1 00:00:00,920 --> 00:00:04,520 Speaker 1: This is jam Nation with Jonesy. Well. 2 00:00:04,600 --> 00:00:07,600 Speaker 2: Yesterday the Albaneze government delivered its first budget since taking 3 00:00:07,760 --> 00:00:11,080 Speaker 2: leadership of the country. The Treasurer has said Australia can't 4 00:00:11,080 --> 00:00:15,200 Speaker 2: afford to quote spray money around indiscriminately, so to explain 5 00:00:15,240 --> 00:00:19,439 Speaker 2: the winners and to explain the losers. Financial Guru's Hoss 6 00:00:19,440 --> 00:00:20,360 Speaker 2: has joined as Hello e. 7 00:00:20,400 --> 00:00:23,800 Speaker 1: Fie, good morning Amanda and a Jonesie, how are you? 8 00:00:23,960 --> 00:00:25,360 Speaker 3: It is great to have you and I would have 9 00:00:25,440 --> 00:00:27,480 Speaker 3: liked them just to be sitting there, Jim Chalmers, just 10 00:00:27,520 --> 00:00:29,800 Speaker 3: to go more money, more money, just flicking it out 11 00:00:29,800 --> 00:00:32,479 Speaker 3: to everyone, because that's what labor governments do, don't they 12 00:00:32,520 --> 00:00:33,160 Speaker 3: really in the past. 13 00:00:33,200 --> 00:00:34,800 Speaker 2: I think that's a fallacy, is that right? 14 00:00:35,680 --> 00:00:38,879 Speaker 1: Look, there was certainly no sugar hit last night, and 15 00:00:39,000 --> 00:00:41,559 Speaker 1: you know, if they ever stuck to a promise, that 16 00:00:41,800 --> 00:00:44,560 Speaker 1: was it. They didn't stick to a few election promises, 17 00:00:44,800 --> 00:00:47,159 Speaker 1: but they certainly stuck to that one. That if you 18 00:00:47,240 --> 00:00:50,479 Speaker 1: were expecting a cash handout last night, you would have 19 00:00:50,520 --> 00:00:54,520 Speaker 1: been bitterly disappointed. And it's a double edged sword because 20 00:00:54,880 --> 00:00:59,000 Speaker 1: also today, not to take any you know, excitement away 21 00:00:59,000 --> 00:01:01,960 Speaker 1: from the budget night, but today we've got the inflation number. 22 00:01:02,120 --> 00:01:06,160 Speaker 1: That's coming out at eleven thirty, So if there was 23 00:01:06,319 --> 00:01:09,360 Speaker 1: a lot of cash flash going around, then it could 24 00:01:09,480 --> 00:01:13,559 Speaker 1: ultimately mean that the Reserve Bank may have to high 25 00:01:13,680 --> 00:01:17,039 Speaker 1: rate even further. So all eyes will be on this 26 00:01:17,120 --> 00:01:20,160 Speaker 1: inflation number today, not so much that headline number because 27 00:01:20,200 --> 00:01:22,640 Speaker 1: that's going to be around seven percent, but more that 28 00:01:22,800 --> 00:01:25,240 Speaker 1: what they called the underlying in that trim number. So 29 00:01:25,280 --> 00:01:27,600 Speaker 1: if that's more than say five point five or five 30 00:01:27,600 --> 00:01:30,920 Speaker 1: point six, that's going to determine how much more the 31 00:01:31,000 --> 00:01:33,960 Speaker 1: RBA will increase rates on Tuesday. So yeah, it was 32 00:01:34,000 --> 00:01:37,080 Speaker 1: a bit of a very sensible budget. As they kept saying, 33 00:01:37,280 --> 00:01:37,640 Speaker 1: what do. 34 00:01:37,520 --> 00:01:39,720 Speaker 3: You think, what do you think, just your in your opinion, 35 00:01:39,760 --> 00:01:40,360 Speaker 3: what it will be. 36 00:01:42,280 --> 00:01:46,480 Speaker 1: The inflation rate. Yeah, well, look, I mean the forecast 37 00:01:46,480 --> 00:01:48,400 Speaker 1: have already said about seven point seventy five is going 38 00:01:48,440 --> 00:01:50,520 Speaker 1: to peak by the end of this year. So I 39 00:01:50,520 --> 00:01:52,080 Speaker 1: would say it's going to be hitting at that seven 40 00:01:52,120 --> 00:01:54,320 Speaker 1: if not