Q: Can you tell me how you find a list of all ASX-listed companies that pay fully franked dividends? The question you ask is a very popular question and unfortunately the answer is no longer straightforward. A complete list of companies that pay franked dividends used to be available for the cost of a daily ... Read more
Franked dividends and franking credits: How do they work?
Tax alert! Bill Shorten (on behalf of the ALP) promises that his party will ban cash tax refunds for excess franking credits for Australians not receiving a government pension, taking effect from 1 July 2019. Such a promise can only happen if a federal election is held in early 2019, and such a promise is also subject ... Read more
ALP’s franking credits policy targets shareholders with low taxable incomes
“Having a non-means tested government payment solely on the criteria that you own shares and giving people a refund when you haven't actually paid income tax for the year that the refund covers, what's the economic theory behind that?" asked Opposition Leader Bill Shorten recently, and reported by Phillip Coorey in the ... Read more
Excess franking credits: Shorten shortchanges millions of retirees
Note: A version of this article was first published in April 2018. We have updated this article with further detail on the ALP’s proposed ban on excess franking credits refunds. On 13 March 2018, the leader of the Opposition (Australian Labor Party) drew an ideological line in the economic sands and threatened the ... Read more
SMSF investment: What assets do DIY super trustees prefer?
Note: We regularly update this article with the latest data on self-managed superannuation funds (SMSFs) released by the Australian Taxation Office. This article contains the latest data available up to September 2018 (for data on SMSF growth and for asset allocation data as at March 2018). Each quarter the ATO ... Read more
SMSF advice: Is your accountant still allowed to help your fund?
Being the trustee of a self-managed super fund can be a challenging task at times, and most people need a bit of help at certain stages when running an SMSF, particularly when a decision, or strategy, requires financial advice. Traditionally, many Australians have turned to their accountant for assistance, but under ... Read more
Employees can now make tax-deductible super contributions (since July 2017)
Note: The option for employees to make tax-deductible super contributions took effect from 1 July 2017. As an employee, the general rule when making super contributions is, you can take advantage of the concessional (before-tax) contributions rules by salary sacrificing, or by making tax-deductible super ... Read more
Who are the wealthy retirees targeted in Labor’s plans?
Roger Wilkins, University of Melbourne In Labor’s budget reply speech, Bill Shorten reaffirmed the plan to remove refundability of dividend imputation credits. His pitch was to Australian voters on lower and middle incomes, in which he pledged to look after the country’s ageing population: We know that giving older ... Read more
SMSF residency: SMSFs must call Australia home
‘When I retire, I am going to travel…’ is a common phrase when Australians dream about life after work. For many Australian retirees, overseas travel features prominently in their retirement plans. If you’re an SMSF trustee however, and you intend to travel for extended periods, or even live outside Australia for a ... Read more
Special SMSF investment rules: A starting guide
As trustee of your SMSF, you’re responsible for investing your fund’s assets and monitoring the performance of those assets. Investing via your superannuation fund is markedly different from investing outside of super, because you must follow your fund’s trust deed, follow your super fund’s investment strategy, and ... Read more
Drafting your SMSF investment strategy: A Super Guide
Every super fund, including every self-managed super fund, is legally required to have an investment strategy. An investment strategy identifies financial goals (investment objectives) for the fund, and helps determine each fund member’s tolerance for risk and the investment time horizon for each member. Although ... Read more
SMSFs for beginners: What is an SMSF, and how does it work?
In the past, SMSFs were more commonly known as DIY super funds. Historically, self-managed super funds have been popular with business owners and other self-employed individuals With the introduction of compulsory super, and a growing awareness of the importance of saving for a long life in retirement, SMSFs have ... Read more
