Money

Experts warn young professionals to build financial resilience amidst inflation

Expert Tips for Young Professionals: Budgeting, Inflation-Proof Savings, and Mindful Spending Strategies for Financial Success.

Published

7 months ago

March 4, 2025

Steven Enticott

Expert Tips for Young Professionals: Budgeting, Inflation-Proof Savings, and Mindful Spending Strategies for Financial Success.

In Short

Dr. Steve Enticott discussed effective budgeting strategies for young professionals, emphasising the 50-30-20 rule. He highlighted the importance of building an emergency fund, automating savings, and making mindful spending choices to enhance financial resilience amidst inflation.

Saving Money in 2025: Smart Budgeting Hacks for Young Professionals

In today’s fast-changing financial landscape, saving money requires more than just cutting back on lattes. With rising costs and economic uncertainty, young professionals must adopt smarter budgeting techniques to stay ahead. Here’s how to maximize your savings in 2025 without feeling deprived.

Does the 50/30/20 Rule Still Work? Traditionally, financial experts recommended allocating 50% of income to needs, 30% to wants, and 20% to savings. However, with inflation driving up living costs, many are tweaking this rule. A more realistic approach for 2025 might be a 60/20/20 split—putting 60% toward necessities, 20% toward discretionary spending, and 20% into savings and investments.

Automating Your Savings and Building an Emergency Fund Automation remains a game-changer for effortless saving. Banking Apps can automatically transfer a portion of your paycheck into savings. Experts suggest aiming for an emergency fund covering at least six months of expenses, especially given economic uncertainties.

Inflation-Proof Your Savings With rising costs, traditional savings accounts may not be enough. Consider high-yield savings accounts, Series I bonds, or diversified investments like ETFs to protect your money’s value over time.

Cut Expenses Without Sacrificing Lifestyle Saving doesn’t mean giving up fun. Use cashback apps, negotiate subscriptions, and take advantage of loyalty programs. Cooking at home, sharing streaming services, and opting for second-hand purchases can also help save significantly.

By adopting these strategies, young professionals can take control of their finances in 2025 and achieve their savings goals with ease.

Dr Steven Enticott is a finance professional, speaker, regular columnist, and author of The Man With A Plan.

For more information www.ciatax.com.au

Money

Fed cuts rates, signals more potentially ahead

Fed lowers rates amid job market concerns, signalling potential further cuts in upcoming meetings

Published

5 days ago

September 18, 2025

Ahron Young

Fed lowers rates amid job market concerns, signalling potential further cuts in upcoming meetings

In Short:
– The Federal Reserve cut interest rates by a quarter-point to address job market concerns.
– Officials expect at least two additional rate cuts by year-end amid ongoing economic uncertainties.

The Federal Reserve has reduced interest rates by a quarter-point, addressing concerns about a weakening job market overshadowing inflation worries.

A majority of officials anticipate at least two additional cuts by year-end during the remaining meetings in October and December.

Fed Chair Jerome Powell noted a significant shift in the labour market, highlighting “downside risk” in his statements.

The recent rate cut, supported by 11 of 12 Fed voters, aims to recalibrate an economy facing uncertainties from policy changes and market pressures.

Policy Dynamics

The decision comes amid intense political scrutiny, with President Trump openly criticising Powell’s reluctance to lower rates.

Despite the controversy, Powell asserts that political pressures do not influence Fed operations.

The current benchmark federal-funds rate now sits between 4% and 4.25%, the lowest since 2021, providing some reprieve to consumers and small businesses. Economic forecasts indicate ongoing complexities, including inflation trends and the impact of tariffs on labour dynamics, complicating future policy decisions.

Money

Fed faces unusual dissent amid leadership uncertainty

Fed’s Powell navigates contentious meeting amid Trump-appointed dissenters as rate cut looms and succession contest heats up

Published

6 days ago

September 17, 2025

Ahron Young

Fed’s Powell navigates contentious meeting amid Trump-appointed dissenters as rate cut looms and succession contest heats up

In Short:
– This week’s Federal Reserve meeting faces unusual dissent as Chair Powell approaches his term’s end.
– Analysts predict dissent over expected rate cuts due to political pressures from Trump-appointed officials.

This week’s Federal Reserve meeting is set to be particularly unusual, with Chair Jerome Powell facing significant disagreements over future policy as he approaches the end of his term in May.Tensions began before the meeting when Fed governor Lisa Cook won a court ruling allowing her to attend, despite opposition from President Trump, who is attempting to remove her.

The situation is further complicated by the recent swearing-in of Trump adviser Stephen Miran to the Fed’s board, following a Senate confirmation.

Analysts believe Powell may encounter dissent on an expected quarter-percentage-point rate cut from both Trump-appointed officials and regional Fed presidents concerned about inflation.

Potential Dissent

Trump has urged significant rate cuts and for the board to challenge Powell’s decisions.

Some analysts predict dissenting votes from Miran and other Trump appointees in favour of larger cuts. Federal Reserve veterans express concerns that political motivations may undermine the institution’s integrity, with indications that greater dissent could become commonplace.

Money

RBA plans to ban credit card surcharges in Australia

Reserve Bank of Australia plans to ban credit card surcharges despite banks warning of potential higher fees and weaker rewards

Published

1 week ago

September 16, 2025

ticker NEWS

Reserve Bank of Australia plans to ban credit card surcharges despite banks warning of potential higher fees and weaker rewards.

In Short:
– The RBA plans to ban surcharges on debit and credit card transactions, supported by consumer group Choice.
– Major banks oppose the ban, warning it could lead to higher card fees and reduced rewards for credit card users.

The Reserve Bank of Australia (RBA) intends to implement a ban on surcharges associated with debit and credit card transactions. Consumer advocacy group Choice endorses this initiative, arguing that it is unjust for users of low-cost debit cards to incur similar fees as credit card holders.

The major banks, however, are opposing this reform. They caution that the removal of surcharges could prompt customers to abandon credit cards due to diminished rewards.

A final decision by the RBA is anticipated by December 2025.