Category Archives: Financial Independence

Finance Minister Nirmala Sitharaman announced a key relief for tax-payers with differentlyabled family members.

Section 80DD allows tax-payers to claim deduction on anyamount paid for an insurance policy for maintenance of their differently-abled dependents. Parents or guardians of such individuals are eligible for this tax break.

However, the benefit came with certain conditions attached, which have now been relaxed. Heres an explainer to help you understand this key Budget announcement and other benefits that such individuals or their caretakers are allowed under the Income Tax Act, 1961.

What is the key condition for availing the section 80DD tax benefit that the Finance Minister has relaxed?

Such insurance policies pay the differently-abled dependents either a lump-sum or regular income in the form of annuity. The tax benefit is allowed only if the dependent receives the sum after the parent or guardians death. That is, if the differently-abled dependent were to die before the parents or guardians, the premium paiduntil then is treated as the policyholders income and taxed in the year when proceeds are received. Budget 2022 has relaxed now this provision.

The FM announced that the tax break will now be allowed even if the proceeds are received during parents lifetime, but after they turn 60. This allows differently-abled individuals to benefit from an insurance policy bought by their parent or guardian for them in a more assured manner. This will go a long way in helping differently abled dependents gain financial independence as earlier, the dependents would only get the annuity upon the parent or guardian death, says Sarbvir Singh, CEO, Policybazaar.com.

Why is Section 80DD important?

Section 80DD is meant to provide relief to tax-payers parents or other guardians taking care of medical treatment, training and rehabilitation of differently-abled dependents. Guardians include spouse, children, parents, brothers and sisters.

For instance, those suffering from locomotors disability, impaired vision, leprosy, cerebral palsy, autism and so on. If they pay or deposit any amount under an insurance policy or any other specified scheme, they can claim a tax deduction of up to Rs 1.25 lakh. That is, in case of severe disabilities of over 80 percent.

In case of less severe disabilities (over 40 percent), this tax benefit is restricted to Rs 75,000. The disability and severity have to be certified by a government hospital. However, if the differently-abled individual herself is already claiming similar deductions under section 80U, this tax break will not be available to the parents or guardians.

What are the tax breaks that a differently-abled individual can claim?

Section 80DD is meant for parents or guardians, while section 80U is applicable to the differently-abled individuals themselves. The rules are similar. If you incur expenses on medical treatment for your disabilities, you can claim a deduction of Rs 75,000-1.25 lakh. That is, like in case of section 80DD, if the disability is over 40 percent, the deduction limit will be Rs 75,000. Those with severe disabilities of over 80 percent will be eligible for higher deduction of Rs 1.25 lakh.

What if she spends less or more than the deduction limit mentioned?

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Budget 2022 offers additional tax concessions to the differently abled: Here are the details - Moneycontrol

From nursing to computer science, apprenticeships at the University of Leeds offer an alternative route into higher level qualifications.

The breadth of options on offer across the country is being highlighted as part of National Apprenticeships Week, which starts today.

The focus in 2022 continues last years theme: Building the Future reflecting on how apprenticeships can help individuals to develop the skills and knowledge required for a rewarding career, and businesses to develop a talented workforce that is equipped with future-ready skills.

The week, which runs until Sunday, brings together businesses and apprentices across the country to shine a light on the positive impact that apprenticeships make to individuals, businesses and the wider economy.

Professor Jeff Grabill, Deputy Vice-Chancellor: Student Education, said: The University of Leeds is committed to meeting the learning needs of our community. Our new University strategy promotes collaboration, equity and impact, and apprenticeships are an important part of those values.

Apprenticeships are key to help widen participation and to ensure we provide learners and businesses with teaching excellence and innovation, further boosting students' employability.

Leeds offers a range of Higher and Degree Apprenticeships which enable learners to improve their academic and vocational skills, while achieving a university qualification.

The apprenticeship programme helps improve diversity while addressing local, regional and national skills gaps, and are offered by the Universitys Lifelong Learning Centre, Schools of Computing and Healthcare, and throughLeeds University Business School.

The part-time courses at Leeds are developed in partnership with businesses and organisations including the NHS and global professional services firm PwC, ensuring the content meets their needs while maintaining the Universitys rigorous standards of research-based teaching.

Set to graduate in June 2022, the first cohort of apprentices in the jointly-developed PwC degree apprenticeship programme are already cashing in on benefits to their learning and career development.

It's been a great way to get a step ahead in my future career.

