Retirement News

A new report suggests most Australians want to share their wealth with the next generation but are unsure of the best ways to do it.

There’s no good news in the draft legislation for 'Division 296 tax', the new name for the tax on super over $3 million. These worked examples show the flaw in taxing unrealised gains. And stop calling it a 30% tax.

Guidance from ASIC previously stated that balances above $500,000 allowed the flat fee administration to make sense. Research now calls for a revision of this threshold to balances over $200,000. 

Pension payments in super after the age of 60 are tax free and anyone over 65 can switch their super into a pension account even if they do not change their employment. Why do so many continue paying 15% tax?

And our equity analysts’ outlook for the stocks.

SMSFs offer unlimited investment flexibility and most trustees make their own decisions but the majority of investments fall into five categories. There remains a strong home bias despite global opportunities.

The new super tax is a heavy surcharge on long-term investments because most of the gains from growth assets come from value gains which are mainly due to inflation.

It’s a better solution than forcing assets out of super or imposing personal marginal tax rates. But perhaps the bigger question is, what else is to come?

The risks and opportunities of a portfolio heavily weighted to shares in retirement.