President Joe Biden appeared Friday in his first interview since last week's debate with Donald Trump.
Biden has been widely criticized by Democrats and Republicans alike for his poor debate performance.
In a preview of the interview, Biden said his gaffes were "no indication of any serious condition."
President Joe Biden said debate night was a "bad episode" on Friday, in a preview of his first interview since his catastrophic appearance last week.
Speaking with ABC News's George Stephanopoulos, 81-year-old Biden said his performance, while lackluster, was "no indication of any serious condition."
"I was exhausted," Biden said. "I didn't listen to my instincts in terms of preparing and — and a bad night."
Biden, who has long faced criticism over his age and fitness for office, is the subject of growing ire from Republicans and Democrats alike for his poor debate performance — in which he repeatedly fumbled his words and appeared to lose his train of thought.
The Biden campaign has offered conflicting excuses for the sitting president's lackluster showing, including that he was sick, jetlagged, and poorly prepared for the event.
In response to the tumult, some major Democratic donors, including Netflix cofounder Reed Hastings and Disney heiress Abigail Disney, have pledged to withhold funding from the party until Biden drops out of the race.
While some reports indicate Biden has privately acknowledged that he might be unable to save his reelection bid, he has publicly braved the criticism and declared his plan to stay in the race.
"I'm not letting one 90-minute debate wipe out three and a half years of work," Biden posted on X shortly before the ABC News interview aired. "I'm staying in the race, and I will beat Donald Trump."
By all accounts, the 2024 financial year that has just passed us by was a very successful one for ASX shares on the whole. Between the start of July 2023 and the end of June 2024, the S&P/ASX 200 Index (ASX: XJO) rose by a healthy 7.8%. If you include dividend returns, that gain stretches to around 12%.
But let’s talk about how the BetaShares Nasdaq 100 ETF (ASX: NDQ) went.
The ASX 200 might have had a very strong year indeed over FY24. But the Betashares Nasdaq 100 exchange-traded fund (ETF) made it look silly, if we’re to be frank.
NDQ units started FY24 priced at $35.05 each. But by the end of last month, those units finished up the financial year at $45.51. That’s a gain worth 29.84%. If we include the value of the dividend distributions the ASX’s NDQ investors enjoyed over the 12 months to 30 June, that return stretches to roughly 32.1%.
Not a bad effort for just one year of waiting. That kind of return is astonishingly good. There aren’t too many investors that could have replicated it in their own portfolios, that’s for sure.
As the Betashares Nasdaq 100 ETF is mostly made up of the United States’ most prominent tech stocks, it’s not too difficult to see where these huge returns come from. To illustrate, the five largest positions in the NDQ portfolio are (in order) Microsoft, Apple, NVIDIA, Alphabet and Broadcom.
Microsoft shares rose 31.25% over FY24.
Apple shares were up 8.58%.
Nvidia stock shot up a whopping 192%.
Alphabet’s Class A shares enjoyed a 52.17% bounce over the year.
And Broadcom shares rocketed 85%.
Together, these five stocks account for 35.1% of NDQ’s entire portfolio by weighting. So, with gains rolling out from these top five, NDQ units were always going to have a veritable party over FY24.
But what about FY25?
Can the NDQ ETF bring home another 32% for ASX investors in FY25?
Well, that’s the million-dollar question. Normally, it would be prudent to state that a 30% gain from any investment, but particularly an index fund, is more likely to be one-off than a guide to future returns. As we stated earlier, a 30% gain is a rare feat in any stock market.
Additionally, it’s also worth stating that past returns are never a guarantee of future prosperity with any investment.
Saying that though, the BetaShares Nasdaq 100 ETF does have a long track record of delivering massive returns. As of 28 June, NDQ units have returned an average of 22.24% per annum over the past five years and 20.04% per annum since the ETF’s ASX inception in 2015.
This ETF’s holdings are indisputably some of the best and most exciting companies in the world. So, I wouldn’t be surprised if investors continued to enjoy meaningful gains from NDQ units.
