Weekly Money Wrap: Stories that caught our eye

Wrapped by Matt Bowen, Friday 11 July 🎧 Summer Pool Party

We’re taking a big (financial) sigh of relief after a challenging few years of money pressure according to NAB, the RBA have shocked the nation and it turns out we’re not afraid to dodge a round of drinks at the pub in order to save. Here’s the wrap.

💰 Finally, Some Relief: Consumer Stress Hits Three-Year Low

Here’s something that might actually put a smile on your face – Australians are feeling the most financially relaxed they’ve been in over three years. The NAB Consumer Stress Index just dropped to its lowest level since early 2021.

The big driver? Inflation is finally cooling, and there’s growing confidence that interest rates might continue coming down. This shift in sentiment is already translating into real behaviour changes – with ABS reporting household spending jumped 0.9% in May, almost double what the experts predicted.

What’s really telling is that it’s not just essentials people are buying. We’re seeing discretionary spending pick up – things like clothes, dining out, and even new cars. It’s like we’re collectively starting to loosen our belts just a little bit. The timing couldn’t be better either, with major sales events like extended EOFY and Amazon Prime Day hitting right as this confidence is building.

🏦 RBA Rate Cut: Not if, but when…

All eyes were on Reserve Bank Governor Michelle Bullock this week, with experts predicting the first back to back rate cut in over five years. We’ve already seen two cuts this year (February and May), and there was strong speculation about a third one to bring rates down from 3.85% to 3.6%.

But the Board said no. Here’s why. Global economic volatility and ongoing tensions in the Middle East are too uncertain. The Trump Tariffs and international trade will have an impact on the Aus economy, but we need more time to work out to what extent. And secondly, the Governor reiterated the ongoing preference for robust data sets. Toss out the Monthly inflation reports, we’ll wait for the full June quarter thanks. So by the time they meet again in August, this will be available and will provide certainty on a continued hold, or cut.

For mortgage holders, this could mean real relief. A 25 basis point cut could save someone with an average mortgage of around $650,000 about $90 a month.

💳 Missing your share of $4.8 Billion? The Super Check-Up You Need NOW

Here’s a stat that isn’t pretty. Australians are missing out on $4.8 billion in unpaid superannuation each year. That’s not a typo. The average worker is missing about $1,800 annually, and it’s employees in Construction, hospitality, and retail workers that are most impacted according to the data from Super Members Council.

But here’s why I’m telling you now. It’s tax-time, and the perfect time to check your super statements and employer income statements to make sure it’s hunky dory.

First, check your payslip to make sure the super amount is correct – remember, it increased from 11.5% to 12% recently. Secondly, log in or contact your super fund and ensure there’s a regular payment history of contributions. Employers are required to pay quarterly. If you suspect underpayment, you can lodge a complaint with the ATO or Fair Work Ombudsman.

And here’s an extra incentive – the ATO estimates there’s over $18 billion in unclaimed superannuation just sitting there from people who’ve changed jobs or personal circumstances. While you’re sniffing around your Super, maybe check that you’re not entitled to a slice of that too.

✈️ Winter Escape: Record Travel Numbers and Smart Spending

School holidays are here, and Australians are making up for lost time in a big way. Sydney, Melbourne, and Brisbane airports are bracing for their busiest days of the year, with record-breaking numbers heading overseas.

Sydney Airport alone is expecting 2.6 million passengers over the three-week break, with Melbourne close behind at nearly 2 million, and Brisbane topping the charts at 2.78 million travellers. These numbers are up over 6% compared to last year.

The big trend? We’re chasing warmer climates, with Southeast Asia leading the charge – Vietnam, Thailand, and Bali are the hot destinations. But it’s not just about escaping the cold. Recent research from ING shows about 20% of holiday budgets are now dedicated to food tourism, with people specifically planning trips around culinary experiences.

But if you’re packing your bags, don’t forget this essential item. Your fee-free bank card. Digital payments are widely accepted in my experience, and cards that waive international transaction fees can save you over $80 per trip. Money better spent on making memories.

🍺 From a Pub Shout to a Sneaky Whisper to Save Cash.

We all have one friend who dodges a pub shout better than Keanu Reeves in the Matrix…but turns out we might have more. The classic Australian pub experience is getting a major makeover. New research shows we’re drinking less and being much more strategic about how we spend our money when we’re out.

About 49% of Aussies have shifted to cheaper drinks or reduced how much they buy on a night out to save money. Baby Boomers are leading the charge in hunting down happy hour deals, searching for beer under $8, while Gen Z is happy to pay $11 for a lager. (Side note: a pint of beer often costs more than this in most major cities.)

But here’s where it gets really interesting – we’re embracing technology in a big way. We’re no longer sending one person to the bar to order a round for the table. Instead, 42% of Millennials and 38% of Gen Z are now using QR codes to order individually, avoiding what can sometimes be an expensive group round.

No judgement here – savvy saving tactics are always welcome, even if it means offending a few friends.

That’s a wrap on this week’s financial roundup! From easing consumer stress to potential rate cuts, missing super to changing pub culture, and record travel numbers – there’s definitely a sense that we’re adapting and finding new ways to balance our finances while still enjoying life.

Matt ✌️

@mattyb_money

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Matt Bowen is ING’s Head of Consumer & Market Insights. He appears daily on Ch7 Sunrise program with commentary on the top money stories for Australians. For interviews or media enquiries, or interview requests, please contact Cassandra Geselle