Navigating cost of living pressures with Raiz
The rising cost of living is a reality many of us are facing today. From higher grocery bills to increased utility costs, managing our finances has become more challenging than ever. At Raiz, we understand these pressures and are here to support you with tools and features designed to make your financial journey easier and more rewarding.
Understanding the cost of living crisis
The cost of living crisis in Australia is being driven by five key factors that affect everybody:
- Inflation and rising costs Inflation remains high, particularly affecting essential items such as groceries and fuel. Despite some moderation, inflation is still above the Reserve Bank of Australia’s (RBA) target range of 2-3%.
- Interest rates: The RBA has raised interest rates significantly in recent years to combat inflation. This has increased the cost of mortgages and other loans, putting additional financial pressure on households.
- Supply chain disruptions: Ongoing supply chain issues, exacerbated by global events like the conflict in Ukraine, have led to higher costs for many goods and services. These disruptions have impacted the availability and price of essential items.
- Housing costs: The cost of buying and renting homes has increased much faster than people’s incomes. This means that housing is becoming less affordable for many Australians, as wages aren’t keeping up with the higher prices.
- Government policy and support: Changes in government policies, such as adjustments to subsidies and support programs, have also influenced living costs. For example, the resetting of safety net thresholds for the Pharmaceutical Benefits Scheme and Medicare have led to higher out-of-pocket costs for healthcare.
How Raiz can help
At Raiz, we are committed to providing you with innovative solutions to help you navigate these challenging times.
Round-Ups: Invest your spare change
One of our most popular features, Round-Ups, allows you to invest your spare change from everyday purchases. By linking your Round-Up accounts to Raiz, every transaction is rounded up to the nearest dollar, and the difference is invested into your Raiz account. This simple yet powerful feature helps you build your investment portfolio effortlessly, turning small amounts of money into significant savings & investments over time.
Recurring Investments: Stay on track with your goals
Consistency is key when it comes to investing. With our Recurring Investments feature, you can set up automatic contributions to your Raiz account on a daily, weekly, or monthly basis. This ensures that you’re consistently putting money aside, helping you stay on track with your financial goals even when life gets busy.
Plus Portfolios: Tailored to your needs
We offer a variety of investment portfolios designed to suit different risk levels and preferences. For those looking to build their own custom portfolio, you can choose from a range of select stocks, ETFs, residential property investment or bitcoin.
Raiz Rewards: Earn while you spend
With Raiz Rewards, you can earn cashback from shopping with our partner brands. The cashback is automatically invested into your Raiz account, providing an additional way to grow your investments without any extra effort.
Educational resources: Empowering you with knowledge
We believe that informed investors are successful investors, in the words of Warren Buffet; “The best investment you can make is an investment in yourself… The more you learn, the more you’ll earn.” That’s why we offer a wealth of educational resources through our blog and in-app content. From investment basics to advanced financial strategies, our resources are designed to help you make informed decisions and take control of your financial future.
Automation: Simplifying Your financial journey
Automation is at the heart of what we do at Raiz. By automating your investments and savings, we take the hassle out of managing your money. Our automated features ensure that you’re consistently investing and saving, reducing the stress and effort required to stay on top of your finances.
We understand that the cost of living crisis is a significant concern for many of our customers. At Raiz, we are here to support you by giving you the tools to manage your money more effectively, navigating these challenging times and continuing to work towards your financial goals.
As it’s now tax-time, these resources may also help;
Tax cuts for every taxpayer – calculator and explanatory Auslan videos and fact sheets
New Tax and Super calculator – including inflation impact
Thank you for being a part of the Raiz community. We are committed to helping you every step of the way.
Published 4/7/2024
Don’t have the Raiz App?
Download it for free in the App store or the Webapp below:
Important Information
Raiz Invest Australia Limited – Authorised Representative of AFSL 434776. The Raiz Invest Australia Fund and Raiz Property Fund are issued in Australia by Instreet Investment Limited (ACN 128 813 016 AFSL 434776) a subsidiary of Raiz Invest Limited and promoted by Raiz Invest Australia Limited (ACN 604 402 815).
Raiz Invest Super is a Division of AMG Super and is issued by Equity Trustees Superannuation Limited (AFSL 229757, RSE Licence No L0001458) as Trustee of AMG Super.
The information is general information only and does not take into account of your personal financial situation, goals or needs. You should obtain financial advice tailored to your circumstances by a licensed financial adviser.
A Product Disclosure Statement (PDS) and Target Market Determination (TMD) for Raiz Invest Australia Fund, Raiz Invest Super and Raiz Property Fund (together, the Products) are available on the Raiz Invest website and App. Please read and consider the PDS and TMD to understand the risks and determine if the Products are suitable for you. The risks and fees are fully set out in the PDS and include the risks that would ordinarily apply to investing.
Any returns shown or implied are not forecasts and are not reliable guides or predictors of future performance.
Under no circumstance is the information to be used by, or presented to, a person for the purposes of deciding about investing in the Products.
This information may be based on assumptions or market conditions which change without notice and have not been independently verified.
Any opinions or information expressed are subject to change without notice.
Home loans are subject to approval from the lending institution and Raiz Home Ownership makes no warranties as to the success of an application until all relevant information has been provided.
Raiz Home Ownership Pty Ltd (ABN 14 645 876 937), an Australian Credit Representative number 528594 under Australian Credit Licence number 387025. Raiz Home Ownership Pty Ltd is 100% owned by Raiz Invest Australia Limited (ABN 26 604 402 815).