However, that doesn’t make buying this ETF today a sure thing. Like FY24 before it, the Betashares Nasdaq 100 ETF’s FY25 will be made or broken by the performance of its top holdings.
If the US economy remains strong, global geopolitical tensions don’t rise any further, and the presidential election in November goes relatively smoothly, then there’s a decent chance that NDQ’s top holdings (and thus the ETF itself) will have another successful year this financial year.
But that is a lot of ifs. If one or more of these factors turns sour, the Betashares Nasdaq 100 ETF could well take a major haircut in FY25.
Who knows how the NDQ ETF will fare on the ASX in FY25? Whatever happens, it will be well worth watching.
Should you invest $1,000 in Betashares Nasdaq 100 Etf right now?
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Suzanne Frey, an executive at Alphabet, is a member of The Motley Foolâs board of directors. Motley Fool contributor Sebastian Bowen has positions in Alphabet, Apple, and Microsoft. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Apple, BetaShares Nasdaq 100 ETF, Microsoft, and Nvidia. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Broadcom and has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Alphabet, Apple, Microsoft, and Nvidia. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
A rising number of Australians expect to still be paying off their home loans when they enter retirement, according to superannuation provider Vanguard.
A survey of 1,800 people aged over 18 found that 45% of Gen Z respondents believed they’d still be paying off their mortgage by the time they were ready to retire.
Gen Zs were born between 1996 and 2010.
The survey found 32% of Gen X respondents also expected to still be paying off their property loans in retirement.
Gen Xers were born between 1966 and 1980. This is the next generation due to retire, with the elders of the group turning 58 this year.
This is two years shy of the superannuation preservation age and nine years shy of the ‘retirement age’, which refers to the age at which Australians are eligible for the age pension.
Gex Xers have varying intentions on how to deal with their mortgages when they decide to give up work.
What will Gen Xers do when they enter retirement?
Vanguard said 38% of Gen X respondents intended to keep paying off their mortgages in retirement.
Another 25% planned to use their superannuation savings to wipe out the debt in one hit. And 18% said they would consider selling their mortgaged home and repaying the debt when they quit work.
Among Millennials, 29% also think they’ll still have a mortgage when they enter retirement. Millennials were born between 1981 and 1995.
Vanguard’s How Australia Retiresreport also revealed that 8% of retirees today are paying off a home loan.
The latest data from the Australian Bureau of Statistics (ABS) shows there are 4.2 million retirees in the community today. So, 8% equals 336,000 homeowners.
Expert says this is a ‘sleeper issue’ in our economy
Vanguard Australia managing director Daniel Shrimski said the rising number of people expecting to retire with a mortgage or rent their homes during retirement was a “sleeper issue”.
He said:
After working hard and saving for the majority of our lives, Australians want to feel excited about a financially secure retirement.
However, our research has revealed nearly 1 in 5 Australians are renting in retirement, and 30 per cent of working Australians expect to still be paying a mortgage after they retire.
This is a bit of a sleeper issue when it comes to retirement. We tend to presume we’ll be homeowners and mortgage free â but having unresolved debt or needing to drawdown on savings to pay rent is likely to be a big financial burden for many, especially if full-time paid work is no longer an option.
They include sickness, injury, or disability (which prompted 13% of current retirees to quit work), being retrenched, dismissed, or unable to find work (5%), and caring for an ill, disabled, or elderly person (3%).
This is one of the reasons why many Australians retire earlier than initially planned. As we’ve previously reported, the average age at which most workers intend to retire is 65.4 years. However, existing retirees report retiring much earlier than this at an average age of 56.9 years.
Shrimski added:
This is why it’s so important that a robust superannuation balance is part of a ‘whole of wealth’ retirement plan, so Australians can have confidence and security in retirement.
According to the research, homeowners who are not in a relationship have a 31% higher chance of retiring with a mortgage.
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Joe Biden and Donald Trump participate in a debate at the CNN Studios in Atlanta, Georgia.
Andrew Harnik/Getty Images
Joe Biden and Donald Trump are both vying for the veteran vote as they seek a second term in office.
