Discussion Random Discussion

[Nutsngum]

I'm 53. Every generation that wants to get ahead works their ******* backsides off and makes sacrifices.

Yeah I lost a few houses in the recession, but guess what? I was greedy and over stretched myself and couldn't afford the repayments.

To be honest, the boomers have been the biggest drain on resources... like a massive vacuum cleaner.

Its interesting you mention the loss of houses because people really do like to ignore the risk that is inherent with debt, if you cannot pay to service the mortgage you can lose the house. Currently our interest rates are low as hell in part because the banks know very well that any sizeable increase in interest will immediately **** over a heap of lenders and all of a sudden the banks own a bunch of properties they dont want and then the market falls apart quickly.
I have friends who have a) had to borrow against their parent's assets to get a loan in the first place and b)live paycheque to paycheque. If my mate loses his job they are going to be in strife really quickly and its caused him a lot of stress during a recent merger where others lost their jobs. It is not a good circumstance to be in but I suppose he should just find a 2nd job despite living in Cranbourne and commuting over 3 hours a day and then helping to look after his newborn.

Interesting last couple of pages!

I'm 27, can understand exactly where everyone is coming from. I own a 3 bedroom 2 bathroom apartment in Armadale however half of it was inherited half I had to work for/finish paying off. It will be paid off next month and then I will be trying to get myself down towards Sandringham way.

Definitely want to have my own bit of land, and have considered moving out to Geelong as another option but I can't see how that's going to really work when everything in Melbourne is so centralized.


I had the same thing mate. They came back to me and told me I could take out about $250,000. This was about 4 years ago. If you can stay with family while you save that's probably the only other option. House & land packages are at about $500,000 at a minimum and if you could save $200k in a few years it'd definitely make it so much easier. I saved $100,000 in 2 years but I worked just under 1000 hours of overtime to make it happen lol. And I'd say I'm probably middle of the pack in terms of salary.

I think without the inheritance I'd be in the exact same boat as you.

Basically the only way I can crunch the numbers is attain a loan of $400k give or take and then purchase a 2bedroom place somewhere and rent the other room out to someone.

 

[CALL ME SNAKE]

People want and expect too much as a first home as well. It's almost beneath them to start off with a 3 bed, 1 bath old home anymore. ?

This is a very valid point.
obviously not ALL new home buyers want a McMansion or want a to live in a trendy suburb surrounded with cool cafes/restaurants. I realise it's a more complex issue than that.
But there are a hell of a lot of peeps who refuse to buy a shit box on the far outskirts of suburbia.

 

[VDS66]

There's a lot of merit in renting whilst spreading funds over one or two investment properties where the tenants help pay the mortgage...

 

[SaintsSeptember]

I was in my 30's when i got my first house ( forced to sell , got back the money i paid, but lost my deposit in fee's ).
Late 30's when i got my second ( which helped me get my third ). When i was 25 i'd not long had a job after finishing Uni, and had to move away from home to do it ( renting ). Inflation was so high second hand cars cost more than when they were new.

The first one was a heart breaker. I'd moved to Perth for a specific job and my wife and i decided to buy there.
After buying a house things were so much tighter financially than they were when renting.
It was just such a waste. We could have stayed renting and travelled around a lot more and eaten out in Restaurants twice a week and still had a decent deposit when it all went wrong.

Regional Area's can be a good idea. Buy it to rent out , not to live in. It makes more financial sense anyway, and gets you in the market.
Buy a unit or something. Choose an area carefully. ( ie if the local timber mill and only employer in town is about to close....that's a no ).

If you live in an apartment in the city and go to bali twice a year and eat out several times a week on a standard sort of wage , you won't be saving your deposit real soon.

If you're 25 and still live with your parents you should be able to chuck away a deposit in a few years and service a $500 000 loan.

Its also possible to form a business partnership to buy an investment property, though you want to have the contract drawn up carefully.

If you want to buy property don't buy "cool new cars". They can be a massive money pit.

