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Are you looking to add some dividend shares to your portfolio? Then take a look at the ones listed below.

Here’s why they could be top options for income investors this week:

Fortescue Metals Group Limited (ASX: FMG)

Fortescue is one of the world’s leading iron ore producers and is benefiting greatly from the sky high prices being commanded by the steel making ingredient.

At present, the spot iron ore price is trading at ~US$220 a tonne. And even though Fortescue’s lower grade ore doesn’t command as high a price as that, it is still receiving significantly more than its costs per tonne. This means Fortescue is generating material free cash flow right now. And given management’s penchant for returning funds to shareholders, this bodes well for dividends in the near term.

According to a note out of Macquarie from last week, the broker expects Fortescue to pay dividends of $3.40 per share in FY 2021 and then $2.43 per share in FY 2022. Based on the latest Fortescue share price of $23.22, this will mean fully franked yields of 14.6% and 10.5%, respectively.

Macquarie has an outperform rating and $27.00 price target on the miner’s shares.

Wesfarmers Ltd (ASX: WES)

Another option to consider is Wesfarmers. This conglomerate has been performing very positively in FY 2021 thanks to solid growth across the majority of its businesses.

The star of the show has been the key Bunnings business. The hardware giant has been benefiting from home improvement-related government stimulus and the booming housing market. This led to Bunnings reporting a 35.8% increase in earnings before interest and tax (EBIT) to $1,274 million. This represents 62% of Wesfarmers’ EBIT of $2,058 million for the half.

Macquarie is also a fan of Wesfarmers and currently has an outperform rating and $58.12 price target on its shares.

The broker is forecasting fully franked dividends of $1.74 per share in FY 2021 and $1.76 per share in FY 2022. Based on the latest Wesfarmers share price of $55.00, this represents attractive yields of 3.15% and 3.2%, respectively.

The post 2 ASX 200 dividend shares rated as buys appeared first on The Motley Fool Australia.

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James Mickleboro does not own any shares 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 owns shares of and has recommended Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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On Friday the S&P/ASX 200 Index (ASX: XJO) finished the week with a small gain. The benchmark index rose 0.1% to 7,312.3 points.

Will the market be able to build on this on Tuesday? Here are five things to watch:

ASX 200 expected to storm higher

The Australian share market looks set to start the week in style on Tuesday. According to the latest SPI futures, the ASX 200 is expected to open the day 56 points or 0.8% higher this morning. This follows a reasonably positive start to the week on Wall Street, which saw the Dow Jones fall 0.25% but the S&P 500 rise 0.2% and the Nasdaq climb a sizeable 0.75%.

Oil prices rise

Energy producers such as Beach Energy Ltd (ASX: BPT) and Woodside Petroleum Limited (ASX: WPL) could be on the move today after oil prices pushed higher. According to Bloomberg, the WTI crude oil price is up 0.25% to US$71.09 a barrel and the Brent crude oil price has risen 0.5% to US$73.05 a barrel. Oil prices hit a two-year high on demand hopes.

Tech shares could rise

It could be a positive start to the week for tech shares such as Afterpay Ltd (ASX: APT) and Appen Ltd (ASX: APX). This follows another strong night of trade on the Nasdaq index after investors continued to buy beaten down tech stocks. The buying has been so strong that the Nasdaq index closed the day 0.75% higher at a record high.

Gold price tumbles

Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could come under pressure today after the gold price tumbled lower. According to CNBC, the spot gold price is down 0.65% to US$1,867.60 an ounce. The gold price slipped amid concerns the U.S. Federal Reserve may reveal a path for scaling back its expansive monetary policy later this week.

Quarterly Rebalance

S&P Dow Jones Indices has announced its quarterly rebalance and revealed which shares will be included and kicked out of the illustrious ASX 200 index. On 21 June, Chalice Mining Ltd (ASX: CHN), Orocobre Limited (ASX: ORE), and Uniti Group Ltd (ASX: UWL) will join the index. They will be replacing Austal Limited (ASX: ASB), Perenti Global Limited (ASX: PRN), and Resolute Mining Limited (ASX: RSG).

The post 5 things to watch on the ASX 200 on Tuesday appeared first on The Motley Fool Australia.

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James Mickleboro does not own any shares mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended AFTERPAY T FPO, Appen Ltd, and Austal Limited. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO and Appen Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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There are some ASX dividend shares that might be options for creating income.