Biden and Trump both signed laws to expand veteran benefits: the PACT and Mission Acts, respectively.
Both acts were praised by veterans, but implementation faced challenges under each administration.
President Joe Biden and former President Donald Trump have both sought to claim the mantle of veterans champion as each vies for a second term in office.
The campaign has often focused on the symbolic and intangible, such as Biden visiting a World War I cemetery during a recent trip to France that Trump opted against visiting during his tenure after reportedly deriding veterans in private, or Republicans hitting Biden for falsely claiming at last week's presidential debate that no US troops have died on his watch.
But both also have legislative track records from their first terms in office, as well as well-documented accounts of how the Department of Veterans Affairs functioned under their administrations, that could point to how a second term would play out.
Biden shepherded through the PACT Act, which has been described as the biggest expansion of veterans benefits in a generation. Trump's biggest veterans-related legislation was the Mission Act, which expanded veterans' ability to seek VA-funded care outside of the VA system.
"Someone who may have benefited from the passage of the Mission Act, for that individual, it's the most important thing," said Patrick Murray, legislative director at the Veterans for Foreign Wars. "Someone who may have had a rare cancer that was benefited by the PACT Act, that's the most important thing to them. So, different veterans who had different illnesses, injuries, disabilities, whatever, may have benefited from either of the bills and, to those veterans, that's the most important thing."
Other veterans groups echoed the importance of both bills.
"We fought hard for the passage of the Mission and PACT acts because all veterans deserve the best care possible from VA," Chanin Nuntavong, the American Legion's executive director for government affairs, told Military.com in an email. "This means untangling the knots often associated with securing their earned healthcare benefits; expanding the rules to cover all those eligible; and lifting barriers to access, especially to those who live in rural areas."
President Joe Biden delivers a speech about the PACT Act at the Westwood Park YMCA in Nashua, New Hampshire.
John Tully/Getty Images
The PACT Act was the culmination of a yearslong effort from veterans, family members, and other advocates to get better recognition and care for ailments believed to be caused by exposure to burn pits and other toxins during their military services.
The legislative push got a significant boost when Biden, who has said he believes his son Beau's fatal brain cancer was caused by burn pit exposure, endorsed it at a State of the Union address, giving it the momentum needed to become law.
By the VA's own accounting, the law has resulted in more than a million new benefits claims approved and more than 300,000 new enrollments in VA health care.
The implementation has not been without issues. Most significantly, senior VA executives were improperly paid $10.8 million in bonuses that were intended to retain employees with critical skills needed to handle the influx of work from the PACT Act. Veterans have also given one of the most high-profile elements of the PACT Act — toxic exposure screenings — lackluster reviews.
But, overall, veterans organizations have celebrated the PACT Act as a historic achievement.
"Simply put, the bill represents the largest expansion of VA care and benefits for those exposed to harmful substances during their military service in history," Joe Parsetich, then the national commander for the Disabled American Veterans, said at the time of the passage in 2022.
The Mission Act, meanwhile, was an effort to fix issues with the earlier Choice Act, a 2014 law that was borne out of the VA wait-time scandal. Trump often incorrectly refers to his achievement as "Choice," even though the earlier bill with the same name was signed by his predecessor, President Barack Obama.
Then-US President Donald Trump holds up the VA Mission Act of 2018 he signed at a ceremony in the Rose Garden of the White House.
Cheriss May/NurPhoto via Getty Images
The Mission Act expanded the number of veterans eligible to receive private healthcare funded by the VA and consolidated several different programs for community care into one. Under the law, veterans can seek outside care if they face more than a 30-minute drive for primary care or mental health services or 60 minutes for specialty care, or a 20-day wait for a primary care or mental health appointment and more than 28 days for specialty care.
Republicans have alleged that the VA under the Biden administration has undermined the Mission Act by limiting the number of referrals to community care. VA officials and Democrats, by contrast, have expressed concern about ballooning community care costs since the law's implementation.
