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Speaker 1: Welcome to Start Here, a very special mini series within

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Speaker 1: Sugar Mama's Fireplay that is designed just for you. This

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Speaker 1: is your safe space where you can ask me any

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Speaker 1: questions you'd like. You can share your financial challenges, and

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Speaker 1: together hopefully we can break through any fears or mental

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Speaker 1: blocks that are holding you back from simply getting started.

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Speaker 1: Whether you're feeling overwhelmed, stuck, or simply unsure of where

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Speaker 1: to begin, this is the perfect series for you because

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Speaker 1: I'm going to provide you with honest, practical, and empowering

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Speaker 1: guidance to help you make the first steps towards building

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Speaker 1: financial clarity and confidence in your life. Here's how it works.

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Speaker 1: Simply send me a DM on Instagram, at Sugar Mama

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Speaker 1: TV or at Canna Campbell Official. Introduce yourself, let me

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Speaker 1: know what you need general advice on and in each

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Speaker 1: episode of Start Here, I will inspire you, educate you,

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Speaker 1: and empower you to start thinking critically, take action important

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Speaker 1: needed action, and finally start moving in the right direction today.

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Speaker 1: So let's get started. So today's episode is from a

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Speaker 1: listener and they wrote this DM to me. If I

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Speaker 1: can really relate to it, I think a lot of

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Speaker 1: people will relate to this as well. I Canna, I

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Speaker 1: hope you're well. Thank you for all of your podcast

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Speaker 1: episodes and YouTube content. They've helped me a lot. I'm

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Speaker 1: feeling really lost right now. You see, all my friends

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Speaker 1: are saving up and buying homes to live in. However,

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Speaker 1: for some reason, I feel this isn't right for me.

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Speaker 1: I definitely want to have financial freedom in my life,

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Speaker 1: but I don't want the stress and pressure of having

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Speaker 1: to buy a home and have a large mortgage. What

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Speaker 1: is wrong with me? Am I crazy for not wanting this?

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Speaker 1: Can you please help me build financial freedom without owning property?

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Speaker 1: We'd love to hear your general advice. Love Rebecca. All right, Rebecca,

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Speaker 1: can I just take a moment to say you are

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Speaker 1: not crazy for not wanting to buy property, and there

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Speaker 1: is absolutely nothing wrong with you. In fact, I actually

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Speaker 1: think you're amazing for going against the grain and doing

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Speaker 1: something different than the herd mentality. And for the record,

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Speaker 1: property is not the only way to build financial freedom.

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Speaker 1: In fact, I actually think there are other more efficient

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Speaker 1: and effective assets to build true, authentic, sustainable, growing financial freedom.

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Speaker 1: So why don't we just have a chat about these

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Speaker 1: ideas now, and you can pick and choose what you

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Speaker 1: like now. Of course, before I begin, I need to

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Speaker 1: remind everyone that this is definitely not personal advice, investment advice,

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Speaker 1: or strategic advice. I don't know what exactly is going

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Speaker 1: on for Rebecca in her life, and you know where

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Speaker 1: she stands financially, but what I'm going to share with

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Speaker 1: you definitely is going to allow you to critically look

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Speaker 1: at your financial situation and start putting the wheels in

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Speaker 1: motion that gets you on track. And of course I

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Speaker 1: will always recommend that you go and see a financial

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Speaker 1: planner whenever you feel stuck or need personal strategic advice.

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Speaker 1: So all right, First of all, as I said, I

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Speaker 1: want to commend you for not following the herd mentality,

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Speaker 1: and I completely get what you're saying. There are a

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Speaker 1: lot of people out there who have the same stance

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Speaker 1: with property and they get a little bit I guess,

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Speaker 1: deflated and concerned and worried that they don't want to

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Speaker 1: be a part of this trend of you know, its

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Speaker 1: properties the be all and it's not. And there are

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Speaker 1: valid reasons for not owning property. I mean the time

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Speaker 1: it takes to save costs to get into the market

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Speaker 1: with stamp duty, and then there's the ongoing costs that

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Speaker 1: a lot of people don't talk about. I'm not just

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Speaker 1: talking about the wear and tear vor property. I'm talking

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Speaker 1: about the strata. I'm talking about the interest I'm talking

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Speaker 1: about special strata, levies, council rates, water. You know, these

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Speaker 1: things are a really expensive and when you're renting you

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Speaker 1: don't have to deal with a lot of those. That

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Speaker 1: doesn't mean you just rent to never bother getting ahead financially.

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Speaker 1: There's lots of things you can do in the meantime,

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Speaker 1: but they just tend to gloss over the ongoing costs

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Speaker 1: that really do eat into your returns. And also a

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Speaker 1: lot of people don't want the pressure and responsibility of

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Speaker 1: a huge mortgage. I mean a lot of people are

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Speaker 1: filling the stress and anxiety and filling over by having

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Speaker 1: these large mortgages, especially off the back of all these

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Speaker 1: interest rate rises. For some people, that stress just simply

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Speaker 1: isn't worth it. And you've got this one big asset, Yes,

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Speaker 1: that's great and wonderful, but it's not actually making you

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Speaker 1: any money unless you're renting it out of course, which

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Speaker 1: is not what we're talking about here, which is about

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Speaker 1: buying a property to live in. And it certainly isn't liquid.

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Speaker 1: You know, you can't sell a quarter of the property

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Speaker 1: at the front door or one bedroom, you have to

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Speaker 1: sell the whole entire asset, which you know it's an investment,

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Speaker 1: is going to trigger capital gains tax on top of

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Speaker 1: all those other expenses that you incur along the way,

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Speaker 1: and also the costs and the money that you've already sunk,

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Speaker 1: like stamp duty and buying the property in the first place.

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Speaker 1: So I get what you're saying, and they are very

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Speaker 1: valid reasons for you if you feel that property isn't right.

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Speaker 1: But the good news is is there are lots of

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Speaker 1: other strategies and tools and even financial products that can

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Speaker 1: help you build financial freedom without actually having to buy property.

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Speaker 1: So let's cover everything that you need to know and

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Speaker 1: understand and start doing to help you get on track

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Speaker 1: with bill financial freedom without property. So the first place

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Speaker 1: I recommend that you start is goals. Okay, think about

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Speaker 1: what financial freedom looks like for you. There are three

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Speaker 1: sort of key areas, and there's no right or wrong,

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Speaker 1: it's what's best for you. But what financial freedom you

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Speaker 1: know you could look at is this a lump sum

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Speaker 1: amount of money in a savings account. Is it a

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Speaker 1: million dollars saved up in cash? Is that your definition

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Speaker 1: of financial freedom? Is that what you would really like?