Businesses that have yields of more than 4% could have the ability of improving yields from a portfolio.

Here are two possible businesses for income:

Rural Funds Group (ASX: RFF)

Rural Funds is a agricultural real estate investment trust (REIT) that owns a portfolio of farms in different sectors including cattle, vineyards, almonds, macadamias and cropping (sugar and cotton).

It aims to lease its portfolio to experienced agricultural operators like Select Harvests Limited (ASX: SHV), Treasury Wine Estates Ltd (ASX: TWE), Olam, JBS and Queensland Cotton.

Rural Funds has a long-term relationship with tenants, with a weighted average lease expiry (WALE) of approximately 11 years. That means that the business has quite a lot of rental earnings visibility. The rental income is contracted to grow by either a fixed 2.5% per annum or it’s linked to CPI inflation, plus market reviews.

With that rental growth, management have a goal of increasing the ASX dividend share’s distribution for investors each year by 4%. It has been successful with that goal after listing several years ago.

Indeed, the business has forecast a distribution for FY22 of 11.73 cents, equating to a forward yield of around 4.6%.

Rural Funds looks to increase the valuation and usefulness of its farms by investing in productivity. For example, at its cattle farms it has invested in water points, pasture improvement, cultivation areas and grazing areas. At other farms it’s investing in plantings, water storage and irrigated cropping.

In FY21 the ASX dividend share increased its adjusted net asset value (NAV) to $2.01 per unit, which was an increase of 4%. The gearing of the REIT was 30% at the end of the first half of FY21, which was at the low end of the target range of 30% to 35%.

Accent Group Ltd (ASX: AX1)

Accent is a footwear retailing business with sells through various stores and brands in Australia including Platypus, Hype, Trybe, The Athlete’s Foot, Glue Store, Skechers, Dr Martens, VANS, Timberland and CAT.

The ASX dividend share has been generating a lot of margin growth and online sales growth, leading to profit growth. Whilst total sales increased 6.6%, net profit after tax (NPAT) rose 57.3%. Digital sales increased by $110% to $108.1 million, representing 22.3% of sales.

HY21 saw the gross profit margin rise 140 basis points. Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) rose 44%.

The company is looking to keep growing its store network. In the first half it opened 50 new stores, ending with 565 stores. It’s expecting to open a total of at least 90 stores in FY21 with continued “strong” store openings expected in FY22.

Accent CEO Daniel Agostinelli explained the company’s success and focus on shareholder returns:

Accent’s integrated digital capability, large and growing store network, strong portfolio of exclusive distributed brands and emerging capability in building new business formats and vertical products continues to drive strong sales and margin growth. The management team remains focused on driving digital growth and innovation. With long-term objectives and incentives linked to driving at least 10% compound earnings per share growth, Accent continues to be defined by strong cash conversion and the consistently strong returns it delivers on shareholders’ funds.

In HY21 the ASX dividend share grew its dividend by 52.4% to 8 cents per share. According to Commsec’s FY21 forecast for the Accent dividend per share of 12.5 cents. That puts the forward grossed-up dividend yield at 6.4%.

The post 2 ASX dividend shares that could be buys with yields above 4% appeared first on The Motley Fool Australia.

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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 no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended RURALFUNDS STAPLED and Treasury Wine Estates Limited. The Motley Fool Australia has recommended Accent Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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A handful of ASX shares are rated by multiple brokers as buys.

If plenty of brokers think a business is worth looking at, then it might be an opportunity.

These two are potential ideas:

Baby Bunting Group Ltd (ASX: BBN)

Baby Bunting is the leading retailer of baby and infant items and products in Australia.

It’s currently rated as a buy by at least five brokers including Morgans, which has a target price for Baby Bunting of $6.39 over the next 12 months.

The broker has identified that there’s still a good environment for the retailing world. Baby Bunting in-particular has several growth avenues, such as the expansion into New Zealand.

Baby Bunting started shipping online orders to New Zealand in July 2020 and has completed an assessment of the NZ$450 million market opportunity in the country.

The ASX share has plans to launch a multi-channel retail proposition in New Zealand with the first store anticipated to open in FY22 as part of a network plan of at least 10 stores. This decision by management was supported by the fact there are no large format baby specialty retail chains in the market.

Morgans believes that Baby Bunting is good value because of its strong growth prospects.

