Australian Finance Podcast Your money questions answered: HECS, insurance & rental property tax tips
20 snips
Jun 9, 2025 
Join financial planner Alex Luck from Everest Wealth Group as he tackles listener questions about money management. Discover if paying off HECS debt early is wise, and explore the differences between managed funds and ETFs. Alex dives into insurance premiums, breaking down stepped versus level options. He also sheds light on renting out your home without triggering capital gains tax and discusses the potential impact of the proposed $3 million super tax on young Australians. Tune in for essential money insights!
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HECS Repayment Strategy
- Prioritize paying off HECS debt only if it eases your psychological burden.
- Consider placing extra funds in high-interest savings instead, as HECS only accrues CPI-based interest.
Managed Funds vs ETFs
- Managed funds are typically active with higher fees, while ETFs are mostly passive and tax-efficient.
- Selling managed funds may trigger capital gains tax unlike ETFs, affecting your investment's tax position.
Choosing Insurance Premiums
- Understand your insurance premium type: stepped premiums increase with age; level premiums are more stable but costlier upfront.
- Choose level premiums only if you plan to hold the cover long-term; otherwise stepped premiums offer flexibility and lower current costs.