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MONEY DIARIES: She's Got The F.I.R.E · She's On The Money

• 0:00
  Speaker 1: Hello, my name's Santasha Nabananga Bamblet. I'm a proud yr
• 0:04
  Speaker 1: the Order Kerni Whoalbury and a waddery woman. And before
• 0:08
  Speaker 1: we get started on She's on the Money podcast, I
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  Speaker 1: would like to acknowledge the traditional custodians of the land
• 0:14
  Speaker 1: of which this podcast is recorded on a wondery country,
• 0:18
  Speaker 1: acknowledging the elders, the ancestors and the next generation coming
• 0:22
  Speaker 1: through as this podcast is about connecting, empowering, knowledge sharing
• 0:27
  Speaker 1: and the storytelling of you to make a difference for
• 0:30
  Speaker 1: today and lasting impact for tomorrow.
• 0:33
  Speaker 2: Let's get into it.
• 0:34
  Speaker 3: She's on the Money, She's on the Money.
• 0:58
  Speaker 2: Hello, and welcome to She on the Money the podcast
• 1:01
  Speaker 2: Millennials who want financial freedom. Welcome back to another one
• 1:05
  Speaker 2: of our Money Daries episodes where I get the absolute
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  Speaker 2: pleasure of sitting down with one of our She's on
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  Speaker 2: the Money community members and learning all about their journey.
• 1:13
  Speaker 2: Let's jump straight into it, because this week I got
• 1:15
  Speaker 2: a message and it sounded a lot like this. Hi,
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  Speaker 2: She's on the Money. At twenty eight, after ten years
• 1:21
  Speaker 2: of travel, fun work and a bunch of health issues,
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  Speaker 2: I decided to change careers. I was broke starting over
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  Speaker 2: and owned nothing at thirty eight. I've kicked off a
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  Speaker 2: twelve year plan to retire by fifty. Money, Darrist, retire
• 1:36
  Speaker 2: by fifty and you only started recently? What the hecking?
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  Speaker 4: How it's the plan that started this year? Like, I'm
• 1:45
  Speaker 4: hyper focused on it, on both things in life.
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  Speaker 2: Well, we need to know how you're going to do it,
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  Speaker 2: because that's an epic plan. And also who doesn't want
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  Speaker 2: to retire at fifty? Like I think everyone listening is
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  Speaker 2: going to go, yup. I want your advice? What are
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  Speaker 2: you doing? Tell us? So let's dive straight in money, Darist.
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  Speaker 2: So I asked you to give your money habits a
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  Speaker 2: grade from A three to F What would you give yourself?
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  Speaker 4: I think that I'm a solid B plus.
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  Speaker 2: A B plus and you're still planning on retiring early,
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  Speaker 2: Like this is giving me hope for me? All right,
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  Speaker 2: let's dive in further. My favorite question, as always is money, Darrist.
• 2:18
  Speaker 2: Can you tell us a little bit more about your
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  Speaker 2: money story.
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  Speaker 4: I come from a real working class family. I'm the
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  Speaker 4: youngest four kids. My parents met later in life, and
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  Speaker 4: my mum tells the story that when they got married,
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  Speaker 4: they had five hundred dollars in the bank account, and
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  Speaker 4: I feel like that's really how my life has translated
• 2:35
  Speaker 4: as well. I don't know how they did it exactly,
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  Speaker 4: but all of us kids just had this work ethic
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  Speaker 4: from a very young age. We all started working as
• 2:43
  Speaker 4: soon as we could. I remember delivering pamphlets and doing
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  Speaker 4: all those sorts of jobs when I was a kid
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  Speaker 4: with my older brother and sister. I started working when
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  Speaker 4: I was fourteen for Coles.
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  Speaker 2: Oh good, great first job.
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  Speaker 4: Well it was a long first job. I worked there
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  Speaker 4: for ten years.
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  Speaker 2: Oh epic, yeap, so I work.
• 3:00
  Speaker 4: They're all through high school and all through university. I
• 3:03
  Speaker 4: was the first one in my family to go to university.
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  Speaker 2: Oh congrats, how exciting.
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  Speaker 4: Thank you. It had its own challenges, though, because I
• 3:12
  Speaker 4: was the first one. I felt like I also lacked
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  Speaker 4: a lot of direction.
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  Speaker 2: You were like, I don't know what I meant to
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  Speaker 2: be doing here. What do you mean I have to
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  Speaker 2: self plan my studying. No one around me has ever
• 3:20
  Speaker 2: done this. What the hecking? It's not like school, is it.
• 3:23
  Speaker 1: No?
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  Speaker 4: And I was working full time at the same time,
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  Speaker 4: I was having a good time. I was partying, I
• 3:28
  Speaker 4: was making memories with friends, doing all the things you
• 3:30
  Speaker 4: should do.
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  Speaker 2: Oh, you were doing everything. You were busy. Busy, Yeah,
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  Speaker 2: I was busy.
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  Speaker 4: I always had a focus, you know. I was always
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  Speaker 4: good at saving for something that I wanted, So you know,
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  Speaker 4: obviously the first target for everyone in a car go
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  Speaker 4: to schoolies.
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  Speaker 2: Oh yes, so did all that.
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  Speaker 4: And then when I was twenty one, I did an
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  Speaker 4: around the world trip with some friends. I took eight
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  Speaker 4: weeks off work and we went around the world and
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  Speaker 4: it was just like such an eye opening experience for me.
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  Speaker 2: Do you remember what that cost you? Because that is wild.
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  Speaker 2: Eight weeks would have been spin.
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  Speaker 4: Off considering I'm thirty eight, though, you have to like
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  Speaker 4: it probably was something like eight thousand dollars back then.
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  Speaker 4: I remember the airfare was seventeen hundred dollars.
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  Speaker 2: That must be nice.
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  Speaker 4: Yeah, it was fun. I still spent everything that I
• 4:12
  Speaker 4: had in my bank account and came back home.
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  Speaker 2: I feel like that's a ride of passage, though, like,
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  Speaker 2: if you're going to do that, you have to spend
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  Speaker 2: everything and come home with like twenty two cents and
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  Speaker 2: start from scratch, like there's no in between.
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  Speaker 4: Negative two thousand dollars more likely. Yeah, there you go. Yes,
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  Speaker 4: I came home and I started saving again, and I thought,
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  Speaker 4: you know, that was so much fun. I am going
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  Speaker 4: to go live in London like everyone else who's twenty
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  Speaker 4: one and wants to move over to the ease and
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  Speaker 4: have those fun couple of years. So I remember this one.
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  Speaker 4: I saved up forty thousand dollars or what. Full disclosure.
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  Speaker 4: I was living with my family on and off in
• 4:42
  Speaker 4: this period. I moved out when I was nineteen, but
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  Speaker 4: when I decided to move over Steves, I moved back
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  Speaker 4: home when I was twenty three, and I lived with
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  Speaker 4: my parents for a year and I saved up forty
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  Speaker 4: thousand dollars.
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  Speaker 2: Forty thousand dollars in a year is epic, Like if
• 4:54
  Speaker 2: I moved back in with my parents and saved forty
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  Speaker 2: grand I'd be over the moon. Like that's halfway to
• 5:00
  Speaker 2: a home deposit. In fact, in some situations that's a
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  Speaker 2: whole home deposit.
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  Speaker 4: Yeah, and in retrospect, probably money better spent.
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  Speaker 2: No, we don't regret past things. That's not on the
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  Speaker 2: cards here.
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  Speaker 4: I have no regrets in life.
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  Speaker 2: I really don't good.
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  Speaker 4: And so I took a year off and I backpacked
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  Speaker 4: for a year, and I spent every cent of that
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  Speaker 4: forty thousand dollars and I ended up in London on
• 5:21
  Speaker 4: someone so far who I'd met in Europe, and I
• 5:24
  Speaker 4: ended up staying there for two years. Really fun, you know,
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  Speaker 4: did all the things you're supposed to do, traveled whenever
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  Speaker 4: I could, worked five jobs, oh my gosh, did whatever
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  Speaker 4: I had to do to get the money flowing in,
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  Speaker 4: and take weekend trips to Malta, to Italy wherever I
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  Speaker 4: could go.
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  Speaker 2: All right, it must be nice.
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  Speaker 4: What's really fun? I definitely am pushing all the young
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  Speaker 4: people in my life. I'm like, just drop what you're
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  Speaker 4: doing and.
