Notes

Pre-30 June Super Health Check
Which form of fund is right for you?

These days it is no longer acceptable to check out counsel of tied financial advisors who want to sell their commission-based products - investors want advice which is within their needs.

As a starting place, research your fund's performance in the last one to five years. If your current fund was chosen by your employer and/or is underperforming, it may be time for you to change funds.

If there is a corporate super fund, you could receive reduced fees or lower insurance costs. It is therefore important to be aware of these benefits before changing super funds. Retail funds offer more services, routinely have higher fees and run at a profit. Industry funds are inexpensive funds with lower fees, go to profit members. If you have more than one super fund, consider consolidating to relieve fees.

Spread your investments

Ideally you wish to retire comfortably to compliment your future lifestyle. Ensure his comment is here is line together with your investment strategy - look at your lastest super statement and rebalance your portfolio if needed. An independent advisor may help you tailor your asset allocation and add significant value.

Consider a Self Managed Super Fund (SMSF) to raise your super potential

If you and your spouse havecombined super that has reached over $150,000, now is a great time to take into account combining it in a very SMSF to maximise your wealth (and future retirement fund).The Australian Taxation Office rule changes have witnessed a rush of SMSFs getting into investment property as a result of favourable changes designed by the Government in 2007 that allow funds to loan to purchase a good point.

There are also generous tax benefits associated with buying a good investment property via a SMSF, along with the concessional contribution cap set to lessen from 1 July to $25,000 for all super fund members, purchasing property through your SMSF may be an appropriate approach to further supercharge your super.

Note however that stamp duty concessions end on 30 June - should you be thinking of committing to property via your SMSF, meet together with your financial planner at the earliest opportunity to implement your gearing in super arrangements.

Maximise contributions by 30 June

Make essentially the most of maximising contributions to increase your super wealth:

• For 20011/12, superannuants aged 50 as well as over may make as much as $50,000 in concessional contributions (be subject to work tests for 65 to 74 year olds). For 2012/13 this amount is reduced to $25,000, and then for under 50 year olds, the cap is $25,000. Superannuants under 65 could also make non-concessional contributions as much as $150,000 (or $450,000 "bring forward" over 36 months), again subject to the project tests for all those aged 65 to 74.

• Avoid breaching contribution caps and being taxed 93% on your contributions by identifying and rectifying any errors before year end.

• This is the last financial year you can make in-specie share contributions for a SMSF - contribute now to minimise transaction costs.

• Avoid breaching the modern and reduced $25,000 concessional cap by reviewing your salary sacrifice arrangements in early July.

• If you are over 55 it is crucial for you to review and optimise your concessionally taxed pension. Avoid any problems later down the track by withdrawing a minimum of your minimum pension by 30 June.

Insurance and estate planning

Consider holding life, TPD and income protection insurance to improve protect your family in the event that you cannot benefit some time because of sickness or injury, particularly if you are self-employed.

In case of your respective death, ensure your super would go to who you need it to - in the event you aren't sure who the beneficiaries of one's superannuation fund are, transform it into a priority to review it as quickly as possible. There are tax-related liabilities based on which team you decide to bequeath your death profit to, so it is important to seek professional advice before completion of one's Will.

Lost super fund

Visit the ATO's free website "SuperSeeker" to find lost or forgotten super. You could be happily surprised.

Be vigilent and earn time to research your super - changes for your super now can mean a positive change inside amount you get when it comes time and energy to retire.

Disclaimer: The information on this document will not take into account your own personal objectives, financial circumstances or needs and that means you should consider its appropriateness having regard to those factors before acting on it. It is important that your individual circumstances are taken into consideration before you make any financial decision and it really is recommended that you seek some help from your financial adviser.
My Website: https://superhealthcheckaustralia.com.au/