Save thousands by quitting smoking – and other ‘no-brainers’
IT HAS long been considered a “no-brainer” for improving health, but quitting smoking can also nurse a bank balance back to tip top condition.
The average cost of a packet of cigarettes has now risen to $21, according to the Cancer Institute NSW. This adds up to $147 a week and a hefty $7665 a year for a pack-a-day smoker.
Just one year off smoking could fund a home renovation or overseas trip while five years would see accumulated savings of more than $38,000 – enough for a new car or a 10 per cent deposit on a city apartment.
The financial effect is a key motivator for would-be quitters, said Cancer Institute CEO Professor David Currow.
“Recent research shows the increasing price of cigarettes prompted 21.6 per cent of smokers to quit and 39.6 per cent to cut down,” he said. “By putting aside the money and saving for something they really want, people can motivate themselves to stay quit.”
Gambling and alcohol are two other habits that can be costly to health and finances.
Recent research by finder.com.au found that 85 per cent of Australians aged 18 years or older have gambled in the past year. The most common forms were lottery tickets (49 per cent) and “scratchies”(33 per cent), but a worrying 27 per cent played the pokies. The online gambling industry earned $1.4 billion last year and attracted bets from 18 per cent of the adult population.
“It is well known that Australians like to gamble, but it’s surprising just how common it is,” Finder spokeswoman Bessie Hassan said. “Many gamblers get into debt, hoping the next win will be the quick fix for their money troubles. In reality, this just sinks them further into financial crisis.”
Ms Hassan said gambling had future repercussions.
“Your history of gambling could impact your ability to qualify for a home loan,” she said.
Meanwhile, research by the Foundation for Alcohol Research and Education (FARE) found the average Australian household spends $1675 a year on booze, more than on personal care or education.
Gold Coast business manager Damon Harrigan decided to take action after realising the full financial damage a few beers and a flutter on the pokies at his local pub after work was causing.
He was spending $30 on the pokies and $20 on drinks four nights a week, plus, as a longterm smoker, he was spending $130 weekly on cigarettes.
“It’s not like I was staying out all night and going to the casino, but it’s amazing how it all adds up,” Mr Harrigan said. “I was earning decent money but had nothing to show for it as I was spending more than $17,000 a year on the pub and smoking.
“I realised if I put $30 into a savings account instead of playing the pokies, I could save $6000 a year.” Mr Harrigan plans to use the money to apply for a mortgage.