Another major element of the Mission Act, a commission that studied the VA's infrastructure needs, fizzled out when it recommended closing 17 medical centers and dozens of aging or underused clinics. Lawmakers in both parties who had facilities on the chopping block refused to move forward.
"What was passed was not perfect. Nothing ever is," the VFW's Murray said, noting proposed updates to community care pending in Congress right now. Still, the Mission Act "was huge, unprecedented."
"And then only a few years later, there was an even huger, more unprecedented bill that followed it," he added of the PACT Act. "So, both, at the time, were huge, were generational things, and then the next one just follows. So, we will see what comes in five to 10 years if there's another one that we'll be talking about."
Outside of legislation, Trump and Biden have divergent records on VA staffing and leadership.
Then-President Donald J. Trump gestures behind a model of a rocket while sitting beside US Secretary of Veterans Affairs David Shulkin.
Michael Reynolds-Pool/Getty Images
Much like the rest of his administration, Trump's VA saw significant leadership turmoil.
Trump's first VA secretary was David Shulkin, a VA undersecretary during the Obama administration who was one of Trump's last picks for Cabinet secretaries ahead of his inauguration. Shulkin was ousted by Trump a little more than a year into the job after an inspector general report found he took a trip to Europe that involved more sightseeing than official business, used taxpayer funding to have his wife accompany him on the trip, and improperly accepted tickets to a Wimbledon tennis match as a gift.
To replace Shulkin, Trump first nominated current Rep. Ronny Jackson, R-Texas — at the time, a Navy doctor who served as the White House physician and won Trump's favor by showering him with praise. Jackson, though, was forced to withdraw from consideration after allegations that were later confirmed by an inspector general that he drank on the job, overprescribed medications, and created a hostile work environment.
After Jackson's bid ended, Robert Wilkie, who had been working at the Pentagon, was nominated and confirmed as VA secretary. He lasted through the end of the Trump administration.
VA policy during the Trump administration was also directed by a trio of business executives with personal ties to Trump and memberships at his Mar-a-Lago club, according to a 2021 investigation by congressional Democrats that concluded the arrangement "violated the law and sought to exert improper influence over government officials to further their own personal interest."
US President Joe Biden and Secretary of Veterans Affairs Denis McDonough walk through the Cross Hall of the White House.
Chip Somodevilla/Getty Images
Biden's VA has had comparatively steadier leadership. Denis McDonough, who was Obama's chief of staff, has served as VA secretary since the beginning of the Biden administration.
There has been some turnover lower down on the organizational chart, including Donald Remy stepping down as deputy secretary last year. His replacement, Tanya Bradsher, the first woman to permanently be the VA No. 2, had a somewhat bumpy Senate confirmation over allegations she did not adequately respond to concerns from whistleblowers and Republican lawmakers that an IT system was exposing veterans' personal information.
There have been some calls from Republicans for officials involved in the PACT Act bonus scandal to resign, including at least one call for McDonough to step down. But the pressure has so far not reached a groundswell resulting in any resignations, with McDonough saying last month he continues to have faith in his leadership team.
Overall, the highest trust scores for the VA under each administration were nearly tied, according to Wisconsin Watch, a nonpartisan investigative news outlet. They were at 80.2% in 2021 under Trump and 80.4% in 2024 under Biden.
If you want to supercharge your investment portfolio, then it could be worth checking out these ASX shares in this article.
That’s because they have been named as buys and tipped to deliver mouth-watering returns over the next 12 months. Here’s what analysts are saying about them:
This fund manager’s shares could be undervalued according to analysts at Bell Potter.
It highlights that the ASX share has come under pressure since some significant selling from a former insider. However, rather than being concerned by the selling, it feels this has created an “excellent” buying opportunity. The broker commented:
RPL is performing well, generating strong net flows, strong investment returns, high fee income and benefitting from increased scale through acquisitions. The shares have been weak since the sell down of stock by Rob Luciano on 21 June. (10m shares sold at $3.22, a 9% discount). We feel this recent weakness offers an excellent opportunity to buy into an attractive growth story, with strong momentum and a widening shareholder base. Updating our model for the performance fees and FUM increases our FY24 EPS figure by 0.7% but reduces FY25 and FY26 by 2.3%.
