. Also introduced in the update, "senior accounts" will feature more controls for family members, allowing them to track trips, contact drivers directly, as well as booking and paying for rides. "The classic use case for this might be someone who is caring for their elderly mum and can't be there to take them to a doctor's appointment but wants to book a ride for them, track that trip, call the driver directly... and make it really simple to keep an eye on their loved one," Ms Foley said. The features, tested in the US in June, will be delivered after a survey of more than 1000 Australians conducted by YouGov found 36 per cent of seniors considered organising transport to be a challenge in their daily lives. It also comes less than a year after Uber launched a Caregiver feature in Australia to book trips on behalf of others, and a Teen mode expected to be delivered to NSW, Victoria and the Northern Territory shortly. Research undertaken by Roy Morgan showed Uber had become significantly more popular than taxis in Australia, with more than 7.4 million people using the app-based service in March 2025 compared to 4.2 million hailing taxis. Uber was significantly less popular with older generations, as the research found 1.05 million Baby Boomers used the service compared to 1.02 million using taxis, while the Interwar generation, born before 1946, preferred taxis to ride-share options.
The Advertiser
4 hours ago
- The Advertiser
Now is the perfect time to take stock and set financial goals
Welcome to a new financial year. Once again, we've lived through an eventful stretch, full of bold predictions about what might happen if Donald Trump returned to the White House. My inbox was flooded "Should I sell everything? Will the markets collapse?" But my answer never changed. If you hold a well-structured share portfolio, the smart play is to stay the course. Long-term investing means riding out the inevitable turbulence. And we sure got some turbulence. In early April 2025, global markets took a dramatic turn. On 2 April, President Trump announced sweeping tariffs, triggering what's now called the "Trump Thump": a historic two-day plunge in which the S&P 500 fell 10.5 per cent, wiping out over $3 trillion in value. But by 9 April, the US administration had paused the tariff rollout, sparking a powerful rebound. Major indices posted their biggest gains in years, with the S&P 500 back in positive territory by 13 May. That rollercoaster reminded us how sensitive markets are to political shocks. There's no doubt markets - especially overseas - are volatile, with wild price swings now the norm. Two key drivers are behind it. First, traders chasing quick profits jump in and out, fuelling the noise. Second, investor psychology kicks in: people reacting emotionally to headlines. One great benefit of shares is their liquidity; you can sell quickly if needed. But liquidity is a double-edged sword - it makes markets more jumpy. Traders play games, while mums and dads panic and bail out - often at the worst possible time. The start of a new financial year is the perfect time to take stock and set goals for improvement. Start by listing your assets and liabilities, because the best map is useless if you don't know where you are. That simple exercise often shows exactly where to focus. If you've got a housing loan, ask yourself: could you shop around for a better rate? It's worth doing, especially if you have strong equity in your home. But if your equity is under 20 per cent, don't bother; lender's mortgage insurance (which isn't transferable) will most likely kill the deal. If you're 50 or over, your goal should be to have your mortgage paid off, or at least well under control, by the time you retire. The most effective strategy is to maximise your concessional super contributions, now capped at $30,000 a year. That includes what your employer pays, so if they're putting in $12,000, you can top up with another $18,000. It's far better than making extra mortgage repayments, because those come from after-tax dollars, whereas super contributions are pre-tax and tax-deductible. When you retire, you can pull a lump sum out of super, tax-free, to pay your mortgage out in full. For senior Australians, an essential question is: "Where do I want to be living in a few years?" As we age, we're likely to need some help. Is your current home suitable if your health or mobility changes? If you love the area, you might modify the home and stay put. But for many, especially those in big older houses with rising maintenance costs, downsizing may be the smarter long-term option. Also, make sure you have an enduring power of attorney and, if needed, an advance health directive. Many people never get around to completing or reviewing these documents, and the consequences can be dreadful if there have been major changes since they were last done. Another key task is estate planning. When did you last check your will? Update it to reflect any births, deaths, marriages, separations, or changes in your assets. Question: I refer to your response regarding the transfer of superannuation upon death. As I understand it, a