Struggling on 300k income?

Understood in your situation. I would not be happy about it either. However, in the OPs case his wife isn't working. What does he need a childcare rebate for?

 

Keep in mind. Childcare days are hard to get. We had to put our little one in months before my wife went back to work. She might also be studying.

I think his bigger issue is 8 investment properties is too many for his financial situation. Especially if he won’t show restraint in spending. Mind you childcare is an arm and a leg.

 

I think if he can afford to hold them for now than why not?

 

50% of his income is commission. That is not robust. To be honest most banks won’t count more than half of that as income.

9 properties with 2 dependents on 230k on a loan calc. In not a broker but I hope there insnt P+I coming or that he’s built a lot of equity for a 31 year old.

 

I must have skimmed over the commission part- I didn't realise that. If that's the case he is treading water. I imagine he has a bit of equity to have the 8 properties. That would have been achievable if he bought in the last few years in Melb. I think good on him for having a go rather than just wasting his excess cash on crap.

 

Yah. But to be honest at 31 isn’t half as many good enough. With his salary and get the wife back to work you can easily pay 100k plus debt a month. 5-10 years on that path and you would be close to positive gearing and on the track to retirement.

4 ips would have probably had a better mix imo. But he is a sales guy. Go big or go home. it’s their personality. They may just make it to the moon.

 

The issue is so many get entitlements and assistance as so on.

It makes you wander why you bother working so many extra hours.

I can totally relate to childcare assistance.

$150,000 income no issues get 50% off child care and so on parental leave entitlements and so on.

$300,000k you get nothing.

Remember guys if you have 3 kids that's $75,000 Net in just child care.



My issues Is I believe .
Mid and lower class in Australia have way toooooo much benefits and sets a bad example for the guys aiming higher.

 

Reffer to my post about cost of child care.

With a few kids his wife woulod need to be on really good money just to replace cost of care. as in $80,000k per annum its cheaper to keep wife at home to care for kids.

 

Or go Euro style and get an full time au pair for 35k and put her in one of the spare rooms.

 

We looked at that.
But she needs a car to pick up kids. So its good if you catch transport to work
An extra person in the house so all privacy is gone.
Food
Its also full time but not.(mainly same like a working week about 40 hours) than its extra.
They mostly get weekends and after 7pm is their time.

All the friends that have had leave in au pairs have generally gone away from that long terms.

 

i see that is quantity over quality of his investment more of the problem.
some here would disagree.

i would rather have 3 $1m property of 2 $1.5m property over 8.

100% agree, and there is no point to earn 300k, unless its a path way to more.

if its up to me the only 3 benefits you get is unemployment with a time limit and extension are case by case (because taking it away completely will be too cruel)
medical and education.

does this mean we can get a tax reduction . ? asking too much i know haha.

hence many smart people stop at $150k, because its diminishing returns unless you can earn ALLOT more.

i did that for 2 months, as trial thinking gonna do 1 year,
then gave up.. kid is starting childcare next thursday,

privacy is an issue, i grow up alone with 2 full time working parents who never around find it personally very hard to have an outsider at home.

finding the right "fit" with the family is another issue if that make sense, it could be lifestyle choices, language, or culture etc.
we only tried one, child care is gonna be easier and more professional for us.

but peter dutton's mate find au pair to be better i guess ?

 

It would work well having retired grandparents however this is rarely an option for most. It would be great if I was having kids now as my in laws have just retired, however my kids are in secondary school now so no need. Would have been fantastic to have that option when they were young. We used child care.

 

Why dump kids on your parents/inlaws - they're your responsibility. Do they want to be tied down if you can't be bothered to look after your own kids? Change your expectations. (We have a stay at home parent even when they're at secondary school - why go back to work if it's costing more than you earn? ).

 

My in laws would love to have been able to bu at the time they still worked full time. The actually beg us to drop the kids off all the time as they enjoy having them. I didn’t dump my kids on them anyway as I said we used childcare. I never said childcare cost me more than I earnt either? Some cultures it’s the done thing, only western cultures don’t. What
I said was it’s is a great set up for those with retired parents

 

Just my opinion @Otie, I've seen the resentfulness and threats by both sides when the kids have outstayed their welcome or being used as pawns etc.

 

Oh no I was talking about the ones where it works for both sides. I agree that it wouldn't work when its a burden for the grand parents.

 

We use to get 15k per year for two kids in CC benefit, from this year nothing..nada..

A couple with two kids on half our salary are not far away in terms of disposable income due to gov benefits.

It really makes you wonder whats the point of working hard on very many WE overtimes and be constantly under stress that comes with such jobs.

 

I spent years in the same income zone that just puts you outside middle class welfare benefits. It seems like no extra benefit now but rest assured your time to reap reward is coming. ....

Let me explain. During the life phase that is raising children, costs are high, spare time is stretched to the limit & sometimes the earning a little more means less or no family support benefits from government. BUT!!!! It doesn't last forever. Children grow & all of a sudden that hard effort at work now has you earning far more than that family receiving benefits..... because those benefits gradually dissappear. Your income should be stable or rising.....

I know who I'd rather be & from experience can say that the chickens will come home to roost eventually. Have a little faith....