Bell Potter has a buy rating and $4.75 price target on its shares. This implies potential upside of almost 40% from current levels.
Over at Goldman Sachs, its analysts see plenty of upside in this wine giant’s shares.
The broker highlights that its shares are trading on lower than normal multiples. This is despite its very positive outlook thanks to acquisitions, the removal of Chinese tariffs, and the expansion of the Penfolds business. It said:
Our Buy rating on TWE is premised on accelerating double-digit EPS growth in FY24-27e driven by 1) continued global expansion of Penfolds, especially post the removal of China import tariffs on Australian wine; our recent channel checks suggest positive reception to the returning Australian sourced Penfolds and we expect a ~63pct pre-tariff recovery by 2027; and 2) its rank as the #1 luxury wine company in the US (most sales in luxury wine) with the recent acquisitions of Frank Family Vineyards (FFV) and DAOU which have been growth and margin accretive, combined with a stable portfolio of Premium Brands. TWE is trading modestly below the 5-year historical P/E average.
Goldman has a buy rating and $15.40 price target on its shares. This suggests that they could rise 26% from current levels.
Analysts at Bell Potter also think that this niobium explorer could be an ASX share to buy if you have a high risk tolerance. This is thanks to its Luni niobium project, which is on track to be a globally significant project. The broker commented:
We see the potential for Luni to be a globally significant niobium project, capable of generating on average A$514m in annual EBITDA. Using Lynas as a comp, which trades on a 10.9x EV/EBITDA multiple, yields an enterprise value of A$5.6bn for WA1.
Bell Potter has a speculative buy rating and $28.00 price target on its shares. This implies potential upside of 32% for investors.
Should you invest $1,000 in Regal Funds Management Pty right now?
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And right now, Scott thinks there are 5 stocks that may be better buys…
Motley Fool contributor James Mickleboro has positions in Treasury Wine Estates. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has recommended Treasury Wine Estates. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
The Core Lithium Ltd (ASX: CXO) share price came under intense selling pressure in the financial year just past.
Shares in the All Ordinaries Index (ASX: XAO) lithium stock closed out FY 2023 trading for 90 cents. On 28 June, the last day of FY 2024, shares closed the day at 9.3 cents apiece.
That put the Core Lithium share price down a painful 89.7% over the financial year.
Here’s why the ASX lithium miner just finished off a year to forget.
What happened to the Core Lithium share price in FY 2024?
Most of the pressure heaped onto the Core Lithium share price came from an ongoing slide in global lithium prices.
With lithium supplies ramping up faster than demand growth over the year, the lithium carbonate price ended FY 2024 at around US$11,000 a tonne. That’s well down from the 2022 all-time highs. And it’s less than a third of the US$32,000 a tonne that lithium prices averaged in 2023.
While there were a few sizeable moves higher for the Core Lithium share price over the 12 months, the trend was sharply lower, as you can see in the chart above.
The 2024 calendar year started poorly.
On 5 January, the miner announced it was suspending mining operations at its flagship Finniss Project in the Northern Territory in early January. With lithium prices crashing, management said it was unprofitable to continue mining.
While continuing to process its established ore stockpiles, Core Lithium indicated it was unlikely to resume operations at Finniss until lithium prices have recovered.
The company’s half-year results, released after market close on 12 March, also left much to be desired.
For the first six months of FY 2024, Core reported revenue of $135 million and a loss after tax of $167 million. The company also announced that CEO Gareth Manderson was leaving the top job.
The Core Lithium share price crumbled by 30% over the five trading days following the half-year announcement.
And the miner’s 3Q FY 2024 results, released on 29 April, did little to placate shareholders.
While Core continued to process ore stockpiles, quarterly spodumene concentrate production declined by 14% from the prior quarter.