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Speaker 1: Is that what would make you feel secure? Or perhaps

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Speaker 1: you want to build up you know, a lump summer

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Speaker 1: a gross or net worth figure, you know, two million

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Speaker 1: dollars in investments or one point five million dollars in shares,

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Speaker 1: or you know term deposits or another form or crypto

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Speaker 1: even like, is it a lump sum that you want

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Speaker 1: to get to to create your definition or achievement of

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Speaker 1: financial freedom, Or perhaps your goal is very much in

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Speaker 1: an alignment with a Sugar Mama philosophy, which is about

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Speaker 1: building long term, growing passive income stream where it's not

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Speaker 1: so much about what the value of the portfolio is worth,

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Speaker 1: but how much it actually pays you. For example, your

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Speaker 1: financial goal might be okay, well, I want to build

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Speaker 1: passive income stream where my money's working for me, paying

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Speaker 1: me eighty thousand dollars a year or one hundred and

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Speaker 1: fifty thousand dollars a year. It doesn't matter. What it

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Speaker 1: is is what feels right for you. So invest time

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Speaker 1: exploring your goals, and you know, as the quake goes,

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Speaker 1: you know, money loves definition and clarity. See it really

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Speaker 1: clear about what you want. Just don't say I want

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Speaker 1: a lump sum exactly how much or I want passive

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Speaker 1: income all right, how much passive income do you want?

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Speaker 1: Per Adam. This is really important that you take your time,

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Speaker 1: see what resonates with you, what excites you, what lights

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Speaker 1: you up within that's the goal to then sink your

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Speaker 1: teeth in and start working on today. And of course

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Speaker 1: once you've done that, make sure you write it down

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Speaker 1: and write it down for someone where you can see

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Speaker 1: it every morning and every night. The second step is

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Speaker 1: to do a budget. We need to do a budget

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Speaker 1: so we can understand exactly how much you can afford

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Speaker 1: to start saving, to invest, go through all your living

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Speaker 1: expenses and if you get stuck, a quick shout out

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Speaker 1: to the Sugar Budget and cash Follow Academy, which are

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Speaker 1: linked in the podcast notes for you. And this is

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Speaker 1: where I can literally hold your hand and do a

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Speaker 1: budget with you and make sure we don't know miss

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Speaker 1: any opportunities to save extra money which can then obviously

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Speaker 1: be invested, and of course helping make sure that you

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Speaker 1: have a cash flow system in place so that it

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Speaker 1: is easy to stick to your budget and start achieving

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Speaker 1: all of those very exciting goals. But regardless of whether

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Speaker 1: you get me to help you or not, you need

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Speaker 1: to do a budget. You need to understand where your

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Speaker 1: money is going and if there's any areas in your

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Speaker 1: life that you feel that it's out of alignment with

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Speaker 1: what you want, and perhaps you know things you can

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Speaker 1: cut or cut down in order to help create extra money.

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Speaker 1: And the thing I want to talk about here with

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Speaker 1: doing a budget is this is not about depriving yourself

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Speaker 1: or you know, punishing yourself. This is about working out, well,

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Speaker 1: what can we put in place today that actually is

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Speaker 1: going to put your financial freedom into action. How can

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Speaker 1: we get started? You know that one hundred dollars per

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Speaker 1: month that we can start investing, or perhaps it's five

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Speaker 1: hundred dollars per month, or even a thousand or two

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Speaker 1: thousand dollars per month. You talk about wanting to build

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Speaker 1: financial freedom for yourself, which is brilliant. I'm so excited

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Speaker 1: for you. We need to make sure that we can

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Speaker 1: actually make this happen, and we're going to need to

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Speaker 1: do this by looking at your budget and seeing what

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Speaker 1: you can afford to do. And of course there are

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Speaker 1: lots of different things as we become more advanced, which

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Speaker 1: I will talk about in just a moment. Now, once

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Speaker 1: you've done your budget, I want you to open up

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Speaker 1: a separate savings account and use this as a your

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Speaker 1: account where you put all regular money. Try and automate

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Speaker 1: as much as you possibly can. So once you've worked out,

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Speaker 1: for example, that you can save six hundred dollars per month,

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Speaker 1: set up a regular savings plan where that six hundred

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Speaker 1: dollars per month goes into that separate savings account, so

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Speaker 1: that we can actually have money growing and bubbling away

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Speaker 1: in the background, so that you are ready to invest.

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Speaker 1: Guess what, You've got two three, four, five thousand dollars

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Speaker 1: ready to go, and you're not having to start from then,

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Speaker 1: so we're going to kind of hit the ground running here.

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Speaker 1: I also want to point out it is really important

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Speaker 1: that you have emergency money as well. I would never

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Speaker 1: recommend someone jump into investing without emergency money because your

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Speaker 1: share PORTFOLO, your investment portfolio is not emergency money. They're

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Speaker 1: completely separate. Anything you invest is for your long term

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Speaker 1: financial freedom and independence. So you do need to have

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Speaker 1: a separate savings account purely for emergencies and you know,

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Speaker 1: the way you work out what is the right amount

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Speaker 1: of emergency money is looking at your financial situation, looking

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Speaker 1: at the risks, looking at the safety nets you've got,

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Speaker 1: what insurance policy's got already got in place, things like

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Speaker 1: how mush an you're leave and sick leave do you

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Speaker 1: have accumulated? You know, what other responsibilities do you have

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Speaker 1: in your life, what does your lifestyle look like, what's

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Speaker 1: your health look like. Those sorts of things will really

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Speaker 1: help you work out exactly how much emergency money you need,

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Speaker 1: and please keep that away from this special saving to

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Speaker 1: invest account. One last point I want to say with

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Speaker 1: this budget is and this automated savings plan, try and

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Speaker 1: make sure that you prioritize that regular saving to invest

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Speaker 1: plan so that the moment you get paid, that six

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Speaker 1: hundred dollars or whatever figure it might be, comes out

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Speaker 1: within a day or two of you getting paid. Because

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Speaker 1: if you try and think, okay, well, i'll just invest

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Speaker 1: whatever is left over at the end of my pay cycle,

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Speaker 1: I'm going to pretty much guarantee there's barely anything left

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Speaker 1: because you're put the I guess the goal really far

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Speaker 1: down the list, which, of course you know there's always

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Speaker 1: going to be excuses and opportunities and temptation to spend

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Speaker 1: that money. So make sure that automative savings plan comes

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Speaker 1: out as soon as you get paid. The next step

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Speaker 1: is you've got to educate yourself. So if you love

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Speaker 1: the Sugar Mama philosophy, which is I said is about

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Speaker 1: building long term, growing passive income, amazing, Welcome to the club.

