Australian Investment Education Review

Debt Recycling: The Good, the Bad & and the Ugly. As we’ve seen real assets like property. And shares perform insatiably well in the last year. The ability to recycle your debt in order to gear up your investments has never been more appealing. Here’s how debt recycling works and the dangers to look out for: Good debt vs. bad debt Before we jump into anything of the likes of debt recycling. It’s first important that we understand the notion of good debt vs. bad debt. As host Andrew Baxter describes, good debt (in the traditional sense) is debt on an appreciating asset like a house for example. Bad debt, on the other hand, are things like car loans. And credit cards that have no upside potential. And simply cost you money to have. In the essence of discussing debt recycling. We are now going to treat good debt as ‘tax deductible debt’ and bad debt as ‘non-tax-deductible debt’. Bad debt = a mortgage on a PPR. Therefore not tax deductible, versus good debt be

Introduction: The debt ceiling, a recurring fiscal flashpoint, holds the potential to tip the delicate balance between financial prudence and economic chaos. Host Andrew Baxter draws attention to the constitutional provision dictating acceptable government debt levels, sparking discussions on the pivotal reasons behind the debt ceiling's prominence. This article dissects the intricacies of the debt ceiling issue and explores the severe consequences that may unfold if Congress fails to avert an impending breach. Constitutional Boundaries: Embedded within the American Constitution is a provision that acts as a financial guardrail , defining the permissible limits of government debt. As the debt inches closer to this constitutionally mandated ceiling, the onus falls on Congress to engage in a critical decision-making process to raise it. This constitutional safeguard aims to prevent excessive government borrowing, preserving a semblance of fiscal responsibility. The High-Stakes Decisi

In the intricate dance of economic policy, few issues loom as large as the debate over the debt ceiling. As lawmakers grapple with the complexities of this pivotal issue, Andrew Baxter offers insights that illuminate the path forward. Baxter's perspective is grounded in a deep understanding of the economic forces at play. He recognizes that raising the debt ceiling is not simply a matter of political maneuvering, but a critical aspect of ensuring the stability of the nation's finances. In his recent commentary, Baxter emphasizes the need for principled leadership, bipartisan cooperation, and a commitment to responsible governance. At a time when partisan divides threaten to overshadow progress, Baxter's call for unity rings clear. He urges policymakers to set aside their differences and work together in pursuit of common goals. By transcending political boundaries and embracing fiscal prudence, Baxter believes that we can navigate the challenges of the debt ceiling debate a