Blog

Understanding personal risks and how to protect against them

More than a third of Australians believe they would not be able to financially survive for more than a month before needing to sell assets if they were to fall ill or become injured and were unable to continue working. This is one of the most startling results from Zurich’s ‘Misinformed, Misinsured?’ whitepaper, which surveyed 394 employed Australians to try and pinpoint whether people properly understood what they are and aren’t covered for through their life insurance, and how this aligns with their own risk priorities. The results revealed a significant knowledge gap. Of those who are covered by their

Read More »

Time Holding an asset can be the most effective strategy

If you are investing into a ‘growth’ asset, like shares or property, it is widely acknowledged that an investment time frame of over 7 years is appropriate, to give the asset time to ride through a cycle and improve the likelihood that the additional risk and volatility you take on with these assets produces a better overall level of return, than just putting your money into the risk free asset of cash. However, even if you are prepared to leave your money there for 7 years or more, it remains true that it may serve you best to leave it

Read More »

Ten tips from the ATO for Tax Time 2015

In 2015, we expect over 12 million Australians will lodge a tax return. While most will go through without a hitch, sometimes there are delays due to minor errors. In fact, in 2014 the ATO had to contact over 350,000 taxpayers to correct mistakes. So whether you’re planning to lodge your own tax return or use an agent, here are our top tips for getting your tax right the first time in 2015. One – myTax makes your life easier Preparing your own tax return has never been easier than with our online lodgment service, myTax. Launched last year, myTax

Read More »

Splitting super contributions – The What, the Why, and the How!

Did you know that certain super contributions can be split with your spouse? In this post, we explore the nuts and bolts of this little-known strategy. The What Super splitting allows you to split your concessional (before-tax) contributions with your spouse.  Common types of concessional contributions are your employer’s compulsory superannuation guarantee (SG) contributions and any salary sacrifice contributions you arrange. You can split contributions within the same fund (if you’re with the same provider) or to a different fund, providing your super fund allows it.  It’s worth noting that only the contributions can be split, not the account balance

Read More »

Why a SMSF could be the perfect solution

In a recent post I outlined some of the most significant ‘con’s’ of setting up a SMSF. While it is wise to be considerate of the reasons why a SMSF may not work for you, there are also several reasons why a SMSF could be a perfect solution. Below are some of the most significant positives 1. Increased Investment choice and flexibility  This is probably the most common reason people give to set up a SMSF. A SMSF can offer you ‘almost’ the same flexibility you have to invest as an individual. Some of the most common investment choices are

Read More »

Ancient traders and billionaires – What lessons can we learn?

Financial Planning is all about outcomes. Should you seek expert counsel from a CERTIFIED FINANCIAL PLANNER® professional, you will have access to a skilled practitioner with knowledge of many different strategies for a whole range of different circumstances. The common thread between each strategy is that it is simply a mechanism to achieve a particular outcome with the greatest degree of confidence, certainty and control. The secret to achieving the outcome of a secure financial future is to have a financial plan in place, with two key components. You need a plan to ‘grow your wealth’ and you need a

Read More »

Time to strategise – are you ready for the end of the financial year?

May and June are always busy months of the year in the finance profession given how much is going on for both individuals and businesses around the country.   Every year the annual budget is held on the second Tuesday of May and the financial year ends 30 June.  Whether you have a financial adviser to help guide you through this time or are trying to manage things on your own, below are some things to think about this time of the year. End of financial year 2015 The end of the financial year can be a great opportunity to

Read More »

What is the real cost of a free seminar?

Increasingly, individuals are taking it upon themselves to find ways to grow their wealth, but often don’t know where to start. There is a wealth of information available out there, and filtering the good from the bad will be the difference between making money and losing money. For the novice investor, a ‘free wealth seminar’ can seem an attractive starting point, but usually they will only get a sales pitch that says “the only road map to financial independence is through a property investment portfolio”. I like property, and just like shares, fixed interest and cash it is an important

Read More »

Common mistakes people make when setting up their SMSF

When it comes to setting up a Self-managed super fund (SMSF), there are some common mistakes that a lot of people seem to make. These points are too often excluded from the conversation and should be clearly considered before setting up an SMSF in the first place. The following list covers some of the biggest mistakes people often make: 1. Do nothing It is incredible how many people have a super fund set up and the money just sits in cash. This is invariably driven by lack of understanding of the options or what is suitable and/or paralysis by analysis.

Read More »

Retirement planning part 2 – The ins and outs of Account-based pensions

If you’re planning to retire and bid farewell to a regular pay cheque from work, you will likely need something to replace that cash flow. One popular option is to use your super to start an account-based pension. Let’s take a closer look. What is an account-based pension? An account-based pension gives you the option to use your accumulated super to pay yourself a regular income. To do this, you need to satisfy a couple of requirements. Firstly, you must have reached your ‘preservation age’; a technical term that refers to the minimum age at which you can get your hands

Read More »