OD #10 - The “Safe” Financial Mindset That’s Secretly Keeping You Broke

Ever wonder why you're financially stuck despite doing everything "right?" That gnawing feeling that something's off with your finances isn't just in your head—it's the reality of playing by outdated rules in a completely different economic game.

The financial playbook most of us inherited—save diligently, avoid debt, buy a home, play it safe—worked beautifully in our parents' era when Sydney homes cost four times the average salary. Fast forward to today, where that same home requires sixteen times your income, and suddenly those trusty rules don't add up. This podcast episode tears apart the dangerous illusion of financial safety and reveals why comfort might be your biggest risk.

We dive into shocking statistics about Australian retirement reality: the average Australian retires with just $300,000 in super, enough to last only 4-5 years of a 25-30 year retirement. Meanwhile, 71% of Aussies avoid investing altogether—not because they lack money, but because they're paralyzed by fear. The metaphor we share about airport moving walkways perfectly captures what happens when you stand still in a world that's accelerating all around you.

While we're not advocating recklessness, we challenge listeners to recognize the difference between gambling and strategic risk-taking. With interest rates dropping and property prices likely to rise in response, waiting endlessly on the sidelines isn't neutral—it's a decision with real consequences. Those who took action 18 months ago are now considering their third property while others are still "researching" their first move. The biggest risk isn't making a mistake; it's watching time disappear while your money works for someone else.

Ready to stop spinning your wheels and start building real momentum? Share this episode with someone who needs to hear it, and let's redefine what financial safety really means in today's economy.

🎧 Enjoyed this episode?
Follow us on Instagram @zekeguenthrothofficial @oscardonproperty and @assetroad for daily insights, property breakdowns, and behind-the-scenes updates.
Explore more at www.assetroad.com.au

Disclaimer:
The information provided in this podcast is general in nature and does not constitute personal financial advice. It has been prepared without taking into account your objectives, financial situation or needs. Before acting on any information, you should consider the appropriateness of the advice, having regard to your own objectives, financial situation and needs. Asset Road Pty Ltd recommends you seek independent financial, legal, taxation or other advice as required. All investments carry risk. Past performance is not indicative of

🎧 Enjoyed this episode?
Follow us on Instagram @zekeguenthrothofficial @oscardonproperty and @assetroad for daily insights, property breakdowns, and behind-the-scenes updates.
Explore more at www.assetroad.com.au

Disclaimer:
The information provided in this podcast is general in nature and does not constitute personal financial advice. It has been prepared without taking into account your objectives, financial situation or needs. Before acting on any information, you should consider the appropriateness of the advice, having regard to your own objectives, financial situation and needs. Asset Road Pty Ltd recommends you seek independent financial, legal, taxation or other advice as required. All investments carry risk. Past performance is not indicative of future results.

Chapters

• 0:00 Welcome and Disclaimer
• 0:38 Why Smart People Feel Financially Stuck
• 1:25 Outdated Financial Rules Don't Work Today
• 2:30 The Illusion of Safety Costs You
• 5:30 Fear Keeps Most Australians From Investing
• 8:07 Building Strategic Freedom vs. Playing Safe
• 12:10 Breaking Free and Taking Action

Transcript

Speaker 1: 0:12

Welcome back to another episode of the Finance Bible Podcast. Zeke here and your co-host, oscar. But before we get into it, please note that nothing in this podcast should ever be considered personal financial advice. Of course, if that is what you are seeking, reach out. We'll get you in touch with the correct professionals. Get the job done properly. Sit back, relax and enjoy the show. Let's get into it.

Speaker 1: 0:38

Welcome back to another episode of the Finance Bible Podcast. If you're listening to this right now, there's a good chance. You're already doing better than most. You're earning good money. You've got discipline. You're not reckless. Maybe you've been praised for being you know quotation smart with money, but deep down, you know something's not right. You're not where you want to be. You might still be renting which isn't really a bad thing You're still unsure. You're still waiting for that moment where things start to click and the worst thing is, you can't even point to what went wrong because you follow the rules that society has given you for the last 20, 30, 40 years of playing it safe. So this episode is about why that path the safe path is quietly keeping smart people stuck and what it really does cost you down the track. Let's rewind for a second.

