Income
Gifts Advantages
Easy to accumulate. Don't have to work for it. Investment options.
Gifts
Given to you for no or little work usually by family members or friends. Different types are Pocket money, Christmas/ Birthdays, Donations.
Disadvantages of Investment Property
Housing markets can fluctuate. Long term investments. Upkeep of property: bad tenants, rates, insurance. Could be better spent n the Aus economy eg. buissiness. Gen Y priced out.
2 types of Income
Personal or household
Advantages of Investment Shares
Really easy way to accumulate wealth quickly. Gives Citizens some ownership of a company for a time.
Advantages of Government payments
Some welfare payments can be a reliable source of income. Enables families to provide for themselves
FT employment Advantages
Stable income. More benefits- maternity leave, sick leave. Salary, aware of pay that doesn't change.
PT employment Advantages
Suitable for different lifestyles due to flexible hours (backpackers, parents, students)
Impulse shopping
This is where you purchase any goods or service that is unplanned
C employment Advantages
Transition between jobs, students, cover, change . Busy lifestyle and have accumulated assets already. New job seekers. Paid on Call (high rate)
Difference between wage and salary
Wages are a weekly payment that goes out to employees that can fluctuate. Whereas salary is a fixed price that is paid yearly
Investment
When an individual spends money in order to create an equity there for developing their wealth and assests. Different types are Business, Property, ASX sharemarket, Antiques, Superannuation
Income
Income can be defined as a payment received in the form of wages, salary, gifts, royalties,, government payments or investments. Income can be spent on needs or wants and it can also be saved
FT employment Disadvantages
Long term commitment. Impact social life/ family life/ free time
C employment Disadvantages
Lower income because of inconsistent shifts. Lower chance of securing a loan. Easily replaceable.
Disadvantages of Investment Shares
Markets can fluctuate which creates it hard to predict
Advantages of Investment Property
More investment properties mean more competition. Provide housing opportunities for others. Retirement profit. Provides a stable income - weekly rent and good housing market prices, leads to more money in the long run.
PT employment Disadvantages
Not a certain income. Less benefits- union benefits , less leave (annual and sick)
Gifts Disadvantages
Not stable. Rare infrequent, Fluctuate, Spent on needs not wants.
Government payments
Payments and welfare benefits from the government that are received through Families,Separated parents, Job seekers, Older Australians, Health, People with disability, Students & trainees, Migrants, refugees & visitors Carers, Rural & remote Australians, Indigenous Australians
Disadvantages of Government Payments
Different governments at election time can change the level of income or remove a policy completely. eg. retirement, pension
Wages/ Salary
Different types of payments, payed out by employers to employees. Three different types of employment is Full time, Part time and a casual worker.
Strategies to avoid impulse buying
1 Is the purchase affordable. Is there a better use for the money. 2 Dont be influenced by advertising. Is there a cheaper generic brand. 3Plan purchases in advance. List items before you go shopping. 4 Be a strict budgeter and make savings plans for major purchases, that should be researched. 5 Shop for the best deal and ask for better prices
4 Sources of Income
Investment income, Gifts, Wages/ salary, Government payments
Advertising
It influences customers on the ir choice of purchase. It is used to persuade consumers to buy what a producer has t offer and will understand their main target audience.