Today I’m doing one thing I’ve by no means finished earlier than in practically 20 years of scripting this column.
I’m letting another person reply my readers’ questions, and that another person is Treasurer Jim Chalmers.
I caught up with him forward of his grand last (the Federal Budget) and added an excellent more durable activity to his place: the job of being Barefoot for every week.
To ease him into the job, right here’s the recommendation I gave him. First, don’t be boring.
Second, actually, please don’t be boring. Finally don’t give us the social gathering line.
Instead, give us the “Jim at a party, three bourbons down, telling it straight”.
Over to you, Jimbo.
Desperate to purchase however can’t see it taking place
Bec and Steve write: My husband and I are in our late 20s and have been desperately saving for a primary residence.
I’m a nurse and he’s a trainer, and we earn slightly below $160,000 a yr mixed. We’ve tried so exhausting to save lots of up a 20 per cent deposit, however with home costs and rents going up so quick it feels inconceivable. We wish to have children quickly and be near our household (who all reside in Sydney), however I can’t see that we’re ever going to make it.
The system is simply damaged past restore. How can we plan our lives once we don’t even have the steadiness of the roof over our heads?
The Treasurer responds: Thanks for the work you do educating and nursing. I get it — while you’re below the pump it’s exhausting to save lots of for a home. We’ve received two methods to assist: one which’s up and operating and one which’s on the best way, however each of them are about serving to you purchase a home without having the total 20 per cent.
One’s known as the First Home Guarantee (up and operating), which may help you purchase a house with as little as a 5 per cent deposit. The different’s known as the Help to Buy scheme (coming). In the rental market there are tax breaks coming this Budget to encourage individuals to construct extra rental properties as nicely. Big problem, not unusual, doing what we are able to.
Single mum on battle avenue
Emma says: I’m a single mum with two children (and two cats and a canine), and I’m actually struggling.
My landlord simply let me know he’ll be growing the hire by $150 every week as a result of “changes in the housing market”. How will I survive?
I’ve simply moved right into a everlasting job, however my improve from 4 to 5 days means I’ll lose my Family Tax Benefit.
I’ll most likely additionally should pay extra after-school care charges as a result of I’ll quickly be incomes $100,000 a yr. But it’s simply me on my single revenue paying for all the pieces. What ought to I do?
The Treasurer responds: Thanks for this and congrats on the brand new job.
One hundred and fifty every week is ridiculous. It’s price speaking to your native tenants’ union to seek out out what your choices are. The choices will differ relying on what State you’re in, however might embody reporting extreme will increase to a related State physique.
Apart from that, we recognise hire’s a giant a part of the strain persons are feeling proper now. We try to get the parliament to conform to constructing extra properties; we’ve received some tax breaks coming in order that buyers construct extra as nicely. And moreover that we’re making your after-school care cheaper from July 1 by growing the subsidy. Hope that helps you make ends meet.
We’re headed in the direction of a cliff
Scott Pape asks: I assumed I’d add in a query of my very own.
If the RBA will get its approach, within the subsequent few years there might be loads of companies that go bust, and much of people that will lose their jobs. That is, in spite of everything, methods to sluggish the economic system.
Now right here’s the jam, Jim: there may be actually just one place that Aussies who get the flawed finish of the financial pineapple can flip to without spending a dime, unbiased, confidential monetary assist: a community-based monetary counsellor.
There are 750 monetary counsellors throughout Australia. Yet they’re already overrun. People are being turned away.
However, in case your Government put up the dough to double the variety of monetary counsellors, it might imply a further 50,000 households would get the assistance they should get again on their toes this yr. Will you decide to that funding?
The Treasurer responds: There’s little doubt monetary counsellors do a incredible job. They assist people who find themselves in actual monetary strife to make the case to get a debt waived or get a greater fee, and that makes an enormous distinction in individuals’s lives.
As a Government, we recognised how vital these companies are, significantly throughout pure disasters and we’ve delivered further funding during the last yr to make use of extra monetary counsellors in flood-impacted communities. We’ve additionally been working with trade on a solution to make funding of those companies sustainable over time, which is one thing that my colleague (Minister for Families and Social Services) Amanda Rishworth has been main.
The Wrap-up
It’s a little bit of a cliche to say “thanks for taking time out of your busy week” … however the dude’s received his first Federal Budget to ship subsequent week!
So, Jim, thanks for taking the time to reply individuals’s questions.
However, I don’t agree with encouraging individuals to place down a 5 per cent deposit (I’ll have extra to say on that subsequent week). And so far as your reply to my query … that was one hell of a phrase salad, mate. Should I simply take that as a “no”?
Good luck with the Budget and, as my outdated man says: “Just look after the battlers, son.”
Information and opinions supplied on this column are basic in nature and have been ready for academic functions solely. Always search private monetary recommendation tailor-made to your particular wants earlier than making monetary and funding selections.
Source: www.perthnow.com.au