In the first half of FY21, it grew total sales by 16.6%, pro forma earnings before interest, tax, depreciation and amortisation (EBITDA) rose 29.7% and pro forma net profit after tax (NPAT) increased 43.5%. Like other multi-channel retailers, it saw online sales growth of 95.9%, making up almost 20% of total sales.

In the first half it opened three new stores, bringing the total to 59. It now has plans for over 100 stores around Australia. The company is also working on a new distribution centre which will help the logistics of future growth.

According to Morgans, Baby Bunting is valued at 28x FY21’s estimated earnings.

Bapcor Ltd (ASX: BAP)

Bapcor is the largest auto parts business in Australasia with market-leading brands like Burson and Autobarn.

It’s currently rated as a buy by at least six brokers including Morgan Stanley, which has a price target on Bapcor of $9.50.

The broker is attracted to the strong performance that Bapcor is generating with expectations of another strong result in the second half of the year thanks to the strength of the automotive market.

Bapcor’s FY21 first half result showed growth across different areas of the business. Revenue grew by 25.8%, pro-forma EBITDA went up 36.5% to $145.6 million and pro forma net profit after tax rose 54%.

The ASX share is growing profit thanks to same store sales growth, store network expansion and bolt-on acquisitions. A recent expansion has been into the trucks part space. It now has over 1,100 locations in Australia, New Zealand and Thailand.

In Thailand the business said it’s seeing its stores perform well given the circumstances. Management see potential to expand here. With a current network of six locations in Asia, it sees the scope to grow to more than 80 locations which could mean $100 million of revenue.

Bapcor also recently acquired 25% of Tye Soon, an auto parts business with operations across various countries including Malaysia, South Korea, Australia, Singapore, Thailand and so on. Tye Soon and Bapcor will work together to maximise the opportunities in both Asia and Australasia.

Morgan Stanley’s earnings forecast puts the Bapcor share price at 23x FY21’s estimated earnings.

The post 2 ASX shares that multiple brokers think could be buys appeared first on The Motley Fool Australia.

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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 no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Bapcor. The Motley Fool Australia has recommended Baby Bunting. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Small cap ASX shares can grow quicker than larger businesses because they’re simply starting from a smaller base.

Some businesses are growing both organically and with acquisitions, combining into a fast pace of growth:

Volpara Health Technologies Ltd (ASX: VHT)

Volpara is a small cap ASX share that specialises in providing breast imaging software and practice administration. It’s increasing its capabilities in relation to patient risk with the acquisition of CRA Health.

The business has been working on making itself more scalable with digital marketing through its “smarter” use of cloud services through software systems that are easier to deploy into clinics.

FY21 saw Volpara’s full year revenue increase by 57% to NZ$19.7 million. Subscription revenue increased 99% to NZ$18.1 million, which included a 20% organic year on year increase.

The company estimates it now has at least one software product being used in the screening of approximately 32% of US women for breast cancer.

Volpara said in FY21 its annual recurring revenue (ARR) increased 55% to NZ$27.9 million and the gross profit margin improved from 86% to 91%.

The small cap ASX share continues to see a low level of customer churn, increased average revenue per user (ARPU), new customers, upselling to existing customers and potential acquisitions provide with technology for the future.

City Chic Collective Ltd (ASX: CCX)

City Chic is looking to create a ‘world of curves’ as a global retailer of plus-size clothing, footwear and accessories for women.

It now has a number of different brands and retailers in different markets. Locally, it has the City Chic business. In the UK it recently acquired the Evans business. In the US it has the Avenue business. City Chic also has online intimate brands Hips & Curves and Fox & Royal.

City Chic was already selling a large amount of products online before the pandemic, but it has accelerated further on the last 12 months. In the first six months of FY21, 42% of sales were done online.

HY21 also saw 20.8% of comparable sales growth excluding Victorian store closures. Total sales rose 13.5% to $119 million. Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) grew 21.8% to $23.3 million with the EBITDA margin increasing from 18.2% to 19.6%.

Statutory net profit after tax (NPAT) rose 24.8% to $13.1 million and operating cashflow increased 25.7% to $21.5 million.

Growth has continued in the first eight weeks of the second half of FY21. City Chic said it has continued to deliver “strong positive comparable sales growth”.

The small cap ASX share now is focused on a few different things.

It’s integrating Evans and the introduction of a wider range of products and lifestyles. City Chic is continuing to execute on the re-engagement strategy of the Avenue customer base. It’s looking to introduce a conservative product stream to Australia and New Zealand. City Chic is looking to expand in the UK and Europe. In Australia it’s rotating its store portfolio into new fit-outs and conversion to larger format stores.

