Back in October, columnist Bernard Salt hit the headlines, when he suggested young people in Australia should stop spending $22 in cafés on smashed avocado on toast, in order to buy their first home.
Mr Salt’s suggestion was widely mocked on social media. Similar to the U.K, Australia is currently facing a housing affordability crisis. Median house prices in Australia’s largest city of Sydney, recently surged past $1.1 million AUD and continue to grow.
Salt found himself the hot topic of thousands of online posts. Many pointed out that the Australian Bureau of Statistics’ most recent Household Expenditure Survey, showed that those aged 18-24 were saving more of their disposable income than any other age group.
Moving forward, there does seem to be some light on the horizon. Current Treasurer Scott Morrison has revealed that the upcoming May budget, will have more focus on reworking the National Affordable Housing Agreement.
In today’s economic climate, whether you are young or old, there has never been a better time to try and generate some more disposable income. Whether that be to go towards a deposit for your first home or to pay off some lingering debts.
To help make sure you can eat as much avocado on toast as your heart desires, we’ve compiled a list of five ways to generate more disposable income below;
1) Become Your Own Barista
Each morning, the streets around Australia’s metropolitan areas are filled with scurrying workers carrying around takeaway coffee.
The cost of each cup can vary widely. Some cities, such as Perth, see customers charged as much as $7 for a tall flat white! If you drink only 1 cup a day at that price, that adds up to over $2,000 every year!
The cost saving workaround for those that can’t live without a morning caffeine hit is fairly simple: buy yourself a flask and start making your coffee from home.
2) Ride sharing and car pooling
Transit lanes, which are designed purely for vehicles carrying more than one person, were first introduced in the early 90s on Melbourne’s Eastern Highway and have since spread to all of the other main cities in the country.
Not only can they help you get to work faster, by letting you zoom past gridlocked traffic, but also the chance to split the cost of any fuel or tolls with colleagues or a car pooling group.
Ride-sharing services such as Uber are well known and can be cheaper than taxis. There are also other car pooling services available which may work out that little bit more cost efficient than public transport.
These options are great for the environment and eliminate the need for a second car.
3) Sell Unwanted Items Online
If you have any household items which you are no longer using or don’t want, such as furniture, clothing or electronics, why not sell them online?
Buy and sell sites such as Gumtree are free to use and can help each item reach the perfect target audience.
While this approach might not earn you massive levels of disposable income, it should at least give you a bit of extra cash for smashed avocado on toast.
4) Give Yourself an Instant Pay Rise
Online comparison websites have made it easier than ever before to see if we’re paying too much for our phone plans, energy usage, paid TV subscriptions, insurance and broadband bills.
A simple switch of supplier can often save you up to 25% on your previous bill, so it’s always worth shopping around to find the best deal.