Planning for your family's future

It’s all very well just going along in life, dealing with things as they arise, but think how much better it would be to plan for the future of your family.

Childcare and education
Your choice of childcare will obviously depend on your particular circumstances. Even when one parent has made the decision to stay home and care for the family, you may still need some help. You could also feel that your child would benefit from socialisation with other babies and toddlers. Depending on the centre, childcare is available from birth and there are strict rules in terms of environment and staff numbers. Some things to consider when choosing a childcare centre include: What’s the staff-to-child ratio? (Each State or Territory’s department of community services sets its own criteria. For example, in Victoria a licensed childcare provider must have a minimum of two staff on duty at all times, a ratio of one staff member for every five children under three years of age and one staff member for every 15 children over the age of three). How many children will attend the centre on any given day? (Again each State or Territory will have different rules). What are the costs? (Is there a requirement for your child to attend for a minimum number of days?) What government subsidies does the centre receive? (This may affect the fee structure). What are the centre hours? How does the centre deal with sick children? What activities does the centre run for the children? (Look for educational programs and specific activities for children of different ages). What age groupings are the children placed in? What types of meals are served? (Look for healthy and nutritious meals). What are the professional qualifications of the staff? (Are they all academically qualified, or are a few professionals supported by unqualified assistants?) Visit the centre at different times of the day. (Are the children happy and enjoying themselves? Do children of different ages mix?) Speak to other parents with children at the centre. (What are their experiences? Would they recommend the centre to their friends?) What’s the current waiting list like? (For most centres, you need to place names on the waiting list well in advance of needing the childcare). For more specific information contact the following: The National Childcare Accreditation Council is responsible for the implementation and administration of quality assurance systems for day care throughout Australia. If you’d like information on choosing childcare providers or to check the accreditation details of a childcare provider, call 1300 136 554. The Child Care Access Hotline is funded by the Federal Government and is designed to help you locate registered childcare providers. Call the hotline on 1800 670 305.

Childcare and education

Your choice of childcare will obviously depend on your particular circumstances. Even when one parent has made the decision to stay home and care for the family, you may still need some help.

You could also feel that your child would benefit from socialisation with other babies and toddlers.

Depending on the centre, childcare is available from birth and there are strict rules in terms of environment and staff numbers.

Some things to consider when choosing a childcare centre include:

What’s the staff-to-child ratio? (Each State or Territory’s department of community services sets its own criteria. For example, in Victoria a licensed childcare provider must have a minimum of two staff on duty at all times, a ratio of one staff member for every five children under three years of age and one staff member for every 15 children over the age of three).
How many children will attend the centre on any given day? (Again each State or Territory will have different rules).
What are the costs? (Is there a requirement for your child to attend for a minimum number of days?)
What government subsidies does the centre receive? (This may affect the fee structure).
What are the centre hours?
How does the centre deal with sick children?
What activities does the centre run for the children? (Look for educational programs and specific activities for children of different ages).
What age groupings are the children placed in?
What types of meals are served? (Look for healthy and nutritious meals).
What are the professional qualifications of the staff? (Are they all academically qualified, or are a few professionals supported by unqualified assistants?) Visit the centre at different times of the day. (Are the children happy and enjoying themselves? Do children of different ages mix?)
Speak to other parents with children at the centre. (What are their experiences? Would they recommend the centre to their friends?)
What’s the current waiting list like? (For most centres, you need to place names on the waiting list well in advance of needing the childcare).
For more specific information contact the following:
- The National Childcare Accreditation Council is responsible for the implementation and administration of quality assurance systems for day care throughout Australia. If you’d like information on choosing childcare providers or to check the accreditation details of a childcare provider, call 1300 136 554.
- The Child Care Access Hotline is funded by the Federal Government and is designed to help you locate registered childcare providers. Call the hotline on 1800 670 305.