The post 2 small cap ASX shares that are growing quickly appeared first on The Motley Fool Australia.

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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. owns shares of and has recommended VOLPARA FPO NZ. The Motley Fool Australia owns shares of and has recommended VOLPARA FPO NZ. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Dividend shares can offer a great way to apply the wonderous power of compounding to your portfolio. When a company pays out its dividend to shareholders, sometimes the option to reinvest is available – allowing investors to earn dividends on their dividends over the long term.

The great thing is dividends can be industry agnostic. If you’re not happy investing in mining companies and banks, there are opportunities in other ASX industries too.

For instance, let’s take a look at 4 ASX dividend paying shares in the retailing sector.

2 smaller dividend-paying ASX shares in retail:

Dusk Group Ltd (ASX: DSK)

Dusk is the newest and the smallest ASX-listed dividend paying retailer on this list. Making its debut on the market back on 6 November 2020, the home fragrance speciality retailer now holds a market capitalisation of $226 million.

The company has enjoyed strong growth momentum and has provided guidance for FY21 sales to increase between roughly 45% to 50% compared to prior full year result. For dividend investors, the fully franked 30 cents per share dividend for the year may be attractive. Based on today’s share price, that’s a yield of 8.26%.

Nick Scali Ltd (ASX: NCK)

Next on the list is an Australian furniture retailer that has stood the test of time since 1962. Nick Scali has navigated the last nearly 60 years to become a well-known retailer worth $851 million

An interesting tidbit some may not know is the Aussie company ranks in the top quartile of retailer margins globally. As at the end of December 2020, Nick Scali boasted a profit margin of 20.7%. Those kinds of hefty profit margins are accommodating big dividend payouts.

Based on the past 12 months of dividends, Nick Scali shares are currently offering a yield of 5.98%. However, the final dividend for FY21 has not yet been announced.

2 larger dividend-paying ASX shares in retail:

Accent Group Ltd (ASX: AX1)

Accent has been lacing up the boots and putting in the work for 33 years. The footwear retailer has grown out of its own shoes over the years. Gradually making its way to a $1.52 billion behemoth of the footwear world.

The company’s latest Glue Store acquisition further expands its footprint by 21 physical stores. Taking that into account, Accent’s store count is now pushing 600 across Australia and New Zealand.

Analysts are estimating 12 cents per share for the FY21, which would give the company’s shares a dividend yield of 4.27%.

Harvey Norman Holdings Ltd (ASX: HVN)

Last on the list, is the biggest ASX-listed retailer aside from Wesfarmers Ltd (ASX: WES). Harvey Norman sells just about everything except the kitchen sink – furniture, computers, electrical appliances, and so on.

Harvey Norman’s reported profits for the half-year ending 31 December 2020 skyrocketed 116.3% to $462 million. The stellar growth was underpinned by a jump in franchising profitability.

In early 2020, the retailer took the prudent response to COVID-19 by cutting dividends. With business now booming again, it looks like investors will be getting that back and then some. Based on the past year of payments, Harvey Norman’s dividend yield is a spectacular 7.7% based on its current share price.

The post 4 ASX shares in the retail sector with juicy dividend yields appeared first on The Motley Fool Australia.

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Motley Fool contributor Mitchell Lawler 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 owns shares of and has recommended Wesfarmers Limited. The Motley Fool Australia has recommended Accent Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Given the large number of blue chip shares out there for investors to choose from, it can be hard to decide which ones to buy.

In order to narrow things down for you, I have picked out two blue chip shares which come highly rated right now. They are as follows:

REA Group Limited (ASX: REA)

The first blue chip ASX share to look at is REA Group. It is the dominant real estate listings company in the Australian market and also has a number of growing international businesses.

In respect to the former, REA Group is the clear leader in the ANZ market with its realestate.com.au website. For example, during the third quarter of FY 2021, it set new audience records and delivered over 3 million buyer enquiries per month. This was an increase of 82% for the quarter.

Underpinning this were 12.5 million unique visits each month on average and 130.7 million average monthly total visits. This is 3.2 times more visits than the nearest competitor, which demonstrates just how big a lead it has over the competition.

This is a big positive, especially given the very positive industry trading conditions. Combined with new revenue streams, acquisitions, price increases, and cost reductions, this bodes well for its earnings growth in the coming years.