over seven percent, And there'll be some areas 41 00:01:54,320 --> 00:01:57,520 Speaker 1: that obviously will be more of that because think about 42 00:01:57,520 --> 00:02:00,160 Speaker 1: all the impacts that we've had, that the flood, the 43 00:02:00,280 --> 00:02:03,160 Speaker 1: energy bills. You know, depending on what your household budget is, 44 00:02:03,200 --> 00:02:04,680 Speaker 1: you know, you'd be looking at the seven percent and 45 00:02:04,720 --> 00:02:08,000 Speaker 1: you're thinking, I wish I'm paying so much more. There 46 00:02:08,000 --> 00:02:10,600 Speaker 1: were a couple of winners last night. I mean, I mean, 47 00:02:11,080 --> 00:02:13,120 Speaker 1: if you are, you know, a young family in the 48 00:02:13,160 --> 00:02:14,239 Speaker 1: sense you've just had a kid. 49 00:02:14,440 --> 00:02:16,000 Speaker 2: Yeah, childcare is a big one. 50 00:02:16,480 --> 00:02:18,560 Speaker 1: Yeah, it is a man, it almost makes me want 51 00:02:18,560 --> 00:02:22,239 Speaker 1: to have another child. I write old off on that. 52 00:02:22,320 --> 00:02:25,400 Speaker 1: Actually there's not enough money there following for that one. 53 00:02:25,680 --> 00:02:28,720 Speaker 1: But they were very strategic in where they spent because 54 00:02:28,919 --> 00:02:33,240 Speaker 1: the purpose of childcare obviously, and most women are the 55 00:02:33,280 --> 00:02:35,920 Speaker 1: ones that do take career break, they do nurch the 56 00:02:36,000 --> 00:02:39,120 Speaker 1: family in the sense look after them to raise the 57 00:02:39,200 --> 00:02:41,360 Speaker 1: kids so that they miss out on that income, but 58 00:02:41,440 --> 00:02:44,799 Speaker 1: get more women into the workforce, increase productivity. So they're 59 00:02:44,840 --> 00:02:47,840 Speaker 1: seeing that this is money well spent. So they've made 60 00:02:47,880 --> 00:02:50,280 Speaker 1: it pretty generous because you can have a household income 61 00:02:50,320 --> 00:02:53,280 Speaker 1: now of five hundred and thirty thousand dollars, which is 62 00:02:53,440 --> 00:02:57,239 Speaker 1: very lucrative, and still get some type of subsidy. You've 63 00:02:57,240 --> 00:02:59,480 Speaker 1: also got that paid parntal leave going to go up 64 00:02:59,480 --> 00:03:02,040 Speaker 1: to twenty six weeks a bit of news. They're good 65 00:03:02,080 --> 00:03:05,480 Speaker 1: news for pensioners. I mean, you have to work for this. Again. 66 00:03:05,520 --> 00:03:07,960 Speaker 1: You can see where they're spending money it's not just 67 00:03:08,440 --> 00:03:11,440 Speaker 1: a cash handout. Pensioners will be able to work more 68 00:03:11,480 --> 00:03:14,680 Speaker 1: this financial year. They haven't used their work bonus without 69 00:03:14,880 --> 00:03:17,400 Speaker 1: it affecting their pensions because if you go over a 70 00:03:17,400 --> 00:03:20,519 Speaker 1: certain amount of pensions, lose fifty cents for every thousand dollars. 71 00:03:20,520 --> 00:03:24,440 Speaker 1: So this will be nice to them. Downsizes. Maybe people 72 00:03:24,480 --> 00:03:27,120 Speaker 1: that are in retirement, they've got their house, there's too 73 00:03:27,120 --> 00:03:29,200 Speaker 1: many bedrooms, they think I will sell it. You'll be 74 00:03:29,240 --> 00:03:32,080 Speaker 1: able to now do that at age fifty five and 75 00:03:32,160 --> 00:03:34,560 Speaker 1: put that money in your super and get more experts. 