Author name: 2 Ezi

Money leaks, often subtle and unnoticeable, can slowly erode your financial stability. In Australia, as in many parts of the world, individuals often find themselves facing unexpected financial challenges due to these leaks. In this blog, we will explore the concept of money leaks, identify common causes, and provide practical steps on how to stop money leakage and improve financial security. What is Money Leaks? Money leaks refer to the small, often overlooked expenses or habits that drain your finances over time. While each leak on its own may seem insignificant, the cumulative effect can be substantial, impacting your ability to save, invest, and secure your financial future. Identifying and addressing these leaks is crucial for achieving financial stability. Common Causes of Money Leaks Money leaks can occur for a variety of reasons, and identifying their root causes is the first step in plugging them. Here are some common causes Impulse Spending Impulsive purchases on non-essential items can lead to money leakage. It’s easy to overlook the cumulative impact of these small expenditures. Subscriptions and Memberships Unused or forgotten subscriptions to streaming services, gym memberships, or magazines can slowly drain your bank account. A noted podcaster once claimed, for example, that he took up a certain SVOD service’s free trial just to watch a single fight but never used that service again – even as the free trial was automatically upgraded to a paid subscription, with the bill incrementally going up.  Dining Out Excessively Regularly dining out or frequently ordering takeout can significantly drain your finances. It becomes particularly troublesome when you realise that a considerable portion of your monthly budget has been consumed by these expenses upon reviewing your receipts and statements. Unmonitored Utilities Neglecting to regularly review utility bills can result in overpaying for services or failing to identify water or energy leaks in your home. Some people might only discover they’re behind on utilities when they are actually cut by the provider.  Unplanned Fees Late fees, ATM withdrawal charges, or overdraft fees can accumulate when financial accounts aren’t managed carefully. Unused Gift Cards and Vouchers Forgetting about gift cards or vouchers can be seen as a loss of potential savings. How many coupons do you have at home that you were about to use – only to find their expiration dates have long passed? How to Stop Money Leakage Now that we’ve identified common causes of money leaks, let’s explore practical strategies to stop the leaks and improve financial security Create a Budget Create a detailed budget delineating your income and expenditures. Track every expense, no matter how small, to identify where money is slipping away. Prioritise Spending Distinguish between needs and wants. Prioritise essential expenses while cutting back on non-essential purchases. As credit cards are also a form of money leak, you must strive to pay the entire balance, if not a big bulk every month, to avoid late fees.  Review Subs and Memberships Regularly audit your subscriptions and memberships, and cancel those you no longer use or need. Some financial apps offer users the flexibility to cancel those subscriptions and memberships with a swipe of the screen, which may help avoid long wait times speaking to a subscription service’s customer helpline requesting a service cancellation.  Meal Planning If part of your money leaks concern eating, you can consider cooking your own recipes at home when the money you spend on dining out is used to buy ingredients instead. Plan your meals, and assemble the shopping list for the ingredients. Take the time to add more long-term staples to add more cupboard resources.   Shop Mindfully Avoid impulse purchases by drafting your shopping lists and ensure adherence to them. Consider waiting 24 hours before making non-essential purchases to reduce impulse buying. Although, the appropriate waiting period may vary for different individuals and situations. In some respects, certain very minute purchases can snowball if there’s money spent on them every month; in an interview with News Corp Australia’s Anthony Keane, Thalia Stanley Group director Marion Mays said one of her clients was shocked to find they have been spending as much as $100 a month on bottled water – which may discomfort others, given Australia’s issues with bottled water and the effect of PET bottles on landfills. Monitor Utility Bills Review utility bills for any discrepancies or unexpected increases. Fix any leaks or issues promptly to save on utility costs. When that includes rising power bills for example, make a pivot such as shutting down certain appliances when not in use or to use them for shorter periods, like putting air conditioners on sleep mode or to use any timing functions.  Automate Savings Set up automated transfers to a savings account as soon as you receive your latest paycheque. One way to make it happen is to arrange it with your bank, especially if that bank also handles your employer’s payroll account. This ensures that a part of the money is already set aside before you even spend anything. Make sure to regularly review and adjust savings goals as your financial circumstances change. Emergency Fund Build an emergency fund to cover unexpected expenses, reducing the need to dip into your regular budget. Track Your Expenses Use budgeting apps or software to help you track expenses in real-time. This can provide insights into your spending habits and help you identify areas where leaks occur. Financial Planning If it’s within your budget, consider seeking guidance from a financial advisor. They can assist in crafting a thorough plan tailored to your goals, pinpointing and resolving any financial inefficiencies along the way. Conclusion Money leaks may seem inconsequential on their own, but they can have a significant impact on your financial stability and security over time. Recognising the common causes of money leaks and taking proactive steps to address them is essential for achieving financial freedom. Developing smart financial habits, such as meal planning and automating savings, can help you regain control of your finances and secure your future. Remember, closing the

In a society where accumulation and excess are frequently glorified, minimalism stands out as a compelling alternative — a lifestyle centred on simplicity, intentionality, and conscientious consumption. More than merely tidying up our physical spaces, minimalism represents a mindset that permeates every facet of our lives, from our interpersonal connections and financial decisions to our daily habits. Join us in this blog as we delve into the philosophy behind minimalism and its successful implementation within the Australian context. Discover practical strategies for embracing a minimalist ethos and unlocking the myriad benefits of a life lived with greater purpose and less clutter. What is Minimalism? By reducing clutter and eliminating non-essential possessions, minimalism allows individuals to regain control over their time and experience a sense of freedom. With fewer material possessions to manage, one can focus on activities that bring joy and fulfilment. Minimalism streamlines decision-making by eliminating unnecessary choices. When we have fewer belongings, it becomes easier to make decisions and reduces decision fatigue. This clarity extends to other areas of life, such as relationships and career choices. Minimalism encourages mindful consumption by questioning the need