Macquarie is very positive on the company. Last month the broker retained its outperform rating and lifted its price target to $179.10.

ResMed Inc. (ASX: RMD)

Another blue chip for investors to look at is ResMed. It is one of the world’s leading medical device companies with a focus on sleep disorders.

ResMed has a portfolio of devices and software designed to help people sleep better. These products are widely regarded as the best in their class, putting ResMed in a great position to benefit from the growing prevalence of sleep disorders. And given the increasing education around how important sleep is, it’s no surprise to learn that demand for treatments continues to grow.

In addition to this, the company is well placed to benefit from the shift to home healthcare. This is thanks to its comprehensive out-of-hospital software platforms that allow people to stay healthy in the home or care setting of their choice.

Morgans is a fan of ResMed. It currently has an add rating and $30.09 price target on its shares.

The post 2 quality ASX blue chip shares appeared first on The Motley Fool Australia.

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James Mickleboro does not own any shares mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended ResMed. The Motley Fool Australia has recommended REA Group Limited and ResMed Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Were you met with the disappointment of the ASX stock market not being open today, wondering why Monday had robbed you of the trading excitement? You’re not alone… But don’t fret, tomorrow is Tuesday and the ASX will be open!

For those wondering why the ASX is closed today – the Queen’s Birthday public holiday is the reason. Every state and territory in Australia, except Western Australia and Queensland, gets the day off.

Because the Australian Stock Exchange is in New South Wales it operates on that states calendar.

To avoid unsuspecting disappointment in the future, here’s the ASX calendar for 2021:

When is the ASX open?

As per the trading calendar supplied by the ASX, trading is open every weekday except the following:

Public Holiday	Dates for 2021	Trading Day
Queen’s Birthday	Monday 14 June	CLOSED
Last Business Day before Christmas Day	Friday 24 December	CLOSE EARLY
Christmas Day	Monday 27 December	CLOSED
Boxing Day	Tuesday 28 December	CLOSED
Last Business Day of the Year	Friday 31 December	CLOSE EARLY

Where is the ASX currently?

The S&P/ASX 200 Index (ASX: XJO) finished Friday up 0.23% at 7,312.3 points. The benchmark index is now up up 22.68% over the past year.

Tomorrow the ASX will be open!

The post The ASX stock market is not open today, here’s why appeared first on The Motley Fool Australia.

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They can’t be serious, can they?

I mean, just because they can… some of them think they should?

The ‘they’ in this case are some businesses — reportedly maybe even a majority — who think the right response to the increase in the Superannuation Guarantee is to lower their employees’ take-home pay to fund it.

Seriously?

Now, I will put the obligatory (and true) declaration up front:

As I’ve said before, I’m a signed up member of the ‘well-regulated democratic capitalism fan club’.

I mean, sure, we need to work on a more catchy name, but at least the description is accurate.

Business in general, and the profit motive in particular, have been responsible for much of our economic (and hence societal) progress. It is, generally speaking, a force for good.

It has also brought us pollution, exploitation and excessive consumerism, so it’s not perfect!

But on balance, it’s a net positive, and — to appropriate a line from Winston Churchill — the worst form of economic organisation except for every other one that’s been tried!

And yet, some businesses are doing their level best to disenfranchise both their employees and society at large.

Which, on the face of it, seems counterproductive… but here we are.

If you’ve missed the headlines, here’s the summary:

From July 1, businesses are required to lift their Superannuation Guarantee contributions from 9.5% of pre-tax salary to 10%.

Which is good for the employees, the federal budget, and Australia at large.

Yes, it would also slightly increase the cost of employment. But, on balance, it’s one cost line, increasing by 0.5%.

It might not be welcomed by some businesses, but it should be affordable.

And so, through gritted teeth or otherwise, it’ll be provided as an increase to total remuneration, right?

Not so fast!

Now, the good bosses and companies will do exactly that.

This is a regulatory increase, designed to increase retirement savings.

Turns out, though, that some businesses are going to play funny buggers with the increase.

See, some business have employed staff on a ‘one number’ total remuneration package.

That is, for example, $100,000 per annum, including Super.

Under the current system, that means they’d be receiving a pre-tax salary of $91,324, and Super contributions of $8,676.

Now, with Super increasing to 10%, you’d hope that the new Super contribution would be $9,132 (10% of $91,324), and total remuneration, as a result, would be $100,456.