Health and safety
There are so many issues concerning the health and safety of our children that it’s impossible to canvas them all here. Areas such as childhood obesity, safety on the internet and avoiding accidents in the home are all major concerns for Australian parents. You will find a host of information and helpful advice at the contacts listed below: Medicare Australia (13 20 11) for access to information concerning Medicare benefits and childhood immunisation. Nutrition Australia The Dietitians Association of Australia The Australian Guide to Healthy Eating can be found at the Federal Department of Health and Ageing website. Kidsafe is an internationally recognised non-profit, non-government charity providing a wealth of information about keeping kids safe from accidents in the home. St John Ambulance Australia is a self-funded charitable organisation and the largest first aid training organisation in the country. St John runs practical courses in first aid and has a specific course for parents and carers. National Poisons Information Centre – it’s wise to keep this number handy, perhaps have it on the fridge. Call 13 11 36. Australia’s immunisation infoline - for answers to questions on schedules for children, side effects and government benefits available. Call 1800 671 811.

Health and safety

There are so many issues concerning the health and safety of our children that it’s impossible to canvas them all here.
Areas such as childhood obesity, safety on the internet and avoiding accidents in the home are all major concerns for Australian parents.

You will find a host of information and helpful advice at the contacts listed below:

Medicare Australia (13 20 11) for access to information concerning Medicare benefits and childhood immunisation.

The Australian Guide to Healthy Eating can be found at the Federal Department of Health and Ageing website.

Kidsafe is an internationally recognised non-profit, non-government charity providing a wealth of information about keeping kids safe from accidents in the home.

St John Ambulance Australia is a self-funded charitable organisation and the largest first aid training organisation in the country. St John runs practical courses in first aid and has a specific course for parents and carers.

National Poisons Information Centre – it’s wise to keep this number handy, perhaps have it on the fridge. Call 13 11 36.

Australia’s immunisation infoline - for answers to questions on schedules for children, side effects and government benefits available. Call 1800 671 811.

Understanding the costs of raising children
Feeding, clothing, sheltering, nurturing, educating, entertaining. These are some of the direct costs in raising children. But there are also many indirect costs, such as the foregone income of parents, either leaving the workforce or performing a lower paid job that suits child raising, and lost employment opportunities. In 2009, the cost of raising a child to the age of 18 in an Australian household was estimated by the Federal Government Department of Families, Housing, Community Services and Indigenous Affairs (FHCSIA) at $384,543. Adding the cost of electronics, private tutoring, music, sports and dance classes, and considering the average child now stays at home until age 24, the real cost to the Australian parent of raising children was more like a million dollars, according to one social researcher. You need to set your own budgets and try to stick to them. Maybe ballet will have to be forsaken if your child wants to start tennis – the costs for activities add up, and you need to work it out in the context of your means. The money drain doesn’t end at teen years – they can get more expensive. Encourage your teenager to get a part-time job as soon as practical, legally it’s age 14, but often kids are seeking their first part-time work at around 16. They’ll be wanting the latest phones, electronic gadgets and clothing, but the costs are high. Teach your children how to budget, and to understand the household finances. Encourage them to save for things like a car when they turn 18 and help them out if you can. Living with teenagers can be challenging, so parents need to educate themselves, go to seminars, read books, talk to other parents with similar values and set boundaries for teens. Arm yourself with strategies about things like parties, phone plans, pocket money, boyfriends/girlfriends and cars.

Understanding the costs of raising children

Feeding, clothing, sheltering, nurturing, educating, entertaining. These are some of the direct costs in raising children. But there are also many indirect costs, such as the foregone income of parents, either leaving the workforce or performing a lower paid job that suits child raising, and lost employment opportunities.

In 2009, the cost of raising a child to the age of 18 in an Australian household was estimated by the Federal Government Department of Families, Housing, Community Services and Indigenous Affairs (FHCSIA) at $384,543.

Adding the cost of electronics, private tutoring, music, sports and dance classes, and considering the average child now stays at home until age 24, the real cost to the Australian parent of raising children was more like a million dollars, according to one social researcher. You need to set your own budgets and try to stick to them. Maybe ballet will have to be forsaken if your child wants to start tennis – the costs for activities add up, and you need to work it out in the context of your means. The money drain doesn’t end at teen years – they can get more expensive. Encourage your teenager to get a part-time job as soon as practical, legally it’s age 14, but often kids are seeking their first part-time work at around 16.

