It has always amazed me that the Financial Planning heavy weights have never tackled the industry funds over their “Compare The Pair” marketing campaign. The marketing campaign shows two people failing to seek strategic financial planning advice and as a result one does better than the other simply because their fees are likely to be lower. What is not mentioned is that with sound and cost effective initial and ongoing financial advice, the outcome could be very different and materially better.
At The Financial Advice Shop we have worked very hard to remove investment commissions and other conflicted payments from our client portfolios. This is important for a number of reasons and it has allowed us to also set a very important benchmark for the cost of investing. We believe our portfolios now cost less than the Industry funds….
Not only do we provide an opportunity for investors to receive value adding initial advice via an agreed fee and ongoing service via an agreed fee, we can implement recommendations through an investment portfolio that we believe has a lower overall cost than the Industry funds and with great performance as shown by following the link below:
As the Financial Year comes to an end, take the time to make sure you do not have any lost super.
Click on the following link and then click on the “Find Your Lost Super” icon to take you to the Moneysmart website where you will be able to search the Tax Office records for any super that they are holding on your behalf.
If you are self employed, make sure you look at opportunities for a deductible contribution before 30 June. If you are employed, review your salary sacrifice for this year and start planning for next Financial Year.
The contribution caps will increase from 1 July so make sure you get some advice and plan accordingly. Contributions to superannuation can be extremely tax effective way to save for your retirement.
Not sure what this all means…….at least you know who to call.
The 2014 Budget has not been very well received and with all the media coverage you would think that all of the bad news was now out in the open.
By using the Budget as a mechanism to starve the States and Territories of cash, the Government has effectively created a way for agreement to be reached to increase the GST. The clever part about the strategy is that the Government will not be asking for the GST to be increased but the States and Territories will be begging for it.
I can see Tony Abbott in a year or so explaining to the Australian people that he did not want to increase the GST but only allowed it to happen because the States and Territories begged him too. It’s a clever political strategy.
So what is the bottom line: get ready for the GST to be increased and for it to be broadened to include food, health services and education.
Not sure what to do……at least you now know who to call.
Many people may not be aware of a change to Superannuation Legislation that became law a few weeks ago. The change means that from 1 January 2015 all new Account Based Pensions (formally known as Allocated Pensions) will be “deemed” under the Centrelink Income Test rather than having the currently more generous Income Test assessment arrangements.
What most people may not know is that if after 1 January 2015 an Age Pensioner decides to change their existing Account Based Pension to a new provider to reduce fees then the new rules will apply to the new account. As a result, some Age Pensioners could lose part of their Age Pension.
Fortunately there is a window of opportunity between now and 1 January 2015 for Age Pensioners to get advice and make any changes to ensure they save fees and do not lose any Age Pension entitlements.
If you know anyone who this might affect then let them know asap.
Not sure what to do………at least you now know who to call.