dependant does not need to take a tax-free lump sum - they can instead be nominated as a reversionary beneficiary and continue receiving the super pension after the spouse's death. Would this have any impact on how Centrelink assesses the asset? If you nominate your estate (rather than a non-dependant individual) as the beneficiary, I understand the estate will pay the 15% tax, but no Medicare levy applies. The funds can then be distributed to non-dependants. Is this correct? Answer: Usually, only a spouse will be eligible to receive a death benefit super pension following the death of their partner. Centrelink will assess the super pension received by the surviving spouse under the current rules, subject to the pension type. You are correct that where the estate is nominated as a beneficiary, the estate will pay tax of 15% on the taxable component of the lump sum death benefit. No Medicare levy is payable. It can then be distributed to beneficiaries to non-dependants as stated in the Will. Question: We are a block of four company-share flats in St Kilda. Three of us are owner-occupiers. We often wonder if there's a viable alternative to being tied to a strata management company. More often than not, we reject the tradies and builders they recommend because the quotes are excessive - instead, we source our own people and pay directly. The sticking point is building insurance. That's tough to arrange independently, as it seems the strata managers use brokers who can access deals the rest of us can' really appreciate any suggestions for alternatives - maybe retired accountants, or different insurance avenues? Answer: Strata expert Frank Higginson tells me plenty of small blocks feel the same. The truth is, nobody's really lining up to manage the little ones. Doing it yourselves might sound good in theory, but it can make life harder, especially when it comes to insurance and tradies. Most insurers prefer dealing with brokers, and many tradespeople are reluctant to take on jobs with small owner-run bodies corporate - it's often more hassle than it's worth for them. And if it's true company title (rather than strata), that adds another layer of complexity - the compliance is usually even tougher. In short, no easy answers here. You can go it alone, but make sure everyone's ready to carry their share of the load - and the risks. Question: I'm 57, mortgage-free, and have been a full-time carer for many years, living mainly on the Carer Pension. My super is modest - mostly built up in the early 90s before I had a family, with a few part-time jobs during school years adding to it. I now want to improve my dental health and am exploring ways to fund dental implants. Can I access my super to help pay for it? My husband isn't working - he's been building our home - and his super is minimal, as he's only been in Australia since 2004. Answer: Yes, it's possible - but only under strict rules. The ATO allows early access to super on compassionate grounds to pay for certain medical treatments, including dental work - but only if it's to treat a serious or chronic condition or relieve significant pain. You'll need two medical reports (one can be from your dentist), a treatment plan, and a detailed quote. The application goes through the ATO via your myGov account. If approved, the ATO notifies your super fund and you arrange the release from there. Just be aware - the payment is taxed like a normal withdrawal. So if you're approved to receive $10,000, you'll get that in your hand, but more is taken from your fund to cover the tax. It's a good option for the right situation - just be sure you meet the medical criteria and have all your paperwork ready. Welcome to a new financial year. Once again, we've lived through an eventful stretch, full of bold predictions about what might happen if Donald Trump returned to the White House. My inbox was flooded "Should I sell everything? Will the markets collapse?" But my answer never changed. If you hold a well-structured share portfolio, the smart play is to stay the course. Long-term investing means riding out the inevitable turbulence. And we sure got some turbulence. In early April 2025, global markets took a dramatic turn. On 2 April, President Trump announced sweeping tariffs, triggering what's now called the "Trump Thump": a historic two-day plunge in which the S&P 500 fell 10.5 per cent, wiping out over $3 trillion in value. But by 9 April, the US administration had paused the tariff rollout, sparking a powerful rebound. Major indices posted their biggest gains in years, with the S&P 500 back in positive territory by 13 May. That rollercoaster reminded us how sensitive markets are to political shocks. There's no doubt markets - especially overseas - are volatile, with wild price swings now the norm. Two key drivers are behind it. First, traders chasing quick profits jump in and out, fuelling the noise. Second, investor psychology kicks in: people reacting emotionally to headlines. One great benefit of shares is their liquidity; you can sell quickly if needed. But liquidity is a double-edged sword - it makes markets more jumpy. Traders play games, while