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  Speaker 2: Just going I love that so much. I didn't get
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  Speaker 2: to do that right of passage, and like, while I
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  Speaker 2: don't regret it because I feel like I've ended up
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  Speaker 2: where I need to be. Also, like in the US,
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  Speaker 2: when I hear about other people's adventures, I'm like, I'm
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  Speaker 2: not that cool, like and you know what, I'm actually
• 6:02
  Speaker 2: so type A that I don't think I could have
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  Speaker 2: ever done any type of travel that wasn't like booked
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  Speaker 2: and planned and spreadsheeted out. So when you say I
• 6:11
  Speaker 2: ended up on someone's couch i met them in Europe,
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  Speaker 2: I'm just like, that sounds so cool and so unlike me,
• 6:17
  Speaker 2: like I could never.
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  Speaker 4: Each So you know, I'm a twin and my twin
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  Speaker 4: sister didn't come with me, and it was the first
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  Speaker 4: time we'd ever spent time apart, and it was a
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  Speaker 4: real shock, and she didn't come. I tried to talk
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  Speaker 4: her into coming. I tried to get her to stay
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  Speaker 4: when she came and visited, and it just wasn't her thing.
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  Speaker 4: And she doesn't regret it at all either. She knows
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  Speaker 4: that we had a great time.
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  Speaker 2: Yeah, she's more like me, like if there's no control,
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  Speaker 2: like I'm out, Like I can't deal with that, and
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  Speaker 2: that's very her.
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  Speaker 4: So yeah, like everyone has what they want to do
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  Speaker 4: on their list, like she did things differently and we
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  Speaker 4: read united it obviously, of course, relationships stronger than ever.
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  Speaker 2: I love this. So then more happened.
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  Speaker 4: So I did come home for a little bit in between,
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  Speaker 4: and I felt really like a fish out of water.
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  Speaker 4: I didn't know what I wanted out of life. I
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  Speaker 4: didn't know where I wanted to live. A lot of
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  Speaker 4: my friends were scattered around the world. I've lost contact
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  Speaker 4: with a lot of friends. So I decided to go
• 7:08
  Speaker 4: back Epathees and I went to Canada, free year.
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  Speaker 2: Oh, Canada's beautiful, good choice.
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  Speaker 4: Yeah, And it was really difficult actually to find a
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  Speaker 4: job in Canada. It's a slower pace. It takes real
• 7:20
  Speaker 4: time to like get a proper job and put in
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  Speaker 4: roots there. So I kind of felt like I was
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  Speaker 4: capable of more, and I'm like, what am I doing?
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  Speaker 4: Like I've had this degree from when I was nineteen,
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  Speaker 4: I've done absolutely nothing with it, and so at that
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  Speaker 4: point I was quite unwell as well. So I decided
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  Speaker 4: to come home and just sort of focus on what
• 7:38
  Speaker 4: I wanted to do. And the big sort of deciding
• 7:41
  Speaker 4: factor was that it sounds ridiculous now, but I wanted
• 7:43
  Speaker 4: an office job. I wanted to be able to feel
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  Speaker 4: comfortable at work, you know, not before my feet talking
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  Speaker 4: to people all day. I've been in sales for a
• 7:50
  Speaker 4: really long time throughout my whole life, and you know,
• 7:53
  Speaker 4: with the illness being so i've diagnosed at that point
• 7:56
  Speaker 4: and unsure what was going on, I just felt like
• 7:58
  Speaker 4: a comfortable spot which be sitting at.
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  Speaker 2: About doing something that's fair.
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  Speaker 4: So I looked into my options and I always had
• 8:06
  Speaker 4: an interest in accounting and finance, and I was always
• 8:10
  Speaker 4: sort of focused on.
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  Speaker 2: That very sexy topic I've heard.
• 8:13
  Speaker 4: Yeah, so I decided to do my masters. I came home,
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  Speaker 4: I rolled in masters. I took back an old job.
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  Speaker 4: So at the time in between, I was working as
• 8:22
  Speaker 4: a travel agent.
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  Speaker 2: Oh, that would have been perfect. You had traveled so much,
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  Speaker 2: so you would have had so many good recommendations and
• 8:27
  Speaker 2: known how to book and get stuff done, like you
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  Speaker 2: would have been a perfect travel agent.
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  Speaker 4: I ended up working for a really successful travel agent
• 8:35
  Speaker 4: who had her own office, so she was so busy
• 8:38
  Speaker 4: she couldn't keep up with her own workload. So she
• 8:39
  Speaker 4: paid me a casual rate to just come sit at
• 8:41
  Speaker 4: her house into a hall her work for her, which
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  Speaker 4: was perfect. It took all the stress of the job
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  Speaker 4: out of it, and I had an hourly rate coming
• 8:48
  Speaker 4: in and I could go study and not stress about work.
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  Speaker 2: Oh how good. And you still got to like flourish
• 8:53
  Speaker 2: in an area that you like knew really well. I
• 8:55
  Speaker 2: love that.
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  Speaker 4: Yeah, it's really fun. So I got my masters, and
• 8:59
  Speaker 4: I by the time i'd done all of that, I
• 9:02
  Speaker 4: was turning thirty, and I was starting to feel the pressure,
• 9:06
  Speaker 4: like I don't own anything, I'm still broke. I'm probably
• 9:10
  Speaker 4: going to have to take a grad position. And start
• 9:12
  Speaker 4: from the bottom up. So that was all a bit terrifying.
• 9:15
  Speaker 4: So I took a grad position and I was back
• 9:19
  Speaker 4: to fifty K.
• 9:20
  Speaker 2: You took a grad position in what give us some context?
• 9:23
  Speaker 4: So I did actually originally take a grad position in
• 9:25
  Speaker 4: Big four accounting. Yeah, it was not for me.
• 9:29
  Speaker 2: It's not for me either.
• 9:30
  Speaker 4: Bad. I was thirty, I'd been working for fifteen years.
• 9:33
  Speaker 4: I was definitely not in the same headspace or life
• 9:38
  Speaker 4: what for word.
• 9:39
  Speaker 2: As your peers. Just we weren't in the same chapter
• 9:42
  Speaker 2: of that book.
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  Speaker 4: No, And also I wasn't really willing to work eighty
• 9:48
  Speaker 4: hours a week in a job to work my way
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  Speaker 4: to the top when I had been doing that my
• 9:53
  Speaker 4: entire life.
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  Speaker 2: What do you mean, But that's so expected, don't you
• 9:56
  Speaker 2: sell your soul?
• 9:58
  Speaker 4: Yeah?
• 9:58
  Speaker 2: Exactly, And I wasn't so And you should be grateful
• 10:01
  Speaker 2: to them.
• 10:02
  Speaker 4: Should I tell way too many people that I quit
• 10:05
  Speaker 4: their job after five months? They probably a like want
• 10:07
  Speaker 4: me to sign something to say I never worked there.
• 10:11
  Speaker 2: They're like, please stop talking trash about us, And you
• 10:13
  Speaker 2: were like, can't stop, word stop. Sorry, Yeah, it's horrible.
• 10:16
  Speaker 4: I actually made a couple of really great friends. And
• 10:19
  Speaker 4: this is the thing. Everything that I've done in life.
• 10:21
  Speaker 4: I've taken a friend with me, no regrets, like everything's
• 10:24
  Speaker 4: been great. So I ended up calling the travel company
• 10:28
  Speaker 4: that I used to work for as an agent and said,
• 10:30
  Speaker 4: I've just finished my accounting degree, my master's I'm going
• 10:33
  Speaker 4: to do my CPA, like you got anything for me?
• 10:35
  Speaker 4: And so they acquired me. Oh how cool, which was
• 10:40
  Speaker 4: much better, much more on my speed talking about travel,
• 10:43
  Speaker 4: which is always fun for me. That's sort of the
• 10:46
  Speaker 4: start of my finance accounting career, I suppose adore, and
• 10:50
  Speaker 4: so I've just been building my career from there. So thirty,
• 10:53
  Speaker 4: I was just so hyper focused on buying a house
• 10:56
  Speaker 4: and finding somewhere to live and putting roots down where
• 10:59
  Speaker 4: I was and just being here and not you know,
• 11:02
  Speaker 4: feeling the need to jump on a plane and run
• 11:03
  Speaker 4: away again.
• 11:05
  Speaker 2: I love that. So tell me about today. What do
• 11:08
  Speaker 2: you do for work? How much money are you earning?
• 11:11
  Speaker 4: So I work as a financial controller.
• 11:13
  Speaker 2: Your big dog job.
• 11:14
  Speaker 4: Yes, I've been working for about four years since a
• 11:17
  Speaker 4: financial controller and my current salary is one hundred and
• 11:20
  Speaker 4: thirty thousand plus.