 

[st_trav_ofWA]

There were no superannuation schemes when I started working, and when there was, they weren't compulsary.....I didn't start having a proper super fund until I had a full time big company job 20 years ago. Living most of my life in a small country town, we took what shitty jobs were available, some were full time, some were part time.

...and at one time I had 3 jobs (all part time) just to be able to pay my house payments and live. Then came the recession "we had to have in '91" we were all retrenched from the first full time job I'd had in years. I hadn't met my now husband at that stage, so it was a massive struggle for me. I eventually had to sell my house.

Yes, houses were very cheap back then....but it is all relevent to the time. In another 30 years what seems exorbitant prices now, will look really cheap when looking back.

When my parents bought their first home it was only 1000 pounds (approx $2000) It was considered an expensive home. When my ex husband and I bought our first home we paid $15,900, that seemed huge at the time.....and we struggled to make ends meet. we both took jobs(day and night) to pay for the house.

We sold it for 30,000 10yrs later. We worked our butts off doing whatever job was around, but we did it.

So, to anyone thinking times are tough now, and the baby boomers got it easy, take a hike, we worked bloody hard for what we had during some tough times....you can do likewise if you put your mind to it and not expect it to fall in your lap or that you are entitled to it.

Each generation has had to struggle to work for what they want......might be different types of struggle but the outcome is pretty much the same in the end.

Superannuation is now compulsary, and if you can start contributing now, it will go a long way to help in your retirement....I got very little after only having it for a short time over my working life, and I wasn't able to contribute to it much either..

If you can't achieve what you want in the city, move to a bigger regional city, houses cheaper and if you really want work you will find it if you aren't a job snob.

Sorry for the rant people, but this baby boomers ruined our lives crap gets up my nose, but I make no apologies for being one.

I don't like coming on your board and causing upset for anyone, hope you can forgive and understand where I'm coming from.

urghhh the typical baby boomer war cry "we worked hard to get waht we got" booo friggin hooo our generation work just as bloody hard the differance being when your generation put your bum up and worked hard you got rewarded for it and got ahead by working hard , our generation firstly have to find that second job and if you have seen the job market there aint that many to go around for us to get the first job let alone a second... but say we do fluke it and get a second job so we bust our gut to get ahead the sad fact is once we get enough together from our scrimping and working hard to get a deposit together we put in a home offer and you boomers come in over the top for another investment property ...
i seriously fear for our next generation because if we think this is hard they are near on stuffed .. unlike the boomers who think they had it the worse we know we got it bad but its going to be even worse for the next gen...

i did hold 3 jobs myself but that was purely to survive in that preiod the money i made from the three jobs paid my school fee's, food , rent and petrol for the car working bloody hard then was not about getting ahead it was about keeping afloat

 

[st_trav_ofWA]

For the record im looking at property at the moment. On my current income, which isnt terrible, my bank has given me an online loan offer of like $230,000. Obviously a proper lending enquiry will be more then that but as it stands as a single person is almost entirely locked out of the market in Melbourne. You WILL NOT find a property below $300,000 anywhere within Melbourne.

simple.... just work harder or move 1000kms from the city #babyboomerlogic

 

[st_trav_ofWA]

This is a very valid point.
obviously not ALL new home buyers want a McMansion or want a to live in a trendy suburb surrounded with cool cafes/restaurants. I realise it's a more complex issue than that.
But there are a hell of a lot of peeps who refuse to buy a shit box on the far outskirts of suburbia.

now im in Perth so this might be differant then melbourne but the 3 bed on bath shitboxes are still out of reach for most genY its not that we want too much heck we live in some of the crappiest share houses .. as for moving out of the inner city its also a false saving i know people who live in the "cheaper" suburbs of Perth and have a 2hr comute to work each day .. 4 hours of car travel every day with fuel at $1.50per litre .. they could take the train to work but then thats $10 a day in train fairs plus the cant walk to the train from their home so they gotta drive in and pay $15 a day for parking so they are paying $25 a day just for the pleasure to get to work ..