You’d hope.

Apparently, though, some bosses are planning to tell their employees “Sorry, I employed you on a $100,000 package, so if I have to pay more Super, it’s going to come from your take-home pay”.

Yes, seriously.

Instead of getting:

– The current $91,324, plus $8,676 Super; or

– $91,324, plus 10% Super (the intent of the new rules)

Some bosses will tell our hypothetical employee that they’ll still get $100,000, but it’ll now be made up of:

$90,909 in pre-tax pay, plus $9,091 in Super.

Yes, (again), seriously.

Now, I know that’s not the intent of the new rules.

You know that’s not the intent of the new rules.

And yes, those bosses do, too.

And yet…

Now, I hope the number of companies trying to pull this fast one ends up being much, much lower than what’s being reported / speculated.

And, frankly, if your boss pulls this one on you, you’ll now know exactly how valued (or otherwise) you are.

And yes, I reckon you should absolutely take that into account when deciding where to work.

To be fair, it’s possible some workplaces might accidentally do it, if their payroll systems are set up incorrectly.

So you should probably give the boss the benefit of the doubt, and ask if that’s really what they intended.

But if they did… well, now you know.

And hey, by all means make your own decisions on where you should work, based on all of the factors that make a company, role and workplace attractive and unattractive.

But, as I said, now you know.

Oh, and I’ll take a line straight from Bob Hawke, circa 1983: I reckon any boss who decides to take money out of your take-home pay to fund the Super increase is a bum.

Yes. Really.

I know business is tough. I know business owners are taking all the risk, and often pay themselves last. But, if the wages bill is, say, half of a company’s costs, this adds 0.25% to their total cost base.

Or put another way, decreases their profit margin by 0.25%.

Unwelcome? Maybe. Unaffordable? Probably not. And if a business is that marginal that a 0.25% increase in costs is the final straw, they were probably only one rent increase or competitor incursion away from collapse anyway.

Again, I know business isn’t easy. I know it can feel like they’re being hit with one cost impost after another. And chasing success can feel like running through treacle. I just don’t think this is an unreasonable change. And, it’s happening — so the choice is to either do the right thing, per the intention of the regulation, or to try to skirt around it.

I reckon business should do the former.

Super is important. For every single person reading and for the health of future federal budgets. I’m the last person to want to take the long handle to honest, decent bosses. But I think it’s important.

Oh, and lest I end this rant on a negative note, I’ve heard from quite a few bosses on Twitter on this topic. Some have confirmed they won’t cut take-home pay. Others are already paying more than they’re obliged to, and intend to keep doing it.

Bravo! May your businesses thrive, as they surely will, because you have motivated workers who know you care about them.

The post Paying Super by docking our pay? Surely not appeared first on The Motley Fool Australia.

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Motley Fool contributor Scott Phillips 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 Bruce Jackson.

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With so many shares to choose from on the ASX, it can be hard to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you.

Three top ASX shares that leading brokers have named as buys this week are listed below. Here’s why they are bullish on them:

BlueScope Steel Limited (ASX: BSL)

According to a note out of Macquarie, its analysts have upgraded this steel producer’s shares to an outperform rating with an improved price target of $25.40. The broker made the move to reflect its belief that US steel prices will remain stronger for longer. In light of this and its current valuation, it believes there is an attractive risk/reward on offer with its shares. The BlueScope share price last traded at $22.82.

Brickworks Limited (ASX: BKW)

A note out of Ord Minnett reveals that its analysts have retained their buy rating and lifted their price target on this building products and property developer’s shares to $26.00. According to the note, the broker notes that Beickworks is benefiting from favourable housing activity in Australia and non-residential construction in the United States. In addition to this, its property business is performing positively thanks to strong demand for industrial property. The Brickworks share price was fetching $23.41 at the end of last week.

Rio Tinto Limited (ASX: RIO)

Another note out of Macquarie reveals that its analysts have retained their outperform rating and lifted their price target on this iron ore producer’s shares to $157.00. Its analysts increased their price target to reflect a significant increase in iron ore prices. Macquarie expects this to lead to bumper earnings in the near term. Rio Tinto remains the broker’s preferred option in the space. The Rio Tinto share price ended the week at $124.94.

The post Leading brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

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• BlueScope (ASX:BSL) share price jumps on broker upgrade today
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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 owns shares of and has recommended Brickworks. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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