for new purchases and considering the environmental and social impact of our choices. By embracing quality over quantity, minimalism supports sustainability and reduces waste. Shifting the focus from acquiring more possessions to appreciating what we already have will help you foster gratitude and contentment. It encourages us to find joy in experiences, relationships, and personal growth rather than material possessions. Embracing a minimalist lifestyle has the potential to pave the way towards financial freedom. By reducing expenses, avoiding unnecessary purchases, and prioritising saving and investing, individuals can achieve greater financial stability and pursue their passions and goals. Minimalism in Australia Embracing Minimalist Architecture Australia has seen a rise in minimalist architecture, characterised by clean lines, simplicity, and functionality. Minimalist homes focus on open spaces, natural light, and a connection with nature, promoting a sense of calm and tranquillity. One example of minimalist Aussie architecture is a certain property in Alphington, Melbourne, which had the house set far back from the road, but had a large earthen mound to serve as the front fence.   Sustainable and Ethical Fashion Australian consumers have embraced minimalism in the realm of fashion, supporting sustainable and ethical brands. The focus is on building a smaller, versatile wardrobe consisting of high-quality pieces that withstand the test of time. Tiny Houses The tiny house movement has gained traction in Australia, reflecting a minimalist approach to housing. Tiny homes emphasise simplicity, efficiency, and a smaller environmental footprint, offering an alternative to traditional large-scale living. Decluttering and Minimalist Blogs Numerous Australian bloggers and influencers have embraced minimalism and share their experiences and practical tips for decluttering and living with less. These platforms provide inspiration, guidance, and a sense of community for individuals embarking on their minimalist journey. Examples of minimalist blog discussions include those in The Sane Mum, Frugal and Thriving, and Living Simply with Valerie. Tips for Embracing a Minimalist Lifestyle Here are some wonderful elements to make a smooth translation to minimalist living:  Declutter Mindfully Start by decluttering your physical space. Sort belongings into categories, keeping only items that serve a purpose or bring you joy. Donate or responsibly dispose of the rest. Streamline Your Digital Life Extend minimalism to your digital space by organising files, deleting unnecessary apps, and unsubscribing from email lists that no longer serve you. Practise digital detoxes and limit screen time. Prioritise Experiences Focus on experiences rather than material possessions. Invest in activities, travel, and creating memories with loved ones. Seek out free or low-cost activities in your community that align with your interests. Mindful Consumption Before making a purchase, consider whether it aligns with your values and serves a genuine need. Avoid impulse buying and opt for quality, sustainable products that will stand the test of time. Create a Capsule Wardrobe Build a minimalist wardrobe by curating a collection of versatile, high-quality clothing items that can be mixed and matched. Aim for a smaller number of pieces that reflect your personal style and are suitable for various occasions. Simplify Daily Routines Streamline your daily routines to minimise decision-making and create more time for activities that matter. Establish a consistent morning and evening routine that supports your well-being and sets a positive tone for the day. Practice Gratitude and Contentment Cultivate a mindset of gratitude by regularly reflecting on the things you appreciate in life. Direct your attention to what you possess instead of dwelling on what you lack, nurturing contentment and diminishing the urge for unnecessary material possessions. Simplify Your Finances Take a minimalist approach to your finances by simplifying your accounts, automating bill payments and savings, and reducing unnecessary expenses. Prioritise financial stability and long-term goals over short-term indulgences. Embrace Mindfulness and Meditation Incorporate mindfulness and meditation practices into your daily routine to cultivate a sense of presence and awareness. Mindfulness can help you make conscious choices, appreciate the present moment, and stay grounded in your minimalist journey. Conclusion Minimalism offers a pathway to a simpler, more intentional way of living. By focusing on what truly matters, decluttering our physical and mental spaces, and making mindful choices, we can create a more fulfilling and sustainable lifestyle. Let us embark on this journey of minimalism, simplifying our lives and prioritising what truly brings us joy and meaning. DISCLAIMER:  This article is for informational purposes only and is not meant to replace lifestyle advice. 2 Ezi is not affiliated with any resources mentioned in the article. The views presented belong solely to the author.

In today’s interconnected world, sharing financial responsibilities among spouses, business partners, or close family members is a norm. Joint bank accounts often emerge as the most efficient and practical solution for managing shared finances. But what precisely constitutes a joint bank account, and how does one establish it? This guide delves into joint banking in Australia, providing insights into opening and effectively managing such accounts. What is a joint bank account? A joint bank account is a type of bank account owned by two or more people. The account is used for shared expenses and can be managed by any of the account holders. This means that each person has equal access to the account, and can make deposits and withdrawals as needed. In Australia, joint bank accounts are commonly used by couples, families, and business partners. Why open a joint bank account? There are several reasons why someone might choose to open a joint bank account. A joint bank account makes it easier to manage shared expenses, such as bills, rent, or groceries. With a joint bank account, each person can deposit money into the account and access the funds as needed, without the need for transfers or separate accounts. A joint bank account is a convenient solution for managing shared finances. It allows multiple people to access the same account, which can be helpful if one person is unavailable or unable to manage the account on their own. A joint bank account can provide a measure of security, especially if one person is unable to manage their finances due to illness or disability. With a joint bank account, the other account holder can step in and manage the account, ensuring that bills are paid and other expenses are covered. However, while joint bank accounts can provide security in certain situations, they also require a high level of trust and transparency to avoid misunderstandings or misuse of funds. Some banks may require for the account to be “either to sign” or “both to sign”. “Either to sign” means the account holders will have their own debit cards and can monitor the transaction history individually. “Both to sign” denotes that for withdrawing the funds in the account, both parties must concurrently approve the transaction for it to proceed. Opening your joint bank account Opening a joint bank account in Australia is relatively straightforward, but it’s important to follow the right steps to ensure that the account is set up properly. Here’s what you need to know: Pick your bank To