 

[SaintsSeptember]

urghhh the typical baby boomer war cry "we worked hard to get waht we got" booo friggin hooo our generation work just as bloody hard the differance being when your generation put your bum up and worked hard you got rewarded for it and got ahead by working hard , our generation firstly have to find that second job and if you have seen the job market there aint that many to go around for us to get the first job let alone a second... but say we do fluke it and get a second job so we bust our gut to get ahead the sad fact is once we get enough together from our scrimping and working hard to get a deposit together we put in a home offer and you boomers come in over the top for another investment property ...
i seriously fear for our next generation because if we think this is hard they are near on stuffed .. unlike the boomers who think they had it the worse we know we got it bad but its going to be even worse for the next gen...

i did hold 3 jobs myself but that was purely to survive in that preiod the money i made from the three jobs paid my school fee's, food , rent and petrol for the car working bloody hard then was not about getting ahead it was about keeping afloat

Obviously not 8 hour a day jobs .
I hated the Perth Job market. There were jobs out in the mining and oil and gas. But when i was there, with my skillset it was hard to get into, and it wasn't really what i wanted. The City based jobs were not that flash. That's when i sold my house and moved back to Victoria.

The quality of jobs in Australia is really going down. Way too many part time/casual jobs in the service industry.
Industries like car assembly had a variety of specialised rolls for people, but as these jobs dry up, job prospects are more and more vanilla.
Then i hear that "Streets Ice Cream factory workers are fighting to keep their $80 000 income , producing a product that can easily be brought in from just about anywhere in the world. Jesus Christ what fantasy world are they living in.

But.
Buying property has always been easy for those who are on a good wicket. But for a lot of Australians its always been a battle. Its literally sitting down and accounting for every dollar you spend. Going through the grocery list and tying to find ways of saving money. Shopping around for everything. Giving up holidays for years. Making Sandwiches for lunch .

 

[gringo2011]

Loving the replies in this thread.

I'm in a bit of a pickle myself and not really sure which way to go. 25YO, married with a $460K loan on a house probably worth about 700k. I recently upgraded homes but starting to regret it as I added nearly 200k to my morgagte. Single income with no savings and working a job I hate more than words can express.

Am I crazy for thinking about selling and banking the equity? If the bubble bursts I'll be in some serious trouble.

I don't know, everything is a gamble. I had a friend sell about 5 years ago because it was about to burst and he term deposited the money and was going to clean up. Instead he's had the property market move away completely. I reckon if you do sell, you are best to buy something cheaper with less mortgage and have it there just in case. Even if it drops away you have bricks and mortar but a more manageable mortgage. Even if you buy a flat that you own and don't live in, it can supplement your rent on something you do want to live in.

Working in a job you hate sucks though regardless. Can't help with that one.

 

[SaintsSeptember]

now im in Perth so this might be differant then melbourne but the 3 bed on bath shitboxes are still out of reach for most genY its not that we want too much heck we live in some of the crappiest share houses .. as for moving out of the inner city its also a false saving i know people who live in the "cheaper" suburbs of Perth and have a 2hr comute to work each day .. 4 hours of car travel every day with fuel at $1.50per litre .. they could take the train to work but then thats $10 a day in train fairs plus the cant walk to the train from their home so they gotta drive in and pay $15 a day for parking so they are paying $25 a day just for the pleasure to get to work ..

Now you're sooking like a petulant little brat. EVERYONE wants inner city. That's why its expensive. Unless you have a way of getting more money than everyone else who wants to be inner city you can't have one.

When we were there the house we could afford was up in Craigie.
My wife had to catch the train to the city from Whitfords every day.
Current Smartrider costs you around $7.00 ( Zone 3 ) . Carparking at Whitfords $2.00
So it costs a couple of thousand per year. If you can walk to work and save the money its worth spending $100 000 extra for your inner city place, maybe worth some more if you can totally do without a car , but i suspect they want a lot more than that.

If you want to live within 1Km from the center of the city there is only 3km square of land actually available. 2Km there is 12km sq 3km there is 27. 10km there is 300km sq.
Why do you think people live out in those suburbs and commute? Why do you think its especially hard for you?
By all means find a way to get rich , but don't sook about how hard it is for you to get what most others can't afford.