76 00:03:34,800 --> 00:03:37,240 Speaker 2: And also aren't they saying they're going to create more 77 00:03:37,280 --> 00:03:38,960 Speaker 2: housing hard. 78 00:03:38,800 --> 00:03:42,400 Speaker 1: That's the interesting one, Amanda, so very look, it was 79 00:03:42,480 --> 00:03:44,240 Speaker 1: a bit of a rabbit over hat that one, although 80 00:03:44,280 --> 00:03:46,400 Speaker 1: it was leaked a couple of days earlier, but not 81 00:03:46,480 --> 00:03:50,280 Speaker 1: to this much detail. So here's the thing. They're saying 82 00:03:50,320 --> 00:03:53,280 Speaker 1: one million homes over five years. That's what they're pledging. 83 00:03:53,560 --> 00:03:56,320 Speaker 1: We're going to remember, we're in a labor shortage, we've 84 00:03:56,360 --> 00:04:00,400 Speaker 1: got cost of building very expensive. So I'm surprised that 85 00:04:00,520 --> 00:04:02,520 Speaker 1: you know the timing on this and can it be 86 00:04:02,560 --> 00:04:05,920 Speaker 1: achieved now? They are actually working with all the states, 87 00:04:05,960 --> 00:04:08,480 Speaker 1: they're working with the super funds, because this is where 88 00:04:08,480 --> 00:04:10,520 Speaker 1: they're going to get the money from. And then obviously 89 00:04:10,560 --> 00:04:12,360 Speaker 1: that the builders can attractors. All three of them are 90 00:04:12,400 --> 00:04:14,720 Speaker 1: kind of getting together to reach this target, which I 91 00:04:14,720 --> 00:04:17,640 Speaker 1: think is great because it's more supply and that's not 92 00:04:17,680 --> 00:04:20,920 Speaker 1: going to impact prices. We need more supply of housings. 93 00:04:21,160 --> 00:04:24,440 Speaker 1: I do like this, but I am a little bit worried. 94 00:04:24,480 --> 00:04:27,560 Speaker 1: Is it achievable they're going to have ten thousand affordable 95 00:04:27,560 --> 00:04:29,880 Speaker 1: homes because they're injecting about three hundred and fifty million 96 00:04:30,279 --> 00:04:32,520 Speaker 1: dollars themselves, the federal government, and then they've said to 97 00:04:32,560 --> 00:04:35,000 Speaker 1: all the states and territories, hey, you guys help out. 98 00:04:35,000 --> 00:04:38,120 Speaker 1: You put another ten so twenty thousand affordable homes and 99 00:04:38,160 --> 00:04:43,800 Speaker 1: then that many target over five years. It's very optimistic 100 00:04:44,839 --> 00:04:47,200 Speaker 1: given what we're looking at the moment, you know, like 101 00:04:47,320 --> 00:04:49,320 Speaker 1: labor sort shortages are said, so that will be an 102 00:04:49,360 --> 00:04:52,320 Speaker 1: interesting one. And also i'd like to see further details, 103 00:04:52,360 --> 00:04:55,080 Speaker 1: like my money is invested in super what's the return 104 00:04:55,120 --> 00:04:57,320 Speaker 1: going to be if they're putting in social housing? Now 105 00:04:57,320 --> 00:04:59,800 Speaker 1: the government has said they're going to actually fund that 106 00:05:00,279 --> 00:05:03,679 Speaker 1: because there will be like affordable rent versus market rent, 107 00:05:03,839 --> 00:05:06,320 Speaker 1: and they're going to fund that. So much more details 108 00:05:06,360 --> 00:05:08,799 Speaker 1: we need around that. But it is good news, Amanda, 109 00:05:08,880 --> 00:05:11,440 Speaker 1: because the big problem with housing is that there's not 110 00:05:11,520 --> 00:05:14,760 Speaker 1: enough supply. So it's got you know, the heart's in 111 00:05:14,760 --> 00:05:15,560 Speaker 1: the right place there. 112 00:05:15,680 --> 00:05:17,920 Speaker 3: And it's good that they're cracking down on the tax 113 00:05:18,080 --> 00:05:22,520 Speaker 3: dodging multinational corporations that they're going to get chased. 