initiate the process of opening a joint bank account, start by selecting a bank that aligns with your needs. Evaluate aspects such as interest rates, fees, and customer service to make an informed decision. Gather necessary information To open a joint bank account, you’ll need to provide each account holder’s personal information, including their full name, date of birth, and address. Additionally, you might be required to furnish proof of identity, such as a driver’s license or passport. Decide on account type Most banks offer several types of joint bank accounts, including standard joint bank accounts, joint bank accounts with survivorship, and joint bank accounts with right of survivorship. Consider your needs and the type of account that best suits your situation. Take note that if you were actually intending to convert any individual accounts you currently maintain, many banks do not allow that option and may advise you to open a joint bank account instead. Complete the application Once you’ve gathered all of the necessary information, complete the joint bank account application and submit it to the bank. The bank will assess your application and may request further information or documentation before granting approval for the account. Fund the account Once your joint bank account has been approved, you can begin funding the account. You can deposit money into the account using a variety of methods, including direct deposit, automatic transfers, or personal cheques. Managing a Joint Bank Account Managing a joint bank account requires careful planning and communication between the account holders. Here are a few tips to help you manage your joint bank account successfully: Communicate regularly Consistent communication is essential for effectively managing a joint bank account. Make sure your partner is informed if you intend to withdraw from the account or to supplant it with new funds.  Share the load Both account holders must be equal partners in managing the balance. Define the purpose In establishing your joint bank account, both you and your partner should have a clearly defined rationale for running it, based on any long-term financial goals you want to achieve. Are you opening it to save for a house deposit? Buying a new car? Saving for your child’s college fund? The possibilities are endless.   A finance app such as 2 Ezi can be a vital asset in running your account. Through the app’s budget management section you only need to enter the account number and be kept abreast all the time about its running balance, and its projected savings over a predefined period of time. It may be vital that your co-holder has the same level of access, so you can both plan your next moves.  If you are in a long-term relationship, opening a joint bank account may be one key to making things work. We at 2 Ezi are confident you can go this distance together. DISCLAIMER: This article is for informational purposes only and is not meant to supersede official financial advice. 2 Ezi is not affiliated with any bank. Consult with a financial advisor for personalised advice tailored to your circumstances.

In today’s complex financial world, teaching children about money is an important responsibility for parents. One effective way to initiate this education is by opening a bank account for your kids. Not only does this instil good financial habits early on, but it also fosters a sense of responsibility and independence. In this blog, we’ll explore the importance of teaching children about money through bank accounts, the mechanics of setting up these accounts, and how to guide your children in managing their funds wisely. Financial Education from an Early Age Financial literacy is a skill that can significantly impact a person’s life – but it’s often overlooked in traditional education. Parents play a significant role in filling this gap by teaching their children about money management. Here’s why it’s essential: Life-Long Skills The financial habits children develop at a young age often persist into adulthood. By teaching them early, you set them up for a lifetime of financial responsibility.  Independence and Responsibility Managing money encourages independence and responsibility. Children learn to make choices, set goals, and understand the consequences of their financial decisions. Avoiding Financial Pitfalls Financial education helps children recognise and avoid common financial pitfalls, such as excessive debt and impulsive spending. Building a Strong Parent-Child Relationship Teaching your child about money is an opportunity to bond and build trust. It fosters open communication and reinforces the parent-child relationship. Opening the Bank Account for Your Kids Now that we’ve established the importance of financial education, let’s dive into the practical steps of opening a bank account for your child: Choose the Right Bank Research different banks to find one that offers suitable accounts for children. Look for low or no fees and consider proximity to your home or work for convenience. Gather Necessary Documents Typically, you’ll need your child’s birth certificate and your identification like a driver’s licence. Some banks may have additional requirements, so check in advance. Visit the Bank Schedule an appointment or visit your chosen bank branch with your child. Explain the purpose of the visit to help ease any anxiety they may have. Select the Type of Account Most banks offer special accounts designed for children or teenagers. These often come with features like no minimum balance requirements and parental controls. If you have ample cash to spare, you can consider a savings account in the child’s name with you as co-signer, and a special time deposit with higher interest.  Complete the Application Fill out the account application form, providing all necessary information and documentation. Be prepared to sign as the legal guardian or parent, as current banking rules in Australia do not allow depositors to sign the document until they are at least 18 years old at the time the account will be opened. Deposit Funds To activate the account, you’ll need to make an initial deposit. This can be a small amount, but it’s an excellent opportunity to involve your child in the process. Explain that this money will grow over time through interest. At this point, if the bank has a required minimum balance, you can teach your child to make sure the money in the account is higher.  Set Up Online Access Many banks offer online account management tools. Set up online access to monitor the account, and teach your child how to check their balance and transaction history. Explain Security Measures Teach your child about the importance of keeping their account information, including their PIN and online banking credentials, confidential. As bank accounts can be compromised via cybercrime, take the time to discuss not sharing your emails or phone numbers with anybody outside the family, even people claiming to know your loved ones. Make It a Learning Experience Use the account-opening process as a teaching moment. Explain concepts like interest, deposits, withdrawals, and the importance of saving. Guiding Your Kids in Properly Managing Funds Once the bank account is activated, the real learning begins. Here’s how to guide your child in managing their funds effectively: Set Financial Goals Help your child set achievable financial goals. This could be saving for a special toy, a school trip, or even college. Encourage them to save a portion of any money they receive as gifts or allowances. Track Expenses Teach your child