Owen Raskovich

Nothing else will come close to it.

If you're like most Aussies, you're sitting in that 30% to 40% tax bracket.

Let's say you pay 33% tax on your earnings.

You're working for around about one-third of the year for the taxman because one-third of your money is going to the taxman.

Just think about it like maybe even January, February, and March.

If you just took your earnings from January, February and March and gave it all to the tax office, that's what you've got to do each year just to pay them off and the other nine months is yours to keep.

That is how tax works.

you know, in a roundabout way.

But you get the idea.

If it's such a big thing, doesn't it make sense to understand it a little bit, to try and minimize it where you can?

I'm not saying avoid it, that would be illegal, but I'm just saying to minimize it.

So this comes from Robert Kiyosaki's book, Rich Dad, Poor Dad.

He talks about tax quite a fair bit.

Basically, I've boiled it down to there are two types of tax that most Aussies know, at least loosely.

And the first thing is income tax.

Most of us, all of us pay income tax, as far as I know.

The more we make, so the more money you get into your bank account, less any deductions that are allowable, you pay tax on what's left over.

So the more you earn...

the more you pay.

That's our progressive tax system.