Planning To Retire In The Next Five Years And Not Sure What Your Future Holds?

Perhaps you know someone who is worrying about their future and needs some reassurance?

Fortunately The Financial Advice Shop is currently looking to assist a limited number of new clients with their future financial advice needs.  If you know one of our many existing clients your assistance may be prioritised if we believe our services would add value to your situation, so make sure you ask your friends if they are clients of The Financial Advice Shop.

We know from experience that retirement is a huge transition in life and it is something that should definitely be planned for.  If you are looking for a trusted partner to assist you to improve your financial situation in preparation for retirement, we are the experts you should be talking to.

HOT TIP:  It is difficult to know what you don’t know and the decisions and actions you make today could take a significant difference to your financial future.  Contact The Financial Advice Shop to see what’s possible!

http://www.financialadviceshop.com.au

Stay Connected | Stay Informed | Stay Safe

 #retirementplanning #investmentrisk #superannuationrisk #financialadvice #superannuationadvice #sharemarketpanic #retirementadvice #financialplanning #superannuation #financialadviser

Disclaimer:  Fees and charges apply.  Due to increased regulation and rising costs, minimum investment thresholds apply and ad-hoc appointments are not available.

If You Know Someone Who Doesn’t Pay Off Their Credit Card In Full Each Month, The Following Might Be The Trigger To Shock Them Into Action!

Imagine an average person being told they can save $251,391,585.58 on a $5,800 balance if they pay off their credit card on time rather than making minimum monthly payments. When we saw this figure we were shocked!

Everyone will have heard of the benefits of compound interest and how powerful it is. This example shows how powerful compound interest it is for a bank and how disadvantageous it can be for an individual who owes money.

The banks put a lot of important information on their credit card statements but does anyone read the information? They should!

What would you do with an extra $251m? Buy a Van Gogh?

HOT TIP: High interest debt is bad!

www.financialadviceshop.com.au

Stay Connected | Stay Informed | Stay Safe

 #creditcarddebt #creditcardinterest #baddebt #compoundinterest #financialadvice

Can Superannuation Survive In Its Current Form? Hopefully Superannuation Does Not End In Ruins.

Superannuation might look very different after 6 October 2020 when the Government hands down Its delayed Budget.

Share your thoughts on what you think might change or things that should not change.

I suspect superannuation will not survive in its current form as the Government makes desperate moves to increase tax revenue.

I expect there could be reductions to contribution limits, the $1.6m transfer balance cap could be reduced, allocated pension accounts could lose their tax free status, allocated pension payments could become partially taxed, and/or the tax on superannuation account earnings could be increased.

If the Government does attack superannuation in the 6 October 2020 Budget it will be very negative for the future success of the superannuation sector.

Fortunately there is time to plan and take action ahead of the October Budget to attempt to pre-empt some possible changes to superannuation.

www.financialadviceshop.com.au

#superannuationreform #financialadvice #superannuationadvice #retirement #financialplanning #retirementplanning #superannuation

Stay Connected | Stay Informed | Stay Safe

Coronavirus (COVID-19) And Early Access To Superannuation

From 20 April 2020 the Australian Government is allowing early access to superannuation savings for people affected by Coronavirus (COVID-19).  If eligible, individuals can apply online through myGov to access up to $10,000 of their superannuation before 1 July 2020, and a further $10,000 from 1 July 2020 to 24 September 2020.

https://www.ato.gov.au/individuals/super/withdrawing-and-using-your-super/early-access-to-your-super/

There is plenty of discussion about why it might be a bad idea to access superannuation early but for anyone with high interest debt or an urgent need for cash it might be a very simply decision that can be based on some common sense and potentially create long term financial advantage if financial discipline is established for the future.

Consider the hypothetical example of someone who has a $20,000 credit card debt with an interest rate of around 20% p.a.  If they leave their super account intact, one thing they may need to consider is whether they are confident their superannuation will return anywhere near 20% p.a. on a continuing basis into the future?  Of course, there are many other things that need to be considered and ASIC has published additional information that must be considered before making any decisions.

https://moneysmart.gov.au/covid-19/accessing-your-super

It seems there may be many Australians who have high interest debt or an urgent need for cash and should consider if they could potentially benefit from the early access to superannuation that the current Coronavirus epidemic presents.  As always, the devil is in the detail so never make an investment decision without considering all the options and always seek appropriate advice from a licenced professional when required.