how to record their spending. This can be as simple as keeping a ledger book or using budgeting apps designed for kids. Budgeting Basics Introduce the concept of budgeting. Help your child create a simple budget that allocates money for different purposes, like saving, spending, and giving. Earning Opportunities Encourage your child to explore ways to earn money, such as doing chores, starting a small business (like a lemonade stand), or helping with household tasks. Teach Delayed Gratification Many children nowadays want things right that instant, but adults can tamp that Explain the value of waiting and saving for something they want. When they express a desire for a new toy, for example, suggest that they save a portion of their allowance for it. Discuss Wants vs. Needs Help your child differentiate between wants (things they desire) and needs (essentials like food and clothing). This understanding will guide their spending choices. Explore Compound Interest As your child’s savings grow, explain the concept of compound interest. Show them how their money can earn more money over time. Some finance experts claim that helping a bank account gain compound interest often lies in seldom withdrawing from the account while depositing more money.  Regular Money Talks Make discussing money a regular part of your family conversations. Share your own financial experiences and decisions to provide real-world examples. Encourage Giving Teach the importance of giving to others. Suggest setting aside a portion of their savings for donations to charities or helping those in need. Conclusion Opening a bank account for your child is one of the first steps toward providing them with a solid foundation in financial literacy. It equips them with the tools they need to manage money responsibly and make informed decisions throughout

In an era marked by growing environmental consciousness and social responsibility, ethical banking has emerged as a promising alternative to traditional banking. The concept revolves around aligning financial decisions with values such as sustainability, social impact, and environmental conservation. In this article, let’s pore over the mechanics of ethical banking, explore how to find the best ethical bank in Australia, and weigh the advantages and disadvantages of this approach. What is Ethical Banking? Ethical banking, often referred to as green banking or sustainable banking, involves financial institutions incorporating environmental, social, and governance (ESG) considerations into their operations and investment decisions. These banks prioritise the allocation of funds to projects and businesses that promote positive societal and environmental outcomes. This can range from financing renewable energy initiatives to supporting community development projects. Understanding Ethical Banking Investment Screening Ethical banks apply rigorous screening processes to ensure that the companies they invest in align with their ESG values. This involves scrutinising factors such as carbon footprint, labour practices, and community engagement. Transparency Ethical banks emphasise transparency in their operations. They disclose information about their investment portfolios, allowing customers to make educated decisions about where their money is being invested. Sustainable Lending Ethical banks offer loans and credit to projects and businesses that demonstrate a commitment to sustainability and social responsibility. This might include supporting green startups, eco-friendly construction projects, and affordable housing initiatives. Community Development These banks often have a strong focus on community development, directing a portion of their profits towards social and environmental causes. Finding the Best Ethical Bank in Australia Selecting the perfect ethical bank in Australia may demand some effort, but by conscientiously adhering to the following steps, the eventual benefits could prove invaluable.  Begin by researching ethical banks in Australia. Look for banks that are certified by recognised ESG standards or organisations. Examples include the Global Alliance for Banking on Values (GABV) and B Corp certification, which for Australia is handled by B Lab Australia and New Zealand. Compare the account offerings, fees, and services provided by different ethical banks. Ensure that the bank offers the types of accounts you need for your financial goals. As ESG is a critical component of an ethical banking system, study the preferred bank’s ESG policies and reports. Understand their investment criteria and the sectors they support. Look for transparency in how they communicate their impact. Reviews from current customers can help you gain insights into their experiences with the bank’s services and customer support. Consider the bank’s accessibility through online banking, mobile apps, and physical branches if needed. While prioritising ethics, don’t overlook financial stability. Ensure that the bank is financially sound and capable of safeguarding your deposits. Five Prominent Australian Ethical Banks  Given the above tips on finding your ideal ethical bank, you may still be nonplussed as to which fits the bill. When it comes to ethical banking in Australia, several institutions stand out for their commitment to sustainability, social responsibility, and transparency. Let’s take a closer look at five prominent ethical banks that you might consider for your financial needs. Bank Australia Bank Australia is a leading ethical bank that has been dedicated to responsible banking for over 60 years. As a certified B Corp and a member of the GABV, Bank Australia places a strong emphasis on supporting projects that contribute to positive social and environmental outcomes. They offer a range of ethical banking products, including transaction accounts, savings accounts, and loans. Bank Australia is known for its transparent reporting on where customer funds are invested, allowing clients to see the direct impact of their banking choices. The bank’s investment programme focuses on fields such as non-profits and renewable energy sources. Australian Ethical Investment Australian Ethical Investment (AEI) is a pioneer in ethical investing and banking. They focus on managing investments and banking services in alignment with ESG principles. Their banking products include savings accounts, term deposits, and superannuation options. Australian Ethical Investment is known for its stringent investment screening process, ensuring that your money is used to support companies and projects that meet their sustainability and ethical criteria. Beyond Bank Australia Beyond Bank Australia is another notable player in the ethical banking landscape, with origins as a credit union. As a B Corp-certified bank, Beyond Bank Australia channels its profits into community projects and initiatives. They offer a variety of banking solutions, including transaction and savings accounts, loans, and credit cards – their home loan framework was also overhauled for digital transformation, with NextGen’s ApplyOnline platform as a partner system. Beyond Bank Australia’s commitment to social and environmental responsibility is reflected in its support for causes such as education, health, and environmental conservation. Such dedication has earned the bank a Forbes recognition as one of the world’s best banks for 2023, plus eight straight years as CANSTAR’s Customer Owned Bank of the Year in the Digital Banking category and a 2023 award for Customer Owned Bank of the Year in the Most Satisfied Customers category. Community First Credit