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Speaker 1: I am thrilled to have you part of this journey

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Speaker 1: and I'm on it myself, so hopefully I can help

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Speaker 1: you a lot, particularly with sharing more of the thousand

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Speaker 1: dollar project. So to educate yourself, obviously, go and listen

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Speaker 1: to all of my podcasts. Anything where I talk about shares,

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Speaker 1: anything where I talk about one thousand dollar project, anything

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Speaker 1: where I talk about my financial fire strategy. Please go

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Speaker 1: and listen because I share with you exactly what I'm

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Speaker 1: doing and why, and that's not to copy me, but

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Speaker 1: that's to educate yourself and use as a guide. My

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Speaker 1: number one top book that I recommend you read is

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Speaker 1: Motivated Money by Peter Thornhill, who he is my own

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Speaker 1: personal financial mentor. I've got lots of the podcast episodes

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Speaker 1: with him as well. But it is all about the

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Speaker 1: power of stre industrial shares and if you needed an

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Speaker 1: additional motivation to go and listen to these episodes and

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Speaker 1: read his book. He's a self funded retiring and he's

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Speaker 1: built a ten million dollar diversified share portfolio that pays

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Speaker 1: him over five hundred thousand dollars a year in passive

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Speaker 1: income through fully franked dividends. How exciting is that. If

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Speaker 1: that doesn't motivate you, I don't know what else would.

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Speaker 1: The other book that I recommend you read is Motivated

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Speaker 1: Money because whilst I talk about property in that book

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Speaker 1: and how to get into property, I talk about so

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Speaker 1: many other things including superannuation and protecting your assets as

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Speaker 1: well as how to manage your cash flow and you know,

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Speaker 1: how to set goals and also how to clear any

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Speaker 1: money blocks in your life. It's a really great, you

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Speaker 1: wide approach to investing and getting great with your money.

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Speaker 1: And then the other book I recommend is A thousand

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Speaker 1: dollar Project if you want to start investing in shares.

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Speaker 1: So you know, there are lots of books out there

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Speaker 1: anything about passive income investing and dividend investing books, and

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Speaker 1: there's thousands of them out there. They're also a really

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Speaker 1: great guy you know to read to help build up

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Speaker 1: your own level of education, but they would be you know,

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Speaker 1: motivated money is my number one top pick for you.

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Speaker 1: If you like the sound of a share portfolio and

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Speaker 1: you don't worry about stamp duty, you don't have to

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Speaker 1: worry about the ongoing costs of shares. You don't have

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Speaker 1: to chip in to your share portfolio. Anytime you chip

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Speaker 1: in is when you buy more shares. Of course, you'll

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Speaker 1: learn about the power of franking credits after you've educated yourself.

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Speaker 1: I'm then going to recommend you do a risk profile. Now.

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Speaker 1: The reason why I've recommended that you do a risk

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Speaker 1: profile after educating yourself is because you will find that

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Speaker 1: you will actually come at it with a more informed

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Speaker 1: risk profile. If I was to give you a risk

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Speaker 1: profile today, you'll probably come out as a far more

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Speaker 1: conservative investor than what you would do if you were educated.

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Speaker 1: For example, you would do a risk profile on a

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Speaker 1: recommended risk profile in second but you would do a

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Speaker 1: risk profile maybe come out as conservative or balanced. But then,

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Speaker 1: if you've educated yourself and you understand about how to

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Speaker 1: make smart, intelligent decisions with your money and how to

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Speaker 1: actually manage risk in a proactive way, you'll probably come

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Speaker 1: out as maybe being a growth investor or even perhaps

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Speaker 1: a high growth investor. So educate yourself before you go

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Speaker 1: and do a risk profile. And if you want a

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Speaker 1: good risk profile, there are thousands of them which're all

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Speaker 1: free online. But one of my favorites is the Vanguard

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Speaker 1: risk profile, which is I believe now around about eleven

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Speaker 1: questions and it probably takes you about ten minutes to complete.

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Speaker 1: The questions don't lead you to answer in a certain way,

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Speaker 1: maybe aggressive way or a conservative way. They're very factual,

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Speaker 1: they're very written in a very neutral manner, so the

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Speaker 1: results will be really interesting. And then at the end

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Speaker 1: of the risk profile, after it's calculated for you, it

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Speaker 1: actually gives you a breakdown as to what your investment

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Speaker 1: portfolio should look like. For example, should it be forty

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Speaker 1: percent Australian shares and thirty percent international and ten percent

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Speaker 1: property and a mixture of fixed interests or should it

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Speaker 1: be twenty percent cash, thirty percent Australian shares forty percent

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Speaker 1: international shares. It will actually break it down. You can

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Speaker 1: use that as a great guide to start thinking about

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Speaker 1: how you want to invest your money and what works

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Speaker 1: for you. And not that this is advice, but just

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Speaker 1: to share with you, I would say probably about ninety

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Speaker 1: percent of my portfolio outside of Super is Australian shares,

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Speaker 1: and about when I look at my superannuation portfolio, probably

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Speaker 1: about sixty percent is a story million shares, forty percent

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Speaker 1: is international shares. I'm a high growth investor. Now, on

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Speaker 1: that note of being a high growth investor, the general

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Speaker 1: rule of thumb when it comes to investing is the

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Speaker 1: more time you've got, the greater risk you can afford

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Speaker 1: to take. Because if there is a market correctional pullback,

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Speaker 1: which is normal and natural, you've got the benefit of

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Speaker 1: time to sit through these periods of volatility and allow

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Speaker 1: the market to recover, which takes on average eighteen months

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Speaker 1: to two years. So you know, if you're finding yourself

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Speaker 1: sitting on the fence between two risk profiles, go and

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Speaker 1: educate yourself, learn more, and then do the risk profile again,

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Speaker 1: and I think you'll find that you actually come out

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Speaker 1: being more aggressive because you feel more confident about the smart,

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Speaker 1: intelligent move of investing slightly more aggressively when it comes

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Speaker 1: to those long term financial goals. But having said that,

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Speaker 1: if you're saving up for something you know in the