mums and dads panic and bail out - often at the worst possible time. The start of a new financial year is the perfect time to take stock and set goals for improvement. Start by listing your assets and liabilities, because the best map is useless if you don't know where you are. That simple exercise often shows exactly where to focus. If you've got a housing loan, ask yourself: could you shop around for a better rate? It's worth doing, especially if you have strong equity in your home. But if your equity is under 20 per cent, don't bother; lender's mortgage insurance (which isn't transferable) will most likely kill the deal. If you're 50 or over, your goal should be to have your mortgage paid off, or at least well under control, by the time you retire. The most effective strategy is to maximise your concessional super contributions, now capped at $30,000 a year. That includes what your employer pays, so if they're putting in $12,000, you can top up with another $18,000. It's far better than making extra mortgage repayments, because those come from after-tax dollars, whereas super contributions are pre-tax and tax-deductible. When you retire, you can pull a lump sum out of super, tax-free, to pay your mortgage out in full. For senior Australians, an essential question is: "Where do I want to be living in a few years?" As we age, we're likely to need some help. Is your current home suitable if your health or mobility changes? If you love the area, you might modify the home and stay put. But for many, especially those in big older houses with rising maintenance costs, downsizing may be the smarter long-term option. Also, make sure you have an enduring power of attorney and, if needed, an advance health directive. Many people never get around to completing or reviewing these documents, and the consequences can be dreadful if there have been major changes since they were last done. Another key task is estate planning. When did you last check your will? Update it to reflect any births, deaths, marriages, separations, or changes in your assets. Question: I refer to your response regarding the transfer of superannuation upon death. As I understand it, a dependant does not need to take a tax-free lump sum - they can instead be nominated as a reversionary beneficiary and continue receiving the super pension after the spouse's death. Would this have any impact on how Centrelink assesses the asset? If you nominate your estate (rather than a non-dependant individual) as the beneficiary, I understand the estate will pay the 15% tax, but no Medicare levy applies. The funds can then be distributed to non-dependants. Is this correct? Answer: Usually, only a spouse will be eligible to receive a death benefit super pension following the death of their partner. Centrelink will assess the super pension received by the surviving spouse under the current rules, subject to the pension type. You are correct that where the estate is nominated as a beneficiary, the estate will pay tax of 15% on the taxable component of the lump sum death benefit. No Medicare levy is payable. It can then be distributed to beneficiaries to non-dependants as stated in the Will. Question: We are a block of four company-share flats in St Kilda. Three of us are owner-occupiers. We often wonder if there's a viable alternative to being tied to a strata management company. More often than not, we reject the tradies and builders they recommend because the quotes are excessive - instead, we source our own people and pay directly. The sticking point is building insurance. That's tough to arrange independently, as it seems the strata managers use brokers who can access deals the rest of us can' really appreciate any suggestions for alternatives - maybe retired accountants, or different insurance avenues? Answer: Strata expert Frank Higginson tells me plenty of small blocks feel the same. The truth is, nobody's really lining up to manage the little ones. Doing it yourselves might sound good in theory, but it can make life harder, especially when it comes to insurance and tradies. Most insurers prefer dealing with brokers, and many tradespeople are reluctant to take on jobs with small owner-run bodies corporate - it's often more hassle than it's worth for them. And if it's true company title (rather than strata), that adds another layer of complexity - the compliance is usually even tougher. In short, no easy answers here. You can go it alone, but make sure everyone's ready to carry their share of the load - and the risks. Question: I'm 57, mortgage-free, and have been a full-time carer for many years, living mainly on the Carer Pension. My super is modest - mostly built up in the early 90s before I had a family, with a few part-time jobs during school years adding to it. I now want to improve my dental health and am exploring ways to fund dental implants. Can I access my super to help pay for it? My husband isn't working - he's been building our home - and his super is minimal, as he's only been in Australia since 2004. Answer: Yes, it's possible - but only under strict rules. The ATO allows early access to super on compassionate grounds