HOT TIP:  Beware of scams asking for a payment in return for assistance to access super early.  You only need to visit myGov to start the process.

financialadviceshop.com.au

#coronavirus #coronavirussuperannuation #earlyaccesstosuperannuation #coronavirussuperannuationaccess #earlyaccesssuperannuation #superannuationscams

Disclaimer: The information in this post is of a general nature only, is incomplete in the views expressed and has been provided without taking account of your objectives, financial situation or needs. No representation is given, warranty made or responsibility taken about the accuracy, timeliness or completeness of the information and it must not be acted on. Because of this, we recommend you consider, with the assistance of a financial adviser, whether the information is appropriate in light of your particular needs and circumstances. Past performance is not a reliable indicator of future returns.

What Ought One Do When One Thinks They Need Financial Advice?

Finding a financial adviser who you think you will be able to feel comfortable with is probably one of the hardest parts of the process and it is impossible to guarantee you will make the right choice so what can you do to improve your chances?

ASIC has published some information to assist people with their search for a financial adviser and as you can see there are a lot of things to consider in selecting a financial adviser.  While the ASIC information doesn’t have all of the answers it certainly gives you plenty of things to think about and gives you some insights into the financial advice profession.

https://www.moneysmart.gov.au/investing/financial-advice/choosing-a-financial-adviser

In our experience, it is important to understand in detail the story behind the financial adviser and their business.  A recommendation from someone you know and trust is a good place to start when you are commencing your search for a financial adviser.

HOT TIP:  Before you sign up and commit to financial advice, make sure you understand how much the initial advice will cost, how much it will cost to implement any recommendations, how much the total ongoing portfolio costs will be on a per annum basis and finally how much it will cost for an ongoing advice service if one is required.  Complete transparency is very important.

www.financialadviceshop.com.au

#financialadvicecanberra #pssfinancialadvice #cssfinancialadvice #financialplanningcanberra #pssfinancialplanning #cssfinancialplanning #retirementadvicecanberra #retirementplanningcanberra

 

Financial Advice: What Consumers Really Think?

ASIC’s recently released report into what consumers really think about financial advice has been causing some discussion in financial planning circles but the report findings do not really reveal anything new or remarkable.

If you would like to read the ASIC report or review the key findings, the report is available from the ASIC website via the following link:

Click to access rep627-published-26-august-2019.pdf

Unfortunately, with rapidly increasing regulation, compliance costs and the desire by a number of financial advisers to distance themselves from large institutions so as to achieve greater autonomy, consumers may find it more expensive to see a financial adviser in the future and they may also find it harder to find a financial adviser who is seeing new clients. This is a very disappointing outcome as it is likely that a greater percentage of consumers in the future will not be able to receive the financial advice that they really need.

At The Financial Advice Shop, we have always found that the very best way for a consumer to find a financial adviser they can trust and for us to find a new client who will fully appreciate our capabilities, is via a referral from someone they know and trust and someone who also trusts us.

http://www.financialadviceshop.com.au

#findafinancialadviser #trustedfinancialadviser #financialadvicecanberra

With Interest Rates Heading To Hysterical Lows, Do You Know Someone Who Is Starting To Wonder If They Will Survive Retirement?

People often ask “how much money will I need in superannuation for my retirement”.  The answer, as you would expect, needs to be considered very carefully as there are many personal factors and variables to take into account.

A hypothetical place to start the planning process is to aim to own your home, be debt free and have superannuation investments that exceed the current maximum amounts for a part Age Pension: $863,500 for a couple or $574,500 if you are single.

If you have the good fortune to have an entitlement to a Defined Benefit Superannuation pension, it is an extraordinary advantage but it is not always enough in its own right.

If you would like to model your situation to see what income might be possible in retirement, visit ASIC’s Money Smart website and put your assumptions into one of their calculators:

https://www.moneysmart.gov.au/superannuation-and-retirement/income-sources-in-retirement

We know from experience that to have the best chance of enjoying retirement you cannot afford to make mistakes along the way.  In a world of falling interest rates, if you are intending to rely on cash returns to sustain you through a long and enjoyable retirement, you may well need to think very carefully about your strategy.

HOT TIP:  In a constantly changing world, the need for sound financial advice has never been greater so perhaps it’s time to seize the moment and seek an independent review of your current situation with a trust professional to “See What’s Possible!”