• 11:21
  Speaker 2: Super very nice.
• 11:24
  Speaker 4: Yeah, and I also have a side job, a side hustle.
• 11:27
  Speaker 2: I suppose that work ethic hasn't stopped, has it.
• 11:30
  Speaker 4: No, So I earn about fifteen thousand a year from that.
• 11:34
  Speaker 2: What do you do? Is it online? Is it out?
• 11:37
  Speaker 2: What type of role is that?
• 11:39
  Speaker 4: So I bought a private business with a few friends
• 11:44
  Speaker 4: and we run the business together. I obviously don't work
• 11:47
  Speaker 4: in the business full time. Two of my colleagues work
• 11:50
  Speaker 4: full time in the business, and two of us have
• 11:52
  Speaker 4: full time jobs and do this on the side. So
• 11:55
  Speaker 4: it's a business that I worked in for many years
• 11:57
  Speaker 4: and we have a real passion for it and we
• 11:59
  Speaker 4: want to find a business to buy. And it took
• 12:01
  Speaker 4: some time, but we found one and we bought it
• 12:04
  Speaker 4: in December of last year. So I'm a minor stakeholder.
• 12:07
  Speaker 2: How cool is that? And then you've got an income
• 12:10
  Speaker 2: coming from that.
• 12:11
  Speaker 4: Yeah. So obviously the end goal for me, I think,
• 12:14
  Speaker 4: would be to step full time into that business. Yeah,
• 12:17
  Speaker 4: but it's got a lot of growth to happen before
• 12:19
  Speaker 4: that can support another salary.
• 12:21
  Speaker 2: Yeah, of course. Oh my gosh, how exciting is that.
• 12:24
  Speaker 2: So let's get back to your big money goals. I
• 12:26
  Speaker 2: know you said earlier when you wrote in your planning
• 12:30
  Speaker 2: on retiring at fifty and you've got a twelve year plan.
• 12:33
  Speaker 2: Would you say that's your big money goal? Yes, So
• 12:36
  Speaker 2: tell me more about that. How does that work? How
• 12:38
  Speaker 2: do you know it's going to take twelve years? How
• 12:39
  Speaker 2: did you work it all out?
• 12:41
  Speaker 4: So, I guess because I've been working for so long,
• 12:44
  Speaker 4: I just kind of had this picture in my head
• 12:47
  Speaker 4: of working to sixty seven and going that is not fun.
• 12:50
  Speaker 4: Most people get to sixty seven they're either unwell or
• 12:53
  Speaker 4: they can't travel, they can't do the things they want
• 12:55
  Speaker 4: to do, and it just gave me really sad, to
• 12:57
  Speaker 4: be honest, and I thought, fifty is a great age.
• 13:00
  Speaker 4: You're still young, you can still travel, you can spend
• 13:03
  Speaker 4: time with friends and family. So I just have it
• 13:06
  Speaker 4: in my head that fifties the day I'm going to
• 13:08
  Speaker 4: stop working. And I worked backwards from there, so I
• 13:11
  Speaker 4: was like, how much money do I need? What do
• 13:13
  Speaker 4: I need to have done? So there's a few things
• 13:16
  Speaker 4: I need to have paid off my home yeap, and
• 13:18
  Speaker 4: then I need to have enough money to live off
• 13:19
  Speaker 4: between fifty and sixty seven until my super can kick it.
• 13:23
  Speaker 4: And then my super has to be sufficient to do
• 13:26
  Speaker 4: the sixty seven onwards.
• 13:28
  Speaker 2: Yeah.
• 13:28
  Speaker 4: Great. Yeah, So at the moment I'm thinking I need
• 13:32
  Speaker 4: about six hundred thousand in my share portfolio. To do that,
• 13:36
  Speaker 4: I've got to invest about four to five hundred dollars
• 13:39
  Speaker 4: a week into the portfolio from now until fifty. Yep.
• 13:44
  Speaker 4: And I think I've used conservative numbers. Maybe not. Maybe
• 13:47
  Speaker 4: it's going to go up and down.
• 13:48
  Speaker 2: And we want to be conservative because I'd like to
• 13:50
  Speaker 2: underpromise and then over deliver instead of being absolutely stumped.
• 13:55
  Speaker 4: Yeah, and look, the reality is is I'll get to
• 13:57
  Speaker 4: fifty and I'll be like, oh for more years and
• 14:00
  Speaker 4: then maybe I'll you know, buy something, or you know,
• 14:04
  Speaker 4: reality will set in.
• 14:05
  Speaker 2: Okay, it might change, or you might go, you know,
• 14:07
  Speaker 2: I'm not ready to stop working. I actually want to
• 14:10
  Speaker 2: do you know, some part time stuff and maybe you
• 14:12
  Speaker 2: travel for six months of the year and then come
• 14:14
  Speaker 2: back to work and like balance it. Differently, I feel
• 14:17
  Speaker 2: like the word retirement sucks because people just assume it's
• 14:21
  Speaker 2: old and it's boring and you sit at home and
• 14:23
  Speaker 2: you like go for walks like it's not good. You're
• 14:26
  Speaker 2: actually reaching financial freedom at fifty, and that gives you
• 14:30
  Speaker 2: the opportunity to choose and like, nobody's in that situation
• 14:34
  Speaker 2: right where you can go do I want to work.
• 14:36
  Speaker 4: Yeah.
• 14:37
  Speaker 2: No, Like imagine being in the situation where you're like,
• 14:39
  Speaker 2: I don't have to go to work anymore, in no worries, like.
• 14:42
  Speaker 4: What Yeah, And that's what I'm aiming for, is flexibility.
• 14:45
  Speaker 4: That's the one thing that really lacks in you know,
• 14:48
  Speaker 4: a nine to five.
• 14:50
  Speaker 2: How much did you calculate that you need in your superannuation?
• 14:54
  Speaker 4: So I was hoping to get about the same amount
• 14:56
  Speaker 4: in my super, about six hundred and fifty thousand, because
• 14:59
  Speaker 4: I figure it'll keep compounding after fifty a sort of.
• 15:04
  Speaker 4: I think I wanted it to have over a million
• 15:07
  Speaker 4: by the time I was sixty seven, which I think
• 15:10
  Speaker 4: it will. I'd probably have to see someone at some
• 15:12
  Speaker 4: point to kind of sound boarded out and make sure
• 15:15
  Speaker 4: that my numbers are right. But at the moment, this
• 15:17
  Speaker 4: is the back of the napkin kind of calculation.
• 15:19
  Speaker 1: No.
• 15:20
  Speaker 2: I like it because if you've got six hundred thousand
• 15:22
  Speaker 2: dollars in each of those, by the time you reach
• 15:24
  Speaker 2: that goal of sixty seven, you would probably have about
• 15:27
  Speaker 2: one point two million in super and that will give
• 15:30
  Speaker 2: you an income of about sixty thousand dollars, which is
• 15:33
  Speaker 2: pretty sexy if you've already paid off your house, because
• 15:36
  Speaker 2: then you don't have mortgage or payments, and then from
• 15:38
  Speaker 2: then on in it will depend on whether you're drawing
• 15:41
  Speaker 2: down that sixty thousand dollars at which point the compounding
• 15:44
  Speaker 2: stops and you just consistently take that, or you know,
• 15:48
  Speaker 2: you seem up and about like you do not look
• 15:50
  Speaker 2: like you're going to retire at fifty forever. Like it's
• 15:52
  Speaker 2: a good plan, but like your work ethic, I think
• 15:55
  Speaker 2: is going to come through. So I wouldn't be surprised
• 15:57
  Speaker 2: if you're like, oh, I'll just do some odd jobs,
• 15:59
  Speaker 2: or I'll well, you know, work part time, or I'll
• 16:02
  Speaker 2: do this and then stop for a bit and then
• 16:03
  Speaker 2: go back. So I wouldn't be surprised if you top
• 16:06
  Speaker 2: it up a few times. But if you let it compound,
• 16:09
  Speaker 2: that one point two million dollars ten years from then
• 16:13
  Speaker 2: would then be two point four. So it just depends
• 16:16
  Speaker 2: on what you want to do and what that looks like.
• 16:18
  Speaker 4: Yeah, if I live a pretty lean life, so sixty
• 16:22
  Speaker 4: thousand to me is a pretty good number to eight for.
• 16:25
  Speaker 4: But the reality is is, like you probably want to
• 16:27
  Speaker 4: go on really nice holidays. You probably want to try
• 16:30
  Speaker 4: and do some business class affairs, maybe.
