How Instagram lifestyles, sky-high bills and stagnant wages are financially dooming young Aussies
A financial expert has explained why younger Australians are finding it harder financially than the baby boomer generation - with rising costs and unrealistic lifestyle expectations playing a big role.
Finder money expert Rebecca Pike said younger workers were less likely to be getting decent pay rises to keep pace with cost-of-living pressures.
'There's obviously kind of generational differences in that as well,' she told Daily Mail Australia.
'It feels like any kind of profit businesses make is going towards keeping the company going and investing back into the business rather than supporting employees with wage increases.
'They're the ones having to pay to get to the office and keep meals on the table and pay all their bills. It's just tough.
'Most people's wages haven't grown at the same rate the price of things have.'
Ms Pike said the cost of living crisis was only likely to get worse for those with a job, either renting or paying off a mortgage.
'We know that prices just keep rising so it may just get tougher,' she said.
'We know that cost of living has been a big pain point for Australians over the last few years,' Ms Pike said.
'With things like rent and groceries going up, it's just harder, your money doesn't stretch as far.'
Complicating matters are 'lifestyle expectations' seen on Instagram, TikTok, and Facebook.
'Social media tends to show you a certain life that you should be living, making you feel left out if you don't have that thing, and constantly throwing ads at you,' Ms Pike said.
'There's just so much more going on in the world now in terms of going out and going on holidays.'
But in good news for young Aussies struggling with a mortgage, the Commonwealth Bank sees the RBA cash rate falling to 3.35 per cent for the first time since March 2023.
CBA's head of Australian economics Gareth Aird said softer consumer spending was likely to weaken economic growth - as measured in gross domestic product.
'The recent softness in spending data coupled with downside risks to the global economy have resulted in us making a small downward revision to our GDP profile in 2025,' he said.
Even with rate cuts on the horizon, saving was still a challenge during a cost-of-living crisis.
'We know that cost of living has been a big pain point for Australians over the last few years,' Ms Pike said.
'With things like rent and groceries going up, it's just harder, your money doesn't stretch as far.'
New data reveals that fruit and vegetable prices have risen by 7.6 per cent over the past year.
On the flip side, petrol prices have fallen by 7.6 per cent during the past year, which has seen motorists in capital cities typically pay less than $1.85 a litre for unleaded fuel.
Electricity bills have also fallen by 9.6 per cent during the past year thanks to $75 quarterly rebates from the federal government which are being extended until the end of 2025.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Sky News
an hour ago
- Sky News
Israel-Iran conflict poses new cost of living threat - here's why
The UK's cost of living crisis hangover is facing fresh pressure from the Israel-Iran conflict and growing tensions across the Middle East. Whenever the region, particularly a major oil-producing country, is embroiled in some kind of fracas the potential consequences are first seen in global oil prices. The Middle East accounts for a third of world output. Iran's share of the total is only about 3% but it is the second largest supplier of natural gas. Add to that its control of the key Strait of Hormuz shipping route, you can understand why any military action involving Iran has huge implications for the global economy at a time when a US-inspired global trade war is already playing out. Global oil prices jumped by up to 13% on Friday as the Israel-Iran conflict ramped up. It was the biggest one day leap seen since Russia invaded Ukraine in February 2022, which gave birth to the energy-driven cost of living crisis. From lows of $64 a barrel for Brent crude, the international benchmark, earlier this month, the cost is currently 15% higher. Iran ships all its oil to China because of western sanctions so the world's second-largest economy would have the most to lose in the event of disruption. Should that happen, China would need to replace that oil by buying elsewhere on the international market, threatening higher prices. 1:42 How are natural gas prices holding up? UK day ahead prices are 15% up over the past week alone. Europe is more dependent on Middle East liquefied natural gas (LNG) these days because of sanctions against Russia. The UK is particularly exposed due to the fact we have low storage capacity and rely so much on gas-fired power to keep the lights on and for heating. The day ahead price, measured in pence per therm (I won't go into that) is at 93p on Monday. It sounds rather meaningless until you compare it with the price seen less than a week ago - 81p. The higher sum was last seen over the winter when demand is at its strongest. 0:18 What are the risks to these prices? Market experts say Brent crude would easily exceed $100 a barrel in the event of any Iranian threats to supplies through the Strait of Hormuz - the 30-mile wide shipping lane controlled by both Iran and Oman. While Iran has a history of disrupting trade, analysts believe it will not want to risk its oil and gas income through any blockade. What do these price increases mean for the UK? There are implications for the whole economy at a time the chancellor can least afford it as she bets big on public sector-led growth for the economy. We can expect higher oil, gas and fuel costs to be passed on down supply chains - from the refinery and factory - to the end user, consumers. It could affect anything from foodstuffs to even fake tan. Increases at the pumps are usually first to appear - probably within the next 10 days. Prices are always quick to rise and slow to reflect easing wholesale costs. Energy bills will also take in the gas spike, particularly if the wholesale price rises are sustained. The energy price cap from September - and new fixed term price deals - will first reflect these increases. How does this all play out in the coming months? So much depends on events ahead. But energy price rises are an inflation risk and potential threat to future interest rate cuts. While LSEG data shows financial markets continuing to expect a further two interest rate cuts by the Bank of England this year, the rate-setting committee will be reluctant to cut if the pace of price growth is led higher than had been expected. At a time when employers are grappling higher taxes and minimum pay thresholds and consumers a surge in bills following the 'awful April' hikes to council tax, water and other essentials, a fresh energy-linked inflation spike is the last thing anyone needs.