114 00:05:23,240 --> 00:05:24,440 Speaker 1: Yeah, I thought you wouldn't like that. 115 00:05:24,520 --> 00:05:29,680 Speaker 3: Actually all is dodging scheme, my schemes, they're all going 116 00:05:29,760 --> 00:05:33,279 Speaker 3: to come on stock, Yes they are. 117 00:05:33,640 --> 00:05:36,280 Speaker 1: And look way journers wouldn't be to have because it's 118 00:05:36,320 --> 00:05:38,560 Speaker 1: the end of that Lamington, the load of middle income 119 00:05:38,600 --> 00:05:41,279 Speaker 1: tax off that the financial year that just wrapped up, 120 00:05:41,360 --> 00:05:46,159 Speaker 1: that's gone. Look unfortunately, my biggest takeout was when I 121 00:05:46,200 --> 00:05:48,960 Speaker 1: started looking at the forecast numbers. When you look at those, 122 00:05:49,000 --> 00:05:50,800 Speaker 1: so let me paint a picture of what's going to 123 00:05:50,800 --> 00:05:53,160 Speaker 1: be like next year if they get these forecasts right. 124 00:05:53,839 --> 00:05:56,400 Speaker 1: Unemployment supposed to go up to four point five percent, 125 00:05:56,839 --> 00:05:59,320 Speaker 1: so that means about another one hundred and fifty thousand 126 00:05:59,320 --> 00:06:02,240 Speaker 1: of us will lose our jobs. The cash rate is 127 00:06:02,240 --> 00:06:04,680 Speaker 1: supposed to peak at three point three five, so that 128 00:06:04,760 --> 00:06:06,680 Speaker 1: means your mortgage is going to be what at least 129 00:06:06,720 --> 00:06:10,000 Speaker 1: say six or seven. Maybe energy is going to go 130 00:06:10,120 --> 00:06:12,799 Speaker 1: up by fifty six percent over the next two years, 131 00:06:12,880 --> 00:06:15,359 Speaker 1: So your two thousand energy dollar bill is going to 132 00:06:15,360 --> 00:06:18,320 Speaker 1: be one thousand, another extra one thousand and three thousand. 133 00:06:19,000 --> 00:06:22,240 Speaker 1: Inflation is going to go down a little bit three 134 00:06:22,279 --> 00:06:25,320 Speaker 1: point five, but our growth is going down. So all 135 00:06:25,360 --> 00:06:29,680 Speaker 1: those numbers together paint a really emploik picture next year. 136 00:06:30,120 --> 00:06:34,240 Speaker 1: My tip would be for households, and sorry, I'll throw 137 00:06:34,279 --> 00:06:36,440 Speaker 1: in another thing. There's an interesting graphic in the budget 138 00:06:36,440 --> 00:06:40,560 Speaker 1: papers around about our household savings ratio that's going to plummet. 139 00:06:40,720 --> 00:06:43,600 Speaker 1: That's because we are going to be using whatever savings 140 00:06:43,640 --> 00:06:45,680 Speaker 1: we have to keep up with all those numbers I 141 00:06:45,800 --> 00:06:48,800 Speaker 1: just said, cost of living still high. We don't have 142 00:06:48,880 --> 00:06:51,880 Speaker 1: that sugar hip. We're using our savings. If we don't 143 00:06:51,960 --> 00:06:53,560 Speaker 1: have our savings and we are one of those one 144 00:06:53,640 --> 00:06:56,120 Speaker 1: hundred and fifty thousand people that lose our jobs, we're 145 00:06:56,120 --> 00:06:58,000 Speaker 1: going to be in a real mess next year. So 146 00:06:58,160 --> 00:07:01,280 Speaker 1: I'm more concerned about what's coming rather than what they 147 00:07:01,360 --> 00:07:02,440 Speaker 1: downloaded last night. 148 00:07:02,760 --> 00:07:02,920 Speaker 2: Right. 149 00:07:03,760 --> 00:07:06,000 Speaker 3: Well, Effie, once again, you've given us plenty of things 150 00:07:06,000 --> 00:07:08,240 Speaker 3: to chew on. It's always great to talk to you, 151 00:07:08,520 --> 00:07:11,600 Speaker 3: and real money with fi'sahas the podcast. You can download 152 00:07:11,600 --> 00:07:15,240 Speaker 3: it today on your favorite podcast like the iHeartRadio app. Effie, 153 00:07:15,280 --> 00:07:16,120 Speaker 3: thank you for joining 154 00:07:16,160 --> 00:07:18,640 Speaker 1: Us, Thank you guys, look forward talking to it and 155 00:07:18,840 --> 00:07:19,520 Speaker 1: thanks Effie.