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Speaker 1: next say five years or seven years. I would never

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Speaker 1: recommend you invest in a high growth asset class because

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Speaker 1: you just don't have that benefit of time. And when

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Speaker 1: I say long term investing, I'm talking ten years, if

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Speaker 1: not indefinitely. My financial strategy is very much buy and hold,

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Speaker 1: and I don't sell anything at all. I hold, hold, hold,

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Speaker 1: and I also reinvest the whole way through. And I

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Speaker 1: always say, also add that portfolio continuously as much as

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Speaker 1: my budget allows me. Hence why it's so important to

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Speaker 1: or do a budget. Okay, so please keep in mind

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Speaker 1: you're probably going to be a long term investor, which

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Speaker 1: means you potentially could afford to take more risk when

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Speaker 1: it comes to investing. But of course, never invest in

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Speaker 1: something you don't understand. Always go and see a financial

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Speaker 1: plan if you don't know what to do. And if

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Speaker 1: you don't understand something, that doesn't mean you throw the

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Speaker 1: towel and do nothing. It means you keep learning, you

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Speaker 1: keep educating yourself until you get to a point where

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Speaker 1: you go, Okay, I get the risks now, I get

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Speaker 1: the costs involved. I understand what I'm doing, and I

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Speaker 1: actually understand now how to manage this risk in a smart, intelligent,

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Speaker 1: proactive manner. That's when you're ready to invest. Now the

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Speaker 1: next step is to open on up an online share

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Speaker 1: trading account. Now you might be thinking, well, hang on,

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Speaker 1: I'm not sure if I want to invest in shares necessarily,

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Speaker 1: that's perfectly fine. You can still use an online shared

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Speaker 1: trading account because you can use such as ETFs. If

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Speaker 1: you want to invest more conservatively, or you want to

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Speaker 1: invest in an ETF like a balanced ETF or an

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Speaker 1: ETF that just focus on conservative investments like cash or

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Speaker 1: bonds or other fixed interest products, you can still use

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Speaker 1: an online share trading account. And if you're wondering which

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Speaker 1: online share trading account I recommend, well I can't. I'm

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Speaker 1: a financial planner. I can't go and give you, you know, say,

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Speaker 1: which one I recommend because I don't know your needs.

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Speaker 1: That would be product advice, which would get me into

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Speaker 1: a lot of trouble. But what I can suggest is

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Speaker 1: you think about what's important to you, do your own research.

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Speaker 1: And there are lots of different online share trading accounts,

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Speaker 1: but the key things I'd be looking for are ones

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Speaker 1: that are easy to use, ones that have a great

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Speaker 1: you know, customer service where if something goes wrong you

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Speaker 1: can call them directly, one that gives you great free

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Speaker 1: independent research. Obviously the brokerage is fair and reasonable, and

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Speaker 1: for the record, don't necessarily go with the cheapest brokerage

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Speaker 1: because that can actually come back to bite you because

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Speaker 1: they're making a profit in the buyer cell spread. And

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Speaker 1: one that gives you tax tools, and one that gives

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Speaker 1: you the option if you want further down the track

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Speaker 1: to wealth building tools like a margin loan facility. Should

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Speaker 1: you wish further down the track. So not that this

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Speaker 1: is advice, but you know, if you're looking at once

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Speaker 1: to go and research the thousand dollars project portfolio is

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Speaker 1: currently with CMC not recommending it. That's where I've kind

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Speaker 1: of ended up by defaults. Originally it was with Amzi.

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Speaker 1: One that I've mentioned about and a brand that I've

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Speaker 1: worked with before is Moomoo. It does have a lot

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Speaker 1: of really good quality, you know, free independent research and

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Speaker 1: has a great in built community. Within the movement platform

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Speaker 1: is obviously CommBank. There's nab Trading, there is Gosh, there's Perla,

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Speaker 1: There's there are so many out there. I'd try and

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Speaker 1: avoid the micro investing platforms because it's going to take

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Speaker 1: you a long time to build a multimillion dollar share portfolio,

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Speaker 1: investment portfolio for and investing a couple of dollars each week.

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Speaker 1: So pick the online share to a trading account that

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Speaker 1: works best few and there are lots of comparison websites

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Speaker 1: to help you along the way. And as you start

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Speaker 1: to think about what we're going to invest, make sure

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Speaker 1: that that online savings account that we set up with

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Speaker 1: the budget is growing nicely so that when you are

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Speaker 1: ready to invest, that money is good to go. Now,

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Speaker 1: whilst you are learning more, thinking about your portfolio, reviewing

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Speaker 1: your risk profile, opening up your online share trading account,

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Speaker 1: can I recommend that you look at your superannuation in

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Speaker 1: the meantime. Your superannuation is an investment portfolio. It's just

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Speaker 1: simply locked away for our long term benefit because government

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Speaker 1: knows we'll spend it, if we can access it, will

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Speaker 1: blow it, and so we have. They've taken away that danger,

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Speaker 1: that risk, even that temptation. But it is your money

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Speaker 1: and it is your investment. So you want to make

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Speaker 1: sure that your superannuation money is working for you. You're

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Speaker 1: not wasting money on unnecessary fees. It's the money is

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Speaker 1: properly invested, making the most of long term capital growth

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Speaker 1: and income opportunities. And you're also thinking about how much

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Speaker 1: money do you really need in your superannuation and how

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Speaker 1: much you want to retire on. So this is where

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Speaker 1: you need to pay attention to your super. Have a

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Speaker 1: look at where it is, where is it invested, how

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Speaker 1: much have you got. I would then think about, you know,

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Speaker 1: if you because you've mentioned financial freedom is really important

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Speaker 1: for you, is think about, okay, well, what age you

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Speaker 1: want to retire out at and how much income do

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Speaker 1: you want to have. I know you most likely young,

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Speaker 1: in your twenties perhaps or in your thirties, but you

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Speaker 1: still need to pay attention to your super. Your super

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Speaker 1: is going to be one of the biggest assets financial

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Speaker 1: assets that you will ever own. You know, money flows

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Speaker 1: where attention goes. If you want financial freedom independence, superannuation

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Speaker 1: is going to be one of the most important foundations

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Speaker 1: that will contribute towards you achieving and reaching this definition

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Speaker 1: of independence and freedom. So you want to maybe get

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Speaker 1: advice on this, and I would also recommend talking to someone,

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Speaker 1: whether it be HR payroll or a financial planner. It

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Speaker 1: was obviously the best method but of looking at a

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Speaker 1: salary sacrificing strategy or even making an after tax contribution.