Launched in 2018, the programme is delivered by the University in partnership with PwC. Throughout the four-year programme, apprentices earn a BSc in Computer Science while building practical skills through work placements with the organisation.

Final year apprentice Lauren Cooper said: The degree apprenticeship programme is a life-changing opportunity that has really set me up for my future.

When I graduate in June, Ill come out with loads of valuable experience, financial independence, and will be ready to hit the ground running in a tech role it's been a great way to get a step ahead in my future career.

It also really opened my eyes to the possibilities to explore within computer science. I didnt appreciate how broad the field was, but through my placements Ive learned how businesses use tech to solve challenges in creative ways.

In addition to helping shape her future career, Lauren saidthe programme has also been an invaluable platform for her as a woman in tech.

About a third of the women in my cohort at PwC are women, which is much higher than the industry average.

I found PwCs culture to be very supportive they really want to encourage more women to pursue a career in STEM and create opportunities and networks to nurture you and develop your skills.

Read more about Laurens apprenticeship journey.

Though in its early stages, the programme is also delivering noticeable benefits to teams across PwC.

Cathy Baxter, Head of Talent Engagement at PwC, said: We started working with Leeds on the programme six years ago and really wanted it to be a win-win for everyone involved.

The programme is an opportunity for us to build an early talent pipeline of technologists coming into PwC while also levelling the playing field and expanding what tech talent looks like.

The programme is an opportunity for us to build an early talent pipeline of technologists ... while also levelling the playing field and expanding what tech talent looks like.

Leedss apprenticeships improve the knowledge and skills of a businesssworkforce, working with its partners to shape courses and address an organisations needs, enabling high-achieving apprentices to gain a foundation, undergraduate or Masters degree, and/or an apprenticeship qualification from the University.

Integrating university and workplace-based education and training has benefits for the business and the apprentices: skills of staff are developed to meet business priorities, and the apprentices benefit from a sponsored university education while earning a salary.

Apprenticeship schemes are created in partnership with businesses to support the needs of employers and employees.

The courses align with the apprenticeship standards designed by employers to ensure those taking part develop the necessary knowledge, skills and behaviours.

Unlike traditional degrees, apprentices are nominated by employers, who will pay their salary and training fees using the apprenticeship levy, rather than applying as individuals.

Employers can use the apprenticeship levy to develop the skills of their workforce through flexible programmes which target business priorities. The University is registered to offer apprenticeships to levy and non-levy paying organisations.

The University of Leeds offers the following apprenticeships:

Information on apprenticeships at the University of Leeds is available via the Employer Handbook.For further details, email apprenticeships@leeds.ac.uk.

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Upskilling the nation's workforce - University of Leeds

Its important when taking investment advice to understand the financial strings behind that advice.

The linked investment service provider [LISP] industry is predominantly driven by alliances to asset managers and has a legacy of higher fees and limited administration, says Charles Brits, sales manager at Wealthport.

This leaves the investor with sub-optimal choice, denying them access to investment instruments that have traditionally only been available to a small market segment. Its time we challenge the industry and provide advisors with a platform to offer their clients the true power of independent investing.

Non-independent advice comes with a very real cost even a lowball figure of 0.25% a year, compounded over 20 years, adds up to a princely sum.

Its time investors start asking what non-independent advice is costing them. Apart from the financial cost, theres the element of transparency. Tied investment advice is wrapped in murky fee structures and its frustrating trying to get to the bottom of it, adds Brits.

Wealthport is an award-winning administration platform founded a decade ago to break the stranglehold that established platforms had on the market.

We can do some things that our competitors cannot, says Brits. What sets us apart is that were independent. We have no allegiance, agreements or links with asset managers. Brokers who are tied to product providers can sell only those products, and that denies the client access to potentially far superior products that are better suited to their needs. We make our money purely off platform fees.

We dont push just one product provider but will offer advisors a broad universe of solutions that they in turn can offer their clients.

Guarding independence

By closely guarding its independence, Wealthport has built a powerful and growing business.Funds under management grew 52% in 2021.

This exceptional growth story is underpinned by the flexibility to add and subtract funds. We go through proper due diligence on all funds and businesses we have relationships with, and we build long-term relationships, says Brits.

