Super fees and returns, SMSFs and TBAR, Age Pension changes, Bring-forward rules, Reverse mortgages
Highlights of the June 2018 edition of the SuperGuide Premium newsletter include:
- SUPER FEES AND RETURNS CALCULATOR: The Productivity Commission have again highlighted the importance of fees in the returns equation, particularly when they are compounded for the long timeframe that superannuation is applied over. To help illustrate this we’ve designed a calculator that shows you the impact small percentages can make over time.
- SMSFs and TBAR: Another month, another acronym. The Transfer Balance Account Report is an important new administration requirement for SMSFs. Meg Heffron explains more about the TBAR and when it operates.
- AGE PENSION CHANGES: New assets and income thresholds apply from 1 July, which means more Australians may now be eligible for the Age Pension.
- BRING-FORWARD RULES: We’re in the middle of some complex transitional rules, so make sure you are fully up to speed if you have triggered the bring-forward rule in the last 2 financial years.
- REVERSE MORTGAGES: These may sound tempting when you are asset-rich but cash-poor, but reverse mortgages are surprisingly unpopular in Australia. Janine Mace explains how they work, what are the pros and cons, and the rules and impacts you need to consider.
This article is designed to help those who have to think about this reporting – trustees of, and advisers to, SMSFs. Remember that SMSFs and large funds often have different deadlines when it comes to reporting and TBARs are no different.Read more
Superannuation is now very much super-sized, with 187 super funds and $2.9 trillion invested. Here we list the 20 largest super funds in Australia so that you can benchmark your own fund.Read more
The number of SMSFs in Australia has continued to rise in recent years, along with average individual member and overall fund balances. The majority of SMSFs have been operating for more than ten years and have corporate trustees, with this structure becoming very popular since 2015.Read more
Wouldn’t it be great if you could see the real impact of fees on your super account? With this in mind, we have created the SuperGuide Super Fees and Return Calculator that enables you to project a future super balance based on your current super balance, salary, age and desired retirement age.Read more
Age Pension rates increased on 20 March 2020. This article also explains how the Age Pension works, and includes the latest Age Pension rates for residents, non-residents, and the transitional Age Pension.Read more
Building a sizeable retirement nest egg can take some effort, but a recent study by Roy Morgan found only 18% of employees with super currently have more than the compulsory 9.5% of their salary or wages going into their super fund account.Read more
You can make contributions into your super account from your take home pay or money outside the super system. Since these contributions have already been taxed before you contribute them to your super account, they are not treated concessionally and are called non-concessional contributions.Read more
Although it sounds complicated, bring-forward contributions are just what they sound like – you bring forward your non-concessional contributions caps from future years and use them in a shorter time period.Read more
Retirees are always looking for new ways to boost their retirement income or to pay for expenses, like home care. Although downsizing to a small home can be one option, the Pension Loans Scheme (PLS) offered by the federal government is a rarely considered alternative.Read more
If meeting your retirement expenses is proving difficult, reverse mortgages are available to people aged 60 and over. We take a look at some of the benefits and drawbacks of this complex financial product.Read more
AGE PENSION CHANGES
- Age Pension assets test rules (March 2020 to July 2020)
- Age Pension income test rules (March 2020 to July 2020)
- Deeming rates for the Age Pension income test
- Age Pension calculator: How much could you be eligible for?
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