Commenting on those results at the time, interim CEO Doug Warden acknowledged that, “Following the decision to cease mining in January 2024, it has been a challenging quarter for Core employees, contractors and shareholders.”
As for FY 2025, the Core Lithium share price closed the first trading week of the new financial year flat at 9.1 cents.
Should you invest $1,000 in Core Lithium Ltd right now?
Before you buy Core Lithium Ltd shares, consider this:
Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Core Lithium Ltd wasn’t one of them.
The online investing service heâs run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
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Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
If you’re in the market for some new ASX 200 shares in July, then it could be worth listening to what analysts at Bell Potter are saying.
That’s because they have just revealed their favoured picks for the month ahead. Three on its list this month are named below. Here’s what the broker is saying about them:
Bell Potter continues to see a lot of value in this mining and mining services company’s shares at current levels.
Its analysts like the company due to the diversity of its operations and its strong production growth potential. It said:
Our Buy view is underpinned by MIN’s earnings diversification, strong insider ownership, clearly articulated strategies, expertise in contracting and internal growth options at Onslow as well as potential lithium expansions including into downstream. All up, MIN offers diversified exposure to steady income streams from the contracting business and market-driven commodity exposure coupled with earnings derived from both lithium and iron ore.
Bell Potter has a buy rating and $84.00 price target on the ASX share. This implies potential upside of approximately 45% for investors.
Another ASX 200 stock that could be a buy in July according to the broker is Neuren Pharmaceuticals. It is a growing biotechnology company developing treatments for rare diseases of the central nervous system.
Bell Potter is particularly positive on its NNZ-2591 product and believes it could be a key driver of growth in the coming years. It said:
In the last six months, NNZ-2591 reported highly encouraging Phase 2 data in two rare diseases. NEU will once again have first-to-market opportunities in these two rare diseases, assuming future Phase 3 trials are successful. While short-term news will continue to be impacted by Acadia’s commercialisation of NEU’s first drug, called Daybue, we maintain our BUY recommendation for investors who have a longer 2 to 3-year investment horizon.
Bell Potter has a buy rating and $28.00 price target on its shares. This suggests that upside of 40% is possible for investors.
The broker believes that this ASX 200 stock could be seriously undervalued by the market. Especially given the recently announced sale of its Corporate Trust (CT) and Wealth management (WM) businesses to private equity firm KKR.
It believes this makes the remaining business cheap compared to peers. It explains:
Perpetual announced a disposal of the Corporate Trust (CT) and Wealth Management (WM) businesses to KKR for $2.175bn. This price was ahead of our expectations ($1.5-1.9bn), and should result in a cash payment to shareholders of between $804m-1,104m or $6.95- 9.55 per share, dependent upon the assumptions, particularly tax and deal costs. We estimate the residual asset management business is being valued at between $1.3-1.6bn or between 3.5x-5.5x EBITDA. We believe this is too low for an international asset manager. Valuing the residual asset management business on 6.3x FY25 would imply a value of $2.1bn or $18.17/per share.
Bell Potter has a buy rating and $27.60 price target on its shares. This reflects ~$18.17 for the remaining business and a forecast cash distribution of ~$9.50. Based on its current share price, this implies potential upside of 28% for investors.
Should you invest $1,000 in Mineral Resources Limited right now?
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Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Mineral Resources Limited wasn’t one of them.
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And right now, Scott thinks there are 5 stocks that may be better buys…
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
As you plan for retirement, it’s essential to ensure that your superannuation contributions align with your income bracket. Contributing enough to your super is vital for securing a comfortable retirement, but many Australians are unsure if they’re doing enough.
In this article, we’ll explore average super contributions and balances across income groups. Understanding where you stand in your income bracket can empower you to make informed decisions towards a financially secure retirement.
