Generation Y

This is the age group born between 1976 and 1986.

It is the time in life when this age group first gets in touch with their financial responsibilities, from receiving their first pay checks, managing their own bills, registering and insuring their cars, banking, more than just drawing cash from ATM’s, ticking boxes about the investing of their employer superannuation contributions etc.

Banks now tempt them with credit card and personal loan offers for the fulfilment of their dreams of independence and advertisement gurus reach for their hard earned cash making by them believe they can’t exist without all the fancy toys, from IPods to Plasma screens and designer labels to hottet up cars, you name it.

Sad to say, right at the start of their working lives many of our young Australians are already deeply in debt for credit card abuse, excessive mobile phone bills and consumer goods that are basically worthless the moment they carry them out of the stores.

Before these items have been paid off they end up as landfill already.

Many P-Platers sink huge amounts of monies into their pricey cars and the vicious cycle of buy now and pay later has many young people in its grips before they start to understand what financial literacy means.

It’s about the first time when this generation comes in touch with terms like mortgages, real estate, First Home Buyer Grants, stamp duty, wealth creation, debt reduction, tax minimisation, stock and share trading, managed funds, margin loans, economic booms and busts, property and equity market cycles, salary sacrifice and so forth.

What an overwhelming minefield of money topics.

Unfortunately, most young Australians do not recognise and are not taught early in life the opportunities that are right in front of them and what they could make of them would they only understand more of financial discipline, assets and liabilities, compounding interests, creating passive income streams etc.

Some sacrifices now might well finance their dreams a few years later, without the debt spiral.

Most likely, many of them still live at home with a minimum of expenditure on necessities.

So, disposable income could be significant and saving goals could be achieved in a fairly predictable period of time.

The dream of owning their first home will start to take shape and it would be worth while exploring whether starting with an investment property could accelerate the realisation of this dream.

It is easier than people think and the Australian tax laws support those who decide to make their money work for them.

Always remember: it is not the amount of money you earn which makes the difference, it is how you manage your finances.

When they are at the beginning of their working lives these young Australians enjoy two major advantages that dwindle away over time:

1) Disposable Income:

They might still be far from earning what they would like to earn but most likely their financial responsibilities are still limited as well, unless of course they are one of those examples of their generation that has fallen for the material temptations and they are chasing their financial tails already.

2) Time:

At this stage of their lives, time is their greatest asset.

They have all the time in the world to make any reasonable plan work and when talking about investing they can afford to go through a number of economic cycles and come out as a winner.

Unfortunately, many people start with their wealth creation strategies much too late in life.

Well, but where to start?

For the vivid readers who enjoy staying in, there is a mountain of books and websites available about any financial topic.

But it takes time and patience to collect the necessary information and more so putting all the details into context.

Alternatively, they can contact RealEstate4U.

Being property investment mentors and financial advisors we have specialised in assessing peoples’ circumstances and making recommendations on opportunities that can set these young Australians onto the path of financial achievements.

Yes, we focus on real estate investment and we will teach the ones who want to learn more everything they need to know to make property investment prosperous and successful for them.

But then again, we have no property for sale.

When the time and their fundamentals are right we help them find, negotiate and buy the property that is appropriate to their financial and social circumstances and goals.

RealEstate4U has developed a professional support system to guide the investor along the way.

Contact us and let us show you how our services will save you time, stress, costly mistakes and money far beyond the fees we charge.

We thank you for your interest.

This website has been designed for you to communicate with us and other readers, so we urge you to read our articles in the category sections and post your comments.