Related articles
Date Published : Wednesday, July 02, 2008
The average net wealth of Australian households increased by around a half between 2002 and 2006, a new report has found.
According to news.com.au, the Melbourne Institute Survey of Household, Income and Labour Dynamics in Australia put the net wealth of the average Australian household at $608,000 in 2006 - compared to $401,000 in 2002.
The country's soaring property prices were the main factor behind the rise, the site said.
However, it added, since 2006 Australian interest rates have hit a 12-year record high, inflation is at a 16-year peak and petrol prices are edging closer to $2 a litre - meaning Australians are paying much more for their higher cost of living.
The survey's deputy director, Roger Wilkins, said: "One would be reasonably confident that that growth hasn't continued in the past 18 months."
Nevertheless, Mr Wilkins said the survey indicates that the growth experienced between 2002 and 2006 was not confined to the richest end of society. Instead, it saw wealth increasing across a wide section of society.
According to another recent survey by brokerage firm CommSec, the average Australian is still better off than they were in 2002 - to the tune of $425 a month.
And CommSec chief economist Craig James said despite higher living costs, rising wages means it is "by no means the rule" that most Australians are struggling with their finances.
"Living costs have certainly been rising, but so have wages," he said.
Mr James added that despite the downturn in consumer spending, people would "filter back into the shopping malls" once they realise they can still afford to spend.
Compare credit cards .
- Finance News
- Credit Cards
- Banking News
- Loans News
- Insurance News
- Investments News
- Insurer reveals top tourism destinations in Victoria
A motor and travel insurance provider has revealed the results of a poll it carried out to find out the most popular tourist attractions in Victoria.
- Woolworths plots growth
Woolworths, the retail giant responsible for the Everyday Money credit card, has revealed details of its growth plans.
- Mortgage rate cut 'unlikely'
Many mortgage and loan customers might be paying attention next month to see what decision the Reserve Bank of Australia makes on the interest rate.
- More mortgages please, says treasurer
There could be a greater level of investment in residential mortgages in Australia, if the federal treasurer gets his way.
- Banks becoming more selective, says ANZ
Despite confidence in the Australian banking system coming relatively unscathed through the global credit crunch, many institutions have become more cautious in their lending.
- Woolworths plots growth
Woolworths, the retail giant responsible for the Everyday Money credit card, has revealed details of its growth plans.
- Credit card interest rates 'remain constant'
A newly published survey of credit cards on the Australian market has highlighted that interest rates have held firm on the majority of offers.
- Credit card spending 'cools down'
Plastic credit cards in Australia have no danger of melting through over use as consumers begin to tighten their belts, new figures have shown.
- Protect yourself from credit card fraud
Almost half a million Australians were the victim of identity theft last year and there are a number of ways to protect yourself, your identity and your hard-earned cash, it has emerged.
- Nervous Australians could change their attitudes toward debt: RBA
The challenging economic environment could lead to Australians are not splashing their cash and building up a nest egg, according to Reserve Bank of Australia (RBA) governor Glenn Stevens.
- Australia to weather the storm, says IMF
Australia's economy is in a healthy enough state to see it make it through the global downturn in one piece.
- Australia to weather the storm, says IMF
Australia's economy is in a healthy enough state to see it make it through the global downturn in one piece.
- Public and government 'confident in face of global economic turmoil'
As the global economy takes a battering, Australians could be forgiven for fearing the worst when it comes to their own nation's money matters.
- Public and government 'confident in face of global economic turmoil'
As the global economy takes a battering, Australians could be forgiven for fearing the worst when it comes to their own nation's money matters.
- PM warns crisis is 'far from over'
Prime minister Kevin Rudd has warned the country that the global financial crisis still has a long way to go before it is over, it has emerged.
- Mortgage rate cut 'unlikely'
Many mortgage and loan customers might be paying attention next month to see what decision the Reserve Bank of Australia makes on the interest rate.
- More mortgages please, says treasurer
There could be a greater level of investment in residential mortgages in Australia, if the federal treasurer gets his way.
- Banks becoming more selective, says ANZ
Despite confidence in the Australian banking system coming relatively unscathed through the global credit crunch, many institutions have become more cautious in their lending.
- Retail banks - champing at the bit?
When many people come to take out a loan or a mortgage, their first inclination might be to turn to their own bank. On shopping around, they could find that better deals lie elsewhere.
- Global credit crunch 'will affect your everyday life'
As the credit crunch begins to bite in certain parts of the globe, many Australians might be wondering what it means for them.
- Insurer reveals top tourism destinations in Victoria
A motor and travel insurance provider has revealed the results of a poll it carried out to find out the most popular tourist attractions in Victoria.
- Health insurance spending to rise in 'ageing population'
Spending in areas such as health insurance and travel insurance could be set to increase as the proportion of the Australian population at retirement age increases, according to a new report.
- We are not AIG, claim IAG
Australia's largest home and car insurer Insurance Australia Group (IAG) has moved to assure shareholders and the media that it is not troubled insurance giant AIG, nor is it related to AIG.
- Insurance premiums could climb as much as 15%: KPMG
There could be a double-digit increase in insurance premiums in the near future, it has been reported.
- Pension contributions 'continue to fall'
Consumers struggling with their mortgage and credit card repayments are forgoing contributing to their superannuation savings, it has been reported.
- Australia to weather the storm, says IMF
Australia's economy is in a healthy enough state to see it make it through the global downturn in one piece.
- Australia to weather the storm, says IMF
Australia's economy is in a healthy enough state to see it make it through the global downturn in one piece.
- Public and government 'confident in face of global economic turmoil'
As the global economy takes a battering, Australians could be forgiven for fearing the worst when it comes to their own nation's money matters.
- Public and government 'confident in face of global economic turmoil'
As the global economy takes a battering, Australians could be forgiven for fearing the worst when it comes to their own nation's money matters.
- PM warns crisis is 'far from over'
Prime minister Kevin Rudd has warned the country that the global financial crisis still has a long way to go before it is over, it has emerged.
