This week in banking - More job ads as business confidence grows and 5 other things you don’t want to miss!

  • Job ads on the rise as Aussie businesses become more hopeful 
  • Solar power costs fall across the world
  • Small business $150,000 tax deductions extended for six months 
  • Shop Small: Amex’s campaign to support small businesses
  • Will young Aussies be able to get a foot in the door to the current property market?    
  • A recession is on the way: how to save money 

All in this week’s banking recap.

Job ads increase as Aussie business confidence rises 

According to recent stats from ANZ, job ads have increased by 0.5% last month after plummeting 58% in March and April.

While the number of job ads is still 59.8% lower than this time last year, the slight spike is a sign that more businesses are getting back on their feet and ready to hire. 

In fact, business confidence is up as COVID-19 restrictions ease, according to Roy Morgan. Its latest report revealed that over half (51%) of Aussie businesses are feeling hopeful about their financial future next year. 

Read full article: Job ads improve as confidence slowly rises to check out what ANZ’s senior economist Catherine Birch said about the increase. 

Solar power price cuts could mean for your energy bill  

It’s no secret that renewable energy can be expensive. However, solar prices have dropped, not only in Australia, but across the world. 

Fresh data from the International Renewable Energy Agency (Irena) indicated that over the last decade solar photovoltaic (PV) costs have decreased by a huge 82%. 

According to the report, the plunge in price is a result of a number of things: improved technology, supply chain competitiveness and the growing experience of the industry’s developers. 

And as a result, solar capacity has grown from 40GW to 580GW over the last ten years. 

Read full article: Solar costs have fallen globally: What it could mean for energy bills. Find out if coal power is on the way out. 

Small business tax deduction scheme: instant asset write-offs extended by six months 

On Thursday, Treasurer Josh Frydenberg announced that the government will extend the instant asset write-off deadline by six months. 

The extension is forecasted to cost around $300 million and expected to benefit approximately 3.5 million Aussie businesses.

As part of one of the first waves of coronavirus support packages, the government bumped up the write-off threshold to $150,000 as well as the size of businesses eligible to those with annual turnovers under $500 million. 

The expanded scheme initially applied to assets used or installed by June 30 this year, but that cut-off has now been pushed back to December 31.  

Read full article: Small business tax deduction scheme extended for six months to learn more about the instant asset write-off scheme and the new extension. 

American Express ‘Shop Small’ campaign starts early to support Aussie businesses

This week, credit card provider American Express commenced its Shop Small campaign earlier than usual to help struggling Aussie businesses. 

In its eighth year, the Shop Small campaign (which usually kicks off in November) is set to be the biggest ever run, extending throughout the winter season and ending August 31. 

With Shop Small, American Express customers who spend $10 or more in a single transaction, at a participating small business, will receive $5 cashback. This can be done up to 10 times, both in-store and online. 

To take part, credit card users need to make sure their current American Express card is eligible for the campaign and check out the Shop Small map for participating retailers.

Read full article: American Express launches Shop Small early to support small businesses for Mozo’s quick tips for supporting small businesses. 

Will young Aussies become homeowners in the current property crisis? 

It’s no secret that the Aussie property market has slowed, but what does it mean for young first home buyers? 

The latest Mozo research found that a whopping 52% of millennials have had their wages cut down by 20% or more as a result of COVID-19, making it tough to save for a deposit.

In fact, it means that putting away money for a home loan deposit could take first home buyers up to 14 months longer for properties in Sydney and 12 months for those in Melbourne. 

“Covid-19 has disrupted incomes across multiple industries throughout the country, and in doing so it has also slowed down the great Australian dream of home ownership,” said Mozo Director Kirsty Lamont.

“With so many millennials having their income reduced, putting 20% of your income into savings will no longer be an option for some first home buyers, who need to prioritise their immediate expenses.”

Read full article: Property crisis: Will young Australians be able to get a foot in the door? for the full rundown of the stats and to check out Mozo's property expert Steve Jovcevski’s insights. 

How to maximise your savings as the recession looms 

Last week, the Australian Bureau of Statistics (ABS) released the GDP summary which indicated an economic recession is on the way. 

According to the ABS numbers, Australia’s GDP dropped by 0.03% in the March quarter, essentially proving the Australian economy is in a downward spiral.  

However, amongst the doom and gloom, there are some ways to keep your money in your pocket so that you are prepared for the approaching recession. 

Here are some ways to pad out your savings fund now: 
  • Cut down on spending 
  • Get rid of your credit card debt 
  • Keep your resume up to date (in case you need to apply for a job quickly) 
  • Put your money in a high interest savings account. 

Read full article: How to save money during a recession for a closer play-by-play on how to save now. 

Need a killer savings account option to store your savings stash? Check out some options below. Or if you are simply after an award-winning banking provider, take a look at the 2020 Mozo Expert’s Choice Awards for Australia’s Best Banking.

Savings Accounts 2020 - rates updated daily

Search promoted savings accounts below or do a full Mozo database search. Advertiser disclosure.
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    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.20% p.a. (for $0 to $250,000)
    0.10% p.a.(for $0 and over)
    Yes up to $250,000

    Bonus rate when at least $20 is deposited each month and five Visa Debit transactions are made each month using linked Everyday or Glide transaction accounts.

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  • Serious Saver

    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    0.30% p.a. (for $0 to $1,000,000)
    0.15% p.a.(for $0 and over)
    Yes up to $250,000

    No withdrawals in the month. Bonus rate for first 4 months, reverting to 0.15% rate after*

    $0 monthly account fee. Link to any Australian bank account.

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    Details
  • Hero Saver

    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    0.80% p.a. (for $0 to $250,001)
    0.01% p.a.(for $0 to $5,000,000)
    Yes up to $250,000

    Minimum deposit of $200 and no withdrawals in the month.

    Interest is calculated daily and paid monthly. Automatic payment feature. No minimum opening balance needed.

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  • Online Saver

    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.10% p.a. (for $0 to $500,000)
    0.35% p.a.(for $0 and over)
    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    No account keeping fees. No minimum balance required. Unlimited phone and internet transactions.

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  • Flexi Saver

    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    0.25% p.a. (for $0 to $5,000,000)
    0.05% p.a.(for $0 to $5,000,000)
    Yes up to $250,000

    Increase balance by at least $300 in the month

    No upfront or ongoing fees. Unlimited free transactions. Great for regular contributions.

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  • Fast Track Saver Account

    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.05% p.a. (for $1 to $250,000)
    0.05% p.a.(for $1 and over)
    Yes up to $250,000

    Ongoing bonus rate applied if in the previous month $1,000 or more is credited to the linked Day2Day Plus account and 5 eligible transactions are made by the linked account.

    Earn 1.05% p.a. Bonus Interest in the following month on your Fast Track Saver Account balance. Earn Bonus Interest on your savings, with no minimum balance required.

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^See information about the Mozo Experts Choice Savings Accounts Awards

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