Financial Basics

Understanding the Financial Basics

Understanding the basics can make financial decisions much easier.

These guides explain common financial concepts in plain English, from superannuation and investing to tax, insurance and home loans, so you can better understand how they work and why they may matter to you.

Explore the Basics

Browse our simple guides to some of the financial terms, strategies and concepts you’re likely to come across.

Everyday Wealth - Financial Planning

SUPER & RETIREMENT

Understand how super works and how your retirement savings are invested.

What Is Superannuation?

 Understand how super works and how your retirement savings are invested.

What Is Salary Sacrifice?

Learn how contributing from your salary can build super and potentially reduce tax.

How Do Super Contributions Work?

Employer, personal and concessional contributions explained.

What Is an Account-Based Pension?

Understand how super can provide income once you retire.

INVESTING & TAX

Understand some of the key concepts around investing, investment income and tax.

What Is an ETF?

Understand how exchange traded funds work and how they can be used to invest.

What Is Negative Gearing?

Learn how negative gearing works and why investors may use it.

What Is Compound Interest?

See how earning returns on your previous returns can help your money grow over time.

What Is Capital Gains Tax?

Understand when capital gains tax may apply and how capital gains are generally calculated.

HOME LOANS & DEBT

Understand the basics of home loans, interest and some of the different ways debt can be structured and managed.

What Is an Offset Account?

Learn how an offset account can reduce the interest charged on your home loan.

What Is a Redraw Facility?

Understand how redraw works and how it differs from an offset account.

Principal & Interest vs Interest Only

Understand the difference between the two repayment types and when each may be used.

What Is Loan-to-Value Ratio (LVR)?

Learn what LVR means and why it can matter when borrowing against property.

PERSONAL INSURANCE

Understand the different types of personal insurance and how they can help protect you and your family financially.

What Is Life Insurance?

Understand how life insurance works and when a benefit may be paid.

What Is TPD Insurance?

Learn how Total and Permanent Disability insurance can provide financial support if you become permanently disabled.

What Is Income Protection Insurance?

Learn how TPD insurance can provide financial support if you become permanently disabled.

What Is Trauma Insurance?

Learn how trauma insurance can provide a lump sum if you’re diagnosed with certain serious medical conditions.

Understanding the Basics Is Just the Starting Point

Understanding how different financial concepts work can help you make more informed decisions. The next step is understanding how they fit together and which strategies are appropriate for your circumstances.

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