They’ll be wanting the latest phones, electronic gadgets and clothing, but the costs are high. Teach your children how to budget, and to understand the household finances. Encourage them to save for things like a car when they turn 18 and help them out if you can.

Living with teenagers can be challenging, so parents need to educate themselves, go to seminars, read books, talk to other parents with similar values and set boundaries for teens. Arm yourself with strategies about things like parties, phone plans, pocket money, boyfriends/girlfriends and cars.

Finding the money
There are steps you can take to help you successfully manage the responsibility of providing for your children, and meeting the goals you have for their lifestyle and education. Here are five basic things to consider. 1. Have a plan Two of the biggest mistakes people make with their money are: not identifying their financial goals, and not having a plan to secure their financial future. 2. Protect the things that matter People often neglect to protect their income and other assets, including their health. An income of $50,000 a year generates $2 million over an average working life, so your income is one asset you can ill afford to lose. 3. Build up your assets Whether you’re building your investments through a specific investment for the children, superannuation plan, savings plan or other investment vehicle, some basic guidelines apply: The bigger and more frequent your investment, the better Don’t over-commit to your investment if it means you’re unable to pay other liabilities Get time on your side – the earlier you start, the longer you leave your money invested, the better Don’t forget the rate of return – the higher the rate after tax, the better Remember the risks – the higher the potential return, the greater the risk. So be careful, get the right advice and remember do your own homework. 4. Manage debts carefully If you have a mortgage, review it to ensure it’s the right one for your particular circumstances. Be careful with credit and store cards and try to pay the balance before interest is due. Be careful with your borrowings. For example, if you have $10,000 in the bank earning a small amount of interest, why borrow $10,000 for an overseas holiday at the standard personal loan or credit card rate? Clear outstanding loans as fast as possible. The larger the repayments and the more frequently you make them, the sooner you’ll be debt-free. Consider the total cost of borrowing by comparing interest rates as well as other costs, such as establishment fees, account-keeping fees and ongoing management charges. Debt consolidation helps if you owe money on one or more credit cards and have other loans. If you’re raising a family some other areas you may like to consider are: Making or updating your Will Reviewing your general and personal insurances Starting a savings or investment plan Preparing a family budget Speak to an ANZ Financial Planner. There are high costs involved for both childcare and education, especially if you select private schooling, so investigate these costs and plan for them. Don’t forget your children may go on to university, and that could also have financial implications for you. Check if you’re eligible for Government assistance There are a range of government assistance schemes available. Don’t assume you don’t qualify. For information on things such as the Family Tax Benefit, Child Support and the Maternity Payment, contact the Family Assistance Office.

Finding the money

There are steps you can take to help you successfully manage the responsibility of providing for your children, and meeting the goals you have for their lifestyle and education.

Here are five basic things to consider.

1. Have a plan
Two of the biggest mistakes people make with their money are:

not identifying their financial goals, and
not having a plan to secure their financial future.

2. Protect the things that matter
People often neglect to protect their income and other assets, including their health. An income of $50,000 a year generates $2 million over an average working life, so your income is one asset you can ill afford to lose.

3. Build up your assets
Whether you’re building your investments through a specific investment for the children, superannuation plan, savings plan or other investment vehicle, some basic guidelines apply:

The bigger and more frequent your investment, the better
Don’t over-commit to your investment if it means you’re unable to pay other liabilities
Get time on your side – the earlier you start, the longer you leave your money invested, the better
Don’t forget the rate of return – the higher the rate after tax, the better
Remember the risks – the higher the potential return, the greater the risk. So be careful, get the right advice and remember do your own homework.

4. Manage debts carefully

If you have a mortgage, review it to ensure it’s the right one for your particular circumstances.
Be careful with credit and store cards and try to pay the balance before interest is due.
Be careful with your borrowings. For example, if you have $10,000 in the bank earning a small amount of interest, why borrow $10,000 for an overseas holiday at the standard personal loan or credit card rate?
Clear outstanding loans as fast as possible. The larger the repayments and the more frequently you make them, the sooner you’ll be debt-free.
Consider the total cost of borrowing by comparing interest rates as well as other costs, such as establishment fees, account-keeping fees and ongoing management charges.
Debt consolidation helps if you owe money on one or more credit cards and have other loans.