 

[st_trav_ofWA]

your not wrong the job market is friggin terrible... my wife used to work as a manager in a retail clothing store from her casual staff she had 3 young girls just out of uni one a fully qualified marine biologist, one a biology scientist and the other an occupational therapist .. these girls were qualified skilled and enthusiastic , they were not lazy or unemployable but all three had to take jobs at a clothing store because there was no work in their chosen field the biology scientist ended up moving to south africa to take an internship as a lab assistant just to get her foot in the door... so we have some very good people out there who could be doing great things but cant get the work .. funny enough the regional manager of this clothing store berated two of the girls for not having the passion for their jobs ... yeah no crap when you have spent $100K to get your qualifications to save the sea turtle gettin pasionate about the new $70 tshirt from a bangladesh sweat shop is pretty damn hard

 

[gringo2011]

Interesting topics. Here's my take...

When interest rates were 18% the average loan was around $80k for me. Problem now is that $80k is barely a deposit and because of the size of the mortgage, even a 50 basis point increase will tip a lot of people over the edge.

The whole economy is built on this housing bubble. Keep your job and you should be OK.

People want and expect too much as a first home as well. It's almost beneath them to start off with a 3 bed, 1 bath old home anymore. But as stated, the money is in the land.

Government incentives are going to the wrong people imo and negative gearing has to go on old properties.

As far as businesses moving to rural areas... what sort of businesses exactly?

The difference between Germany and us is the tyranny of distance and transport. Manufacturers and exporters need proximity to ports and distribution points.

So it's not that simple. What would be a better idea is to get some decent fast trains so that people can live in Bendigo and commute to work in a shorter time.

Urban sprawl is a massive headache. I like the idea of incentives for business to go regional if you can get it to work.

However if you can't get it to work in Geelong, what hope for Bendigo?

I worked in Germany when I was young, they are really strict with zoning. In places like Hamburg and Munich the country can start at a fence line and cows will be beyond the city wall. They manage to be very efficient and respectful to heritage while increasing the transport and density levels. It's much better regulated. We have so much space we just waste it all and have no real master plan. They place a huge emphasis on protecting character and environment while making places liveable.

Negative gearing is a disgrace. There are much more efficient incentives for development. My father in law owns a heap of property and it is in his interest to keep buying more property to pay less tax so he does. He pushes the price up for people who just want one house and has the capital and the incentive to out bid them. It double hurts in that it keeps others out of the property market and he pays less tax and so there is less money going back into schools and hospitals etc.

 

[SaintsSeptember]

your not wrong the job market is friggin terrible... my wife used to work as a manager in a retail clothing store from her casual staff she had 3 young girls just out of uni one a fully qualified marine biologist, one a biology scientist and the other an occupational therapist .. these girls were qualified skilled and enthusiastic , they were not lazy or unemployable but all three had to take jobs at a clothing store because there was no work in their chosen field the biology scientist ended up moving to south africa to take an internship as a lab assistant just to get her foot in the door... so we have some very good people out there who could be doing great things but cant get the work .. funny enough the regional manager of this clothing store berated two of the girls for not having the passion for their jobs ... yeah no crap when you have spent $100K to get your qualifications to save the sea turtle gettin pasionate about the new $70 tshirt from a bangladesh sweat shop is pretty damn hard

My kids are at school and there seems to be this prevalent thing, where they are encouraged to do what they enjoy and what they are good at. ( there seems to be this huge number of kids who think they can get jobs programming video games ).
Meanwhile like your examples i know of an Aeronautical Engineer who works in Flight Centre.
There needs to be WAY more emphasis at schools regarding the market for their chosen fields.

The government seem to take the opposite approach.
We need more engineering work, lets train engineers.
We need more science , lets train scientists.
What we really need is investment by those needing engineers and scientists.

 

[st_trav_ofWA]

Now you're sooking like a petulant little brat. EVERYONE wants inner city. That's why its expensive. Unless you have a way of getting more money than everyone else who wants to be inner city you can't have one.