• 16:32
  Speaker 2: So yeah, when I was a financial plannarias to talk
• 16:35
  Speaker 2: to people about that, and it's very serious because I
• 16:38
  Speaker 2: think if you sit down and you know, I said
• 16:40
  Speaker 2: to you, all right, well, your situation right now, you're
• 16:42
  Speaker 2: earning one thirty plus super like you're saving and investing,
• 16:46
  Speaker 2: so you know, let's strip it back and pretend that
• 16:48
  Speaker 2: you were on you know, eighty thousand dollars a year.
• 16:52
  Speaker 2: Would that be enough? And you go, well, yeah, eighty thousand,
• 16:54
  Speaker 2: that would be great if I didn't have a mortgage.
• 16:57
  Speaker 2: But the reality of retirement is you have a lot
• 17:00
  Speaker 2: more free time, and when you have free time, you
• 17:02
  Speaker 2: spend more money. You're not going to work every day
• 17:04
  Speaker 2: and packing your lunch and it's all good. Like if
• 17:07
  Speaker 2: you're home twenty four seven eating lunch at home, you're
• 17:09
  Speaker 2: probably not that enthusiastic about You're probably planning more holidays,
• 17:13
  Speaker 2: You're probably going out for more coffees. Like, we actually
• 17:16
  Speaker 2: have a bit more of a luxurious lifestyle. And I'm
• 17:19
  Speaker 2: not saying that everyone is afforded that, but if we're
• 17:22
  Speaker 2: planning for it, Like, I want you to have the
• 17:24
  Speaker 2: best retirement ever, Like I want you to be completely
• 17:27
  Speaker 2: financially free, not financially constricted and free. So it's different
• 17:32
  Speaker 2: for everybody. But I'm always like, no, you probably want
• 17:35
  Speaker 2: to retire with a hire income than the one you
• 17:37
  Speaker 2: earn right now, even though you probably don't want to
• 17:39
  Speaker 2: hear that.
• 17:40
  Speaker 4: I know. And that's the thing I'm battling with because
• 17:42
  Speaker 4: my sister's quite often like, you know, you need to
• 17:45
  Speaker 4: enjoy life too, and I definitely do. But she's like,
• 17:48
  Speaker 4: go and spend some of your money, enjoy it, and
• 17:50
  Speaker 4: I'm like, I am. I'm still traveling, I'm still going
• 17:52
  Speaker 4: out for dinner, like I'm not holding back on anything.
• 17:55
  Speaker 4: I'm a fine line between the hardcore fire and still
• 17:59
  Speaker 4: living my life. Yeah.
• 18:00
  Speaker 2: I think I've said this on the podcast before, and
• 18:03
  Speaker 2: that's fire. So for those of you playing along at
• 18:06
  Speaker 2: the home who haven't heard about fire, it's financial independence
• 18:08
  Speaker 2: retire early. It's kind of a movement where a lot
• 18:12
  Speaker 2: of people will prioritize saving and investing above and beyond lifestyle,
• 18:18
  Speaker 2: so they'll save and invest like eighty percent of their
• 18:20
  Speaker 2: income and that works so well. Like it's crazy the
• 18:24
  Speaker 2: people that can do it, I applaud. I'm not that person. Like,
• 18:28
  Speaker 2: I think it's been made very clear, like I'm a
• 18:30
  Speaker 2: lifestyle girly, Like I don't think that I have enough
• 18:33
  Speaker 2: delayed gratification to put it off You, my friend, probably
• 18:37
  Speaker 2: way better at it than me, and you'll reap the benefits.
• 18:40
  Speaker 2: But you know the marshmallow experiment with the kids, Like
• 18:43
  Speaker 2: I ate the marshmallow straight up, Like I just ate
• 18:46
  Speaker 2: it already, Like I didn't wait for two marshmallows to
• 18:48
  Speaker 2: be put on my plate ten minutes later, like I
• 18:50
  Speaker 2: have no chill, and I will be buying myself that
• 18:53
  Speaker 2: oatmelk laate. But it's all about balance, right, And I
• 18:56
  Speaker 2: look at you and I go, wait, I wish I
• 19:00
  Speaker 2: love it. I feel like I've got a couple of
• 19:01
  Speaker 2: friends doing fire as well, and I mean when they do,
• 19:05
  Speaker 2: I'm like, well, I'll just pay for the coffee. Yeah,
• 19:07
  Speaker 2: Like I want them to achieve that, but like we're
• 19:09
  Speaker 2: still going out for coffee.
• 19:11
  Speaker 4: Yeah. Like I would never say no if a good
• 19:13
  Speaker 4: friend said, do you want to meet me for lunch?
• 19:15
  Speaker 4: I would never say no, no because of money. Never no.
• 19:17
  Speaker 2: I love that. I feel like there needs to be
• 19:19
  Speaker 2: some level of balance because at the end of the day,
• 19:22
  Speaker 2: you were saying before, basically, old age is a privilege.
• 19:25
  Speaker 2: Denied to many, right, like, not everybody gets to go
• 19:28
  Speaker 2: and live that life, and if we're just working towards
• 19:31
  Speaker 2: it and don't live life in the interim, like I
• 19:33
  Speaker 2: don't know, maybe I'm justifying my spending.
• 19:37
  Speaker 4: No, you're totally fine. You have to enjoy your life
• 19:39
  Speaker 4: and you have to be happy, and that's my philosophy
• 19:42
  Speaker 4: really exactly.
• 19:43
  Speaker 2: All right, let's go to a really quick break on
• 19:45
  Speaker 2: the flip side. I want to know more about your investments.
• 19:47
  Speaker 2: I know that you've got a little holiday house we
• 19:49
  Speaker 2: haven't touched on yet. I want to know about your
• 19:52
  Speaker 2: debts and your best and worst money habits, because I
• 19:54
  Speaker 2: feel like we have heaps to learn from you. So guys,
• 19:56
  Speaker 2: don't go anywhere. All right, money dirice, We are back
• 20:03
  Speaker 2: and you are investing every single month you mentioned before
• 20:06
  Speaker 2: it's like five hundred dollars a week. Is that correct?
• 20:09
  Speaker 4: Yeah, So I salary sacrificed two hundred and fifty a
• 20:12
  Speaker 4: week into my super and then I do four hundred
• 20:16
  Speaker 4: a week into the share portfolio.
• 20:18
  Speaker 2: Who is she? That's crazy? So tell me about your investments.
• 20:22
  Speaker 2: How did you pick them, how are you managing them?
• 20:24
  Speaker 2: Where did the sauce start?
• 20:26
  Speaker 4: This has been kicked off this year, so it was
• 20:29
  Speaker 4: after my thirty eighth birthday I started, So we're probably
• 20:32
  Speaker 4: five months in.
• 20:33
  Speaker 2: That's okay.
• 20:33
  Speaker 4: So I've really picked some random stuff to begin with,
• 20:37
  Speaker 4: like anyone does. I just bought a few stocks that
• 20:39
  Speaker 4: I was familiar with, some single stop. I also have
• 20:41
  Speaker 4: some money invested in a business I used to work it,
• 20:45
  Speaker 4: so all up in shares. I've got fifty thousand dollars.
• 20:49
  Speaker 2: Oh my gosh, she's well on the way.
• 20:52
  Speaker 4: Twenty five is tied up in the private business we're running,
• 20:58
  Speaker 4: and then twenty five thousand is just ETF so random
• 21:01
  Speaker 4: bank of ones. What everyone does. I think at some
• 21:04
  Speaker 4: point I think once that gets to maybe fifty thousand,
• 21:07
  Speaker 4: I probably should get some advice and make sure it's
• 21:09
  Speaker 4: fall in the right thing, because I just hear you know,
• 21:13
  Speaker 4: vas figihg, and I'm.
• 21:15
  Speaker 2: Like, okay, correct, Yeah, I feel like so many people
• 21:17
  Speaker 2: do that. They go, this is tried and true and tested,
• 21:20
  Speaker 2: let's start here.
• 21:21
  Speaker 4: Yes, So it's already had its ups and down, so
• 21:24
  Speaker 4: I'm like kind of more comfortable with how it's going
• 21:27
  Speaker 4: now at the moment. It's half between Cheresey's and race
• 21:30
  Speaker 4: because I just didn't know which one was the right one. Yeah,
• 21:33
  Speaker 4: So at some point someone's going to say to me, no,
• 21:35
  Speaker 4: put it all hair and have it in one spot
• 21:37
  Speaker 4: and do this, and that's what I'll do. But for
• 21:40
  Speaker 4: now it's just started. So that's got about yeah, twenty
• 21:42
  Speaker 4: five thousand.