Daily Mail
2 hours ago
- Daily Mail
The cheapest country to live as an expat revealed - with three-bedroom flats costing less than £600 per month
A new study has revealed the most affordable country to live as an expat and its prices might just tempt you to relocate. The research looked at the cost of healthcare, transport, rent, food and utilities in each country to crown the winner. So, where is top of the ranking in 2025? Vietnam is officially the cheapest country to live as an expat, according to the experts at William Russell who commissioned the research. A spokesperson says: 'A long-time favourite among budget-conscious and digital nomads, Vietnam has all the ingredients needed to make the perfect quality of life. 'From sun-swept beaches to metropolitan cities, good food and friendly locals, modern conveniences and ancient traditions to discover, Vietnam is one of the few countries that can truly claim to have it all.' A one-bedroom apartment can cost as little as $361/£265 a month while a three bedroom condo comes to $801/£589 on average per month. And the overall cost of living in Vietnam is 59 per cent cheaper than the UK, according to William Russell. The experts say the country's cheapest city is Da Nang, a coastal metropolis with easy access to beaches and a vibrant nightlife scene. Bolivia ranks as the second most affordable country to live as an expat. A one-bedroom apartment in the capital La Paz costs around $386/£284 a month while a three-bedroom property comes to $707/£520. The spokesperson says: 'The inland South American nation captures all the best qualities of an intrepid yet modern destination, with bustling cities like La Paz, Cochabamba and Santa Cruz de la Sierra nestled in the heart of stunning mountains and lush jungles. 'With the cost of living 71 per cent lower than the UK, and rent less than half the price you would pay in many Western countries, expats in Bolivia will find their budget stretches much further, offering them the opportunity to live a high-class lifestyle for only a few dollars per day.' Georgia is the third-cheapest destination on the list and offers expats a 'modern society without the price tag', according to William Russell. While the country's capital Tbilisi recently became much easier to reach with new direct flights from easyJet and British Airways, it's the city of Kutaisi that ranks as the cheapest spot in Georgia for expats. Georgia's third-largest city, Kutaisi has easy access to nature and a walkable city centre. Although the country is a cheap option for expats, the spokesperson warns that living in India is not for the 'faint-hearted' as the lifestyle may take some getting used to According to the research, a small city centre apartment can cost as little as $550/£405 a month. Next on the list is India where expats can rent a three-bedroom apartment for just $433/£318 a month. The spokesperson says: 'Living in India, you'll find your budget stretches considerably further, allowing you to live a luxurious lifestyle, even in one of India's megacities.' Although the country is a cheap option for expats, the spokesperson warns that living in India is not for the 'faint-hearted' as the lifestyle may take some getting used to. Rounding out the top five cheapest countries for expats is Cambodia, where a one-bedroom city centre apartment costs $405/£298 a month on average. 'With modern apartments springing up throughout Cambodia's cities and coastal regions, those who make the move can expect to enjoy an ever-increasing quality of life without breaking the bank,' says William Russell's spokesperson. Cambodia's capital, Phnom Penh, ranks as the cheapest spot for expats to settle down.
Reuters
4 hours ago
- Reuters
Australia's Santos targeted by ADNOC-led consortium
SINGAPORE, June 16 (Reuters) - Abu Dhabi's National Oil Company (ADNOC), looking to grow a global gas business, is leading a proposed $18.7 billion takeover of Australia's second-largest independent gas producer, Santos ( opens new tab, which has backed the planned bid. Below are key details on Santos' production and reserves in million barrels of oil equivalent (mmboe), its domestic and international oil and gas assets, and a list of its long-term liquefied natural gas (LNG) deals. 2024 production (mmboe) Domestic: 47.6 International: 39.5 Total: 87.1 2025 total production forecast: 90-97 Proved plus probable reserves (mmboe) at end-2024: 1,559 ASSETS AND PROJECTS Santos operates Darwin LNG and Gladstone LNG in Australia, and holds stakes in PNG LNG and the undeveloped Papua LNG project in Papua New Guinea. The company expects output to cease in 2025 at the Bayu-Undan field off East Timor, which feeds the Darwin LNG plant. It plans to replace that supply with gas from the Barossa field, due to start producing in the third quarter of 2025. Santos is a major producer of gas for the domestic market in Western Australia, with stakes in two offshore oil fields, Van Gogh and Pyrenees. It operates two of the state's domestic gas plants, Varanus Island and Devil Creek, and is a partner in the Macedon plant. On Australia's east coast, it produces gas in the Cooper Basin for the domestic market and coal seam gas for the Gladstone LNG export plant. It is also looking to develop the Narrabi coal seam gas project to supply southeast Australia, which faces a gas shortfall from 2027. In the U.S., Santos is developing the Pikka oil project in Alaska, expecting first production in mid-2026. LNG sales volume in 2024: 5.084 million metric tons In December, Santos signed a 12-year deal to supply Japanese gas distributor Shizuoka Gas with 0.35 million to 0.4 million tons per annum of LNG from 2032. Santos will also supply 20 cargoes or 0.5 million tons of LNG per annum to the Singapore unit of TotalEnergies for a little over three years, from the fourth quarter of 2025. It also inked a deal to supply Glencore Singapore with 19 cargoes or 0.5 million tons of LNG from the fourth quarter of 2025 over three years plus one quarter. Last May, Santos agreed to supply Japanese energy firm Hokkaido Gas with 0.4 million tons of LNG per annum for 10 years, from 2027.
