Towards Independence

Question 1

Reasons for leaving home

Answer 1

Travel overseas

Parents kick you out of home

Wanting independence

To study interstate or overseas

Parents charge you board/rent

To move in with partner or friend

Dislike parents and rules in parental
home

Disputes with siblings

No longer any parental home (eg. they
move interstate to retire)

Convenience for work (to reduce the
commute/travel time)

Question 2

How to make sure you can afford moving out?

Answer 2

Before you move out, create a budget to help you work out your income and
expenses. Consider your income and then calculate your expenses considering saving to cover unexpected expenses, and for future major purchases such as a car and property.

Expenses related to moving out of home include, Rent, furniture and appliances, utilities like electricity, gas, water, transport, education, insurance, groceries.

Question 3

Why live in shared accommodation?

Answer 3

Lowering living costs eg. rent, electricity, other bills, can afford to live in a nicer, more expensive area.

Question 4

How to make a harmonious Share-house?

Answer 4

1. Have everyones name on the lease and utilities so everyone is responsible for the debt.

2.Draw up a roster for chores such as cleaning

3. Pay a set amount each week into a kitty, from this pay for bills, internet, basic groceries

4.Draw up rules for any visitors eg. No noisy parties

5. Don’t keep problems to yourself, tell your housemates what bothers you.

Question 5

What are the two major costs involved in independent living?

Answer 5

1. Establishment costs: one-off costs that are involved in setting up your new place. Eg. the rental bond, internet connection, refrigerator, washing machine, and furniture.
2. Ongoing costs: Costs that are recurring. Eg rent, electricity, gas, water, telephone, groceries and travel expenses.

Question 6

Fixed vs variable expenses.

Answer 6

Fixed expenses are the same amount every time, such as rent, or paying a minimum charge of $40 per month for your mobile phone, subscriptions.

Variable expenses change over time. These do not occur on a regular basis. Eg. going to a music concert, entertainment.

Question 7

What is insurance?

Answer 7

People pay an annual or monthly amount (a premium) to an insurance company. The insurance company pays out a sum to cover losses or costs if an unexpected event occurs. It gives you piece of mind.

The company that arranges and provides the insurance cover is called the insurer.

The person or group that pays the premium and is covered by the insurance is the insured.

Question 8

What are the three types of insurance?

Answer 8

1. Household insurance
2. Personal insurance
3. Motor Vehicle insurance