When we were there the house we could afford was up in Craigie.
My wife had to catch the train to the city from Whitfords every day.
Current Smartrider costs you around $7.00 ( Zone 3 ) . Carparking at Whitfords $2.00
So it costs a couple of thousand per year. If you can walk to work and save the money its worth spending $100 000 extra for your inner city place, maybe worth some more if you can totally do without a car , but i suspect they want a lot more than that.

If you want to live within 1Km from the center of the city there is only 3km square of land actually available. 2Km there is 12km sq 3km there is 27. 10km there is 300km sq.
Why do you think people live out in those suburbs and commute? Why do you think its especially hard for you?
By all means find a way to get rich , but don't sook about how hard it is for you to get what most others can't afford.

im not saying 1km from the city obviously the closer to the city the more expensive but the way perth is even when you get the 30kms out of the city it is priced out of reach for most genY where my friends live there arr houses owned as investment properties they are nowhere near the city and the owners have no interst in having these home filled.. why?
i am not sooking about it thats life so what but when the baby boomers spout off how its so damn easy you just need to work harder or move further out of the city thats factually incorrect the odds are not in our favour and its bloody hard what ever way you slice it..
the other thing that gets my goat is the baby boomers mistaking working efficently for not working hard.. like their generation were the hardest workers ever , an example that frustrates the hell out of me is two guys I manage who do the same job.. one a boomer the other a genY.. come 4:30pm on the dot the genY is out the door the Boomer is there usually til almost 5pm , every day we hear the same gripe from the boomer about the bloody lazy kids in the workshop, no work ethic, on their phone straight away at break, never staying back blah blah blah... the fact is the genY guy is producing significantly more, is costing me less in wages and gets in does his work and go's with no fuss.. The boomer is slower , makes more mistakes and most of the time stays back because he is behind on his schedule because hes wasted most of his day complaining about the GenY being lazy ...

 

[CursingFijian]

In Fiji we have a register that indigenous fathers and mothers must go down and log their children in to after birth, which when complete gives you a claim to land ownership. It’s not as simple as sign up for free land, but it means that indigenous Fijians should always have legal claim to the right to reside in areas that reflect their ancestry.

The ‘Vola ni Kawa Bula’ it’s called.

 

[CursingFijian]

Today I learned that Peacock spiders are just beautiful.

 

[st_trav_ofWA]

My kids are at school and there seems to be this prevalent thing, where they are encouraged to do what they enjoy and what they are good at. ( there seems to be this huge number of kids who think they can get jobs programming video games ).
Meanwhile like your examples i know of an Aeronautical Engineer who works in Flight Centre.
There needs to be WAY more emphasis at schools regarding the market for their chosen fields.

The government seem to take the opposite approach.
We need more engineering work, lets train engineers.
We need more science , lets train scientists.
What we really need is investment by those needing engineers and scientists.

that hard to do though .. job trends change so quick.. when i was in school we had a shortage of tradies and the mines were screaming out for electicians so i turned my focus that way .. by the time it came to get an apprenticeship the goal posts moved and there were no companies looking for apprentices... all the grown us said the old chestnut " go knock on doors asking for work" easy... yeah right i ended up working a warehose job .. thankfully i found i had a skill for sales and that changed my career direction now in my 30's thats changed again ..
as a 16 yearold its hard enough to decide what you want to do let along trying to predict what industry is going to be alive by the time your ready to get the job .. my advice to kids is to be fluid and open to multiple options cause life always throws you in all kinds of directions

 

[CALL ME SNAKE]

Life changes and evolves but..
All generations had it tough.ALL OF THEM.

I could list 20 things better about being young nowdays and 20 things worse.

Still a great country. Still great to be alive.
"

 

[SaintsSeptember]

I worked in Germany when I was young, they are really strict with zoning. In places like Hamburg and Munich the country can start at a fence line and cows will be beyond the city wall. They manage to be very efficient and respectful to heritage while increasing the transport and density levels. It's much better regulated. We have so much space we just waste it all and have no real master plan. They place a huge emphasis on protecting character and environment while making places liveable.