Traditional platforms offer a limited ability to combine various investment instruments. This presents a gap for greater variety that is happily filled by Wealthport, which offers exchange-traded funds (ETFs), unit trusts, structured products model portfolios and retail investment hedge funds in a number of investment vehicles, such as tax-free savings accounts, endowments, retirement annuities and preservation funds. Hedge funds used to be for the very wealthy with an entry threshold of around R1 million but have since become accessible to retail investors, who can participate for as little as R1 000 a month.

ETFs have become a popular addition to many portfolios, something Wealthport is able to offer. Traditional investment platforms are limited in their ability to trade ETFs.

Were very flexible in adding ETFs and unit trusts to our platform, says Brits. Anything an advisor requests, we can add or take off as we please. That expands the universe of options for advisors.

We dont require financial advisors to commit to large minimum investment amounts.

Wealthport charges a standard fee 0.4% for the first R3 million, and 0.3% thereafter with room for negotiation. The fees are competitive, and hence the company is loath to horse-trade.

Questions to ask your financial advisor

My question to financial advisors is this: if you can get a portfolio of solutions that are more cost effective and fitting to your clients financial plan on one platform relative to another, why arent you giving your clients access to that?

Some ETFs we host are 0.5% cheaper than actively managed unit trusts. You have access to model portfolios that contain ETFs. Clients are becoming more sensitive to fees and if you can save 0.5% in annual fees and include the savings in performance fees usually charged, that can impact overall fund performance by anywhere between 10% and 15% over 20 years, says Brits.

Brits has a few other questions clients should be asking their financial advisors:

We have about 140 ETFs listed on our platform, and we can get more if requested, he adds.

Brits relates the story of one financial advisor who put clients into an oil ETF after the oil price crash of 2020, and then sold out four months later when he reasoned that oil had hit its peak. It is these kinds of opportunities that ETFs present and that are usually denied to clients due to the limited universe of investment options available on most platforms.

Vested interests run deep within the financial services sector, so getting financial advisors to change behaviour requires a push from clients, who are becoming far more informed on the range of products and their relative costs.

Despite this, many clients remain tied to their brokers, in much the same way as banking clients are reluctant to switch. Switching is admin-intensive and time-consuming, but advisors dont need to make this switch rather they should think about whether there are better options for the new business they bring in. Options take away the non-independence that we are speaking about, says Brits.

Due diligence

Wealthport subjects all new funds and businesses to a thorough due diligence and negotiates institutional rates with investment managers, ensuring only quality and best-priced investment products are listed on its platform.

Non-independent advisors are unable to offer their clients the choice, agility, platform accessibility and fee structure that independent advisors can, according to Brits. This explains the huge growth in funds under management in recent years.

Wealthport has representation in the Western Cape and Gauteng, but services the whole of South Africa.

Brought to you by Wealthport.

Moneyweb does not endorse any product or service being advertised in sponsored articles on our platform.

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The high cost of non-independent investment advice - Moneyweb

This artist sketch depicts Mississippi Solicitor General Scott Stewart, standing while speaking to the Supreme Court, Wednesday, Dec. 1, 2021, in Washington. (Dana Verkouteren via AP)

January 22, 2022 marks the 49th anniversary of the Supreme Courts decision in Roe v. Wade. But this year, young women/people facing pregnancy could face significant harm as the first generation in half a century to enter adulthood without the fundamental right to make the decision whether to continue a pregnancy.

Debbie Esparza

In the last 50 years, weve made tremendous strides in improving the economic outcomes, educational attainment, health and safety for women in this country. All of that stands to be undermined by the Supreme Court.

Women/people who are denied an abortion are four times more likely to live in poverty than women who can access care. Restrictions on abortion care will hurt working-class and low-income women/people the most.

Punitive abortion restrictions like those in Texas disproportionately affect women of color, LGBTQ persons, young women, immigrants, low-income people, and others who have difficulty accessing health services.

The YWCA is a trusted voice to some of the most vulnerable communities in the country. Here in Arizona, YWCA Metropolitan Phoenix provides important programming for women, people of color, and seniors, and weve been doing it for the last 110 years.

Our programs include preparing and distributing meals to home-bound and isolated older adults. We also help women and their families gain financial independence by providing free financial education courses and financial coaching. We challenge systemic inequality through our advocacy program by hosting workshops for the public to attend, partnering with organizations like the Womens March to advocate for womens rights, and supporting bills like the John Lewis Voting Rights Advancement Act to dismantle barriers and ensure freedom, justice, peace, and dignity for all.

Every person has the constitutional right to make decisions regarding their reproductive health.