to pay for certain medical treatments, including dental work - but only if it's to treat a serious or chronic condition or relieve significant pain. You'll need two medical reports (one can be from your dentist), a treatment plan, and a detailed quote. The application goes through the ATO via your myGov account. If approved, the ATO notifies your super fund and you arrange the release from there. Just be aware - the payment is taxed like a normal withdrawal. So if you're approved to receive $10,000, you'll get that in your hand, but more is taken from your fund to cover the tax. It's a good option for the right situation - just be sure you meet the medical criteria and have all your paperwork ready. Welcome to a new financial year. Once again, we've lived through an eventful stretch, full of bold predictions about what might happen if Donald Trump returned to the White House. My inbox was flooded "Should I sell everything? Will the markets collapse?" But my answer never changed. If you hold a well-structured share portfolio, the smart play is to stay the course. Long-term investing means riding out the inevitable turbulence. And we sure got some turbulence. In early April 2025, global markets took a dramatic turn. On 2 April, President Trump announced sweeping tariffs, triggering what's now called the "Trump Thump": a historic two-day plunge in which the S&P 500 fell 10.5 per cent, wiping out over $3 trillion in value. But by 9 April, the US administration had paused the tariff rollout, sparking a powerful rebound. Major indices posted their biggest gains in years, with the S&P 500 back in positive territory by 13 May. That rollercoaster reminded us how sensitive markets are to political shocks. There's no doubt markets - especially overseas - are volatile, with wild price swings now the norm. Two key drivers are behind it. First, traders chasing quick profits jump in and out, fuelling the noise. Second, investor psychology kicks in: people reacting emotionally to headlines. One great benefit of shares is their liquidity; you can sell quickly if needed. But liquidity is a double-edged sword - it makes markets more jumpy. Traders play games, while mums and dads panic and bail out - often at the worst possible time. The start of a new financial year is the perfect time to take stock and set goals for improvement. Start by listing your assets and liabilities, because the best map is useless if you don't know where you are. That simple exercise often shows exactly where to focus. If you've got a housing loan, ask yourself: could you shop around for a better rate? It's worth doing, especially if you have strong equity in your home. But if your equity is under 20 per cent, don't bother; lender's mortgage insurance (which isn't transferable) will most likely kill the deal. If you're 50 or over, your goal should be to have your mortgage paid off, or at least well under control, by the time you retire. The most effective strategy is to maximise your concessional super contributions, now capped at $30,000 a year. That includes what your employer pays, so if they're putting in $12,000, you can top up with another $18,000. It's far better than making extra mortgage repayments, because those come from after-tax dollars, whereas super contributions are pre-tax and tax-deductible. When you retire, you can pull a lump sum out of super, tax-free, to pay your mortgage out in full. For senior Australians, an essential question is: "Where do I want to be living in a few years?" As we age, we're likely to need some help. Is your current home suitable if your health or mobility changes? If you love the area, you might modify the home and stay put. But for many, especially those in big older houses with rising maintenance costs, downsizing may be the smarter long-term option. Also, make sure you have an enduring power of attorney and, if needed, an advance health directive. Many people never get around to completing or reviewing these documents, and the consequences can be dreadful if there have been major changes since they were last done. Another key task is estate planning. When did you last check your will? Update it to reflect any births, deaths, marriages, separations, or changes in your assets. Question: I refer to your response regarding the transfer of superannuation upon death. As I understand it, a dependant does not need to take a tax-free lump sum - they can instead be nominated as a reversionary beneficiary and continue receiving the super pension after the spouse's death. Would this have any impact on how Centrelink assesses the asset? If you nominate your estate (rather than a non-dependant individual) as the beneficiary, I understand the estate will pay the 15% tax, but no Medicare levy applies. The funds can then be distributed to non-dependants. Is this correct? Answer: Usually, only a spouse will be eligible to receive a death benefit super pension following the death of their partner. Centrelink will assess the super pension received by the surviving spouse under the current rules, subject to the pension type. You are correct that where the estate is nominated as a beneficiary, the