If you’re raising a family some other areas you may like to consider are:

Making or updating your Will
Reviewing your general and personal insurances
Starting a savings or investment plan
Preparing a family budget
Speak to an ANZ Financial Planner.

There are high costs involved for both childcare and education, especially if you select private schooling, so investigate these costs and plan for them. Don’t forget your children may go on to university, and that could also have financial implications for you.

Check if you’re eligible for Government assistance

There are a range of government assistance schemes available. Don’t assume you don’t qualify. For information on things such as the Family Tax Benefit, Child Support and the Maternity Payment, contact the Family Assistance Office.

How we can help
ANZ has a range of products and services that can assist when you’re planning your family’s future. An A-Z Review^® - sitting down with one of our professional personal bankers could help ensure your banking is structured to meet your needs and help you reach your goals sooner. Request an A-Z Review^®at your nearest ANZ branch. An ANZ Financial Planner – why work hard to earn a living and support yourself and your family and not take the next step of having a tailored plan in place to help create wealth and secure your financial future? Your initial discussion is complimentary and without obligation. Book an appointment with an ANZ Financial Planner. ANZ Home and Investment Loans: an ANZ Home Loan specialist can help explore your options and find the right solution that best suits your needs. And remember, ANZ is Australia’s most awarded home lender¹. Contact us today. Insurance solutions – with a family depending on you, now is not the time to take risks with your insurance. Make sure you have enough of the right protection in place, not just for your physical assets but also for things like your ability to earn an income (income protection) or your family’s lifestyle (life insurance). Find out more about ANZ Insurance. ®A-Z Review is a registered trademark of Australia and New Zealand Banking Group Limited (ANZ) ABN 11 005 357 522. ANZ Financial Planners are representatives of Australia and New Zealand Banking Group Limited, ABN 11 005 357 522, the holder of an Australian Financial Services licence. 1. Money magazine Home Lender of the Year Award 2010, 2008, 2007, 2006 and 2005, and AFR Smart Investor Magazine Home Lender of the Year Award 2005, 2004, 2002, 2001, 2000 and 1999. Australian Lending Awards, Mortgage Lender of the Year 2011 and Best Investor Lender 2011. The Australian Lending Awards is an independent initiative of The Adviser and specialist research and advisory firm RFI.

How we can help

ANZ has a range of products and services that can assist when you’re planning your family’s future.

An A-Z Review^® - sitting down with one of our professional personal bankers could help ensure your banking is structured to meet your needs and help you reach your goals sooner. Request an A-Z Review^®at your nearest ANZ branch.

An ANZ Financial Planner – why work hard to earn a living and support yourself and your family and not take the next step of having a tailored plan in place to help create wealth and secure your financial future? Your initial discussion is complimentary and without obligation. Book an appointment with an ANZ Financial Planner.

ANZ Home and Investment Loans: an ANZ Home Loan specialist can help explore your options and find the right solution that best suits your needs. And remember, ANZ is Australia’s most awarded home lender¹. Contact us today.

Insurance solutions – with a family depending on you, now is not the time to take risks with your insurance. Make sure you have enough of the right protection in place, not just for your physical assets but also for things like your ability to earn an income (income protection) or your family’s lifestyle (life insurance). Find out more about ANZ Insurance.

®A-Z Review is a registered trademark of Australia and New Zealand Banking Group Limited (ANZ) ABN 11 005 357 522.

ANZ Financial Planners are representatives of Australia and New Zealand Banking Group Limited, ABN 11 005 357 522, the holder of an Australian Financial Services licence.

1. Money magazine Home Lender of the Year Award 2010, 2008, 2007, 2006 and 2005, and AFR Smart Investor Magazine Home Lender of the Year Award 2005, 2004, 2002, 2001, 2000 and 1999. Australian Lending Awards, Mortgage Lender of the Year 2011 and Best Investor Lender 2011. The Australian Lending Awards is an independent initiative of The Adviser and specialist research and advisory firm RFI.

Planning for your family's future

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