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Speaker 1: You need to be aware of the caps and the

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Speaker 1: fact that once money goes into superannuation you cannot get

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Speaker 1: it out until you meet a condition of release, which

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Speaker 1: for most of us is going to be when we

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Speaker 1: retire anywhere between age fifty five and sixty. And of

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Speaker 1: course keeping in mind that those rules can actually change.

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Speaker 1: But starting a salary sacrificing strategy within the limits and caps,

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Speaker 1: which are per financial year, not calendar year, can be

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Speaker 1: really powerful. And whilst I've always had some form of

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Speaker 1: extra contributions or salary sacrificing going in, I wish I'd

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Speaker 1: actually done more of this when I was younger. So

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Speaker 1: take that as you know. Some advice if you like,

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Speaker 1: so on that note of superannuation, make sure it's invested now.

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Speaker 1: A lot of people will say consolidate your super now. Yes,

433
00:20:31,720 --> 00:20:34,240
Speaker 1: that is great advice, but there are a lot of

434
00:20:34,320 --> 00:20:36,919
Speaker 1: dangers that come with that. Do not want to just

435
00:20:37,040 --> 00:20:39,840
Speaker 1: consolidate all your super. You need to do some research

436
00:20:39,920 --> 00:20:42,399
Speaker 1: before you go and do this, And again financial planners

437
00:20:42,440 --> 00:20:44,680
Speaker 1: will help you with this, because if you roll some

438
00:20:44,720 --> 00:20:47,960
Speaker 1: superannuation into a close one off and roll it across

439
00:20:48,000 --> 00:20:51,200
Speaker 1: to one and you can consolidate, you may lose important

440
00:20:51,200 --> 00:20:55,399
Speaker 1: benefits like insurance, income protection, life and tpity cover, and

441
00:20:55,440 --> 00:20:58,880
Speaker 1: it means you're then potentially not properly covered. You're also

442
00:20:59,000 --> 00:21:02,000
Speaker 1: going to incur capital gains tax, and you're going to

443
00:21:02,800 --> 00:21:06,440
Speaker 1: be charged fees brokerage and exit fees and rollover fees,

444
00:21:06,520 --> 00:21:09,320
Speaker 1: so please be really careful with that. It's something that

445
00:21:09,359 --> 00:21:12,199
Speaker 1: needs to be done, I think with a professional that

446
00:21:12,359 --> 00:21:16,320
Speaker 1: is obviously a financial planner. But yes, consolidation is technically

447
00:21:16,400 --> 00:21:18,520
Speaker 1: more efficient because you're not wasting money on fees, and

448
00:21:18,640 --> 00:21:21,560
Speaker 1: it makes more sense to manage your finances when you've

449
00:21:21,560 --> 00:21:24,400
Speaker 1: only got one superannuation account that you need to check

450
00:21:24,440 --> 00:21:26,920
Speaker 1: and review rather than say four or five or six

451
00:21:27,000 --> 00:21:29,600
Speaker 1: or seven. And yes, I have one superinnuation account. I've

452
00:21:29,600 --> 00:21:33,200
Speaker 1: had the same one for about like seventeen years, if

453
00:21:33,240 --> 00:21:34,919
Speaker 1: not longer. I think I took it up as in

454
00:21:34,960 --> 00:21:36,960
Speaker 1: my early twenties. Actually no, I've had it for over

455
00:21:37,000 --> 00:21:39,320
Speaker 1: twenty years and I have zero intention of changing it

456
00:21:39,359 --> 00:21:41,520
Speaker 1: because I don't want to trigger capital gains tax and

457
00:21:41,680 --> 00:21:44,439
Speaker 1: it just works for me and my goals. So you

458
00:21:44,520 --> 00:21:46,640
Speaker 1: need to pay attention to your super. It's an important

459
00:21:46,640 --> 00:21:49,320
Speaker 1: part of that goal of financial freedom, the next step

460
00:21:49,440 --> 00:21:52,920
Speaker 1: is to protect yourself protect your wealth. This is where

461
00:21:52,960 --> 00:21:56,680
Speaker 1: the important conversation of income protection, trauma cover, life, and

462
00:21:56,760 --> 00:21:59,520
Speaker 1: depity cover. And yes, some of these policies can be

463
00:21:59,560 --> 00:22:02,480
Speaker 1: owned and paid for via your superannuation account, but of

464
00:22:02,480 --> 00:22:05,879
Speaker 1: course that does impact that portfolio of yours and your

465
00:22:05,880 --> 00:22:07,760
Speaker 1: super because the fees are being paid out of that

466
00:22:08,160 --> 00:22:10,239
Speaker 1: rather than your back pocket. But for people who are

467
00:22:10,240 --> 00:22:13,280
Speaker 1: on a tight budget or got an aggressive savings plan

468
00:22:13,400 --> 00:22:15,640
Speaker 1: or investment plan in place, but you know where things

469
00:22:15,680 --> 00:22:19,399
Speaker 1: are tight, they prefer that their superannuation owns and pays

470
00:22:19,440 --> 00:22:21,359
Speaker 1: for these policies because it means that they could have

471
00:22:21,440 --> 00:22:23,359
Speaker 1: these policies in place, and it means that they can

472
00:22:23,400 --> 00:22:25,680
Speaker 1: afford to keep them in place as well. So look

473
00:22:25,720 --> 00:22:28,000
Speaker 1: at what would happen to you if you've got sicker,

474
00:22:28,000 --> 00:22:30,240
Speaker 1: couldn't work. Yes, you might have you know, some annual

475
00:22:30,280 --> 00:22:32,359
Speaker 1: even sick leave, But what happens if you're sick and

476
00:22:32,400 --> 00:22:34,880
Speaker 1: cargo to work for say four or five years or indefinitely?