Congress needs to pass the Womens Health Protection Act and solidify the right to access abortion services free from burdensome and often medically unnecessary restrictions. This bill will also protect providers, ensuring everyone has continued access to safe abortion care.

You can support the Womens Health Protection Act to make sure no one has to cross state lines to receive this critical medical care. Write to your members of Congress today.

Debbie Esparza is the YWCA Metro Phoenix CEO.

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Overturning Roe V. Wade after 49 Years will have devastating impacts on young women - Arizona Capitol Times

By The EastAfrican

Depending on how one might want to look at it, the African Union is either on the cusp of its 60th anniversary in fifteen months time, or celebrating 20 years of existence this coming week. Preceded by the Organisation of African Unity in May1963 when 32 independent African states signed up to the OAU Charter; the Organisation of African Unity metamorphosed into the African Union in February 2002.

Among others, the main objectives of the AU and its predecessor the OAU, was to free Africa of the remaining manifestations of colonialism, and to promote unity and cohesion among African states.

Yet as African leaders troop into Addis for the 35th ordinary session of the African Union, the pan African organisation, faces a critical test that will make or break it. From political instability to financial uncertainty, the AU is still in the trenches. In west Africa, the AU is juggling a crisis that has seen six military takeovers of government in the past two years alone.

Despite initiatives such as the 0.2 percent import levy that was meant to deliver financial independence, the organuisation still depends on external funding for up to three quarters of its budget. That automatically negates the aspiration for independence that is often expressed in popular slogans at annual gatherings.

The present crisis is poignant because to the average African, it has more to do with the choices of the present than the legacy of a century of colonialism. In Burkina Faso and Mali, the putschists were welcomed by citizens because they presented themselves as being opposed to the lingering threads of colonialism that still make supposedly independent states hostage to colonial master France.

Coupled with the Covid-19 pandemic and economies that were already on their knees, African leaders are under pressure to rethink and renegotiate or dismantle a status quo that is becoming increasingly unacceptable to their subjects.

If there are any lessons to learn from recent events, one is that African citizens are becoming more assertive and expect better than empty promises from their leaders. For instance, since it was adopted more than two years ago, only 32 states have signed up to the African Free Continental area AFCTA. The single African air transport air transport market SAATM, remains earth-bound despite the few dozen countries that have signed up to it accounting for more than two-third of air traffic on the continent.

Recent sanctions against military coups have had limited success because of the absence of effective transmission paths between member states. Weak commitment to, and wanting observation and respect for basic human rights, has also undermined the authority of the AU.

It would be premature to write off the AU. The organization stands for ideals that cut across the generations. Its challenges are clear for all and sundry to see. What remains now is for leaders to walk the talk, if they hope to remain relevant. A lot of the productive energy that is currently wasted in avoidable conflict, needs to be redirected towards progressive implementation of the continental agenda so that citizens can live and feel the AU.

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EDITORIAL: The AU @20, a time to walk the talk - The East African

By Louis Kalumbia

Dar es Salaam. CCM chairperson Samia Suluhu Hassan, who doubles as the President of the United Republic of Tanzania, yesterday unveiled the government and party achievements as Africas longest ruling political party marked its 45th anniversary.

In celebrations held in Musoma, Mara Region--the birth place of the founding Father of the Nation Julius Nyerere--the Head of State listed key achievements as including maintenance of peace and security, furthering democracy and good governance as well as promoting investment through construction of large, medium and small-scale industries.

Speaking at the live broadcast event, President Hassan said the implementation of the Julius Nyerere Hydropower Project (JNHPP) aimed at providing reliable electricity to support the countrys industrialisation agenda.

Strengthening transport and transportation services and implementation of the on-going standard gauge railway (SGR) are among the successes, she said, adding that come 2025, their implementation will be at a higher percentage.

Improving roads and bridges, aviation services and airports construction as well as transport in marine and lake bodies through construction of ships and ferries for passengers and cargo transport are the other areas, she added.

In the education sector, the CCM leader said infrastructure for education delivery such as classrooms; special schools; secondary schools, vocational and education training centres, laboratories, teachers houses, and many others were being constructed across the country. According to her, construction of dispensaries, hospitals, health centres in the wards, districts, regional and referral levels, distribution of medical equipment and training of experts are implemented to improve the health sector.

We have also managed to properly supervise the outbreak of Covid-19 and provide jabs to citizens. I reinstate my call that citizens should go for free vaccination provided countrywide, she said.

