How Many Offsets Do you have and what do you use them for?

I have just had a new loan facility set up, and am just wondering what others are using their offsets for?
The loan product I have offers fee free unlimited offset accounts which can all be offsetting my non deductible debt (or any other loans depending on your preference)
Since I have non deductible debt still, I have arranged to have mine offsetting my non deductible debt.
Im just wondering what you all have yours doing?
I like an "envelope" system with my money so that I can see what is where without dipping into money I shouldn't be etc.
We also have our own business, So currently I am considering setting up the following offsets
-Offset for putting away for our BAS/Taxes.
-Offset against PPOR to pay down the PPOR with additional payments (rather than paying directlyinto loan)
-Offset for everyday bills and expenses
-Offset for all rental properties incomes (also think will have IP expenses debited from this account, and will have the IP repayments debited from this acc also)
-Offset for savings for holidays/medium term goals?
-Offset for savings for long term goals?

I have a fee free discretionary spending account which I prefer to keep separate with ING so that I don't find myself easily transferring more than I should spend into it since its with another bank makes me less impulsive.

Would like to hear thoughts on this and what you all do with your offsets?

 

I have one offset per property loan, for the ppor and some (not all) investments. Its not split by savings purpose or goals.

 

That truly is not funny, applying for finance is a right pain, I hate the people who helped destroy the true low doc loans.

 

Not all lenders or loans come with an offset, some I recall reqd it or an account, anyways, of course you keep as much in the main one if non deductible, but also remember not too much in any loan offsets if fixed rate, as no offset benefit with most.

 

I have 2 offsets against the PPOR:
- General savings we don't touch
- Transaction account. Everything in, everything out.

 

A lot of clients just stick with the one offset linked up to their PPOR.

If it becomes fully offset then a second one is set up against an IP

 

Just 2 offsets: 1 against PPOR (fully offset) and one against my IP.

 

I have all of the above plus a “new car” savings fund.

I also have another offset with a different bank which is just completely offsetting that loan.

Jason

 

6 x IP loans

3 x Offsets (two are fully chocked, the third is about half chocked)

The Offsets contain our cash reserves.

 

Haha!!

 

It’s good to see how others do things

 

Just curious why would you keep any money in IP Offset, given you can get tax benefits for high interest you pay and not for the PPOR?
Are there any particular scenarios you are covering?

 

Both loans and both offsets are for the IP. I borrowed against the IP for the bulk of the funds but also against my PPOR for a bit extra to avoid lender’s mortgage insurance.

PPOR was fully paid off prior to the IP purchase.

 

21 Loans, 14 Offsets. Most offsets are full.