477
00:22:35,040 --> 00:22:37,240
Speaker 1: Do you have a safety net in place? And this

478
00:22:37,359 --> 00:22:40,280
Speaker 1: is why I think income protection is probably the number

479
00:22:40,280 --> 00:22:43,280
Speaker 1: one most important person insurance policy that anyone could have

480
00:22:43,520 --> 00:22:45,800
Speaker 1: followed by Trauma Cover, which pays a lump sum tax

481
00:22:45,840 --> 00:22:48,159
Speaker 1: free if you were to get cancer or suffer a

482
00:22:48,240 --> 00:22:50,280
Speaker 1: heart attack or a stroke. And then of course things

483
00:22:50,320 --> 00:22:54,000
Speaker 1: like teepety and life cover like these are really serious policies,

484
00:22:54,040 --> 00:22:56,840
Speaker 1: you know, And the journey of wealth creation is very

485
00:22:56,960 --> 00:22:59,320
Speaker 1: much supported by wealth protection, you know, and think about

486
00:22:59,320 --> 00:23:02,119
Speaker 1: it for a second. Can you achieve any of your goals,

487
00:23:02,160 --> 00:23:05,360
Speaker 1: not just your financial goals, but your life goals of traveling, adventures,

488
00:23:05,600 --> 00:23:08,159
Speaker 1: investing in your education. How can you do any of

489
00:23:08,200 --> 00:23:10,040
Speaker 1: those things without an income. That's why you've got to

490
00:23:10,080 --> 00:23:13,000
Speaker 1: protect your income through something like an income protection policy.

491
00:23:13,040 --> 00:23:15,080
Speaker 1: So go get some advice on this, And it's an

492
00:23:15,240 --> 00:23:18,119
Speaker 1: area I'm really passionate about because I've seen what happens

493
00:23:18,119 --> 00:23:21,080
Speaker 1: when people don't have insurances in place, and it comes

494
00:23:21,080 --> 00:23:26,240
Speaker 1: with huge regret and emotional and financial turmoil. So trust

495
00:23:26,240 --> 00:23:28,560
Speaker 1: me on that. Go and discover for yourself what it's about,

496
00:23:28,600 --> 00:23:30,560
Speaker 1: what it means, what it costs, and whether it's right

497
00:23:30,640 --> 00:23:33,840
Speaker 1: for you. And then, finally, if you want to build

498
00:23:33,880 --> 00:23:36,359
Speaker 1: financial freedom and independence in your life and property is

499
00:23:36,400 --> 00:23:38,239
Speaker 1: not your thing, promise me you will make sure you

500
00:23:38,320 --> 00:23:42,400
Speaker 1: invest replace your savings with investing. Savings are very important,

501
00:23:42,400 --> 00:23:44,080
Speaker 1: but it's only going to be so far. If you're

502
00:23:44,119 --> 00:23:46,959
Speaker 1: looking at long term, sustainable, growing financial freedom, you've got

503
00:23:47,000 --> 00:23:49,639
Speaker 1: to be an investor. So that means looking at your

504
00:23:49,680 --> 00:23:52,080
Speaker 1: goals on a regular basis. For example, if I look

505
00:23:52,080 --> 00:23:55,520
Speaker 1: at the Sugar Mamma philosophy about long term growing passive income,

506
00:23:55,840 --> 00:23:57,960
Speaker 1: track and review what you're doing. Say if you've built

507
00:23:58,000 --> 00:24:00,439
Speaker 1: up one hundred thousand dollars, say in shares, for example,

508
00:24:00,440 --> 00:24:03,280
Speaker 1: and it's yielding five percent, that's five thousand dollars a year.

509
00:24:03,400 --> 00:24:06,399
Speaker 1: Think about what that is as a percentage against your goal.

510
00:24:06,520 --> 00:24:08,400
Speaker 1: Are you five percent of the way? Are you ten

511
00:24:08,440 --> 00:24:10,720
Speaker 1: percent of the way? And don't be afraid to adjust

512
00:24:10,720 --> 00:24:13,040
Speaker 1: and tweak your goals as time goes by. That is

513
00:24:13,080 --> 00:24:15,879
Speaker 1: perfectly normal and natural. And don't forget to continue on

514
00:24:16,119 --> 00:24:19,040
Speaker 1: educating yourself. Your financial journey is not just a huge

515
00:24:19,080 --> 00:24:21,520
Speaker 1: amount of work upfront and then set and forget and

516
00:24:21,560 --> 00:24:24,399
Speaker 1: walk away and go fishing. Gosh. No, even myself, as

517
00:24:24,440 --> 00:24:27,400
Speaker 1: a financial planner and an investor and someone who's passionate

518
00:24:27,480 --> 00:24:31,480
Speaker 1: about helping people, I'm continuously educating myself. And also the

519
00:24:31,560 --> 00:24:36,280
Speaker 1: rules change, the caps change, the limits change, opportunities come about,

520
00:24:36,480 --> 00:24:40,239
Speaker 1: opportunities disappear. You know, there's different market conditions. You know,

521
00:24:40,400 --> 00:24:42,800
Speaker 1: you need to keep your finger on the pulse and

522
00:24:42,840 --> 00:24:44,920
Speaker 1: be aware of what's going on. That doesn't mean you

523
00:24:44,960 --> 00:24:46,879
Speaker 1: become a day trader and you become a possessed and

524
00:24:46,880 --> 00:24:49,040
Speaker 1: this becomes your full time job. No, just make sure

525
00:24:49,080 --> 00:24:54,840
Speaker 1: you continuously feed yourself with independent, wise, sensible financial advice

526
00:24:54,960 --> 00:24:57,920
Speaker 1: and things like this podcast, and reading books and attending

527
00:24:57,960 --> 00:25:01,000
Speaker 1: events and seminars and you know, watching videos on YouTube.

528
00:25:01,040 --> 00:25:03,199
Speaker 1: There's so much free information out there to make it

529
00:25:03,320 --> 00:25:06,520
Speaker 1: really easy but also really inspiring to continue on building

530
00:25:06,560 --> 00:25:10,080
Speaker 1: on your financial knowledge and then of course never stop

531
00:25:10,200 --> 00:25:13,640
Speaker 1: tracking that passive income and never stop applying what you're

532
00:25:13,680 --> 00:25:16,000
Speaker 1: learning in your life. So I touched on something called

533
00:25:16,000 --> 00:25:17,560
Speaker 1: a margin loan a second ago, and this is not

534
00:25:17,600 --> 00:25:19,240
Speaker 1: advice to go and take out a margin loan, but

535
00:25:19,320 --> 00:25:21,360
Speaker 1: it comes into quite a timely point because I'm talking

536
00:25:21,359 --> 00:25:25,000
Speaker 1: about educating yourself. Educate yourself around building wealth and all

537
00:25:25,000 --> 00:25:28,760
Speaker 1: the different opportunities and strategies and ideas, but also the tools.

