Description
AYB250 Personal Financial Planning
Assessment 2 – Individual Project
Semester 2 2025
DUE: Friday 10th October 2025
Case Study Scenario
Linh (born 14/07/1997) and Thomas (born 03/02/1995) are a young couple living in Brisbane. They are both employed full-time, with Linh working as a graphic designer earning $78,000 per year before tax, and Thomas as a secondary school teacher earning $72,000 per year before tax. Linh receives 12% super on top of her salary, and Thomas receives 12.75% super. They currently rent a 2-bedroom apartment in the inner suburbs and are considering buying their first home within the next 3-5 years.
They have no children but are considering starting a family in the future. Neither of them has high levels of debt – Linh has $8,000 in HECS-HELP debt, and Thomas has paid his off. They share a 2016 Toyota Corolla, which is fully paid off. They enjoy eating out and travelling occasionally. They are assessed as having a high risk tolerance. At the end of each month, they transfer any surplus into their savings account.
They have managed to save $40,000 together so far and are wondering whether they should continue to save for a home deposit (aiming for a $120,000 deposit), or if they should be investing their savings in shares or ETFs to potentially grow their money faster. Thomas will receive a pay increase at the start of July 2026 to $100,000 per year.
They’ve approached you, a personal finance consultant, to help them evaluate their options and recommend a strategy. These figures are all from the start of the financial year – 1st July 2025.
Assets and Liabilities
- Transaction account: $1,650 AMP Bank GO Everyday
- Savings: $40,000 AMP Bank GO Save (4.5% p.a.)
- Superannuation: Linh $65,000 AustralianSuper; Thomas $110,000 QSuper
- HECS-HELP: Linh owes $8,000, Thomas has paid his off
- Car: 2016 Toyota Corolla – fully paid, estimated value $12,000
- No credit card or personal loan debt
Typical monthly cash outflows – 2025:
| Category | Monthly Amount (AUD) | Notes |
| Rent | $2,383 | $550 per week × 52 ÷ 12 |
| Groceries | $800 | |
| Utilities and Internet | $300 | Electricity, water, internet |
| Transport | $250 | Fuel, registration, occasional Uber |
| Insurance | $150 | Car, contents, health |
| Mobile phones | $120 | Two plans |
| Entertainment | $400 | Dining out, subscriptions |
| Gifts and Events | $150 | Birthdays, weddings, etc. |
| Health and Fitness | $100 | Gym, medical gap payments |
| Miscellaneous | $200 | Clothes, home goods |
Assignment Task
This assignment comprises completing calculations and a written report. You are required to use Excel to complete all of your calculations. You are permitted to use AI for assistance in completing calculations in Excel, however, you must exercise critical thinking in assessing the accuracy of the AI output. Your written report must not exceed 1,500 words, not including the appendix.
Part A: Budgeting and Goal Setting
Develop a monthly budget for Linh and Thomas for the 2025/2026 financial year, based on their current after-tax income and expenses. Calculate how long it would take them to reach a $120,000 house deposit goal, assuming they continue saving at the current rate. Ensure you include any assumptions (for example, percentage growth in income, inflation of expenses) in your appendix and provide references for these assumptions.
Part B: Save versus Investing Analysis
Provide a comparison of continuing to save in a high-interest savings account versus investing all or part of their savings in a diversified ETF portfolio, including an analysis of the advantages and disadvantages of each asset class. You are required to research a product and provide a justification for why this product is suitable for Linh and Thomas. You must also provide a link to this product. As part of your comparison, you need to provide a forecast or projection to show what each option might look like in 5 years. You must include the impact of fees if your projections.
Part C: Financial Planning Recommendations
Based on your analysis, recommend a financial strategy. Should they focus purely on saving, or should they invest part or all of their savings? Identify any additional considerations they should factor in (e.g., interest rates, inflation, lifestyle changes, family planning).
Other requirements:
- Your written report must include your student name and number.
- You must submit your written report as a Word document. PDFs will not be marked.
- Your written report must be professionally formatted, with no errors.
- Your Excel spreadsheet must be submitted as a separate file.
- Your Excel spreadsheet must also be professionally formatted.
- Include references when you are using other sources, including the use of AI.
- References must be formatted using APA format. You need to include a reference list. The reference list is not included in your word count.
- This assignment is eligible for the 48-hour late submission period.
- If you require a longer extension, you must apply online.
- If you have any questions, post them on the Individual Project Discussion Board.
To receive a high quality, AI and plagiarism free solution to this task, contact us through WhatsApp + 254716353533