Union Community First Credit Union is a member-owned cooperative that prioritises community well-being and sustainability, first operating in 1959 as the Sydney Water Board Officers Credit Union Co-Op. While not a traditional bank, it offers ethical banking options to its members. Community First provides a range of financial services, including banking, loans, insurance, and financial advice; the loan component, in particular, allows flexible payments for people looking to buy hybrids or EVs. Being customer-owned, it places a strong emphasis on delivering value to its members and contributing positively to the communities it serves. Future Super Future Super is a superannuation fund that combines ethical investing with retirement savings. While not a traditional bank, it’s worth mentioning due to its significant impact on ethical finance. Future Super offers a fossil fuel-free investment portfolio and supports industries and projects that align with their clean energy and sustainability goals. This option is particularly appealing for those looking to align their long-term retirement savings with their ethical values. Pros and Cons With

Stay connected abroad with your Australian mobile phone. Learn about managing data roaming charges and communication alternatives. In an increasingly globalised world, staying connected while travelling abroad is crucial. Your Australian mobile phone number holds familiarity and convenience, allowing you to communicate with friends, family, and colleagues without hassle. However, using it abroad involves considerations such as data roaming charges and cybersecurity. This article provides insights into the importance of keeping your Australian mobile phone number while travelling, strategies to manage data roaming charges, and alternatives to data roaming to ensure a seamless communication experience. The Importance of Taking Your Australian Mobile Phone Abroad Some people may think bringing your Australian mobile number overseas is too much of a hassle, but here are a few points to their importance: Familiarity and Accessibility Your Australian mobile phone number is the primary point of contact for your network, friends, family, and business associates. By retaining your local number, you maintain a sense of familiarity and accessibility, making it easier for people to reach you (although some may say, a suitable option will be to contact your accommodation provider and ask for your suite). Business Continuity If you’re travelling for business, having your Australian number can be essential for maintaining communication with clients, partners, and colleagues. This ensures business continuity and prevents any disruptions in professional relationships. Avoiding Confusion Using a local number abroad might lead to confusion for your contacts. They might not recognise the foreign number, leading to missed calls or messages. Having your Australian number may prevent such misunderstandings. Planning for Roaming Charges Some mobile carriers claim that using data roaming while abroad is effective if you do not want to use the local mobile line, but you have to ponder on these steps before pulling the trigger: Check with Your Telco Before embarking on your journey, get in touch with your telecom vendor here in Australia to understand their international roaming plans. Some telcos offer specific international roaming packages that provide reduced rates for calls, texts, and data usage abroad, like this list compiled by our friends at WhistleOut. Enable Data Roaming Only When Needed Data roaming charges can be particularly steep. To manage costs, disable data roaming when you’re not actively using the internet. Enable it only when necessary, such as when you need to check emails, use maps, or access important information online. Use Wi-Fi Whenever Possible Make use of Wi-Fi hotspots available at hotels, cafes, airports, and other public places. Connect to Wi-Fi networks to avoid using cellular data and incurring roaming charges. Monitor Data Usage Keep track of your data usage through your phone’s settings or by using your telco’s mobile app. This allows you to stay within your allocated data limit and avoid unexpected charges. Alternatives to Data Roaming If data roaming overseas is not cost-effective for you, here are possible workarounds.  Local SIM Cards A SIM card from a telco in your host country provides you with a local number and access to local data plans, which are often more affordable than international roaming rates. Learn which telco stores in your destination sell SIM cards and buy one as soon as you arrive; they may contain a set amount of credits with options to buy prepaid cards.  It pays as well if you have a phone that offers dual-SIM capability, allowing you to switch active numbers as needed. Travel SIM Cards Some companies offer travel-specific SIM cards that provide discounted rates for international calling, texting, and data usage. These cards are designed to help travellers save on communication expenses. Pocket Wi-Fi If you are booking through a travel agency, inquire about any partnerships with local mobile Wi-Fi providers and their rental rates and return policies for the devices. Some vendors may have options to arrange for pickup while you’re still in Australia prior to takeoff or upon arrival at your destination. Enhancing Cybersecurity While Abroad Given the international nature of cybercrime, it is vital to protect your digital assets when you go overseas.  Use Secure Networks Be cautious when connecting to public Wi-Fi networks. Use virtual private networks (VPNs) to encrypt your internet connection, enhancing your cybersecurity and protecting your sensitive data from potential hackers on unsecured networks. If you already have a VPN service active on your devices you can simply switch servers in the VPN list. Be aware, though, if your destination country has a tight policy on VPN usage; NordVPN, in particular, notes that VPNs are banned or heavily restricted in China, Russia, Türkiye, and the UAE, among others.   Update Software Ensure your phone’s operating system and security software are up to date before travelling. They will contain new patches to secure the system against the latest vulnerabilities and may even introduce new safeguards such as Stolen Device Protection included with Apple’s iOS 17.3 and iPadOS 17.3.   Avoid Unsecured Links Be wary of clicking on links in emails or messages from unknown sources, as these could lead to phishing attempts or malware installation. Only access websites and links from trusted sources. Two-Factor Authentication (2FA) Enable 2FA for your accounts whenever possible. They will usually issue an extra verification channel that must be tapped by notifications on text or email. Stay Connected  Bringing your Australian mobile phone number abroad offers familiarity, accessibility, and continuity, but it’s important to manage potential data roaming charges and a premium effort on cybersecurity. By planning ahead, understanding your telco’s international roaming options, and exploring alternatives to data roaming, you can ensure a seamless communication experience while keeping costs under control. Additionally, practising cybersecurity measures such as using secure networks, updating software, and being cautious of online links will help protect your sensitive information while enjoying your travels. DISCLAIMER:  This article is for informational purposes only. 2 Ezi has no relationships with any company or individual mentioned in the article and does not offer deals on any tech product discussed.

