SOARING INFLATION IS hitting us all in different ways. Whether you’re young and renting, have a mortgage and children to provide for, or are trying to live out your retirement stress-free, you’re no doubt feeling the pinch. Rents have risen 27.8% over the past 12 months in our capitals, according to SQM Research, while Sally Tindall, research director at RateCity says the latest Reserve Bank rate rise “means Australians can largely kiss goodbye to mortgage rates starting with a 4.” Retail sales volumes fell in the December quarter of 2022 too, signalling Australians are tightening their purse strings. But it’s not all doom and gloom. In our April cover story, we look at ways to counter inflationary pressures. There are savings to be found in buying more fresh food and less processed food – which has seen an 11.1% price hike in the past year.
Other saving tips include booking holidays early, partaking in the circular economy and using fuel apps to nab the best petrol prices. Susan Hely details how those in FIRE (financially independent, retire early) communities live. These guys are the gurus of cost-cutting, she says, and advocate a frugal lifestyle, paying down debt quickly and choosing to cook and walk over dining out and driving.
Costs are one thing but investing to beat inflation is another. We ask the experts which investments to consider while rates are around 6 to 7% and when things taper down (When the pain is expected to ease, page 42).
This story is from the April 2023 edition of Money Magazine Australia.
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This story is from the April 2023 edition of Money Magazine Australia.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
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