estate will pay tax of 15% on the taxable component of the lump sum death benefit. No Medicare levy is payable. It can then be distributed to beneficiaries to non-dependants as stated in the Will. Question: We are a block of four company-share flats in St Kilda. Three of us are owner-occupiers. We often wonder if there's a viable alternative to being tied to a strata management company. More often than not, we reject the tradies and builders they recommend because the quotes are excessive - instead, we source our own people and pay directly. The sticking point is building insurance. That's tough to arrange independently, as it seems the strata managers use brokers who can access deals the rest of us can' really appreciate any suggestions for alternatives - maybe retired accountants, or different insurance avenues? Answer: Strata expert Frank Higginson tells me plenty of small blocks feel the same. The truth is, nobody's really lining up to manage the little ones. Doing it yourselves might sound good in theory, but it can make life harder, especially when it comes to insurance and tradies. Most insurers prefer dealing with brokers, and many tradespeople are reluctant to take on jobs with small owner-run bodies corporate - it's often more hassle than it's worth for them. And if it's true company title (rather than strata), that adds another layer of complexity - the compliance is usually even tougher. In short, no easy answers here. You can go it alone, but make sure everyone's ready to carry their share of the load - and the risks. Question: I'm 57, mortgage-free, and have been a full-time carer for many years, living mainly on the Carer Pension. My super is modest - mostly built up in the early 90s before I had a family, with a few part-time jobs during school years adding to it. I now want to improve my dental health and am exploring ways to fund dental implants. Can I access my super to help pay for it? My husband isn't working - he's been building our home - and his super is minimal, as he's only been in Australia since 2004. Answer: Yes, it's possible - but only under strict rules. The ATO allows early access to super on compassionate grounds to pay for certain medical treatments, including dental work - but only if it's to treat a serious or chronic condition or relieve significant pain. You'll need two medical reports (one can be from your dentist), a treatment plan, and a detailed quote. The application goes through the ATO via your myGov account. If approved, the ATO notifies your super fund and you arrange the release from there. Just be aware - the payment is taxed like a normal withdrawal. So if you're approved to receive $10,000, you'll get that in your hand, but more is taken from your fund to cover the tax. It's a good option for the right situation - just be sure you meet the medical criteria and have all your paperwork ready. Welcome to a new financial year. Once again, we've lived through an eventful stretch, full of bold predictions about what might happen if Donald Trump returned to the White House. My inbox was flooded "Should I sell everything? Will the markets collapse?" But my answer never changed. If you hold a well-structured share portfolio, the smart play is to stay the course. Long-term investing means riding out the inevitable turbulence. And we sure got some turbulence. In early April 2025, global markets took a dramatic turn. On 2 April, President Trump announced sweeping tariffs, triggering what's now called the "Trump Thump": a historic two-day plunge in which the S&P 500 fell 10.5 per cent, wiping out over $3 trillion in value. But by 9 April, the US administration had paused the tariff rollout, sparking a powerful rebound. Major indices posted their biggest gains in years, with the S&P 500 back in positive territory by 13 May. That rollercoaster reminded us how sensitive markets are to political shocks. There's no doubt markets - especially overseas - are volatile, with wild price swings now the norm. Two key drivers are behind it. First, traders chasing quick profits jump in and out, fuelling the noise. Second, investor psychology kicks in: people reacting emotionally to headlines. One great benefit of shares is their liquidity; you can sell quickly if needed. But liquidity is a double-edged sword - it makes markets more jumpy. Traders play games, while mums and dads panic and bail out - often at the worst possible time. The start of a new financial year is the perfect time to take stock and set goals for improvement. Start by listing your assets and liabilities, because the best map is useless if you don't know where you are. That simple exercise often shows exactly where to focus. If you've got a housing loan, ask yourself: could you shop around for a better rate? It's worth doing, especially if you have strong equity in your home. But if your equity is under 20 per cent, don't bother; lender's mortgage insurance (which isn't transferable) will most likely kill the deal. If you're 50 or over, your goal should be to have your mortgage paid off, or at least well under control, by the time you retire. The most effective strategy is to maximise