Furthermore, she said the government invested in production and distribution of clean and safe water that has reached 75 percent and that the journey towards supply of 85 and 95 percent to rural and urban Tanzania was going on.

Priority is on the agriculture, livestock keeping and fishing sectors, therefore, cashew and cotton farmers were this season given subsidized inputs contributing to increased yields, she said.

According to the Head of State, further investment has been made in the construction of warehouses, cilos and value addition factories for agriculture and livestock products.

The CCM chair said 10 percent of approved budgets by council is being allocated for economic empowerment to the youth, women and people with disabilities (PwDs).

According to her, special windows for loans disbursement have been introduced by different banks, the project by the Tanzania Social Action Fund (Tasaf) and enactment of policies and laws aimed to protect the interests of citizens against small sized financial institutions have been started.

The government is also supervising the Savings and Credit Co-Operative Societies (Saccos) and Cooperative Unions (CUs) for the interests of citizens, she said.

Furthermore, President Hassan said the CCM administration continues with the formalisation of the informal sector in order to benefit Tanzanians and broaden efforts of economic inclusion.

Following these efforts, Tanzania was in August 2019 declared to enter the low middle economy, six years before anticipated time, she said.

The Head of State said achievements recorded by CCM include construction of a political and ideological college in Kibaha, Coast Region, introduction of membership electronic registration and recording financial independence.

She said the independence has enabled the party to increase salaries of officers and significantly service its loans.

Briefing on the membership electronic registration process, the partys secretary general, Mr Daniel Chongolo, said it aimed at maintaining membership records, increase revenue base and enable distributed cards to be used in provision of social services.

He said party members have increased to 12 million from 500,000 in 1977 during the union of the Tanganyika African National Union (Tanu) and African Shiraz Party (ASP).

Delivering a message from the Communist Party of China (CPC), an officer whose name couldnt easily be accessed said the 45th anniversary would be a starting point for CCM to alleviate social economic and national development to the new heights.

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Samia lists success stories supervised by the ruling CCM - The Citizen

What is good financial health? Are there a minimum number of 'big picture', timeless, universal and objective indicators of financial health that can be easily measured and monitored? What benchmarks or targets for those indicators should be met or exceeded to signify good financial health?

These were the questions we asked at my previous financial planning firm, Wealth Foundations, starting around 2010. Our aim was to provide a simple but robust, high-level framework for assessing good financial health, both for existing and potential clients.

After a number of iterations, in mid-2012 we finally settled on five indicators and, subsequently, saw no need for any further change.

Having now retired as a financial planner, and with the consent of Wealth Foundations, the purpose of this article is to introduce this personal financial health framework to a wider audience.

The hope is that it will provide anyone who is willing to do a little homework with a sound basis for understanding the current state of their financial health and the direction they need to head to improve it.

First, What is good financial health?. We equate good financial health with financial independence. Financial independence is having sufficient accumulated investment wealth to support your desired lifestyle, indefinitely, without the need to work.

Of course, you can choose whether and how much you want to continue to work but you dont need to earn exertion income. So, financial independence isnt necessarily retirement.

The first indicator is the Investment wealth ratio, defined as your net investment wealth (i.e. investment wealth less debts), divided by your net worth. Its examining the question Is too much of your wealth allocated to lifestyle assets?.

For good financial health, the benchmark for this indicator is set at a minimum of 55% i.e. at least 55% of net worth needs to be held as net investment wealth and no more than 45% as lifestyle assets (e.g. own residence, holiday home, cars, boats etc.).

The benchmark was chosen based on experience with Sydney-based, high net worth/high income financial planning clients and is, admittedly, a little arbitrary. But its rationale is to highlight that if too much of your wealth is tied up in lifestyle assets, financial independence may be elusive.

The second indicator is called the Retirement expenditure multiple. Its calculated as your net investment wealth divided by your desired annual retirement (or financial independence) spending. Its looking directly at the issue of Will you run out of money?.

The financial independence benchmark for this indicator is a requirement for net investment wealth that is at least 25 years of desired annual retirement spending. Its the equivalent of the often criticised '4% safe withdrawal rate'.

For those who argue that the benchmark should be more than 25, the reality is that most Australians fall so far short of it that pushing for a higher number is largely academic. And, for those who argue its overly conservative, my retort is that you better not plan on living to age 100.