Average and median superannuation balances by income group
Let’s begin by examining the superannuation balances of Australians across different income brackets. According to the Australian Taxation Office, here are the average and median super balances for FY21 and FY22 by income bracket:
Taxable income
Average balance 2020â21
Average balance 2021â22
Median balance 2020â21
Median balance 2021â22
$18,200 or less
$200,833
$161,473
$31,237
$21,374
$18,201 to $45,000
$102,045
$98,453
$18,047
$17,127
$45,001 to $180,000
$153,187
$142,818
$77,930
$70,374
$120,001 to $180,000
$325,265
$295,925
$200,164
$178,728
$180,001 or more
$615,266
$573,053
$331,971
$303,980
No income tax return
$132,312
$132,854
$36,568
$40,888
Total
$170,191
$164,126
$59,883
$57,912
Lower-income earners: For those making $18,200 or less, the average and median super balances dip noticeably. This change signals a need for extra support to help the lower-income group grow their retirement savings.
Steady despite challenges: Interestingly, individuals without a taxable income managed a slight increase in their average super balance. This resilience suggests various factors are at play, including possibly government co-contributions that helped buoy their savings.
Middle-income group: Those earning between $45,001 and $180,000 saw their super balances shrink a bit. Despite this, their continued accumulation of substantial savings points to the importance of regular contributions and the benefits they bring over time.
High earners: The top earners, those with incomes of $180,001 or more, experienced a decrease in their average balance but still maintained significant savings. This highlights how higher contribution limits and perhaps more aggressive investment strategies can pay off.
How much did Aussies contribute to super?
The ATO’s FY22 data breaks down individuals’ superannuation contributions by taxable income brackets. The original data is separated by gender, age, and income range, but I combined them to find subtotals and calculated averages for each income group.
Income range
Employer
Personal
Other
Total contribution
$18,200 or less
$1,037
$5,595
$1,718
$8,350
$18,201 to $45,000
$3,070
$2,890
$480
$6,440
$45,001 to $180,000
$7,766
$2,070
$530
$10,366
$120,001 to $180,000
$13,842
$4,083
$1,288
$19,213
$180,001 or more
$19,103
$9,284
$1,918
$30,306
No income tax return
$4,757
$4,044
$2,171
$10,972
The above averages calculated by Kate Lee using the ATO’s FY22 data.
The ATO’s FY22 data shows significant variation across different income brackets:
$18,200 or less: This group made total contributions averaging $8,350, with the majority coming from personal contributions of $5,595.
$18,201 to $45,000: Contributions totalled $6,440, with employer contributions of $3,070 being the largest component.
$45,001 to $120,000: Total contributions reached $10,366, predominantly from employer contributions amounting to $7,766.
$120,001 to $180,000: This income range had contributions of $19,213, with a substantial amount coming from employer contributions at $13,842.
$180,001 or more: Contributions were highest in this bracket, totalling $30,306. Employer contributions were again the largest part at $19,103.
No income tax return: This group made contributions totalling $10,972. However, this group has a more balanced distribution among employer, personal, and other contributions.
This data highlights that higher income groups generally contribute more to their superannuation, with employer contributions being the primary source across all brackets.
It’s encouraging to note that Australians across different income levels are actively making additional contributions to their super accounts, taking advantage of the tax benefits offered by super.
I hope your super contributions are on a par with other Aussies making similar income. Explore more about superannuation here for additional insights.
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TikTok is one of the most popular platforms out there, helping thousands of creators increase their online presence, make money, and start their own businesses. The app has helped many break into the music industry, launch their comedy careers, and even attend high-profile events like the Met Gala.
The ByteDance-owned platform has gone through some major changes in the past year, though.
Recently, it introduced and expanded its focus on shopping, where creators on the platform who qualify for this feature can earn a commission by posting reviews of products or services they use or if their audience buys through their affiliate link. TikTok has also tapped into long-form content in an effort to compete with YouTube and steer away from the shorter, 15-and 30-second videos it first became popular for.
As TikTokers grow their brands, many of them tap talent managers and agents to help them earn even more lucratively. Some managers find their talent through mutual connections, at events, or by browsing social media themselves.
"TikTok still does an incredible job of shining light on new faces, new talent, and exciting content," Brendan Nahmias, a senior talent manager at the creator firm Whalar, previously told Business Insider.
