Any families in Australia living on combined gross income of less than $100,000 a yr?
Feb 6th 2012, 8:00 am
#181
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Joined: Oct 2011
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Re: Any families in Australia living on combined gross income of less than $100,000 a
Listen mate I'm fine, so I'm not bitching because of my own circumstances. However you're completely ****** ignorant of what's happening in the world if you think twenty year olds have the same opportunity and chances in life as their equivalent 30-40 years ago.
No final salary pension schemes - When I started working in 1995 I worked with plenty of guys in their early 50's who had worked for BR for 35 years, to a man they all retired with a 2/3 salary pension or more at 55. Most had houses in Florida or Spain. These guys weren't bosses or loaded with degrees, they started as apprentices and worked hard, that's it. Now people are lucky to get a defined contribution pension, which is basically skimmed every month to line the pockets of fund managers and totally dependent on the whims of someone else. No one, absolutely no twenty year old alive will retire on a 2/3 salary pension from paying in 5-6% of their annual salary.
University - Until a decade ago University was free in the UK. Now students can expect to finish with 40k of debt.
Houses - The average house is now at the highest multiple of average salary ever. So much so that as already discussed on this thread, a 30 year mortgage is deemed acceptable.
That's just three situations that exemplify what I'm talking about, there are more. People can't afford to retire, work longer means less job opportunities.
sure there are examples of people who get a job and manage fine but the stats speak for themselves, go and look at the teen unemployement rates of all developed countries.
No final salary pension schemes - When I started working in 1995 I worked with plenty of guys in their early 50's who had worked for BR for 35 years, to a man they all retired with a 2/3 salary pension or more at 55. Most had houses in Florida or Spain. These guys weren't bosses or loaded with degrees, they started as apprentices and worked hard, that's it. Now people are lucky to get a defined contribution pension, which is basically skimmed every month to line the pockets of fund managers and totally dependent on the whims of someone else. No one, absolutely no twenty year old alive will retire on a 2/3 salary pension from paying in 5-6% of their annual salary.
University - Until a decade ago University was free in the UK. Now students can expect to finish with 40k of debt.
Houses - The average house is now at the highest multiple of average salary ever. So much so that as already discussed on this thread, a 30 year mortgage is deemed acceptable.
That's just three situations that exemplify what I'm talking about, there are more. People can't afford to retire, work longer means less job opportunities.
sure there are examples of people who get a job and manage fine but the stats speak for themselves, go and look at the teen unemployement rates of all developed countries.
Well said.. And I will wait to buy in Oz until the housing market crashes!
Feb 7th 2012, 9:12 am
#182
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Re: Any families in Australia living on combined gross income of less than $100,000 a
Feb 7th 2012, 9:17 am
#183
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Re: Any families in Australia living on combined gross income of less than $100,000 a
I'm bringing a tent
Feb 7th 2012, 9:40 am
#187
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Feb 7th 2012, 10:13 am
#188
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Re: Any families in Australia living on combined gross income of less than $100,000 a
"....." You think that "parents generation" got their house handed to them on a plate? You do don't you? You think they had it easy? Well guess again.
This is true actually. We have worked like dogs for our house, have spent countless hours doing it up over many years, went without holidays for years, I made my own clothes, had a portable TV for ages and a truly beaten up car for God knows how long. I reckon it's payback time now for us. I do feel sorry for kids today (including my own), but I refuse to feel guilty for making a profit on my house. There are starting to become various homebuyer incentives here and many new houses being built, so I think it will get easier for kids to own their own homes eventually - if they can save, do without etc like we did. I do feel very sorry for them though with the jobs market as they are being punished, which is very unfair.
This is true actually. We have worked like dogs for our house, have spent countless hours doing it up over many years, went without holidays for years, I made my own clothes, had a portable TV for ages and a truly beaten up car for God knows how long. I reckon it's payback time now for us. I do feel sorry for kids today (including my own), but I refuse to feel guilty for making a profit on my house. There are starting to become various homebuyer incentives here and many new houses being built, so I think it will get easier for kids to own their own homes eventually - if they can save, do without etc like we did. I do feel very sorry for them though with the jobs market as they are being punished, which is very unfair.
Feb 7th 2012, 7:54 pm
#189
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Joined: Feb 2011
Posts: 557
Re: Any families in Australia living on combined gross income of less than $100,000 a
Listen mate I'm fine, so I'm not bitching because of my own circumstances. However you're completely ****** ignorant of what's happening in the world if you think twenty year olds have the same opportunity and chances in life as their equivalent 30-40 years ago.
No final salary pension schemes - When I started working in 1995 I worked with plenty of guys in their early 50's who had worked for BR for 35 years, to a man they all retired with a 2/3 salary pension or more at 55. Most had houses in Florida or Spain. These guys weren't bosses or loaded with degrees, they started as apprentices and worked hard, that's it. Now people are lucky to get a defined contribution pension, which is basically skimmed every month to line the pockets of fund managers and totally dependent on the whims of someone else. No one, absolutely no twenty year old alive will retire on a 2/3 salary pension from paying in 5-6% of their annual salary.
University - Until a decade ago University was free in the UK. Now students can expect to finish with 40k of debt.
Houses - The average house is now at the highest multiple of average salary ever. So much so that as already discussed on this thread, a 30 year mortgage is deemed acceptable.
That's just three situations that exemplify what I'm talking about, there are more. People can't afford to retire, work longer means less job opportunities.
sure there are examples of people who get a job and manage fine but the stats speak for themselves, go and look at the teen unemployement rates of all developed countries.