Regardless, the Retirement expenditure multiple benchmark, like all the benchmarks, is a 'rule of thumb', rather than a hard and fast dictate. The benchmarks provide meaningful targets that those who desire to be financially independent can compare their circumstances with.

The third indicator is the Tax effectiveness ratio. Its your total superannuation holdings divided by your Projected lifetime investment wealth. Projected lifetime investment wealth is your current net investment wealth plus an estimate of the amount you expect to save between now and the date of your desired age of financial independence or retirement.

The Tax effectiveness ratio is a proxy measure to answer the question Are your investments held tax effectively?. The benchmark for this measure is at least 75%. Its basis is that since superannuation is currently a very tax effective environment in Australia and its where most people should hold the majority of their investment wealth.

Again, its a rule of thumb rather than a dictate. There will often be legitimate reasons why the benchmark wont or cant be achieved, without jeopardising the goal of financial independence.

The fourth indicator is the Growth asset allocation ratio. Its your growth investment assets (i.e. shares, direct property, share and property managed funds/ETFs) as a percentage of Projected lifetime investment wealth, discussed above.

The focus here is How much investment risk are you comfortable with?. The target or benchmark will differ for each investor. The target asset allocation decision discusses this choice in more detail.

However, for most, we advocate that your maximum risky growth asset exposure when financially independent and/or retired shouldnt exceed a level that would cause you to lose sleep, due to anxiety, and, perhaps, abandon a sound investment strategy in troubled markets. This is generally guided by an assessment of your attitude to investment risk.

The final indicator is the Investment diversification ratio. Its calculated as your diversified investment assets (i.e. your total investment assets less, primarily, concentrated holdings such as investment properties and large individual share holdings) divided by your total investment assets.

The issue this indicator addresses is Have you too many investment eggs in one basket?. Investment theory suggests that concentrated investment holdings offer no expected return premium for their additional investment risk compared with the relevant, well diversified, asset class. Consequently, they arent regarded as consistent with good financial health.

While our benchmark for the Investment diversification ratio is a minimum of 75%, our view is that you should diversify your investment holdings as broadly as you cost effectively can.

The table below summarises the five financial health indicators discussed above and their recommended benchmarks.

Good financial health is revealed by being at or above each of the indicator benchmarks. Youll notice that its not directly dependent on how high your income is or how much youre worth.

While shortfalls on some benchmarks may not be a major problem, the framework encourages you to address the reasons for any divergences.

And, of course, should you fall well short on a number of the benchmarks, the direction of the changes you need to make to improve your financial health, in terms of the framework, should be apparent.

So, hows your financial health?

John Leske is Founder and CEO of finhealth, the provider of an approach to assessing the state of your personal financial health. The article describes a general framework to compare your current situation with some meaningful financial benchmarks. No specific personal financial advice is provided and it is up to readers to determine what actions, if any, they take in response to the article. A more detailed explanation of the indicators can be found in the free eBook, What is finhealth?.

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Five personal checks on your financial health - Firstlinks

Financial abuse is not just confined to older people, and is commonly used in domestic abuse situations.

That's according to Women's Aid, which is to begin training bank staff to help them assist customers who may be subject to financial abuse and coercive control.

Members of the Banking & Payments Federation Ireland (BPFI) will be taking part in the programme.

This will include AIB, Bank of Ireland, KBC Bank, Ulster Bank and Permanent TSB.

It comes as new research found over 20% of young women aged 18-34 do not have control over their finances - and are more likely to rely on others for help with their money.

Despite this, the research found women in this age group are less likely to be concerned that someone might take advantage of them financially - with only 17% expressing concern compared with 27% overall.

Women's Aid CEO Sarah Benson says the problem is more widespread than people think.

"Often when people think about it they think of vulnerable older people, maybe, having their pension or their other income abused - or a disabled person who may be financially dependent on others, having that situation abused.

"But actually financial abuse is an incredibly common - and a remarkably effective - tactic in domestic abuse relationships, coercive controlling relationships.

"What it means is taking control of the finances or reducing the financial independence and autonomy of somebody who is being coercively controlled".

She says this can also be insidious in the context of coercive control.

"It's usually a gradual process, so it might be a merging of bank accounts.

"It can be putting debt in somebody's name - so taking loans or putting mortgages [in somebody's name].

"What can happen then is somebody can find themselves with no money at all, or shackled to a debt that isn't theirs."

Louise O'Mahony, head of sustainable banking with the BPFI, gives an example of indicators for staff.