These managers and agents can help their talent negotiate better contracts, connect them with brands, and even branch out into areas they don't have expertise in.
BI is compiling its fifth annual list of the most influential talent managers and agents who help TikTok creators jumpstart their careers. We encourage creators, influencer marketers, advertisers, publicists, creator startup founders, and other industry professionals, to inform us of which agents and managers are having a positive impact on TikTokers' careers.
The Vanguard US Total Market Shares Index ETF (ASX: VTS) is a high-quality exchange-traded fund (ETF) that most people would have benefited from owning in the last five years. The unit price has gone up more than 80%, as shown on the chart below.
The US share market is home to many of the world’s biggest and strongest businesses including Microsoft, Apple, Nvidia, Alphabet (which owns Google), Amazon, Meta Platforms, Berkshire Hathaway, Eli Lilly & Co, Broadcom and JPMorgan Chase & Co.
Households that invest in the VTS ETF can get exposure to most of the US share market because it has over 3,700 holdings. That’s a lot of diversification in one investment. While the holdings are listed in the US, the underlying earnings come from across the world.
Having said that, I think there are (at least) three things that some investors need to know about this fund.
Extremely low fees
One of the best reasons to invest in this ASX-listed ETF is the fact that it has exceptionally low management costs.
The lower the fees, the more returns stay in the hands of investors. Therefore, low fees are good for long-term investing and wealth building. Of course, there’s more to being a good investment than just low fees, but it’s a very useful element.
According to Vanguard, the VTS ETF has an annual management fee of just 0.03%. Let’s compare that to a few other options.
The Vanguard MSCI Index International Shares ETF (ASX: VGS) has an annual fee of 0.18%.
The Betashares Nasdaq 100 ETF (ASX: NDQ) has an annual management fee of 0.48%.
The iShares S&P 500 ETF (ASX: IVV) has an annual fee of 0.04%.
The VTS ETF is cheaper than its rivals, though the IVV ETF fee is very similar.
Great financial metrics
Every month, Vanguard tells investors what the financial metrics of its ETFs are.
The financial ‘characteristics’ of the VTS ETF are very positive because of the strength of the businesses within the US share market.
According to Vanguard, as of 31 May 2024, the VTS ETF had a return on equity (ROE) of 24%. That shows that the companies within the ETF are generating enormous profits for how much shareholder money is being retained within the businesses. It may also suggest that these businesses can keep growing profit at a good rate if they continue reinvesting for ongoing growth.
Vanguard also said the earnings growth rate is currently 15.7%, which is a strong rate of compounding of the earnings per share (EPS). Long-term double-digit EPS growth can translate into double-digit shareholder returns over time, even if there is a bit of volatility along the way.
Becoming more concentrated
While the performance of US shares has been stunning, we should keep in mind that the American stock market’s performance is being driven by a few large US tech shares.
I’m talking about names like Nvidia, Microsoft, Apple, Alphabet, Amazon and Meta Platforms. The stocks alone account for more than a quarter of the portfolio â a fund that owns over 3,700 businesses.
It’s understandable that these stocks are becoming a larger share of the US market because their profits and market capitalisations keep rising over time. However, if this trend continues, it reduces the effectiveness of diversification, and the VTS ETF could become very reliant on those stocks delivering returns to do well.
Should you invest $1,000 in Vanguard Us Total Market Shares Index Etf right now?
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John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Foolâs board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Foolâs board of directors. JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool’s board of directors. Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Alphabet, Amazon, Apple, Berkshire Hathaway, BetaShares Nasdaq 100 ETF, JPMorgan Chase, Meta Platforms, Microsoft, Nvidia, and iShares S&P 500 ETF. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Broadcom and has recommended the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool Australia has positions in and has recommended BetaShares Nasdaq 100 ETF. The Motley Fool Australia has recommended Alphabet, Amazon, Apple, Berkshire Hathaway, Meta Platforms, Microsoft, Nvidia, Vanguard Msci Index International Shares ETF, and iShares S&P 500 ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
