While Greece has been in recession for 8 years and the impact upon its people very severe, the ultimate outcome of debt negotiations with its creditors remains unknown. However, BlackRock (June 2015) remind us that while the impact upon Australian investors is expected to be limited in the near term, share and bond markets will […]
Author Archives: David Siostrom
From 1st July 2015, the “preservation age” for those people born after 1st July 1960, has risen to age 56. This is the age at which they can commence a ‘transition to retirement pension” (to supplement other income or boost retirment savings) and also pay less income tax when retiring to accept a lump sum […]
Just a reminder that now may be a good time to consider tax saving strategies before 30th June suddenly arrives. Posssible ideas include: Maximising super contributions. Remember that complex rules apply that deterrmine who can conribute, how much and what tax benefits are achievable. Importantly, your age, income and work status can affect the viability […]
A recent decision by the Supreme Court of Queensland highlights the risk that nominations that are poorly worded or inconsistent with the trust deed of the self managed superannuation fund may be ruled invalid. Consequently, when disputes arise regarding the payment of benefits following the death of a fund member, the member’s benefits may not […]
The ABC News reported the case of a man whose income protection insurance claim was rejected due to the diagnosis of prostrate cancer 2 years earlier which, it appears, was not disclosed when a replacement policy was subsequently established. This terrible outcome highlights that consumers need to exercise extreme care when establishing a replacement policy […]
Just a reminder that now may be a good time to consider tax saving strategies before 30th June suddenly arrives. Posssible ideas include: Maximising super contributions. Remember that complex rules apply that deterrmine who can conribute, how much and what tax benefits are achievable. If age 55 or over, convert your super to an income […]
On Tuesday 12 May 2015 the Federal Treasurer, Joe Hockey delivered his second budget, describing it as ’measured, fair and responsible’ and one designed to promote ’jobs, growth and opportunity’. For Australian retirees, the Budget contained a number of important proposals, including: * increases in the Assets Test thresholds and the Assets Test taper rate […]
A great article by Vanguard (Fastnews May 2015) that explains the most critical decision an investor can make is the setting of the long term “strategic asset allocation” for their portfolio. That is, at least 80% of the long term investment return is attributable to the proportionate “mix” of asset classes in the portfolio while […]
Last night’s Budget contained few unexpected changes and largely focussed upon: Small business tax concessions to encourage investment and boost employment. Families and the new Child Care Subsidy which will leave many better off. Pensioners and a harsher assets test which will mean a reduced or no pension for some people. By contrast, the superannuation […]
Jeremy Cooper (Financial Review April 19th 2015) proposes that the focus upon the lump sum required to support a comfortable lifestyle in retirement is misplaced. Given the current low interest rates (which could persist for some time), $1M would only generate $33,177 pa, equivalent to the full age pension plus supplements for a couple aged […]