"It might be where somebody is earning quite a good income, and yet is still falling into debt.

"This is what's known as coerced debt, where their partner might be spending all their money - so they, despite earning a good income, are not able to manage their money.

"Or it might be a situation where... a frontline staff member would be looking at somebody's credit card bills, and they're really over-spending, but the person doesn't seem to know about that.

"That might a flag that somebody else is using their account, and that they're not in control of their money"

And she says some banks are already fielding calls from customers.

"In fact this morning, some of our members have let us know that some people have already called in to call centres in the banks - looking for guidance on how they can help people who might be in this situation."

Anyone affected by issues raised in this article can contact Women's Aid on 1800-341-900

Additional reporting: Kacey O'Riordan

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Bank staff being trained to spot signs of financial abuse - Newstalk

Dear Quentin,

Ive been married for 10 years. We share two young kids and I have two stepchildren. Wehad full custody of his two children during our marriage with no financial support from their mother.

He and I basically paid equally for all our expenses as we had a joint checking account for our paychecks. Truthfully, I always felt I shouldnt be paying for my stepkids.

We started having money issues a few years ago. When they got very bad, my husband opened a new bank account and deposited his checks there with me having no access.

He makes $150,000 a year and I make about $45,000. He paid all the bills for several months. He asked me to pay $900 a month toward our $3,000 rent.

Is this fair? I bring home $2,400 per month. I feel slighted. I guess I also feel bitter because I never felt comfortable paying for his kids. What do you think?

Wife, Mother & Stepmother

Its hard to be a stepmother and help raise your husbands children without contributing to their lives financially. As their stepmother, you are their guardian and hopefully their friend. They are or were part of your household, after all. If you were to divide your expenses and they became aware of that, it would have made them feel like strangers in their own home. Make peace with the fact that you made the right decision to pool your resources.

Its always better to have potentially tricky financial conversations before you move in together. Of course, its never easy to become accustomed to a certain way of doing things and suddenly have it change. You have contributed equally to expenses on a salary that is roughly one-third of your husbands salary, while he paid all of your rent. I understand that it must come as a shock to be asked to pay 10 years down the line. Still, changes happen.

Even given the disparity in your salaries, its hard to argue that you should not contribute to the rent. This should be a negotiation, not a fait accompli. Your combined salary of $200,000 would equate to a quarter share for you. You can think of the money you paid toward his two children as your share of the rent, if it helps sweeten that bitter taste. But expressing your displeasure with those contributions now would be a fruitless task, and only lead to ill will.

I do have concern about the suddenness of your husbands move, and the lack of warning. Is this a prelude to a separation?

That does not mean you cant have a larger discussion about why your husband moved money to a separate checking account when you previously pooled your resources. Changes without any discussion raises a red flag. What has changed in your lives and your husbands sense of financial security? Why did he do this without discussing it? Asking questions and expressing how you feel are more productive ways to explore what, if anything, these changes mean.

I have concern about the suddenness of your husbands move, and what this means about your future. Is this a prelude to a separation? You are a team, and whatever financial insecurity he is feeling due to the problems youve had, you should deal with as a couple together. You have come to rely on this money, and $900 is a lot of money for you. This unilateral action must have come as a shock, and made you wonder about your husbands commitment to this marriage as a united front.

The National Coalition Against Domestic Violence says, Economic abuse involves maintaining control over financial resources, withholding access to money, or attempting to prevent a victim or survivor from working and/or attending school in an effort to create financial dependence as a means of control. Victims and survivors are often forced to choose between staying in abusive relationships and poverty or even homelessness.

Im not sure it rises to that level here, given your financial independence and access to your own funds, but its worth flagging. If, at any time, you feel like you are experiencing financial insecurity as a result of your husbands changes, tell him. If he does not listen, seek professional advice from an organization that helps people who find themselves living in a coercive and/or controlling situation. Bottom line: He should not have done this before discussing it with you first.

Youcan email The Moneyist with any financial and ethical questions related to coronavirus at qfottrell@marketwatch.com, and follow Quentin Fottrell onTwitter.

Check outthe Moneyist private Facebookgroup, where we look for answers to lifes thorniest money issues. Readers write in to me with all sorts of dilemmas. Post your questions, tell me what you want to know more about, or weigh in on the latest Moneyist columns.

The Moneyist regrets he cannot reply to questions individually.