Discover the restrictions after bankruptcy filing in Australia and steps for financial recovery in this insightful blog. Bankruptcies are known to have long-lasting effects on your financial stability and lifestyle. In Australia, just as in many other countries, there are strict rules and regulations in place to govern the process and its aftermath. In this blog post, we will explore the financial restrictions imposed on individuals who have recently declared bankruptcy and the measures they must take to resolve their situation and regain their financial security. Declaring Bankruptcy Declaring bankruptcy is a legal process in Australia that allows individuals who are unable to meet their financial obligations to seek relief from their debts, as per the Bankruptcy Act 1966 (Cth). It provides a fresh start for those overwhelmed by debt but comes with certain financial restrictions and responsibilities. A new monthly AFSA report from December 2023 revealed that 805 new personal insolvencies were filed that month, a slight dip from the 853 in November. From the December figures, there were 509 bankruptcies, 289 debt agreements, and seven personal insolvency agreements. When broken down by states or territories, NSW recorded the most filings at 101, with Queensland (91) and Victoria (66) completing the top three. New bankruptcies in the ACT were the fewest nationwide at three, but AFSA classified 481 insolvencies under the Other category.  Although the number of personal insolvencies overall filed in Australia have dropped since the start of the COVID19 pandemic – from over 20,000 in 2019-2020 to 9,930 in 2022-2023 – the AFSA’s latest State of the Personal Insolvency System report predicts a resurgence in 2024-2025 at 14,750 new filings. This is attributed to young renters facing cost-of-living pressures, such as taking out personal loans or using BNPL apps. When it comes to the amounts owed to creditors, the report tagged the ATO as the largest single creditor at over $2billion. Financial Restrictions After Bankruptcy Declaration Once you’ve declared bankruptcy, you will face several financial restrictions, including the following. Asset Seizure and Sale One of the primary purposes of bankruptcy is to use your assets to repay your creditors. This may involve selling some of your assets, such as non-essential property, investments, or luxury items, to generate funds for debt repayment. However, any tools you use for your trade worth no more than $4,200 total and vehicles worth under $9,100 total are declared “protected assets,” and therefore cannot be seized.   Income Contributions Depending on your income, you may be required to make income contributions to your bankruptcy estate for a specific period, usually up to three years and a day after filing. These contributions are used to repay your creditors. The AFSA states that while there are no limits to the income you can earn and save during your bankruptcy, you will be ordered to make payments under a set amount. For example, if your unsecured debts exceed $137,537.40, you will not be allowed to propose a debt agreement. Credit Restrictions Your bankruptcy will be recorded on your credit report for a minimum of five years (or up to seven years in some cases). During this time, it can be challenging to obtain credit or loans from traditional financial institutions. Current rules also state the bankrupt’s permanent inclusion in the National Personal Insolvency Index, but the Attorney-General’s Department released a discussion paper in September 2023 proposing among others that the permanent status be cut down to seven years.    Travel Restrictions If your bankruptcy trustee believes that you may try to escape your financial obligations by leaving the country, they can place travel restrictions on you, with cooperation from agencies such as the Australian Border Force and the Australian Federal Police, if needed. Business Ownership Bankruptcy may affect your ability to own or operate a business. If you want to continue running a business, you’ll need to seek permission from your bankruptcy trustee. Measures to Resolve Bankruptcy While bankruptcy comes with several financial restrictions, it’s not a life sentence. There are steps you can take to resolve your bankruptcy and work toward regaining your financial security. Here’s how: Financial Counselling Seeking professional financial counselling is an essential first step. A financial counsellor can help you assess your situation, create a budget, and develop a plan to address your debts. Sacrifice Play To resolve your bankruptcy, you may need to make a “sacrifice play.” This involves making substantial financial sacrifices to maximise the funds available for creditors. It may include selling non-essential assets and adopting a frugal lifestyle. Austerity Measures During your bankruptcy, you’ll need to adhere to strict austerity measures. This means living within your means, cutting unnecessary expenses, and prioritising debt repayment. Income Contributions If your income exceeds a certain threshold, you will be required to make income contributions. Ensure you make these contributions on time as specified by your trustee. Full Disclosure Cooperate fully with your bankruptcy trustee by providing all required financial information and documents. Failure to do so can lead to delays in resolving your bankruptcy. Credit Repair While your bankruptcy will remain on your credit report for several years, you can start rebuilding your credit by using secured credit cards, making on-time payments, and demonstrating responsible financial behaviour. Regular Review Your trustee will regularly review your financial situation to ensure that you are meeting your obligations and making progress towards resolving your bankruptcy. The review may also play into the expected discharge. Under the Bankruptcy Amendment (Discharge from Bankruptcy) Act 2023, the three-year-one-day rule is confirmed when the trustee approves a debtor’s petition or accepts a Statement of Affairs from an involuntary bankruptcy filing. The Road to Financial Recovery While the path to financial recovery after bankruptcy may be challenging, it is by no means impossible. Here are some guiding tips to assist you as you navigate this journey. Set Realistic Goals Understand that financial recovery takes time. Set realistic short-term and long-term goals to monitor your progress. Stick to Your Budget Creating and sticking to a budget is crucial. It will help

In today’s digital age, tax scams have become a prevalent issue around the world, and Australia is no exception. Deceptive practices by fraudsters can lead to financial losses and security breaches, making it crucial for Australians to be aware of tax scams and exercise financial vigilance. This blog aims to shed light on the nature of tax scams in Australia, provide recent examples, and offer guidance on how potential victims can avoid falling prey to scammers. Understanding Tax Scams in Australia Tax scams in Australia come in various forms, but they all share a common goal: to exploit individuals and businesses for financial gain. These scams often impersonate legitimate organisations, such as the Australian Taxation Office (ATO), to deceive victims into providing sensitive information or making payments. Let’s delve into some common tactics used by tax scammers: Fake Tax Refunds Scammers send out emails or messages claiming that the recipient is entitled to a tax refund. They typically ask for personal and financial information to process the refund. Once obtained, scammers use this data for identity theft or to steal money from the victim’s bank account. Threatening Phone Calls Some scammers resort to intimidation tactics by making unsolicited phone calls. They may impersonate ATO officials and threaten legal action or arrest if the victim doesn’t make an immediate payment to resolve a supposed tax debt. The ATO reported that threats usually come before the end of a fiscal year. Phishing Emails and Websites: Phishing emails and fake websites are designed to look like official ATO communications. They ask recipients to click on links and provide personal information or financial details, which are then used for fraudulent activities. Malware and Ransomware Attacks Scammers may also send malicious software through email attachments or links. Once the malware is installed on the victim’s computer, it can steal sensitive information or lock the device until a ransom is paid. Big Aussie Tax Scams To underscore the importance of staying vigilant against tax scams, here are some recent examples that have affected Australians: TikTok and the GST In August 2023, the Australian Financial Review’s Neil Chenoweth revealed that a $4.6-billion tax fraud using a certain financial scheme promoted by influencers on video-share app TikTok had been brewing for years. That amount included $1.9 billion in fake GST claims. The scheme involved scammers setting up an ABN and then using their myGov accounts to seek GST refunds on large expenses they supposedly incurred in setting up their new business. Several Australian banks already noticed large amounts of loans and tried to warn the ATO about them, but the agency was allegedly inept in stopping things on their end. Some of these suspects were found to have accessed five-figure GST claims even when they were already on welfare.   