Health and transport drive up household costs

Font Size:

The price increases that had the biggest effect in the quarter were transport, driven by a 6.9 per cent increase in fuel; and health, where medical and hospital costs were 3.1 per cent higher.

Transport has been a significant driver of price increases in the past year, mainly due to higher petrol prices, but this has flown under the radar because of electricity and house price rises.

Transport costs had the biggest effect on the Constrained and Affluent tribes, with Cash-Strapped tribes spending a smaller proportion of their income in this area.

Health costs significantly influenced retirement affordability with private health insurance increases the main culprit. Constrained Couples were most affected because they spend the largest proportion of their income on health.

Surprisingly, clothing and footwear also pushed up the cost of living. While the impact was only small, it was unusual because clothing and footwear have been going down in price. In fact, prices are almost identical to what they were in 1990.

Three categories pushed the cost of living down for retirees: recreation, communications, and food and non-alcoholic beverages.

The quarter also saw a small drop in the price of utilities, driven by discounting in electricity and gas, but the decreases were minor when compared with recent increases.

Are you worried your money won’t last? The Retire Planner™ tool has all the information you need.

Disclaimer: All content on YourLifeChoices website is of a general nature and has been prepared without taking into account your objectives, financial situation or needs. It has been prepared with due care but no guarantees are provided for the ongoing accuracy or relevance. Before making a decision based on this information, you should consider its appropriateness in regard to your own circumstances. You should seek professional advice from a financial planner, lawyer or tax agent in relation to any aspects that affect your financial and legal circumstances.

Join YourLifeChoices today
and get this free eBook!

Join
By joining YourLifeChoices you consent that you have read and agree to our Terms & Conditions and Privacy Policy

RELATED LINKS

ACCC delivers novel ‘solution’ on petrol price gouging

If companies are ‘ripping off consumers', we'll take action, Treasurer promises.

Women twice as likely to develop dementia: study

Women are more likely to develop dementia, Parkinson's disease or have a stroke.

Are you eligible for an Age Pension?

Are you getting enough Age Pension? Or are you missing out on your entitlements?

Written by Matt Grudnoff

0 Comments

Total Comments: 0

    FACEBOOK COMMENTS



    SPONSORED LINKS

    continue reading

    Finance

    Making it easy to buy Australian

    Research shows that since the pandemic an overwhelming number of Australians want to buy locally produced products to support the...

    Finance

    What your car costs - the surprising costs of driving a ute or SUV

    Recent research by Finder shows Australians could be paying thousands of dollars more than necessary to keep their car running....

    Finance

    Best grocery shopping apps

    For those aiming to reduce their weekly grocery bill, there are many ways to save at the supermarket.  While the...

    Aged Care

    Government releases five-year road map to fix a 'national disgrace'

    The federal government has delivered its 'initial' response to the Aged Care Quality and Safety Royal Commission findings, with a...

    Aged Care

    Aged care, death and taxes after the royal commission

    Anna Howe, Macquarie University The governor-general was handed the report of the aged care royal commission on Friday. It will...

    Health

    Honey drinks could be a tasty cold remedy

    If you're feeling under the weather, something as simple and accessible as honey could be a tasty remedy. New research...

    Prevention

    How to find and exercise your pelvic floor muscles

    Do you wet yourself a little bit when you laugh, cough or sneeze? Then you might be among the one...

    COVID-19

    What we know about the recently approved single dose vaccine

    Some health experts have expressed concern at the efficacy of the AstraZeneca vaccine, with some stating that we 'only get...

    LOADING MORE ARTICLE...