More from Quentin Fottrell:

I live with my girlfriend, 59, who owns several homes and has saved $3 million. I pay utilities and cable, and do lots of repairs. Is that enough?He is the most computer-illiterate person I know: I was my husbands research analyst, caregiver, cook and housekeeper. Now he wants a divorce after 38 years.Our friends always yearned for a relationship like ours: My husband of 16 years left me for another man. I dont want them to live in our properties. What can I do?

Continued here:

'I feel slighted': My husband of 10 years stopped paying his salary into our joint account and asked me to pay $900 toward our rent - MarketWatch

My friend Connie is a nurse.

She lives in Texas and works with cancer patients, most of whom are veterans.

Its a tough job, both physically and emotionally.

She told me few of her patients ever leave the hospital alive. Its sad, but as she says, Its just the reality of the job.

I cant imagine having a job like that. I dont think I have the emotional strength to deal with all that sadness. I think you just have to be a special kind of person to do that job. And certainly, such a job does pay well. It has to, as there arent many folks who can do it.

While Connies job isnt easy, she earns over $160,000 a year. And just to make sure she doesnt leave, she was given a $15,000 bonus last year completely out of the blue.

So many nurses are getting burned out and leaving the profession entirely that hospitals are bending over backward to ensure more dont quit.

Of course, for those nurses who havent quit and have no intention of quitting, theyre doing really, really well financially.

Connie, a single mom, owns her own home debt-free. She has more than $1 million put away for her retirement and has about $100,000 in a trading account that she uses to play the stock market. She also took delivery of a Tesla Model S last year, which she paid for in cash.

Dont get me wrong Connie works hard and puts in a lot of hours. Shes actually been doing weekend shifts for more than a year nowto help with COVID testing and vaccinations on top of her regular weekly hours.

She told me that she always wanted to be a nurse. Since she was in elementary school, she knew nursing would be her chosen career. But she never expected that such a job (along with some very smart investments) would lead her to financial independence.

But it did, and now her daughter will be going to college next year and plans to become a nurse too.

A smart move, as the supply/demand scenario for nurses will always be in her favor.

Unfortunately, there are a lot of other folks going to college who will graduate with no tangible skills to land them a decent job with decent pay. And I suspect those kids will take out huge loans, be unable to pay them back, and then request that the government forgive those loans, which is really just a fancy way of saying you dont want to pay back your debt.

This is becoming a real problem in this country the idea that if you borrow money but find it hard to pay back, you can just walk away from your debt obligations.

They call it debt forgiveness. I call it theft.

Of course, theft is almost becoming acceptable these days.

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I was listening to the Michael Rapaport podcast the other day when the outspoken actor and comedian talked about how he went to his local Rite Aid to pick up some medicine and watched a man fill up a bag with a bunch of random items from the store and then simply walk right out.

He walked right by the security guard, who did nothing, because apparently theyre not allowed to stop these folks.

Rapaport talked to the pharmacist about what he saw, and she said it happens every single day. Its so bad that theyre actually shutting down that location, and she doesnt know if shell have a job after that.

What kind of world do we live in where we give thieves more rights than hardworking folks who are just trying to make a living?

Theres even a website that details how to be an effective shoplifter, offering rules to follow, such as:

Know your rights?

Imagine being a security guard, catching someone stealing clothes, and then the shoplifter says, I know my rights.

And be a good runner?

This isnt a joke.

Its not funny.

People are losing their jobs.

Communities are losing stores that help bolster property values.

From student debt cancellation to illegal music and movie downloads to consequence-free shoplifting, weve literally normalized theft.

And while I may not know how to fix this problem, I do know that you now have to consider how the normalization of theft affects your investment decisions.

In other words, what kinds of companies can you invest in where the normalization of theft will not have an impact on performance?

Here are a few of my favorites:

These are all companies that will never have to worry about brazen shoplifters or folks looking for debt forgiveness.

And these are all companies that could make you a lot of money this year.

Invest accordingly.

To a new way of life and a new generation of wealth...

Jeff Siegel

@JeffSiegel on Twitter

Jeff is the founder and managing editor of Green Chip Stocks, a private investment community that capitalizes on opportunities in alternative energy, organic food markets, legal cannabis, and socially responsible investing. He has been a featured guest on Fox, CNBC, and Bloomberg Asia, and is the author of the best-selling book, Investing in Renewable Energy: Making Money on Green Chip Stocks. For more on Jeff, go to his editor's page.

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The Normalization of Theft Is Crushing Investors - Energy & Capital