No final salary pension schemes - When I started working in 1995 I worked with plenty of guys in their early 50's who had worked for BR for 35 years, to a man they all retired with a 2/3 salary pension or more at 55. Most had houses in Florida or Spain. These guys weren't bosses or loaded with degrees, they started as apprentices and worked hard, that's it. Now people are lucky to get a defined contribution pension, which is basically skimmed every month to line the pockets of fund managers and totally dependent on the whims of someone else. No one, absolutely no twenty year old alive will retire on a 2/3 salary pension from paying in 5-6% of their annual salary.
University - Until a decade ago University was free in the UK. Now students can expect to finish with 40k of debt.
Houses - The average house is now at the highest multiple of average salary ever. So much so that as already discussed on this thread, a 30 year mortgage is deemed acceptable.
That's just three situations that exemplify what I'm talking about, there are more. People can't afford to retire, work longer means less job opportunities.
sure there are examples of people who get a job and manage fine but the stats speak for themselves, go and look at the teen unemployement rates of all developed countries.
Housing in particular took a similar path in the UK, I remember when I first started work (~15 years ago) one of my colleagues earned ~£20K that year and bought his first house for £49K, prices then climbed right through the "good times" until the house was worth (on paper) £200K - £250K by which time he was earning £30K -£35K (if even)
So whilst the house value had quadrupled his wages had less than doubled
At the peak prices got so dizzy in relation to wages that 50 year mortgages were being talked about and multiples of 8 x annual wages were used to calculate how much an individual could borrow - crazy
I remember thinking at the time that despite masses of new houses being built prices continued to climb - it went against all logic - in any other area of life more supply typically means less demand (resulting in lower prices), turns out it was all being propped up by cheap credit that banks were giving away
Then the crash came, cheap credit disappeared and suddenly there was no demand - prices have plumetted, houses are now being sold in my locality for under £30K and theres heaps of negative equity etc
Could history repeat itself with dizzy prices and talk of extended mortgage periods in Australia?
If/when I get there I definately wont be rushing into purchasing.......
Last edited by energysolutions; Feb 7th 2012 at 9:33 pm.
Feb 7th 2012, 10:46 pm
#190
Lost in BE Cyberspace
Joined: Dec 2010
Posts: 14,040
Re: Any families in Australia living on combined gross income of less than $100,000 a
"....." You think that "parents generation" got their house handed to them on a plate? You do don't you? You think they had it easy? Well guess again.
This is true actually. We have worked like dogs for our house, have spent countless hours doing it up over many years, went without holidays for years, I made my own clothes, had a portable TV for ages and a truly beaten up car for God knows how long. I reckon it's payback time now for us. I do feel sorry for kids today (including my own), but I refuse to feel guilty for making a profit on my house. There are starting to become various homebuyer incentives here and many new houses being built, so I think it will get easier for kids to own their own homes eventually - if they can save, do without etc like we did. I do feel very sorry for them though with the jobs market as they are being punished, which is very unfair.
This is true actually. We have worked like dogs for our house, have spent countless hours doing it up over many years, went without holidays for years, I made my own clothes, had a portable TV for ages and a truly beaten up car for God knows how long. I reckon it's payback time now for us. I do feel sorry for kids today (including my own), but I refuse to feel guilty for making a profit on my house. There are starting to become various homebuyer incentives here and many new houses being built, so I think it will get easier for kids to own their own homes eventually - if they can save, do without etc like we did. I do feel very sorry for them though with the jobs market as they are being punished, which is very unfair.
Your kids, like us who can't, or refuse to own property right now will just have to re-evaluate investment strategies and think outside the 'old bugger aussie mentality' - must own house.
Feb 8th 2012, 12:19 am
#191
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Joined: Dec 2008
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Re: Any families in Australia living on combined gross income of less than $100,000 a
Still don't understand why people feel they should "make a profit" on their house - primarily they should be looked at as a place of shelter for their family, not an investment.
People still made the decision whether or not to take huge loans out - I wasn't "given" cheap credit by a bank to buy an overpriced house, because I didn't apply for it.
I remember thinking at the time that despite masses of new houses being built prices continued to climb - it went against all logic - in any other area of life more supply typically means less demand (resulting in lower prices), turns out it was all being propped up by cheap credit that banks were giving away
Feb 8th 2012, 12:26 am
#192
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Joined: Feb 2011
Posts: 557
Re: Any families in Australia living on combined gross income of less than $100,000 a
Still don't understand why people feel they should "make a profit" on their house - primarily they should be looked at as a place of shelter for their family, not an investment.
People still made the decision whether or not to take huge loans out - I wasn't "given" cheap credit by a bank to buy an overpriced house, because I didn't apply for it.
People still made the decision whether or not to take huge loans out - I wasn't "given" cheap credit by a bank to buy an overpriced house, because I didn't apply for it.
Yes, rent was an option but the way things were going doing so was only letting prices get further out of reach as they were climbing so fast
Many fell into this trap
Feb 8th 2012, 12:30 am
#193
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Joined: Jan 2011
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Posts: 3,427
Re: Any families in Australia living on combined gross income of less than $100,000 a
Still don't understand why people feel they should "make a profit" on their house - primarily they should be looked at as a place of shelter for their family, not an investment.
People still made the decision whether or not to take huge loans out - I wasn't "given" cheap credit by a bank to buy an overpriced house, because I didn't apply for it.
People still made the decision whether or not to take huge loans out - I wasn't "given" cheap credit by a bank to buy an overpriced house, because I didn't apply for it.
Life under a rental system would be very odd. Who would own them? Large council/socialist style schemes? Don't really know - it's so ingrained...
Feb 8th 2012, 2:04 am
#194
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Location: Bristol, UK --> Copacabana, NSW
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Re: Any families in Australia living on combined gross income of less than $100,000 a
And yes it is bollox as you say