Disclaimer: The information in this post is of a general nature only and has been provided without taking account of your objectives, financial situation or needs. No representation is given, warranty made or responsibility taken about the accuracy, timeliness or completeness of the information and it must not be acted on. Because of this, we recommend you consider, with the assistance of a financial adviser, whether the information is appropriate in light of your particular needs and circumstances. Past performance is not a reliable indicator of future returns.

http://www.financialadviceshop.com.au

#retirementplanning #retirementincome #financialadvicecanberra

When It Comes To Your Mortgage, The Landscape Is Very Competitive But You May Not Have The Best Deal?

It is absolutely astonishing that so many people have a mortgage and they have not recently tested their bank to make sure there isn’t a better deal available.

Even if you have no plans to make a switch with your mortgage, why not contact your bank, tell them you are thinking of switching to another bank, and let them know that you would like to give them the opportunity to provide you with a better deal and a lower interest rate.

If you have no idea how much difference a reduction in interest rate can make on your mortgage, check out the following link for a range or mortgage calculators from ASIC.  A lower interest rate, additional repayments and perhaps even the well disciplined use of an offset account has the potential to make a very big difference to your future wealth and financial security.

https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/mortgage-calculators

Your current bank is unlikely to tap you on the shoulder to let you know they can offer you a better deal so you need to be proactive, take control and act in your best interests.  A phone call to your bank has the potential to be one of the smartest things you could ever do.

Disclaimer: The information in this post is of a general nature only and has been provided without taking account of your objectives, financial situation or needs. No representation is given, warranty made or responsibility taken about the accuracy, timeliness or completeness of the information and it must not be acted on. Because of this, we recommend you consider, with the assistance of a financial adviser, whether the information is appropriate in light of your particular needs and circumstances. Past performance is not a reliable indicator of future returns.

http://www.financialadviceshop.com.au

Ever Wished You Could Get A Glimpse Of Your Future To See How Well You Will Survive Retirement?

Recently released Life Expectancy Tables dated 30 October 2018 from the Australian Bureau of Statistics (ABS) paint a thought provoking picture for many Australians.  For those who do not plan diligently for their retirement, their only hope might be that they do not live so long that they run out of money!

As summary of some key points from the 2018 ABS information are as follows:

Age 45: Males can expect to live on average for just under 37 years and females just over 40 years

Age 50: Males can expect to live on average for just over 32 years and females just under 36 years

Age 55:  Males can expect to live on average for just under 28 years and females just over 31 years

Age 60: Males can expect to live on average for just over 23 years and females just under 27 years

Age 65: Males can expect to live on average for just over 19 years and females just over 22 years

Spend a few moments thinking about how much income you might need in retirement. Then have a think about how much superannuation you might need to survive retirement and how much you need to save to achieve it. Finally, click on the following link to run some numbers that are specific to you and make sure you think about investment fees as they can make a huge difference to your retirement outcome.  For many, this task will prove useful and may hopefully spur you into action!

https://www.moneysmart.gov.au/tools-and-resources/calculators-and-apps/super-and-retirement-calculators

www.financialadviceshop.com.au

#retirementplanning #financialadvice #financialadvicecanberra #retirementplanningcanberra

Disclaimer: The information in this post is of a general nature only and has been provided without taking account of your objectives, financial situation or needs. No representation is given, warranty made or responsibility taken about the accuracy, timeliness or completeness of the information and it must not be acted on. Because of this, we recommend you consider, with the assistance of a financial adviser, whether the information is appropriate in light of your particular needs and circumstances. Past performance is not a reliable indicator of future returns.

Asgard® has recently introduced a new superannuation product that may be a game changer for many Asgard® investors.

It is a shame Asgard® will not actively tap existing investors on the shoulder to let them know there may be cheaper superannuation options now available.

If you are an Asgard® investor with a large superannuation investment balance, there has never been a better time to talk to an expert on whether your fees and commissions can be reduced. You may not even need to change your account number to reduce your fees and commissions!

www.financialadviceshop.com.au

Disclaimer: The information in this post is of a general nature only and has been provided without taking account of your objectives, financial situation or needs. No representation is given, warranty made or responsibility taken about the accuracy, timeliness or completeness of the information and it must not be acted on. Because of this, we recommend you consider, with the assistance of a financial adviser, whether the information is appropriate in light of your particular needs and circumstances. Past performance is not a reliable indicator of future returns.

#asgard #asgardfees #asgardcommissions