Average Wage in Aus

T

Tash_85

I believe i read an article the other day stating the average income in aus is 65k a year. I found that really hard to believe, is it because its combining all industries .... I'm curious to know what the average income is, how do people start up with property investment and get to the point of holding say 7 or 8 properties. Is it because a) of their high combined income with their partner b) smart strategies or c) inheritance or maybe a bit of all.

I know based on speaking to family and friends they dont earn 65k, so curious to see where these figures have come from.

My goal is to have my current place i have just purchased paid off ( my investment) and a place to live in ( not paid off) by the time i am 30. I have given myself 7 years to pay this off . Im not sure if this is realistic though, as im hoping to move out in the next year but not sure if i should buy or rent. If i used the equity in my first property i would be back to square one with even more debt.The place i just bought is worth around 300k, and i have a loan of 250k.

Thanks
 
your figure is average, not median. Because high flyers earn much much more, they pull the average up. Actually, including Super, the average Australia salary is about 80k (source http://content.mycareer.com.au/salary-centre/)

But you look at the median, it is very low. rich-poor gap is widening.

Median-Salary-by-Years-Experience---Country-Australia-Australia_AUD_20081109121044-v1.0.jpg
 
Tash_85 said:
My goal is to have my current place i have just purchased paid off ( my investment) and a place to live in ( not paid off) by the time i am 30. I have given myself 7 years to pay this off .
Click to expand...
Have you got the structure of the loan right to maximise your tax deductibility? Are you maximising you tax deductible debt? Are you putting your extra funds in an offset account?
 
tash usually its a mix IMO

a few years ago I had a girl come see me, she was 21 and had 3 properties, heading into her third or fourth.

I was somewhat amazed - she said when she turned 18 her dad took her to a real estate agent, bought a house, went guarantor for her. Did the same thing with her the next year. Year 3 she walked into the bank by herself and did it off of her own bat.

And I think her income then was about 30k a year.

But as well, and in saying this realise that it may sound odd... the reason people earn 30-40k a year is because they dont know how to earn more. If they did they would be.
 
Congrats..good to start young. You should consider paying off your own place rather than IP for tax benefits.

It's b for sure = smart strategies!

Get good advice about how to borrow money.

I saw even earning ave of $50k p.a..it will be hard to pay off a property in 7 years unless you live really tight. I started at your age, took us about 7 yrs to pay off our own home but our salary has only ever being $40 to $70k max between us (married young) and we never used any of our own income to pay off the house. That all went to enjoying life. I think you will need a combination of capital growth, buying more IPs and income to pay off your house in 7 years.
 
lukentel said:
But as well, and in saying this realise that it may sound odd... the reason people earn 30-40k a year is because they dont know how to earn more. If they did they would be.
Click to expand...

or they don't want to earn more. why do I want to earn more when my real job is PI? I count capital growth as income too. Each year I aim for $150k to $200k p.a but only about $60k of that is work income.

I know, it's hard too tell that to the bank. If I was working full time, pulling in long hours, I won't have time to build houses and tend to a growing family and travel. Getting old..not as much energy. Also, we work in what we enjoy regardless of income...PI has helped us do that.
 
lukentel said:
But as well, and in saying this realise that it may sound odd... the reason people earn 30-40k a year is because they dont know how to earn more. If they did they would be.
Click to expand...

Don't agree with this at all. We have accumulated far more wealth since I stopped working (and more than halved our combined income) because I have the time to think about investing and the bigger picture. We also have a much nicer life.
 
ethereal said:
Don't agree with this at all. We have accumulated far more wealth since I stopped working (and more than halved our combined income) because I have the time to think about investing and the bigger picture. We also have a much nicer life.
Click to expand...

Funny how it works huh,
I used to be a saver and was never 'wealthy' but since realising it would get me nowhere and started investing, the more I buy, the richer I am and the less I worry about money, I seem to have more cashflow now than I did when I was hoarding it all funnily enough, once you have a good trail of rents coming in theres no need to worry about 'cash' anymore. I seem to have plenty of it, who said money doesnt grow on trees. .
 
Kim5 said:
Some people dont want higher incomes, and the stress that the job brings with it.
Click to expand...

I agree. I could earn a lot more in salary than I do now, but don't want the extra stresses and the reduction in quality of life that comes with it. Passive income and wealth creation creates a lot better lifestyle than working long hours or away from home for long periods, in my opinion anyway.
 
My brother gave up his six figure banking job several years ago because it was so stressful in the area he was working. He is mowing lawns, earning considerably less than half his earlier income, and loving it. He does get some government child benefits now because he has five kids, something he never got any of with his old job because his income was too high.

He has been asked back a few times, but reckons he will never go back to that environment again.

He loves being his own boss, loves mowing lawns and landscaping jobs and doesn't mind working in a Brisbane summer :eek:

It is NOT always about the money ;).
 
allblack said:
I agree. I could earn a lot more in salary than I do now, but don't want the extra stresses and the reduction in quality of life that comes with it. Passive income and wealth creation creates a lot better lifestyle than working long hours or away from home for long periods, in my opinion anyway.
Click to expand...

Been there and done the first bit, now doing the second bit.

Most people spend much of their teenage and sometimes early/mid twenties years getting educated towards getting a high-paying job; a job that usually comes with much stress. Screw that.

I prefer to spend a good deal of time to get educated in what will put me into a position of earning lots of income for lots less work and stress.
 
I think you guys are misinterpreting where I was heading...

maybe as a rephrase... I'm looking at it here from a non standard definition of income than just paye. if you're earning low income and (for example) start property investing, shares - whatever - and gain growth etc then you've found another way to earn more.
 
How do i learn more about this? I went to the ark group and spoke to them about wealth creation through IP but i dont trust them. I've been warned to trust no one... So who do you seek advice from ( besides this forum). Do you all go to seminars or does someone look after all your ip ?
 
You must log in or register to reply here.

Similar threads

J
Refinance possible
Replies
10
Views
2K
Joostoz
J
N
Buy and hold strategy break down
Replies
16
Views
4K
Beanie Girl
B
W
Low-doc loans - how easy to get?
2
Replies
27
Views
4K
MTR
MTR
MTR
Do banks view this as income
Replies
10
Views
1K
MTR
MTR
B
Superannunation and Investment property.
Replies
2
Views
1K
MIW
M
Back
Top