Negative gearing is a disgrace. There are much more efficient incentives for development. My father in law owns a heap of property and it is in his interest to keep buying more property to pay less tax so he does. He pushes the price up for people who just want one house and has the capital and the incentive to out bid them. It double hurts in that it keeps others out of the property market and he pays less tax and so there is less money going back into schools and hospitals etc.

Negative gearing is just every company's right to take losses out of the profit.
If your business buys a machine and it needs to be repaired all the time you don't pay tax on profit before repair costs.
If your business buys a house to rent and it needs to be repaired, you don't pay tax on profit before repair costs.

So to get rid of negative gearing , you're really creating a regulation for a specific industry rather than removing one.

Germany seems to have an ideal mix of people and industry. But its not like their transport is so much advantaged over ours.

Freight.: The current tendency is road transport , nearest port is Rotterdam in another country. It is a very EFFICIENT port. My company bring in material from Spain, its road freighted to Rotterdam for a few reasons.
Rail : Excellent Rail system. Could you imagine a business man in Australia getting off a plane and onto a Train to travel a couple of 100Km? Clean fast and comfortable. However the company i work for seem very big on organising "Taxi's" for the 100Km trip.

Victoria could certainly make tentative moves in that direction.
Most of our larger regional centres have at least access to rail.
Our Seaport is smack in the middle of the CBD :/ Didn't someone talk about a second one?
Our Rail doesn't meet the airport. Didn't someone talk about building one ?
The main road that goes from East to West runs right through .... The CBD , where apparently everyone needs to work because .... infrastructure and stuff ( not buying it , its old think ).

Yeah very important we have all those trucks and ships and businesses all in the same little location.

 

[SaintsSeptember]

that hard to do though .. job trends change so quick.. when i was in school we had a shortage of tradies and the mines were screaming out for electicians so i turned my focus that way .. by the time it came to get an apprenticeship the goal posts moved and there were no companies looking for apprentices... all the grown us said the old chestnut " go knock on doors asking for work" easy... yeah right i ended up working a warehose job .. thankfully i found i had a skill for sales and that changed my career direction now in my 30's thats changed again ..
as a 16 yearold its hard enough to decide what you want to do let along trying to predict what industry is going to be alive by the time your ready to get the job .. my advice to kids is to be fluid and open to multiple options cause life always throws you in all kinds of directions

Good Advice.
My Daughter is hoping to get into Nursing , and i think i'll feel pretty happy with that.
My Son wants to do the computer programming thing, and i say to him, I can email a guy in India with my requirements, and he'll email me back the program, and i can pay him in Rupee's. My wife seems to think i'm being negative and trying to burst his bubble but i just want him to be careful with his choices.

Personally i have a trail of dead companies behind me. ( i like to think it wasn't my presence that killed them ).

 

[VDS66]

Negative gearing is just every company's right to take losses out of the profit.
If your business buys a machine and it needs to be repaired all the time you don't pay tax on profit before repair costs.
If your business buys a house to rent and it needs to be repaired, you don't pay tax on profit before repair costs.

So to get rid of negative gearing , you're really creating a regulation for a specific industry rather than removing one.

Germany seems to have an ideal mix of people and industry. But its not like their transport is so much advantaged over ours.

Freight.: The current tendency is road transport , nearest port is Rotterdam in another country. It is a very EFFICIENT port. My company bring in material from Spain, its road freighted to Rotterdam for a few reasons.
Rail : Excellent Rail system. Could you imagine a business man in Australia getting off a plane and onto a Train to travel a couple of 100Km? Clean fast and comfortable. However the company i work for seem very big on organising "Taxi's" for the 100Km trip.

Victoria could certainly make tentative moves in that direction.
Most of our larger regional centres have at least access to rail.
Our Seaport is smack in the middle of the CBD :/ Didn't someone talk about a second one?
Our Rail doesn't meet the airport. Didn't someone talk about building one ?
The main road that goes from East to West runs right through .... The CBD , where apparently everyone needs to work because .... infrastructure and stuff ( not buying it , its old think ).