• 21:43
  Speaker 2: And it's how good. That's so exciting.
• 21:45
  Speaker 4: In my super I've got one hundred and fifty thousand.
• 21:49
  Speaker 2: Oh very nice.
• 21:50
  Speaker 4: Yeah, I did have a few years away.
• 21:52
  Speaker 2: I'm sorry, that's still so high. Like you're a baby,
• 21:56
  Speaker 2: you're still thirty eight and you've got one fifty and super.
• 21:58
  Speaker 4: Yes.
• 21:59
  Speaker 2: Please.
• 22:00
  Speaker 4: Also worth saying though, in the peak of COVID it
• 22:02
  Speaker 4: was sixty five thousand dollars, so I don't know what
• 22:06
  Speaker 4: that says about the share market, but like obviously it
• 22:08
  Speaker 4: can come pretty quickly.
• 22:10
  Speaker 2: I think, yeah, and that would be compounding. I don't
• 22:13
  Speaker 2: want to scare anybody, but it's been a few years
• 22:15
  Speaker 2: since COVID nineteen. In fact, it's been five years. Like
• 22:18
  Speaker 2: that's actually wild, so compounding. And then also the markets
• 22:22
  Speaker 2: were down during COVID, so like, I'm not surprised. I've
• 22:26
  Speaker 2: been watching mine slowly, slowly get up and up, and
• 22:29
  Speaker 2: I feel like it's it's had a good run. So
• 22:32
  Speaker 2: maybe it's time if you haven't looked at your super
• 22:34
  Speaker 2: to go and look at it and put it in
• 22:36
  Speaker 2: the right fund for you and the right risk profile
• 22:39
  Speaker 2: to make sure you're in the best possible position.
• 22:41
  Speaker 4: Yeah, so make sure that's alling growth and you.
• 22:43
  Speaker 2: Know, doing what I wanted to do smart.
• 22:46
  Speaker 4: And I have at the moment one hundred and fifty
• 22:49
  Speaker 4: thousand in cash.
• 22:50
  Speaker 2: Oh okay, big dog.
• 22:53
  Speaker 4: It's in my offset for now because part of my
• 22:56
  Speaker 4: strategy to pay the house off in ten years, So
• 22:59
  Speaker 4: I kind of want to keep a big chunk in
• 23:00
  Speaker 4: the offset, but I also like having that flexibility there
• 23:03
  Speaker 4: that I should probably put fifty thousand of it into
• 23:06
  Speaker 4: the share portfolio. Just a bit nervous to do that.
• 23:09
  Speaker 2: I don't know why, because it's a big chunk of money,
• 23:11
  Speaker 2: and it's very normal to be nervous about making big
• 23:14
  Speaker 2: financial decisions on big chunks of money when it has
• 23:17
  Speaker 2: your future at risk. I don't know if I'm overstepping
• 23:20
  Speaker 2: here at all, But with everything that you've said, it
• 23:23
  Speaker 2: sounds like you're well on the way to achieving this.
• 23:26
  Speaker 2: But I know you said, oh, maybe when I get
• 23:27
  Speaker 2: to like fifty thousand in ETFs, I'll get some advice,
• 23:30
  Speaker 2: my friend, I'd be talking to a financial advisor. Now
• 23:33
  Speaker 2: you've got more than enough cash. You've got more than
• 23:36
  Speaker 2: enough super like you are well on the way. Like
• 23:39
  Speaker 2: I feel like when people are planning on retiring early,
• 23:42
  Speaker 2: even when you're you know, just in a position where
• 23:44
  Speaker 2: you do have a bit of cash and you want
• 23:47
  Speaker 2: to make the right decisions. Like analysis paralysis, I feel
• 23:50
  Speaker 2: it gets the best of us and making a decision
• 23:53
  Speaker 2: sooner rather than later is going to put you in
• 23:56
  Speaker 2: a better position sooner. So for me, I'd be like, yeah, actually,
• 24:00
  Speaker 2: let me set you up with one of my financial
• 24:02
  Speaker 2: advisor friends after the show if you're keen and we
• 24:05
  Speaker 2: can get that ball rolling.
• 24:07
  Speaker 4: Yeah, that's probably what I thought you would say. So, yeah,
• 24:10
  Speaker 4: that's the cash, and then I have my home, and
• 24:12
  Speaker 4: then I have an investment property that I own with
• 24:14
  Speaker 4: my brother in.
• 24:15
  Speaker 2: Law, which is very cool. So that's all your investments.
• 24:18
  Speaker 2: I want to know about this property thing. So how
• 24:20
  Speaker 2: did you come to own an investment property with someone else?
• 24:24
  Speaker 4: So my brother in law has always had an apartment
• 24:28
  Speaker 4: at the coast that we've stayed in all the time,
• 24:31
  Speaker 4: and he did make a comment recently about me being
• 24:34
  Speaker 4: a freeloader. Yeah, I shouldn't say recently. This is about
• 24:37
  Speaker 4: three years ago.
• 24:38
  Speaker 2: That's recent. Let's go with that.
• 24:40
  Speaker 4: He had to sell that property because they bought their
• 24:43
  Speaker 4: dream house in twenty twenty one and they had to
• 24:46
  Speaker 4: make a few decisions and they decided to sell it,
• 24:48
  Speaker 4: and he instantly regretted it, and he said, we need
• 24:52
  Speaker 4: to buy something at the coast. And he goes, if
• 24:55
  Speaker 4: we buy something, you're buying with us because you're there
• 24:58
  Speaker 4: all the time.
• 24:59
  Speaker 2: Yeah, yeah, yeah, you go to buy two.
• 25:01
  Speaker 4: Yeah. So we actually called up a guy that lived
• 25:04
  Speaker 4: in the building complex that he owned in previously, and
• 25:07
  Speaker 4: he owned five units in the building, and we said,
• 25:10
  Speaker 4: we want one.
• 25:11
  Speaker 5: Yeah.
• 25:11
  Speaker 4: He goes, give me X amount and it's yours, and
• 25:14
  Speaker 4: so we took it.
• 25:15
  Speaker 2: Oh my gosh, how good. That regret was real strong?
• 25:18
  Speaker 4: Hey, oh so strong. I kind of say it's my
• 25:22
  Speaker 4: investment property because on paper it's all in my name.
• 25:25
  Speaker 1: Yeah.
• 25:25
  Speaker 4: Because they bought the dream house, they couldn't actually buy it.
• 25:29
  Speaker 2: Yeah, they couldn't get the finance for it immediately. Yeah, yeah, yeah,
• 25:32
  Speaker 2: that makes sense.
• 25:33
  Speaker 4: Yeah. We have a very trusting relationship and we contribute
• 25:37
  Speaker 4: equally to everything. It's just in my name. So I'm
• 25:40
  Speaker 4: kind of tapped out in terms of property, like I.
• 25:43
  Speaker 2: Was gonna say, you'd be tapped out in terms of
• 25:45
  Speaker 2: borrowing capacity now, yes, yeah.
• 25:48
  Speaker 4: Which is the only downside. But obviously it's a family
• 25:50
  Speaker 4: holiday house. We have so many good memories there. We
• 25:53
  Speaker 4: have a really good time every time we go.
• 25:55
  Speaker 2: But also it's a good investment, it sounds like, and
• 25:58
  Speaker 2: it's a good investment.
• 25:59
  Speaker 4: So we maid five hundred and seventy thousand for it,
• 26:02
  Speaker 4: and they just sold two in the building, but they're
• 26:05
  Speaker 4: all completely identical and they sold for seven twenty.
• 26:08
  Speaker 2: Oh very nice.
• 26:10
  Speaker 4: Yeah, so it's been a good investment.
• 26:12
  Speaker 1: Yeah.
• 26:12
  Speaker 2: Great, And what is the mortgage on that sitting at.
• 26:15
  Speaker 4: That sitting at four hundred and seventy five.