your concessional super contributions, now capped at $30,000 a year. That includes what your employer pays, so if they're putting in $12,000, you can top up with another $18,000. It's far better than making extra mortgage repayments, because those come from after-tax dollars, whereas super contributions are pre-tax and tax-deductible. When you retire, you can pull a lump sum out of super, tax-free, to pay your mortgage out in full. For senior Australians, an essential question is: "Where do I want to be living in a few years?" As we age, we're likely to need some help. Is your current home suitable if your health or mobility changes? If you love the area, you might modify the home and stay put. But for many, especially those in big older houses with rising maintenance costs, downsizing may be the smarter long-term option. Also, make sure you have an enduring power of attorney and, if needed, an advance health directive. Many people never get around to completing or reviewing these documents, and the consequences can be dreadful if there have been major changes since they were last done. Another key task is estate planning. When did you last check your will? Update it to reflect any births, deaths, marriages, separations, or changes in your assets. Question: I refer to your response regarding the transfer of superannuation upon death. As I understand it, a dependant does not need to take a tax-free lump sum - they can instead be nominated as a reversionary beneficiary and continue receiving the super pension after the spouse's death. Would this have any impact on how Centrelink assesses the asset? If you nominate your estate (rather than a non-dependant individual) as the beneficiary, I understand the estate will pay the 15% tax, but no Medicare levy applies. The funds can then be distributed to non-dependants. Is this correct? Answer: Usually, only a spouse will be eligible to receive a death benefit super pension following the death of their partner. Centrelink will assess the super pension received by the surviving spouse under the current rules, subject to the pension type. You are correct that where the estate is nominated as a beneficiary, the estate will pay tax of 15% on the taxable component of the lump sum death benefit. No Medicare levy is payable. It can then be distributed to beneficiaries to non-dependants as stated in the Will. Question: We are a block of four company-share flats in St Kilda. Three of us are owner-occupiers. We often wonder if there's a viable alternative to being tied to a strata management company. More often than not, we reject the tradies and builders they recommend because the quotes are excessive - instead, we source our own people and pay directly. The sticking point is building insurance. That's tough to arrange independently, as it seems the strata managers use brokers who can access deals the rest of us can' really appreciate any suggestions for alternatives - maybe retired accountants, or different insurance avenues? Answer: Strata expert Frank Higginson tells me plenty of small blocks feel the same. The truth is, nobody's really lining up to manage the little ones. Doing it yourselves might sound good in theory, but it can make life harder, especially when it comes to insurance and tradies. Most insurers prefer dealing with brokers, and many tradespeople are reluctant to take on jobs with small owner-run bodies corporate - it's often more hassle than it's worth for them. And if it's true company title (rather than strata), that adds another layer of complexity - the compliance is usually even tougher. In short, no easy answers here. You can go it alone, but make sure everyone's ready to carry their share of the load - and the risks. Question: I'm 57, mortgage-free, and have been a full-time carer for many years, living mainly on the Carer Pension. My super is modest - mostly built up in the early 90s before I had a family, with a few part-time jobs during school years adding to it. I now want to improve my dental health and am exploring ways to fund dental implants. Can I access my super to help pay for it? My husband isn't working - he's been building our home - and his super is minimal, as he's only been in Australia since 2004. Answer: Yes, it's possible - but only under strict rules. The ATO allows early access to super on compassionate grounds to pay for certain medical treatments, including dental work - but only if it's to treat a serious or chronic condition or relieve significant pain. You'll need two medical reports (one can be from your dentist), a treatment plan, and a detailed quote. The application goes through the ATO via your myGov account. If approved, the ATO notifies your super fund and you arrange the release from there. Just be aware - the payment is taxed like a normal withdrawal. So if you're approved to receive $10,000, you'll get that in your hand, but more is taken from your fund to cover the tax. It's a good option for the right situation - just be sure you meet the medical criteria and have all your paperwork ready.
Herald Sun
4 hours ago
- Herald Sun
What is the best workplace change of the 21st century?
