Want to feel financially confident and in control amid rising costs? See what things you can do to adapt to the changes and take charge of your money!
In this edition of The Beforepay Beat:
If you’ve got milk, bread and cheese on your shopping list, you’re probably paying more than you did a year ago!
The Australian Bureau of Statistics (ABS) revealed that dairy and related products saw the biggest price increase between February 2022 and February 2023, up 14.3%. The second-highest price hike? Bread and cereal products, up 12.5%.
To give you an idea of what this looks like in your local supermarket, an 805g box of Nutri-Grain that you used to buy for $9.50 now costs $10.50, according to Compare the Market’s comparison. And if you thought that was steep, you should see what happened to cheese!
Household staples are costing more. Here are some ideas you could try to help you save on your groceries.
According to Finder research, Woolworths is the top supermarket preference for 48% of Australians. Bonus fact: this hasn’t changed since 2021!
39% listed Coles as their preference, followed by 10% preferring to shop at Aldi.
Where do you like to do your grocery shop?!
The average daily spend for Australians saw a general decrease in March, dropping 1.8% to $57.17 from $58.23 in February. The figure also represents a 7.3% decrease year-on-year, down from $61.68 in March 2022.
The March 2023 Beforepay Cost of Living Index reveals households are cutting back on non-discretionary expenses in an effort to curb spending amid rising costs.
Key insights:
Having extra funds set aside could help you avoid feelings of financial stress.
The spending insights tool in the Beforepay app could be handy for this!
By tracking your average monthly spending, including your spending categories and regular bills, you could see how much you need to save to get through a month without pay if you suddenly lose work, for instance, and still meet your financial obligations.
Then you could start figuring out how much of your pay you can set aside to build your emergency fund.
Getting into good saving habits now could save you time and stress later!
The Australian population is growing, rising costs mean less people are buying, and there’s a greater demand for rental properties. So here we are, in a “rental crisis”.
With renting, knowing your rights can help you manage your finances and your general financial wellbeing. For instance, did you know your state could have regulations around things like how often your rent can be increased, and your right to negotiate with your landlord?
Whether renting or owning, here are some things you could do to manage rising living costs.
1. Assess your current financial situation to see where to cut back and save.
2. Consider downsizing.
3. Living solo? Find a roommate or rent out a spare room.
4. Relocate (if feasible) to avoid higher rent in capital cities.
5. Supplement with other income streams, like a side hustle or freelance work.
Find out more, including links to the government bodies that manage renting regulations in each state and information about rental support.