When asked for comment, ATO deputy commissioner Will Day said the agency had been quietly accounting for all the information with help from the RBA and the Fintel Alliance, but due to bank secrecy laws, did not inform the banks of any action. The ATO went ahead with Operation PROTEGO in April 2022: a massive crackdown with over 100 arrests and compliance actions against 56,000 people. Day said that as of 30 June 2023, the ATO was able to cut $2.7 billion in fake claims. The ATO revealed in October 2023 that the effort led to 177 prosecutions, with 174 convictions, 11 custodial sentences, and at least $2.1m collected in fines.   Plutus Payroll In June 2023, ABC show Four Corners ran a deep dive into the Plutus Payroll tax evasion scam. The report focused on over 70 hours of audio recordings and 28,000 pages of documents detailing how Adam Cranston and five other men established Plutus out of a strip club in 2014. The scam involved setting up satellite firms with dummy directors to process wages of client companies but Plutus itself will keep the tax remittances, which was tallied to be $105m. The money was used to finance the group’s lavish lifestyle. However, things got awry in 2016 as a motorcycle gang assaulted two of Cranston’s accomplices under the guise of extortion and a third was killed in a Los Angeles carpark. Things spiral out of control when the bikie gang raids the Plutus offices in 2017, the ATO issues garnishing orders against Plutus totalling $45m, and Cranston tries to come clean with his father – then-deputy ATO commissioner Michael Cranston. The younger Cranston was sentenced to 15 years’ jail in late August 2023 – another principal, his sister Lauren, will serve eight years. Their father resigned from the agency in May 2017 after a 40-year run, but was cleared of misconduct charges in 2019. Veteran crime reporter Stephen Barrett was also implicated in the scandal for allegedly being part of a plan to blackmail the Plutus principals, but the charges were withdrawn in 2022. He maintains receiving only $2,000 from the team supposedly carrying out the blackmail, but insists he did not know of the plan and wanted to research more of the story as a part of his reporting – and now is seeking the NSW Supreme Court for reimbursement of $500k in legal fees. Protecting Yourself from Tax Scams Being informed and cautious is the first step in safeguarding your financial security. Here are some tips on how to avoid falling victim to tax scams in Australia. Verify Communication If you receive a communication claiming to be from the ATO, take a moment to verify its authenticity. Check for official logos, correct grammar, and spelling. Always be cautious of unsolicited messages or phone calls. Do Not Share Personal Information Never share personal or financial information via email, text, or phone unless you are certain of the recipient’s identity. The ATO will not request sensitive information through these channels. Avoid Clicking Suspicious Links Be cautious of email links or attachments, especially if the email appears unexpected or contains unusual content. Many browsers allow for hovering your mouse over a link and it will show a preview

Divorce is a challenging and emotional time in anyone’s life, but it can be especially stressful when it comes to dividing your assets. In Australia, the division of property after a divorce is governed by the Family Law Act 1975. This law applies to married couples, as well as de facto couples who have lived together for at least two years. When it comes to dividing assets during a divorce, there are several key factors that are taken into account, including: It’s important to understand that the law does not require a 50/50 split of assets. Rather, the aim is to achieve a fair and equitable division of property based on the individual circumstances of each case. In this guide, we’ll explore some strategies for protecting your wealth during a divorce in Australia, and discuss the mechanics of dividing assets under Australian law. Aussie Divorces by the Numbers Before we delve further into strategies for protecting your wealth during a divorce, let’s take a look at some statistics about divorce. According to Australian Bureau of Statistics data released in December 2022, the crude divorce rate in Australia stood at 2.4 divorces per 1,000 people, following an uptick to 2.7 in 2021. In 2022, there were 49,241 divorces granted, down from 56,244 in 2021. The average duration of marriage before divorce is 12.8 years, and the median age at divorce is 46.7 years for men and 43.7 years for women. It is not known how many children were affected in the 2022 divorces, although 26,879 of the 2021 divorces involved 48,432 children, including those from either partner’s previous relationships. Step 1: Understand Your Financial Situation The first step in protecting your wealth during a divorce is to understand your financial situation. This means taking stock of all your assets and liabilities, including: Ensure you maintain accurate and up-to-date records of all your financial assets, and consider seeking the advice of a financial planner or accountant to help you get a clear picture of your financial situation. Step 2: Seek Legal Advice When it comes to protecting your wealth during a divorce, it’s essential to seek legal advice from a family solicitor who specialises in divorce law. They can advise you on your rights and obligations under the Family Law Act, and can help you negotiate a fair settlement with your spouse. Some of the key issues that a lawyer can help you with include: A BFA is a legal document that sets out how your assets will be divided in the event of a divorce. It can be a useful tool for protecting your wealth, as it can provide certainty and clarity about your financial arrangements. Step 3: Consider Mediation Mediation can be a less adversarial way to settle a divorce, and can help protect your wealth by avoiding costly legal battles. Mediation involves both parties sitting down with a neutral third party (the mediator) to work out a settlement that is fair and reasonable. Mediation can be particularly helpful in cases where there are complex financial arrangements, as it allows both parties to work together to find a solution that meets their needs. Step 4: Understand the Division of Assets Under Australian law, the division of assets during a divorce is based on a four-step process: It’s important to note that the law does not require a 50/50 split of assets. The court will consider all the factors listed above to determine a fair and equitable division of property. This means that it is possible for one party to keep more assets than the other, depending on the circumstances of the case. Step 5: Draft a BFA One way to protect your assets during a divorce is to enter into a Binding Financial Agreement (BFA) with your spouse. A BFA is a legally binding document that sets out how your assets will be divided in the event of a divorce. A BFA can be entered into at any time during the marriage or de facto relationship, and can cover a wide range of financial matters, including property, superannuation, and spousal maintenance. To be binding, a BFA must be in writing and signed by both parties, and each party must have received independent legal advice before signing the agreement. The agreement must also be certified by a lawyer as to its compliance with the Family Law Act. A BFA can provide certainty and clarity about your financial arrangements, and can help protect your assets in the event of a divorce. Step 6: Consider the Tax Implications When dividing assets during a divorce, it’s important to consider the tax implications of any settlement. For example, transferring ownership of a property may trigger capital gains tax, and dividing superannuation may have tax consequences. It’s important to seek the advice of a financial planner or accountant to help you understand the tax implications of any proposed settlement, and to structure the settlement in a way that minimises tax liabilities. Step 7: Protect Your Credit Rating Divorce can have a significant impact on your credit rating, particularly if joint debts are not paid or if you are unable to keep up with your repayments. To protect your credit rating during a divorce, it’s important to: Protecting your credit rating is essential, as it can have a significant impact on your ability to access credit and secure loans in the future. Conclusion Divorce can be a challenging and emotional time, but by taking proactive steps to protect your wealth, you can achieve a fair and reasonable settlement with your spouse.  By following these strategies, you can safeguard your assets after parting ways. DISCLAIMER:  This article is for informational purposes only and is not meant to replace or supersede official legal advice. 2 Ezi has no working relationships with any family law practice or government organisation. Please consult your solicitor and financial advisor for more comprehensive solutions.