Speaker 1: 1:27

What were you taught about money growing up In school, at home? What were you actually taught? What were the fundamentals? Because if you're anything like me, the lessons are pretty simple. When you were quite young, you're told to save your money, get out of debt, don't even go into debt. So avoid debt fully, buy a home to live in, don't really take any risks and play it safe.

Speaker 1: 1:48

Now, don't get me wrong. Our parents weren't wrong for believing that Back in their day that worked 100%. You had wages which were in sync with house prices. You could buy a home on one income. You don't need two good incomes to do that. Job security was a real thing. Back then, in 1985, the average home in Sydney was around $75,000 and the average full-time wage was $19,000. So that's about four times your salary back then. Today, sydney homes average $1.6 million and the average wage is only $98,000. So that's over 16 times your salary for the average home. So the rules have changed. You can see that, but the advice didn't, and this is why so many people are stuck right now.

Speaker 1: 2:35

And if you're still playing by that old playbook, you're in a game that's been completely rigged. Here's a trap Safe feels good. It gives you the illusion of control, of certainty, of responsibility. But if you're playing it safe, you're not really going to move forward. And it doesn't mean moving forward. It definitely doesn't mean being free as well.

Speaker 1: 2:58

The average Australian which is quite drastic retires with just over $300,000 in their super. For women it's even less. It's around $240,000, $245,000. Yet studies show that you'll need between $85,000 a year. In my mind, to retire comfortably you might see other studies you might need $40,000, $50,000, which is ridiculous. No one can live off $40,000, $50,000. In retirement generally you actually spend more because you're doing more activities. So I believe around 80, $85,000 per year is a comfortable retirement. So do the maths? That safe approach of 300K in super, which is the average Australian, that runs out in four to five years.

Speaker 1: 3:42

But the funny thing is retirement is 20 to 30 years long and for some people who have played the game the right way, they're going to be retired for a lot longer than 20 to 30 years. But that kind of safe is not safe. The $300,000 side, it's literally a slow financial death. You're not failing dramatically, you're just gradually running out of time, which is also worse off. Most people think that by not making a move they're staying neutral, but inaction not actually doing anything about it is not neutral. It's a decision with consequences. So, for example, if you're making 120 grand a year and not building leverage so, for example, if you're making 120 grand a year and not building leverage, your income is being consumed by your lifestyle and, most importantly, your tax, so you're realistically just cycling dollars. So, for example, if you did have 120 grand a year, instead of not building leverage, why don't you use that money to borrow more money from the bank to build up your empire and start your property investment or shares or buy a home? What you're wanting to do In 2024,?

Speaker 1: 4:50

The average Australian saved only 3.6% of their disposable income, which is about $70 a week. I understand there's heaps of people out there who are supporting young families or look after people and get a lot of health bills and things like that, but $70 a week was the average, which isn't really that much. You're spending if you do like to go out on the weekends. You're spending these days at least $200 on one night, on a Friday, saturday night but people only put $70 a week into their savings. It just yeah, it's not financial momentum, it's literally just survival mode and just getting through Like.

Speaker 1: 5:37

Imagine this scenario You're at the airport. There are two moving walkways One takes you forward and the other, on your left, stands still. You step onto the one on the left, which stands still, and you feel safe, but everyone else on the right-hand side is moving past you and then, all of a sudden, they're in front of you and you're watching their backs. This is exactly what happens when you follow safe strategies in a world that's accelerating in front of you. A 2023 report from Finder found that 71% of Aussies don't invest because they're scared of making the wrong move. Not because they don't have the money they have the money and not because they don't want freedom, because everyone wants freedom. They're just scared, and it's understandable. Like you go on TikTok and social media and there's so many people who are, you know, smashing everyone about. You should invest in this, invest in that, especially in cryptocurrency. Everyone's the experts, so, understandably, people are scared and don't know who to trust.

Speaker 1: 6:38

But the thing is, we've been taught to avoid risk like it's a disease. But here's what no one tells you comfort is just a slower risk. It doesn't feel dangerous, but it kills momentum, the biggest risk, and what I've told myself in the past, if I was ever nervous about something is the biggest risk in life is not taking a risk at all. So that can be starting a business, it can be investing in that property and buying those shares, messaging that person that you want to get back. With anything, it goes for everything, but if you don't take a risk at all, that is the biggest risk that you ever will take, if that makes sense.

