Amanda Hardy Lai, Author at Retirement Essentials

Protecting your income over Christmas

Christmas is a magical time of the year, but between the joy of giving and taking that much-needed holiday break, it’s easy to overspend. With higher interest rates stuck for the whole year and a higher cost of living, the New Year could bring a financial hangover. But it doesn’t have to be that way. With some planning and the right tools, you can protect your income this holiday season without sacrificing the festive cheer.

The view of the RBA is that the underlying inflation rate of 3.5% (over the year to September) remains too far above the 2.5% target, and the outlook is that it could be some time in 2026 before it’s likely to approach that level. Returning inflation to target range remains the RBA’s major priority.

Future-proofing your retirement

by Amanda Hardy Lai | Planning for Retirement

For many retirees, home is where they want to be – to be part of a community, to stay connected to friends and family, and to enjoy their independence. If you’re thinking about what the options are for you to continue living where you are, you’re not alone. With some planning, and the right resources, you can continue to live comfortably at home, knowing you have support when you need it.

Australia’s aged care system is undergoing significant reforms, reflecting the strong preference of older Australians to remain in their homes as they age. The upcoming ‘Support at Home’ program is set to replace existing home care schemes by July 2025, and aims to make it easier for people to access tailored support services that fit their needs.

Let’s explore how government programs, financial strategies, and even small home improvements can help you create the retirement lifestyle you really want..

Unlocking financial freedom in your 70s: From work to play

by Amanda Hardy Lai | Retirement Income

At 69, Bill was working part time, earning around $46,000, while managing two debts: a $30,000 loan due in five years, and an $80,000 loan over 12 years. What Bill didn’t realise is that he was eligible for $14,000 per year in Age Pension support whilst continuing to work. When I met with Bill we worked out that with a boost from an Age Pension entitlement, he could clear his smaller debt of $30,000 in just two years.

Once that’s paid off, he’ll be able to focus on reducing the remaining $80,000 loan more quickly.

We looked at the pros and cons of using a lump sum payment from his superannuation to help see the impact of these options on his retirement savings.

Bill is looking forward to travelling in his camper-trailer and spending more time catching up with friends and family. He’s still enjoying the work at the moment but wants to take some leave and enjoy a full month off each year. He now has increased confidence that his debts can be managed and an exit from working is possible in the near future.

The bad news is that, by delaying making a claim until age 69, Bill has missed out on two years of Age Pension payments. This is roughly $30,000, which would have been of great assistance with reducing his debt. There are many others like Bill who are still working and self-reliant and don’t think to ask for help or realise they are now eligible for some Age Pension payments.