• 26:17
  Speaker 2: Thousand, Okay, so you're sitting pretty on that. I feel like,
• 26:21
  Speaker 2: even though it ties you up for borrowing capacity for
• 26:23
  Speaker 2: a short period of time, it's actually not the end
• 26:26
  Speaker 2: of the world because it's a good investment anyway, And
• 26:29
  Speaker 2: what would have you done with borrowing capacity by a
• 26:31
  Speaker 2: property to be in exactly the same position. And it's
• 26:35
  Speaker 2: probably gotten you ahead in terms of cash flow as well,
• 26:37
  Speaker 2: because you're only technically paying for half. Yes, so that's
• 26:42
  Speaker 2: not bad at all. And then so that's at four
• 26:44
  Speaker 2: seventy five. It was a five to seventy purchase and
• 26:46
  Speaker 2: it's probably worth seven hundred plus. Tell me about the
• 26:49
  Speaker 2: home that you live in. I know you live in
• 26:51
  Speaker 2: your own place.
• 26:53
  Speaker 4: Yeah, so it's worth about five hundred and fifty thousand,
• 26:57
  Speaker 4: and the mortgage is four hundred and fifty thousand.
• 27:00
  Speaker 2: Oh, she's got that down a fair bit.
• 27:03
  Speaker 4: Yeah, I recently sold a property to buy this one.
• 27:07
  Speaker 4: It was a little bit of a down size, which
• 27:09
  Speaker 4: is why I have the excess cat.
• 27:11
  Speaker 2: Yeah.
• 27:11
  Speaker 4: But yeah, it was a lifestyle choice. It's a much
• 27:14
  Speaker 4: better location the inner city, close to restaurants and shopping,
• 27:18
  Speaker 4: and it's just really great vibe.
• 27:19
  Speaker 2: I love that. And I mean, if you're at four
• 27:22
  Speaker 2: fifteen and then you said before that you've got one
• 27:23
  Speaker 2: hundred and fifty thousand dollars in your offset, that means
• 27:26
  Speaker 2: what you're only paying your mortgage at two hundred and
• 27:30
  Speaker 2: sixty five thousand. That would make you feel very good.
• 27:33
  Speaker 2: And I mean, at the end of the day, like
• 27:35
  Speaker 2: I love trucking net wealth of like clients and also myself,
• 27:38
  Speaker 2: and I'm sure you're doing the same, Like, once I
• 27:40
  Speaker 2: work all of that out with your shares and your superannuation,
• 27:44
  Speaker 2: like you're basically broken even, Like that's very sexy. I
• 27:47
  Speaker 2: like this for us.
• 27:50
  Speaker 4: Yeah, but that's sort of it for investments right now.
• 27:53
  Speaker 2: Oh, that's it. We've just spent the last ten minutes
• 27:55
  Speaker 2: talking about all your investments and where you're going. My friend,
• 27:58
  Speaker 2: you are doing so well, love it so much. You've
• 28:01
  Speaker 2: obviously got the four hundred and fifteen thousand in your
• 28:05
  Speaker 2: current home, and then you've got what the four seventy
• 28:09
  Speaker 2: five leftover, but obviously it's only half of that. Technically,
• 28:14
  Speaker 2: what other debts are you in? If you have any?
• 28:17
  Speaker 4: None?
• 28:18
  Speaker 2: None, slay. I love this. There's no car, there's no
• 28:21
  Speaker 2: zip pay, there's no after pay. Tell me a bit
• 28:24
  Speaker 2: more about your journey with debt. Is that something you've
• 28:26
  Speaker 2: ever worked with or is that something that you've ever had?
• 28:29
  Speaker 4: Yes, so there's probably two stories. I probably shouldn't tell you.
• 28:33
  Speaker 2: No, I want to know. I want to know, Like
• 28:34
  Speaker 2: everyone knows that I ended up in forty grand of
• 28:36
  Speaker 2: personal debt. It's no secret. Like, I don't think we
• 28:39
  Speaker 2: should judge past us on the decisions that we made
• 28:42
  Speaker 2: when we just didn't have the information that we deserved, right,
• 28:45
  Speaker 2: very true.
• 28:46
  Speaker 4: So I've always used consumer debt, but I feel like
• 28:50
  Speaker 4: I've used it to my advantage. Well, I mean debatable.
• 28:52
  Speaker 4: It got to a point where in COVID, obviously, when
• 28:56
  Speaker 4: I realized I was living paycheck to paycheck and we're
• 28:58
  Speaker 4: facing the fact that we might lose our jobs. All
• 29:00
  Speaker 4: these things were happening. That to me was the turning
• 29:04
  Speaker 4: point where I was like, Okay, let's start listening to
• 29:06
  Speaker 4: these podcast Let's get things in place. So leading up
• 29:09
  Speaker 4: to that point, I always racked up a credit card,
• 29:11
  Speaker 4: went traveling, came home, balanced, transferred, and paid it off.
• 29:15
  Speaker 4: So I never, in my entire life have paid interest
• 29:18
  Speaker 4: on a credit card, but I have always maxim out.
• 29:22
  Speaker 2: Yeah.
• 29:23
  Speaker 4: Yeah. When I came home to do my Masters, I
• 29:26
  Speaker 4: was in a bit of a bad car accident and
• 29:29
  Speaker 4: I had no money and I had to buy a
• 29:30
  Speaker 4: new car, and I wanted a brand new car because
• 29:32
  Speaker 4: I was really freaked out about security and stuff. So
• 29:35
  Speaker 4: I bought a fourteen thousand dollar card. Yeah, on my
• 29:38
  Speaker 4: credit card.
• 29:39
  Speaker 2: On your credit card?
• 29:40
  Speaker 4: Yeah, And then I balanced transferred it to a credit
• 29:44
  Speaker 4: card that had interest free for twelve months, and I
• 29:46
  Speaker 4: paid that off over twelve month.
• 29:47
  Speaker 2: Oh my gosh, she's a genius. She got the car
• 29:50
  Speaker 2: interest free. Okay, I mean I can't condone this because
• 29:53
  Speaker 2: I feel like it's a slippery slope, right Like, if
• 29:55
  Speaker 2: I did that, I know that I'd get in trouble.
• 29:58
  Speaker 2: But you did that and it worked out you And
• 30:00
  Speaker 2: that's why we're like, she's on the money because we
• 30:02
  Speaker 2: can learn. But one of the most important things that
• 30:04
  Speaker 2: we can do is learn what would work for us
• 30:07
  Speaker 2: and what wouldn't. And I know that wouldn't work for me,
• 30:09
  Speaker 2: but I'm low key a little bit jealous that it
• 30:11
  Speaker 2: worked out for you.
• 30:13
  Speaker 4: Yeah, So that was the first Probably people were calling
• 30:16
  Speaker 4: me an idiot, but it all worked out well.
• 30:18
  Speaker 2: Obviously you're like, yeah, idiot, but did you pay interest
• 30:21
  Speaker 2: on your car loan? That's what I thought.
• 30:23
  Speaker 4: That was my comeback every single time. Thank you, Victoria.
• 30:26
  Speaker 4: And so then when I got hyper focused on buying
• 30:29
  Speaker 4: a property, I actually had a broker laugh in my
• 30:32
  Speaker 4: face and tell me to come back in six months
• 30:34
  Speaker 4: when I actually had money.
• 30:35
  Speaker 2: Excuse me, you clearly didn't come to Zella money because
• 30:37
  Speaker 2: we would never No, I broke a laughed in your face.
• 30:42
  Speaker 2: That broker doesn't deserve their job by I know.
• 30:45
  Speaker 4: I obviously didn't use that broker. So I went directly
• 30:48
  Speaker 4: to my bank, where I'd been banking for twenty years
• 30:50
  Speaker 4: and I had a great relationship there. So I went
• 30:52
  Speaker 4: there and I said, be honest with me, and they
• 30:54
  Speaker 4: said the most you can borrow US two.
• 30:55
  Speaker 2: Hundred and forty thousand okay, And I went, okay, good
• 30:58
  Speaker 2: to know.
• 30:59
  Speaker 4: Yeah, So I went and got a personal loan for
• 31:02
  Speaker 4: twenty thousand dollars. And I came back three months later
• 31:05
  Speaker 4: and said, I've got a twenty thousand dollar post. I
• 31:07
  Speaker 4: want to buy a house for two hundred and forty
• 31:09
  Speaker 4: and they said yes, and I bought an apartment for
• 31:12
  Speaker 4: two hundred and forty thousand dollars.
• 31:14
  Speaker 2: Oh my god, you're giving me so much anxiety.
• 31:18
  Speaker 4: It was a lot of anxiety.
• 31:19
  Speaker 2: Like I don't mean to be rued, but you clearly
• 31:21
  Speaker 2: didn't have a financial advisor. I did not like, we
• 31:24
  Speaker 2: would not have let you do this.
