This is the “new” great Australian dream

What does the great Australian dream mean to you?

Whilst once upon a time it was all about simply home ownership, it would appear our goals keep expanding. 

If you’ve paid off your house, have a healthy stash of super and take an overseas holiday every year, Australians think you’ve ‘made it’ financially, according to finder.com.au.

The survey of 2,004 people found nearly three quarters (74%) believe paying off the mortgage is the most significant financial ambition.

More than half of respondents (59%) think you’re financially set if you have enough money in your super fund to retire, while 36% believe having an annual overseas trip is an important aspiration.

The study also deemed purchasing an investment property (25%) and being able to retire at 50 years of age (24%) as telltale signs of those who’ve ‘made it’.

Interestingly, one in 10 people (11%) believe purchasing a holiday house is a symbol of financial success.

Which financial milestones do you consider most important? (Tick all that apply):   Financial milestone Response Being mortgage-free 74% Having enough in my super to retire comfortably 59%  Being able to go overseas once a year 36% Buying my first investment property 25% Being able to retire at age 50 24% Receiving a salary of $150,000 or greater 23% Helping my children with their first home deposit 22% Starting a successful business 17% Expanding my investment portfolio to include 2-3 properties 14% Purchasing a holiday house 11%   Source: finder.com.au

Bessie Hassan, Money Expert at finder.com.au says the results show an interesting mix of financial goals, which represents a shift in what marks success.

“While property is still prevalent among our financial aspirations, there are other goals that are highly valued such having a salary of $150,000 or greater and helping kids get a foothold on the property ladder,” she says.

Ms Hassan says it’s promising to see many of the milestones are long-term goals like paying off debt and retirement planning. 

“It’s encouraging to see that Australians are adopting a long-term mindset and thinking about paying down mortgage debt, having enough funds to retire, and being able to travel abroad.

“To work towards your financial goals, have an action plan in place. Draw up a budget, invest your money wisely, and be careful about taking on too much personal debt.

“If your spending or debt is getting out of control, and is interfering with your goals, give your finances a detox. Think about consolidating your debt, reducing your credit card limit, or putting your funds in an account with limited access.

“A bit of planning can go a long way in helping you realise your financial and lifestyle goals,” Ms Hassan says.

State by state breakdown:

• Taking an annual overseas holiday is a sign of success for 43% of surveyed Western Australians, compared to 35% of Victorians.
• 28% of Queenslanders agreed that buying an investment property was associated with status, the most of any state.
• Having a holiday home is a sign of living the dream for 13% of West Australians, and 13% of Victorians, compared to just 9% of those in New South Wales.

Owning a sports car was not an important financial milestone for those residing within Queensland (4%), NSW (5%), VIC (5%) or WA (5%).