When it comes to financial planning and securing your future, the biggest hurdles often lie within your own mind, namely behavioural biases. The field of financial psychology has shed light on numerous biases that hinder individuals from making the right financial decisions. In this article, we will delve into some of these common biases and explore strategies to overcome them, empowering you to take control of your future. Common Behavioural Biases Financial psychology is a branch of behavioural psychology that focuses on understanding how individuals think, feel, and behave in relation to money and financial matters. Recognising and addressing these behavioural biases is significant for sound financial planning. Here are some common behavioural biases that exist in the finance realm and its potential countermeasures. Loss Aversion Bias This bias refers to the tendency of individuals to fear losses more than they value equivalent gains. It can lead to risk aversion and reluctance to invest. To defeat it, you must understand that losses are a natural part of investing. Diversify your investments to spread risk and focus on long-term goals rather than short-term fluctuations. Confirmation Bias Confirmation bias occurs when people seek information that confirms their existing beliefs and disregard information that contradicts them. In finance, it can lead to overconfidence and poor decision-making. Confirmation bias can be stopped by being open to different viewpoints and seeking out diverse and credible sources of information. Challenge your own assumptions and regularly review your financial decisions. Anchoring Bias The anchoring bias manifests as an inclination to disproportionately rely on the initial information encountered when making decisions. For instance, fixating on the purchase price of a stock even when its fundamentals change. To avoid it requires updating your financial knowledge and to reevaluate your investments based on current information. Overconfidence Bias Overconfidence bias leads individuals to overestimate their own abilities and underestimate the risks involved in financial decisions. It can result in excessive trading and poor investment choices. Countering the bias will involve not making impulsive decisions based on overconfidence. An AFS-licensed financial advisor can assist you in maintaining a realistic understanding of your own knowledge and skills. Behavioural Gap The behavioural gap is the difference between an individual’s investment returns and the returns of the investments they hold. It often arises from emotional decision-making. Avoiding behavioural gaps requires a disciplined and well-thought-out investment strategy. Stick to a long-term plan and not reacting to short-term market fluctuations. Strategies to Defeat Behavioural Biases Financial Education One of the most effective ways to overcome behavioural biases is through financial education. Understanding the concepts of risk and return, the power of compounding, and the importance of diversification can empower you to make informed decisions. Set Clear Goals Establishing clear financial goals helps you stay focused and rational in your decision-making. Whether it’s saving for retirement, buying a home, or funding your children’s education, having specific objectives keeps you on track. Create a Financial Plan with Advisors Work with a qualified financial planner to create a comprehensive financial plan tailored to your goals and risk tolerance. A well-structured plan provides a roadmap for your financial journey.  Regular Review and Rebalance Any investment portfolios you built will need periodic review and rebalances. This prevents anchoring bias and ensures your investments align with your current financial goals. Embrace Long-Term Thinking Shift your focus from short-term gains to long-term financial security. Investing with a long-term perspective reduces the impact of loss aversion and impulsive decision-making. Practice Mindfulness Mindfulness techniques can help you become more aware of your emotions and thought patterns related to money. Being mindful of your financial decisions can prevent impulsive actions driven by fear or greed. Create a Support System A trusted friend or family member can be briefed on your financial goals and would reciprocate with advice whenever possible. Having someone to hold you accountable and provide emotional support can be invaluable. Automate Savings and Investments Setting up automatic contributions to your savings and investment accounts can help you avoid the temptation to spend impulsively. Automation ensures you consistently work toward your financial goals. Facing Money Fears It’s essential to acknowledge that many behavioural biases are rooted in fear—fear of losing money, fear of making the wrong decisions, and fear of financial insecurity. To combat these fears: Conclusion Overcoming behavioural biases in finance is an ongoing process that requires self-awareness, education, and discipline. Understanding and defeating these biases is important for achieving long-term financial goals. By implementing these strategies, seeking professional guidance when needed, and addressing underlying fears related to money, you can take control of your financial future and make decisions that align with your aspirations and values. Remember that it’s never too late to start, and each step toward financial empowerment is a step in the right direction. DISCLAIMER:  This article serves solely for informational purposes and does not constitute official financial advice. While the advice provided is valuable, you should consult with a qualified financial advisor before making significant financial decisions. 2 Ezi has no relationships with any financial advisor or psychologist.