In recent weeks we have discussed various Commonwealth responses to the Coronavirus. One response that has received relatively little ‘airtime’ is the announcement that people drawing account-based pensions from their super fund can reduce the amount they must withdraw in this and the coming financial year.
Amid the raft of measures announced by the Commonwealth Government last month, one of the more contentious was the decision to allow limited access to superannuation benefits to people who are ‘under-age.’ This change took effect from Monday of this week. Whether withdrawing makes sense in your case depends very much on your unique situation.
When it comes to estate planning, many people overlook their superannuation. This is risky, because superannuation does not necessarily form part of your estate. This means that your regular legal will may not address what happens to your super when you no longer need it.
when you start investing is often more important than how much you start investing with.
Every year we make it a point to write at least one blog article on consolidating super. Consolidating super is where benefits held in two or more super and funds are rolled over into a single fund - either one of the existing funds or a new fund altogether. Over time, consolidating super can have a substantial impact on your retirement benefits.
Usually, to get a tax deduction, you need to spend money. And spending money makes you less wealthy. However, there is one kind of ‘expense’ that lets you have your financial cake and eat it too. Read on while we explain.
If you have a spare $1000, you might consider making an extra contribution to your super fund. If your income is otherwise low, the Commonwealth government will give you up to an extra $500.