Yeah very important we have all those trucks and ships and businesses all in the same little location.

Over the years I've gone complete 180 on negative gearing.

It's a cancer in the housing sector imo and has not achieved what it set out to.

Marketeers spruiking that the tax man will help pay your mortgage have appealed to people's greed and insecurity about retirement... and they have squillions off mum and dad investors.

My account always says that is you have a tax bill then it means you're making money.

I'm a fan of positive cash flow these days and the reduce risk associated with it.

If it means I pay a bit more tax then so be it.

Negative gearing should apply to new dwellings only.

 

[gringo2011]

My kids are at school and there seems to be this prevalent thing, where they are encouraged to do what they enjoy and what they are good at. ( there seems to be this huge number of kids who think they can get jobs programming video games ).
Meanwhile like your examples i know of an Aeronautical Engineer who works in Flight Centre.
There needs to be WAY more emphasis at schools regarding the market for their chosen fields.

The government seem to take the opposite approach.
We need more engineering work, lets train engineers.
We need more science , lets train scientists.
What we really need is investment by those needing engineers and scientists.

The whole schooling system is pretty outdated and degrees are getting so worthless that you ned a PHD to be a barista these days. The whole economic system is heading for a cliff unless some brave politicians start making sensible future planning. Unfortunately we have politicians who want to look good in the period of their term so sell off assets to balance books and try not to rock the boat while they act in the interests of their financial backers.

We ruined the TAFE system while trying to make ourselves a near purely service based economy. We are run by cowards and incompetents.

 

[gringo2011]

Negative gearing is just every company's right to take losses out of the profit.
If your business buys a machine and it needs to be repaired all the time you don't pay tax on profit before repair costs.
If your business buys a house to rent and it needs to be repaired, you don't pay tax on profit before repair costs.

So to get rid of negative gearing , you're really creating a regulation for a specific industry rather than removing one.

Germany seems to have an ideal mix of people and industry. But its not like their transport is so much advantaged over ours.

Freight.: The current tendency is road transport , nearest port is Rotterdam in another country. It is a very EFFICIENT port. My company bring in material from Spain, its road freighted to Rotterdam for a few reasons.
Rail : Excellent Rail system. Could you imagine a business man in Australia getting off a plane and onto a Train to travel a couple of 100Km? Clean fast and comfortable. However the company i work for seem very big on organising "Taxi's" for the 100Km trip.

Victoria could certainly make tentative moves in that direction.
Most of our larger regional centres have at least access to rail.
Our Seaport is smack in the middle of the CBD :/ Didn't someone talk about a second one?
Our Rail doesn't meet the airport. Didn't someone talk about building one ?
The main road that goes from East to West runs right through .... The CBD , where apparently everyone needs to work because .... infrastructure and stuff ( not buying it , its old think ).

Yeah very important we have all those trucks and ships and businesses all in the same little location.

I agree with negative gearing being the same thing for business but basically giving people the option of paying less tax to pay off an investment is a bit of a stretch of the intention of the policy. It means people who have several properties are better off buying more and more properties which pushes the value of houses up. It was actually a combination of policies in the lowering of capital gains and negative gearing as a double drip that incentivised the wholesale purchasing of properties as investments.

 

[STK2020]

Good Advice.
My Daughter is hoping to get into Nursing , and i think i'll feel pretty happy with that.
My Son wants to do the computer programming thing, and i say to him, I can email a guy in India with my requirements, and he'll email me back the program, and i can pay him in Rupee's. My wife seems to think i'm being negative and trying to burst his bubble but i just want him to be careful with his choices.

Personally i have a trail of dead companies behind me. ( i like to think it wasn't my presence that killed them ).

Get your young bloke into Plumbing .
Wow , do those f@#kers know how to charge .

 

[CALL ME SNAKE]

Get your young bloke into Plumbing .
Wow , do those f@#kers know how to charge .

Just get him out of the habit of biting his fingernails first.
If it tastes like shit , it probably is