538
00:25:28,920 --> 00:25:30,560
Speaker 1: If you, for example, decide you want to build an

539
00:25:30,560 --> 00:25:33,680
Speaker 1: investment portfolio and say, for example, it shares or it

540
00:25:33,840 --> 00:25:37,280
Speaker 1: shares through listed investment companies or ETFs. You know, perhaps

541
00:25:37,520 --> 00:25:39,880
Speaker 1: further down the track, when the timing's right and you've

542
00:25:39,880 --> 00:25:41,920
Speaker 1: got sufficient cash flow, and if you understand all the

543
00:25:42,040 --> 00:25:45,119
Speaker 1: risks and the costs and the expenses involved, perhaps something

544
00:25:45,160 --> 00:25:47,280
Speaker 1: like a margin loan might be something that's appropriate for

545
00:25:47,320 --> 00:25:50,040
Speaker 1: you. You know, when you educate yourself, you'll know about these options,

546
00:25:50,119 --> 00:25:52,679
Speaker 1: and you'll know about if and when they might be

547
00:25:52,760 --> 00:25:54,800
Speaker 1: right for you, and if they're going to hinder or

548
00:25:54,840 --> 00:25:58,920
Speaker 1: help your financial journey towards that sense of freedom and independence.

549
00:25:59,119 --> 00:26:01,560
Speaker 1: And you know, when out go and get advice from

550
00:26:01,560 --> 00:26:03,439
Speaker 1: a financial planner that can help you, it also can

551
00:26:03,480 --> 00:26:06,159
Speaker 1: help not just give you the advice as to what

552
00:26:06,240 --> 00:26:08,840
Speaker 1: to do, they'll also help you implement that advice so

553
00:26:08,840 --> 00:26:11,399
Speaker 1: that you're not thinking about it and you're not thinking

554
00:26:11,400 --> 00:26:12,879
Speaker 1: that you want to do it and then get stuck

555
00:26:12,920 --> 00:26:15,760
Speaker 1: and get a block. That financial plan will actually make

556
00:26:15,840 --> 00:26:18,639
Speaker 1: it happen and can also show you how to review it,

557
00:26:18,680 --> 00:26:20,440
Speaker 1: how to stay on top of it, how to actually

558
00:26:20,520 --> 00:26:22,879
Speaker 1: go from strength to strength. So perhaps over time that

559
00:26:22,880 --> 00:26:24,920
Speaker 1: means paying down the margin loan, or perhaps that means

560
00:26:25,000 --> 00:26:27,840
Speaker 1: increasing the margin loan over time, and what additional contribution

561
00:26:27,920 --> 00:26:30,840
Speaker 1: strategy can you make? And as I wrap up today's episode.

562
00:26:30,880 --> 00:26:33,439
Speaker 1: I really want to talk about that contribution strategy. You know,

563
00:26:33,880 --> 00:26:36,679
Speaker 1: if we want to build long term financial freedom, independence,

564
00:26:36,720 --> 00:26:38,480
Speaker 1: we can't just do as they do, a whole pile

565
00:26:38,520 --> 00:26:40,840
Speaker 1: of work front and leave it. We are going to

566
00:26:40,960 --> 00:26:43,960
Speaker 1: have to contribute to this journey on a regular basis,

567
00:26:44,200 --> 00:26:48,399
Speaker 1: having a regular investment plan, having you know, a ad

568
00:26:48,440 --> 00:26:50,680
Speaker 1: hoc investment plan where we get a hey rise, or

569
00:26:50,720 --> 00:26:52,560
Speaker 1: we get a bonus, or we get a tax refund.

570
00:26:52,640 --> 00:26:54,920
Speaker 1: We've really got to think about putting some of that,

571
00:26:55,240 --> 00:26:58,840
Speaker 1: at the very least towards our financial strategy, towards our

572
00:26:58,880 --> 00:27:02,840
Speaker 1: investment portfolio, or towards even our retirement plans. We can't

573
00:27:02,880 --> 00:27:05,280
Speaker 1: expect just to do the work today and that it

574
00:27:05,320 --> 00:27:08,720
Speaker 1: all works magically and happens overnight. Hell no, I wish

575
00:27:08,720 --> 00:27:10,159
Speaker 1: it was that easy. If it was, we'd all be

576
00:27:10,280 --> 00:27:13,240
Speaker 1: multimillionaires and none of us would be working. We need

577
00:27:13,280 --> 00:27:15,800
Speaker 1: to be committed, We need to be patient, and we

578
00:27:15,880 --> 00:27:18,480
Speaker 1: need to be dedicated. Yes, they will be sacrifices along

579
00:27:18,480 --> 00:27:20,320
Speaker 1: the way, but trust me, it's all worth it. And

580
00:27:20,359 --> 00:27:22,760
Speaker 1: when you track it and you can see, wow, this

581
00:27:22,840 --> 00:27:25,000
Speaker 1: time last year, I'd only you know, three thousand dollars

582
00:27:25,000 --> 00:27:27,120
Speaker 1: in passive income. This year, I've got close to five

583
00:27:27,160 --> 00:27:29,399
Speaker 1: thousand dollars per round and passive income. And you are

584
00:27:29,440 --> 00:27:33,240
Speaker 1: reinvesting everything, and you're continuously contributing through a regular investment plan,

585
00:27:33,400 --> 00:27:36,199
Speaker 1: and you're starting perhaps to include more sophisticated tools like

586
00:27:36,240 --> 00:27:38,399
Speaker 1: the margin alone that I was talking about previously. And

587
00:27:38,400 --> 00:27:40,960
Speaker 1: you've got that salary sacrificing strategy in place, and you

588
00:27:41,160 --> 00:27:43,760
Speaker 1: know that your superinnuation money is now probably invested. You

589
00:27:43,800 --> 00:27:47,520
Speaker 1: can actually see how your financial future and your sense

590
00:27:47,560 --> 00:27:51,040
Speaker 1: of financial well being literally is starting to be transformed

591
00:27:51,080 --> 00:27:53,879
Speaker 1: overnight and is only going from strength to strength. So

592
00:27:54,280 --> 00:27:56,720
Speaker 1: now you know how to get started, how to be

593
00:27:56,800 --> 00:27:59,040
Speaker 1: a part of the same club as your friends that

594
00:27:59,080 --> 00:28:02,360
Speaker 1: are taking their finneinancial future seriously. They're being respectful, they're

595
00:28:02,359 --> 00:28:05,200
Speaker 1: being whise, they're making smart, intelligent moves. But perhaps what

596
00:28:05,240 --> 00:28:07,920
Speaker 1: you're doing might be even a little bit better, It