Speaker 1: 7:16

I remember talking to someone last year who was in their early 30s good salary of $110,000, no kids. They're renting pretty good saver, I'd say quite disciplined. They'd been researching for two years of where to buy, what to do with their money, etc. And they've had conversations with companies and individuals as well who can help them buy these places or put them in the right path. But they never pulled the trigger. They were still stuck, still nervous, and in that same time their friend who acted made over 80 grand in equity just because they took action and didn't wait along the sidelines, because they moved, and that's what it's all about Goes back to the airport scenario.

Speaker 1: 8:05

You know you've got to move forward and just take the leap and take the risk, because a calculated risk is obviously better than just a normal risk, which is a gamble, so you never want to do that. But speaking to right people and doing your research, that's fine, but it doesn't take two years to do research. It might take a week or two weeks. When people say they've been sitting on the sidelines for two years or waiting for the right time to do it, that's just another excuse they're trying to tell themselves so they don't feel bad. But this exact scenario this has actually happened more than once of people coming to us who've been sitting on the sidelines for a long time and other people in that same timeframe who've come to us and go to other people as well, have made drastic amount of money just because they've done the action. The funny thing is, when this person buys their first property, someone else in a similar position back then is already onto their third. So it's just funny how things happen like that.

Speaker 1: 8:59

The most important thing is wanting to the importance of rebuilding this idea of safety, because when you're saying you know you don't want to be safe, we're not telling you to be reckless, because that's not it. I'm telling you to be more strategic. And strategy feels unsafe at first because it's unfamiliar, but once you get familiar with it. Over time it turns into control, and control over your time, control over your income and control over your decisions, which are the three most important things when it comes to building your financial backing in your empire. You don't need to gamble to grow, because gambling is. You know it's gambling. It's not ideal, but you do need a plan that aligns with your values, your goals and your timeframes.

Speaker 1: 9:47

So, pending your age and when you're wanting to retire or what you're wanting to do, that plan might include building equity, might plan on building high five years, waiting for a feeling of readiness that never comes, especially today, because if you're looking at the news and you're kind of aware with what's been going on in the country and in the markets, the interest rates have slowly, gradually dropped and looks like they're going to continue to drop. And on history, looking back on what's happened in recent rate drops, property prices tend to do the opposite and increase. So, especially for the next five years from now, if you're sitting on the sideline, you will miss your chance because all of a sudden things become unaffordable. And if you're trying to get in early and rent vestas which I myself am a rent vesta, which I love I think it's the best thing to do, you might miss the boat. So if you are listening to this and you've been sitting on the sidelines for a lot of time because you feel safe and you're a bit nervous and you've got fear, you're not alone.

Speaker 1: 11:09

So many people have fear, like look at all the statistics that I've spoken about in this episode. The majority of Australians are fear-focused and they'll never take a leap until it's too late, and unfortunately that's what happens. And then they live off the government income and then the government income of retirement and pension is gradually decreasing every single year. So whoever knows if that's going to be around by the time you retire? Most likely it probably won't. So you've got to set yourself up and most of the time your super contributions generally won't be enough, unless you work in a government job, because the employee contributions there are substantially higher.

Speaker 1: 11:50

But don't allow her to just sit back and think she'll be right, because, I hate to say it, if you don't take any action and actually plan for your future, it probably won't be right, and there's so many professionals around that can help you and even just have a chat about it. But if you're feeling stuck, if you're earning well but you're still spinning your wheels. Maybe the problem is just the plan, it's not you, because, like I said earlier, we're all told to play it safe, but in the world today, safe is watching time disappear while your money works for someone else. Safe is sitting in a job you hate until 67, because you never took the leap and built leverage to get you out of the rat race, as well as, like I just mentioned, hoping super will give you freedom, but deep down, you know it won't, which is unfortunate.

Speaker 1: 12:42

The truth is, you're not here to play safe. You're here to build freedom, create a legacy, and if you're ready to start asking better questions, we're ready to help you find better answers. That's why we do the podcast. So if you have any questions or you want to get in touch, feel free to hit us up. But it's so important to stop playing it safe because the safe path in life in today's day and age is secretly keeping you broke. We'll see you on the next episode. We hope you enjoyed the episode. As always. You know exactly what to do. Hit that follow button, subscribe, whatever platform you listen to this podcast on. Also, share it to friends, co-workers, wherever you think may benefit from it. But unfortunately it's the end and we will see you next week.