July savings snapshot: Prepare your savings for the new financial year

Man drinking coffee and using phone, computer and notes to prepare his savings for the EOFY.

Savings account interest rates held steady over the last month, with the rapid reductions of 2020 slowly petering off as we shift into a new financial year.

There were 13 cuts to ongoing savings rates in the Mozo database in June, as well as one increase of 0.35 basis points to the 4-month introductory rate on Bank of Queensland’s WebSavings Account.  

This has left the average ongoing savings rate in Mozo’s database at 0.44%, a figure which has remained relatively stable since February. While this is a rather dreary offer for anyone looking to earn interest, it highlights why pays to shop around for a better rate. 

Leading bonus savings rates are still sitting at 1.35% (ING Savings Maximiser) for all nest egg builders and 3.00% (Westpac Life (18 - 29 years old)) for younger savers. Just keep in mind there are various criteria you’ll need to meet each month to earn these top rates.

New financial year resolutions

Planning out your next financial steps after EOFY can also benefit your savings stash in the long-run. Here are a few financial resolutions to follow from July 1.

  • Be smart about your tax return this year. Get your return sorted out with haste so you can make the most of any cash that’s returned to your pocket. Read up on how to file your return efficiently with 86 400’s CFO, Belinda Hogan.
  • Get a high interest savings account sorted ASAP. You don’t want to leave your extra tax time cash languishing in a bank account (or shoebox) where it’s not earning any interest. Instead, check out these high interest savings accounts for your tax return.
  • Start a system for recording tax deductible expenses now. Pulling together 12-month-old receipts and loose paperwork isn’t an enjoyable tax time activity for most. For a more streamlined approach, check out the myDeductions tool on the Australian Taxation Office (ATO) app. It’s a convenient way to record your expenses and income in one place, including photos of receipts and invoices if they are in paper form.
  • Organise your side hustle banking. If you started doing some freelance work over the last year, it’s time to get organised for your side hustle future. Read our list of must-knows for freelancers at tax time, and some of the business banking options you may want to consider as your side-gig grows.

Compare bonus interest savings accounts - last updated 27 November 2021

Search promoted savings accounts below or do a full Mozo database search. Advertiser disclosure
  • Boost Saver with Go Account
    Maximum rate
    Standard interest rate
    Govt Deposit Guarantee
    1.50% p.a. (for $0 to $250,000)
    0.10% p.a.(for $0 and over)
    Yes up to $250,000

    Intro bonus rate of 1.50% for first 3 months, reverting to 1.20% after. Deposit $2,000 each month and make 5 eligible payments from your Go Account. If you are between 18 and 25 deposit $1,000.

    Enjoy a savings account bundled with a spending account. No monthly fees. New customers can earn up to 5000 bonus Virgin Money points on purchases (conditions apply). Benefit together with a joint account

    Details
  • High Interest Savings Account
    Maximum rate
    Standard interest rate
    Govt Deposit Guarantee
    1.35% p.a. (for $0 to $250,001)
    0.25% p.a.(for $0 to $250,001)
    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    Kick start your savings with the 4 month introductory variable rate. No fees, no minimum balance, no minimum monthly deposit and no minimum term.

    Details
  • Grow Saver
    Maximum rate
    Standard interest rate
    Govt Deposit Guarantee
    0.65% p.a. (for $0 and over)
    0.10% p.a.(for $0 and over)
    Yes up to $250,000

    Make at least 1 deposit and no more than 1 withdrawal, including internal transfers or external payments.

    Earn a maximum interest rate of 0.65% per year. Pay no monthly fees. Set up in-app savings goals. Benefit with joint account options.

    Details

^See information about the Mozo Experts Choice Savings Account Awards

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