• 31:25
  Speaker 4: I just wanted to be living in a house. Well
• 31:28
  Speaker 4: it was an apartment, let's be real, yep. And I
• 31:30
  Speaker 4: just wanted to be independent. I didn't want to rely
• 31:32
  Speaker 4: on anyone. I didn't want to borrow money It's probably
• 31:34
  Speaker 4: worth saying that I've never in my life borrowed money yep,
• 31:37
  Speaker 4: from my parents from a bank. Ever, so I borrowed
• 31:40
  Speaker 4: that money and it was on a seven year loan.
• 31:43
  Speaker 4: And then I got the mortgage obvious sleep and at
• 31:45
  Speaker 4: the same time, I was still traveling, so I still
• 31:47
  Speaker 4: was wracking up my credit card. And I got to
• 31:50
  Speaker 4: the point during COVID when everything blew up and went,
• 31:52
  Speaker 4: oh my god, what am I doing? Like, what if
• 31:54
  Speaker 4: something happened to me? I can't leave this for my family,
• 31:57
  Speaker 4: And so I took the baby step, you know, I
• 32:00
  Speaker 4: focused on one thing. I paid down the credit card first,
• 32:03
  Speaker 4: and I paid down the personal loan during COVID, So
• 32:06
  Speaker 4: I paid it off in three years.
• 32:08
  Speaker 2: I think, Okay, so you actually smashed it out, so
• 32:10
  Speaker 2: you've kind of proven to yourself you're able to save
• 32:13
  Speaker 2: in this capacity before. Yeah. Great.
• 32:17
  Speaker 4: And then I started focusing on the mortgage. And it
• 32:19
  Speaker 4: was at that point that I decided, Okay, I'm in
• 32:21
  Speaker 4: a great spot. Now I'm going to upgrade. So I
• 32:23
  Speaker 4: sold that apartment for three hundred thousand.
• 32:26
  Speaker 2: Oh my gosh, yeah, which is great money when yeah,
• 32:30
  Speaker 2: it was really good.
• 32:31
  Speaker 4: That was during COVID so I was twenty twenty one,
• 32:33
  Speaker 4: and then I bought my next place, which was the
• 32:36
  Speaker 4: biggest spend so far that I'd ever made. But it
• 32:39
  Speaker 4: was the dream place and it was beautiful and it
• 32:41
  Speaker 4: was in a nice suburb. So I bought that, and
• 32:44
  Speaker 4: I had no doubt at that point. So it took
• 32:46
  Speaker 4: me about a year or a year and a half
• 32:48
  Speaker 4: during COVID to really just get rid of all of that,
• 32:50
  Speaker 4: sell everything, and then start again. It was kind of
• 32:53
  Speaker 4: my pattern is just starting over.
• 32:56
  Speaker 2: I like it. But I'm also so impressed that that
• 32:58
  Speaker 2: worked out for you, because if that had gone backwards,
• 33:01
  Speaker 2: you would have been in a pickle, my friend.
• 33:04
  Speaker 4: And you know, I would have got laughed out of
• 33:05
  Speaker 4: any bank. Like at the time, I wanted to make
• 33:08
  Speaker 4: an investment at work, and I just had to scraunch
• 33:10
  Speaker 4: the money together because there was no way I was
• 33:12
  Speaker 4: getting any more lending from anyone like I was at
• 33:15
  Speaker 4: my CAP. I was still not on the best salary then,
• 33:17
  Speaker 4: and yeah, I just had to focus on clearing them
• 33:20
  Speaker 4: all and improving the credit score, doing all those things.
• 33:22
  Speaker 2: And you did it.
• 33:24
  Speaker 4: Yeah, I did it.
• 33:25
  Speaker 2: Oh my god, I'm so glad. I asked about debts
• 33:27
  Speaker 2: even tho.
• 33:28
  Speaker 4: Way.
• 33:28
  Speaker 2: I was like, I know she doesn't really have any
• 33:29
  Speaker 2: other debts, because that's the story I got.
• 33:32
  Speaker 4: Yes, Actually, I also had a very large HEX set.
• 33:37
  Speaker 4: It was fifteen five thousand dollars when I finished my Masters,
• 33:41
  Speaker 4: And I'm so dirty right now because I paid it
• 33:44
  Speaker 4: off last year.
• 33:46
  Speaker 2: Yeah, but I think that I might.
• 33:47
  Speaker 4: Get a credit anyway, because I did have a seventeen
• 33:50
  Speaker 4: thousand dollars debt at June first last year, Right, but
• 33:53
  Speaker 4: I paid it off and now everyone's getting a credit.
• 33:56
  Speaker 2: Wait, what date did you pay off your HEX.
• 33:59
  Speaker 4: I think it was November last year, was my last payment?
• 34:02
  Speaker 2: Right, Okay, you will probably get an indexation refund. Then
• 34:06
  Speaker 2: I was about to say, I've had a few people
• 34:08
  Speaker 2: message me and they go, am I going to get
• 34:09
  Speaker 2: a refund because I paid off my HEX step because
• 34:12
  Speaker 2: I didn't want to get indexed. I'm like, no, no, no,
• 34:14
  Speaker 2: they're giving refunds to the people that were index Like,
• 34:17
  Speaker 2: you're not going to get a refund. But if you
• 34:19
  Speaker 2: then were paying from the first of July to November
• 34:23
  Speaker 2: the index rate of it was seven point one percent,
• 34:26
  Speaker 2: that will probably be refunded to you, but it will
• 34:29
  Speaker 2: be refunded via your.
• 34:30
  Speaker 4: Tax return, which is fine.
• 34:33
  Speaker 2: I mean free money, like money you didn't think was
• 34:35
  Speaker 2: going to come your way. I mean it's nice, So
• 34:38
  Speaker 2: thank you very much. I'm looking forward to that because
• 34:41
  Speaker 2: I was one of the people that didn't pay off
• 34:42
  Speaker 2: anymore if my hex dex. I looked at my HEX
• 34:45
  Speaker 2: and I said, look, seven point one percent is really high.
• 34:47
  Speaker 2: But also my mortgage is increasing, and I'd much prefer
• 34:51
  Speaker 2: to be creating wealth still knowing full well that my
• 34:54
  Speaker 2: HEX will just tick away in the background, and I
• 34:56
  Speaker 2: know that it's more money, but at the end of
• 34:58
  Speaker 2: the day, like my mortgage could go up again, because
• 35:00
  Speaker 2: I mean it's tumultuous times, right, And now I'm like, hey,
• 35:03
  Speaker 2: that was a good decision because now that's seven one
• 35:05
  Speaker 2: percent is going to get refunded and I'd love to
• 35:07
  Speaker 2: see it.
• 35:08
  Speaker 4: Yeah, And you know, I would also say to someone
• 35:11
  Speaker 4: like I would not have paid off that HEX set
• 35:14
  Speaker 4: if it weren't for the fact that I bought my
• 35:15
  Speaker 4: current place last year, because it was affecting my borrowing power.
• 35:19
  Speaker 4: I was in mortgage prison, and that's the only reason
• 35:22
  Speaker 4: I paid it off, Like, honestly, just let it come
• 35:25
  Speaker 4: out of your pay Like there's no point paying it before.
• 35:27
  Speaker 2: You mortgage, Yeah, unless you've got a good reason. But
• 35:29
  Speaker 2: I also feel like, do the maths work it out?
• 35:32
  Speaker 2: Chat to a broker, because I have had people come
• 35:35
  Speaker 2: through Zella money before and they have paid off their
• 35:38
  Speaker 2: hecks because they thought that's what we would want them
• 35:40
  Speaker 2: to do, And in reality, we would have much preferred
• 35:43
  Speaker 2: to have that thirty thousand dollars as a bigger deposit
• 35:46
  Speaker 2: because now they had to go back to the drawing
• 35:48
  Speaker 2: board and save for you know, six more months to
• 35:50
  Speaker 2: get back to where they wanted to be. Whereas a
• 35:53
  Speaker 2: lot of banks are quite lenient when it comes to,
• 35:56
  Speaker 2: you know, considering your hex because they just go, well,
• 35:58
  Speaker 2: that's a good debt, Like I don't see it like
• 36:00
  Speaker 2: credit card debt or personal loans. So good to talk
• 36:04
  Speaker 2: to someone before you make a big decision like that,
• 36:06
  Speaker 2: because it is a big decision about a lot of money, right.
• 36:09
  Speaker 4: Yeah, And it hurt, like to pay seventeen thousand.
• 36:12
  Speaker 2: Yeah, all at once. Yeah, And they don't even send
• 36:15
  Speaker 2: you like a thank you note, like what the hecking?
