Aussies bank on relatives for money advice – but maybe that’s not such a good idea

Mum’s the word for most Aussies when it comes to financial advice reveals new research .

A recent Finder.com.au survey of 1,006 participants found that Aussies are twice as likely to turn to a relative for financial advice (42%) than they are a financial advisor (20%).

One in four (26%) would consult Google, while 20% would visit a comparison site to help weigh up their options.

The problem is our families may be well meaning, but unless you have rich relatives they’re probably not the best source of financial information.

Similarly there are too many dubious sources of financial advice ont he internet- many with their own hidden agendas

Bessie Hassan, money expert at Finder agrees saying the range of financial advice available can be overwhelming at times, but it’s important Aussies choose a source they trust.

“From superannuation to managing investments, you’re never too old or too young to seek advice on managing your money.

“Parents or older family members can be a great source of wisdom, especially when it comes to budgeting – they’ve been there before.

“But remember that the current economic climate, along with your own personal financial circumstances may be different to what others have experienced. This is where doing your own research will help.”

Finance experts like the Barefoot Investor (12%), finance magazines (11%) and Youtube (10%) also made the list of sources Aussies are turning to for money advice.

Hassan said that while the Internet can be a useful tool for accessing information, Aussies should exercise caution when researching complex money matters.

“Jumping online is a great way to find information on personal finance matters, with thousands of answers at our fingertips.

“But if you need specific advice, or you’re dealing with a complex financial situation like debt or divorce, you’re better off consulting with a professional.”

A recent ASIC report revealed that more than one in four (27%) Aussies have received financial help in the past, while 41% intend to seek out advice in the future.

It also showed the key topics Aussies want advice on include investments like shares and managed funds (45%), retirement income planning (37%), growing superannuation (31%), budgeting (22%) and aged care planning (18%).

Who do you generally go to for financial advice?

Source	Percentage
Family	42%
Google	26%
Friends	26%
My bank	24%
Financial planners	20%
Comparison websites	20%
Finance experts (Warren Buffet, Scott Pape, Canna Campbell, Nicole Pedersen-McKinnon, Paul Clitheroe, etc)	12%
Finance magazine (online and print)	11%
Other	11%

Source: Finder September 2019 Survey           

Financial milestones to plan around

  Buying your first home. Cracking the property market takes years of saving and sacrifices. But the feeling of owning your very own home is priceless. Do your research on the different types of home loans available, and remember to look beyond the interest rate when comparing your options.

  DA pay rise. It’s tempting to spend your cash influx after a salary increase, but try and avoid lifestyle inflation where possible. Investing your money wisely and paying off debt is a powerful way to get ahead financially.

  Starting a family. It’s important to make sure you’re financially prepared before having kids. You’ll need to think about emergency savings, health insurance and life insurance to ensure you’re adequately protected.

  Retirement. The sooner you can start saving, the better. Make sure your superannuation funds are consolidated, so you’re not wasting money on fees. As you get older and grow your assets, it can be worth consulting the advice of a professional on how to best grow them.

from Property UpdateProperty Update https://propertyupdate.com.au/aussies-bank-on-relatives-for-money-advice-but-maybe-that-s-not-such-a-good-idea/