597
00:28:08,040 --> 00:28:11,119
Speaker 1: might be a little bit more savvy. It actually might

598
00:28:11,160 --> 00:28:13,879
Speaker 1: give you a greater sense of independence because you're not

599
00:28:14,200 --> 00:28:17,480
Speaker 1: tied to a property and you've actually diversified your wealth

600
00:28:17,560 --> 00:28:20,520
Speaker 1: and you have passive income and you have that freedom

601
00:28:20,560 --> 00:28:22,960
Speaker 1: to live a life on your own terms. So to

602
00:28:23,040 --> 00:28:25,919
Speaker 1: quickly recap as we wrap up today's episode. Number one,

603
00:28:26,080 --> 00:28:28,159
Speaker 1: think about your goals. Are your financial goal is going

604
00:28:28,200 --> 00:28:31,240
Speaker 1: to be passive income driven, capital growth driven, or perhaps

605
00:28:31,400 --> 00:28:34,359
Speaker 1: just a lump sum in savings. Think about what's important

606
00:28:34,359 --> 00:28:37,000
Speaker 1: to you, and I highly recommend learning about passive income

607
00:28:37,040 --> 00:28:40,040
Speaker 1: because that's really that sustainable financial freedom because it never

608
00:28:40,120 --> 00:28:42,440
Speaker 1: runs out. Number two, do a budget and set up

609
00:28:42,480 --> 00:28:46,560
Speaker 1: a regular investment plan within the budget. Number three, educate yourself.

610
00:28:46,640 --> 00:28:48,920
Speaker 1: Grab a copy of Motivated Money. I actually have stopped

611
00:28:49,000 --> 00:28:51,120
Speaker 1: lending my book copies to people because I never get

612
00:28:51,120 --> 00:28:52,760
Speaker 1: them back. And of course there's Mindful Money and the

613
00:28:52,840 --> 00:28:55,360
Speaker 1: Thousand Dollars Project, and of course any book around long

614
00:28:55,480 --> 00:28:58,440
Speaker 1: term dividend investing. And number four, do your risk profile

615
00:28:58,560 --> 00:29:01,400
Speaker 1: head of the Vanguard website. It's free, takes you a

616
00:29:01,480 --> 00:29:03,480
Speaker 1: couple of minutes, it's easy to do, and you'll be

617
00:29:03,520 --> 00:29:05,920
Speaker 1: interested to see what it tells you to use as

618
00:29:05,920 --> 00:29:08,760
Speaker 1: a guide to invest Number five. Open up an online

619
00:29:08,760 --> 00:29:11,040
Speaker 1: share trading account if that's where you see yourself going.

620
00:29:11,080 --> 00:29:13,840
Speaker 1: And of course, an online share trading account doesn't necessarily

621
00:29:13,840 --> 00:29:17,000
Speaker 1: mean just shares. It can include, you know, conservative investments

622
00:29:17,040 --> 00:29:20,880
Speaker 1: through ets and of course listed investment companies. Number six,

623
00:29:21,280 --> 00:29:25,160
Speaker 1: fix your superannuation, get advice if needed, Learn about salary sacrificing,

624
00:29:25,360 --> 00:29:28,120
Speaker 1: learn about adding extra contributions. Think about what your retirement

625
00:29:28,160 --> 00:29:30,520
Speaker 1: goals are. What do you need in superannuation to be

626
00:29:30,560 --> 00:29:32,680
Speaker 1: able to retire on say one hundred thousand dollars a

627
00:29:32,720 --> 00:29:34,560
Speaker 1: year or eighty thousand dollars a year or two hundred

628
00:29:34,600 --> 00:29:36,320
Speaker 1: thousand dollars a year. Know your numbers so you can

629
00:29:36,320 --> 00:29:39,400
Speaker 1: start building goals and add those goals as you go by.

630
00:29:39,520 --> 00:29:42,640
Speaker 1: And of course, protect your wealth, protect your financial future,

631
00:29:42,680 --> 00:29:44,920
Speaker 1: protect your financial well being. Please go and speak to

632
00:29:44,920 --> 00:29:48,560
Speaker 1: someone about income protection, trauma, cover life and TPD, even

633
00:29:48,600 --> 00:29:50,160
Speaker 1: if you just learn about it and decide, do you

634
00:29:50,200 --> 00:29:51,920
Speaker 1: know what that's not for me? I don't want that.

635
00:29:52,000 --> 00:29:53,560
Speaker 1: Well that's fine, but at least you're aware of it

636
00:29:53,600 --> 00:29:55,360
Speaker 1: and you know about it, and I think if you

637
00:29:55,360 --> 00:29:57,520
Speaker 1: look at the stats once you've done this, you'll go, actually,

638
00:29:57,600 --> 00:29:59,520
Speaker 1: I really do need to have this type of protection

639
00:29:59,560 --> 00:30:01,360
Speaker 1: in my life. And that's when speaking to a financial

640
00:30:01,360 --> 00:30:03,360
Speaker 1: planner and seeing maybe if you can put into your

641
00:30:03,360 --> 00:30:05,560
Speaker 1: super that might be the best option. But they'll work

642
00:30:05,560 --> 00:30:07,960
Speaker 1: it out with you under personal advice. And of course,

643
00:30:08,040 --> 00:30:11,480
Speaker 1: don't ever stop working on your goals. Stay focused, stay strong,

644
00:30:11,880 --> 00:30:14,840
Speaker 1: believe in yourself. You definitely can do this, and you know,

645
00:30:14,920 --> 00:30:17,880
Speaker 1: don't ever feel shy about this. Own it and help

646
00:30:17,920 --> 00:30:20,680
Speaker 1: inspire other people along the way. So that is today's

647
00:30:20,720 --> 00:30:23,280
Speaker 1: episode on start Here, which is part of the mini

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Speaker 1: series of Sugarmumma's Fireplay. If you have any questions or

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Speaker 1: you need general advice and guidance to help you get started,

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Speaker 1: Doby Shy, send me a DM on Instagram and I'll

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Speaker 1: come back to you as soon as possible. In the meantime,

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Speaker 1: feel free to share this episode with anyone else that

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Speaker 1: needs to hear it, and of course I would love

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Speaker 1: it if you could take a moment to leave me

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Speaker 1: a rating and review. All Right, everyone, until next time,

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Speaker 1: keep that financial fire burning bright within. This is sugar

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Speaker 1: Mama's Fireplay Start Here mini series Chouting Out