Since the start of the 21st century Australia's work landscape has undergone a number of monumental changes. If you compare a typical Aussie office worker from 25 years ago to now, there are many undeniable differences, from the way work is completed, where the work is done and even those surrounding them in the workplace. With so many major changes over the years, it is hard to choose which has been the most transformative to our workplaces. To celebrate the launch of the new app, we're celebrating the people, places and events we'll never forget from the first quarter of the 21st century by asking for Australia's view. Our 25@25 series will finally put to bed the debates you've been having at the pub and around dinner tables for years – and some that are just too much fun not to include. For example, the Covid-19 pandemic and subsequent lockdowns rapidly transformed where we work, with millions of Australians ordered to work from home. As a result, remote and hybrid work has now become the norm for a lot of Aussies who had previously only ever known working in an office full time. Work-life balance has become an increasingly important focus for workers, with the introduction of the Right to Disconnect and the four-day week movement gaining significant traction in recent years. Then there are other changes, like companies favouring open plan offices over cubicles and casual work attire becoming more acceptable. Another major transformation has been the rise of women in leadership roles, with leadership specialist, Amy Jacobson, noting it has been 'both frustrating and fascinating to watch'. Speaking to the author of The Emotional Intelligence Advantage, said we have now passed through the 'frustrating' era where female leaders felt like they had to act like 'one of the boys' to fit in. 'Resulting in unauthentic and at times defensive leadership, along with the abhorrent female quota tick-a-box that seemed to consume workplaces as a first reaction,' she said. 'Workplaces are shifting with an increased focus in areas such as emotional intelligence, diversity and inclusion and with these changes we are seeing more genuine female leaders being comfortable to own who they are and be true to their own leadership style.' Ms Jacobson said this change has also resulted in increasing confidence among women in the workforce. The leadership specialist named the introduction of the Right to Disconnect as another game changer for workplaces across the country, saying it signifies a 'fantastic shift' in our mindset when it comes to work. The law, which came into effect in August 2024, gives employees the right to refuse contact outside of their working hours. Staff are not required to monitor, read, or respond to contact from an employer or third party – within reason. 'With so many people pouring endless hours into work, the real measure of success in life had become disjointed. Success isn't measured by job titles, pay packets and other materialistic things,' Ms Jacobson said. 'True success is happiness, and happiness means a healthy life balance between all our priorities. The realisation that the choice lies with us on how we prioritise our lives and choose to spend our time.' Recruitment specialist Roxanne Calder said there are a number of changes that have made work 'more human' over the years, with one being salary discussions becoming more open. Speaking to the Earning Power author said there is no doubt that salary transparency has 'shifted power dynamics' within the workplace. 'It is harder to ignore or, in some cases, justify pay gaps when information flows freely, forcing organisations to align compensation with contribution rather than bias or legacy,' she said. 'This openness has also built trust. Ultimately, it challenges leaders to explain not just how they pay people, but why.' Another change that Ms Calder said has 'forever redefined the way we look at productivity' is remote work, challenging the myth that you can only perform well if you are sitting at your desk in an office. She noted this has been a test of trust for organisations, forcing many to shift the way performance is measured, rather than relying on physical presence as a barometer for how much work a person is putting on. 'If done well, remote work can create workplaces that are not only more efficient but also more humane, valuing results and wellbeing together,' she said. Speaking of productivity, Donna McGeorge, author of the It's About Times series, said the rise of AI within the workplace has been a 'game changer'. The productivity specialist told that, if used correctly, the new technology can give employees time back for more meaningful and high value work. 'Email drafting and meeting summaries are the most obvious places to start,' she said. Other changes like open plan offices have also helped encourage collaboration and more dynamic communication, which can then lead to more productive working relationships between colleagues. 'The best open plan offices balance it out with purpose built spaces for collaboration and quiet spaces for deep work,' Ms McGeorge said. She added that all the changes we have seen over the years are 'signs we're redesigning work to work better for humans'. Take the rest of our 25@25 polls Originally published as What is the best workplace change of the 21st century?