• 36:17
  Speaker 2: Like I just gave you seventeen grand, like you could
• 36:19
  Speaker 2: at least buy me a coffee?
• 36:21
  Speaker 4: Yeah, I know. And the brokers are like, can you
• 36:23
  Speaker 4: print out a statement proving it. I don't believe you.
• 36:26
  Speaker 2: Oh excuse me. I'm so glad you didn't use those
• 36:29
  Speaker 2: brokers straight into the bin? All right, money dirist, I
• 36:32
  Speaker 2: want to know. I feel like we've got heaps to
• 36:34
  Speaker 2: learn from you. What's your best money have it?
• 36:36
  Speaker 4: I think that when I have a goal in my mind,
• 36:40
  Speaker 4: I'm very good at putting money towards it.
• 36:43
  Speaker 2: I think so too, Like I have learned a lot
• 36:45
  Speaker 2: in this last half an hour. I feel like, when
• 36:47
  Speaker 2: you want to achieve something, we're doing it, but we're
• 36:49
  Speaker 2: like doing it twice for sure.
• 36:51
  Speaker 4: I don't know how I got that. It's obviously something
• 36:54
  Speaker 4: I'm focusing on a lot more because I did get
• 36:56
  Speaker 4: to that point where I got a little bit unraveled.
• 36:58
  Speaker 4: But obviously I was able to grow my salary, which
• 37:00
  Speaker 4: was handy.
• 37:02
  Speaker 2: And sometimes we've got to get a little bit unraveled,
• 37:04
  Speaker 2: so we know what that feels like, so that we
• 37:05
  Speaker 2: don't do it again, for sure.
• 37:07
  Speaker 4: But yeah, that would probably be fairly good money have it.
• 37:10
  Speaker 4: I'm a little bit too generous.
• 37:12
  Speaker 2: I think sometimes that's not a bad thing. I think
• 37:15
  Speaker 2: that's a kind thing, Like not the end of the world.
• 37:18
  Speaker 2: Would you say that's your worst money have it?
• 37:20
  Speaker 4: Yeah, because I'm on the cusp of, you know, fiercely
• 37:23
  Speaker 4: saving but then also wanting to live my life. I
• 37:26
  Speaker 4: am a bit of a splurge spender, and especially when
• 37:29
  Speaker 4: it comes to health, like, I will try anything once,
• 37:32
  Speaker 4: Like I'll try every specialist. I will try the new treatments.
• 37:36
  Speaker 4: I love a good steam room, I love a sauna.
• 37:39
  Speaker 2: Oh who doesn't a little bit lucks? I mean, you
• 37:43
  Speaker 2: have a high income at the end of the day,
• 37:45
  Speaker 2: and you don't have any kids, and you already have
• 37:47
  Speaker 2: a mortgage. I feel like you deserve the facial you know, yes,
• 37:50
  Speaker 2: thank you, you definitely deserve it. So you're a bit
• 37:53
  Speaker 2: of a splurge spender. Has that gotten in the way
• 37:55
  Speaker 2: of your saving?
• 37:56
  Speaker 4: Sometimes? Yeah, for sure. And it's usually a trip. Like
• 38:00
  Speaker 4: usually someone goes, oh, like, do you want to maybe
• 38:03
  Speaker 4: go to Fiji for a week?
• 38:04
  Speaker 2: And I'll be like, okay, shure, well, yes, obviously I
• 38:06
  Speaker 2: want to go to Fiji for a week. Who you
• 38:08
  Speaker 2: are asking?
• 38:10
  Speaker 4: I know, And I will definitely prioritize things like that
• 38:13
  Speaker 4: over a goal that can change that I'm flexible with
• 38:17
  Speaker 4: for sure.
• 38:17
  Speaker 2: Fair all right, at the start of this episode, you
• 38:20
  Speaker 2: told me that you think you're a B plus. Like,
• 38:22
  Speaker 2: I'm going to argue with you because I think you're
• 38:24
  Speaker 2: way better than a B plus, Like you are killing it.
• 38:27
  Speaker 2: But reflecting on everything that we've spoken about, do you
• 38:31
  Speaker 2: think that you are still at a B plus? If so,
• 38:34
  Speaker 2: tell me why if not, What is it going to
• 38:36
  Speaker 2: take to get to that A plus? What does that
• 38:38
  Speaker 2: look like?
• 38:39
  Speaker 4: In my head, It's okay to be a B plus
• 38:41
  Speaker 4: because the A plus means that I'm having to sacrifice
• 38:45
  Speaker 4: a little bit more, which I don't think I'm willing
• 38:47
  Speaker 4: to do. I'm okay with being a bit spendy here
• 38:50
  Speaker 4: and there if it means, you know, life is more enjoyable,
• 38:52
  Speaker 4: a little bit fun along the way. So I think
• 38:55
  Speaker 4: I'm comfortable being a B plus. Maybe if the years,
• 38:59
  Speaker 4: you know, get a bit easy, yeah, I'll save a
• 39:01
  Speaker 4: little bit more and try and own a bit more money. Maybe.
• 39:04
  Speaker 4: I don't know.
• 39:04
  Speaker 2: Nah, I disagree. I think you're more of an A,
• 39:07
  Speaker 2: and you're an A because of that mindset, because you're
• 39:09
  Speaker 2: so aware that you want to still live life and
• 39:12
  Speaker 2: find that balance. And I think that money can be
• 39:15
  Speaker 2: overwhelming and all consuming, and that you know a lot
• 39:18
  Speaker 2: of people assume that an A plus person has no fun,
• 39:21
  Speaker 2: Like I would argue that someone who's really really good
• 39:24
  Speaker 2: at money actually understands that they have emotional and lifestyle
• 39:28
  Speaker 2: needs in addition to just hoarding cash in the bank, right,
• 39:32
  Speaker 2: Like I would actually say that somebody who holds cash
• 39:35
  Speaker 2: in the bank and money gives them anxiety, but they
• 39:37
  Speaker 2: save every single dollar. They're maybe not an A plus
• 39:40
  Speaker 2: because they're not where they need to be, right yeah, fair,
• 39:43
  Speaker 2: but each to their own. And I mean, if you're
• 39:45
  Speaker 2: saying that you're still a B plus and you're happy there, like,
• 39:48
  Speaker 2: who am I to disagree if you're still working towards
• 39:50
  Speaker 2: your goals? Like, I don't even want to argue with
• 39:52
  Speaker 2: you right now. I just want to talk more about
• 39:54
  Speaker 2: property and how you mastered the credit card balance transfer game.
• 39:57
  Speaker 2: Like to me, that's blowing my mind.
• 40:00
  Speaker 4: Yeah, it does affect your credit score.
• 40:02
  Speaker 2: Yeah, look it does. And it's definitely a do as
• 40:04
  Speaker 2: I say, not as I do kind of thing. We're
• 40:06
  Speaker 2: just sharing this so that you can learn from our
• 40:09
  Speaker 2: money direst not necessarily replicate her behavior, but I mean,
• 40:12
  Speaker 2: you do you with the right tools and resources, right
• 40:15
  Speaker 2: for sure, money Direst it has been an absolute pleasure
• 40:19
  Speaker 2: having a chat with you. Unfortunately, that is all we
• 40:21
  Speaker 2: have time for today, but thank you for letting me
• 40:23
  Speaker 2: share your story with the community. They are going to
• 40:26
  Speaker 2: love it. And your friend that bullied you into coming
• 40:28
  Speaker 2: on the show, I thank her because this was so
• 40:30
  Speaker 2: so worth it.
• 40:31
  Speaker 4: She'll appreciate that.
• 40:32
  Speaker 2: I love that the advice shared on She's on the
• 40:41
  Speaker 2: Money is general in nature and does not consider your
• 40:44
  Speaker 2: individual circumstances. She's on the Money exists purely for educational
• 40:49
  Speaker 2: purposes and should not be relied upon to make an
• 40:51
  Speaker 2: investment or financial decision. If you do choose to buy
• 40:54
  Speaker 2: a financial product.
• 40:55
  Speaker 5: Read the PDS TMD and obtain appropriate financial advice.
• 40:59
  Speaker 2: Tailored towards your needs.
• 41:01
  Speaker 5: Victoria Divine and She's on the Money are authorized representatives
• 41:05
  Speaker 5: of money. Sheper p T y L t D A
• 41:07
  Speaker 5: b N three two one six four nine two seven
• 41:10
  Speaker 5: seven zero eight a F s L four five one
• 41:13
  Speaker 5: two eight nine