Important Rules Changes from 1 July 2022
As the new financial year approaches, there are changes affecting your personal finances that will kick in from 1 July 2022. You can read more about the reforms that will affect first home buyers, families, wealth accumulators, and retirees below. Increase in Employer Super Guarantee Payments The percentage rate for the Super Guarantee (SG) increases from 10% to 10.5% from 1 July 2022. Employers are required to contribute additional money into their employees’ super accounts in line with the higher SG percentage rate. The SG is scheduled to rise again to 11% on 1 July 2023. It will continue rising …
Continue ReadingSelf Funded Retirees Get Minimum Pension Extension for FY23
The Government has passed regulations to extend the temporary reduction in the minimum superannuation drawdown rates from 1 July 2022 through to the end of June 2023. Minimum pensions limit will continue to be halved for all transition to retirement pensions, account-based, and term allocated income streams as follows for the 2022-23 financial year. Your Age Normal Minimum Pension (% of 1 July account balance) Reduced Minimum for 2022/23 Under 65 4% 2% 65 – 74 5% 2.5% 75 – 79 6% 3% 80 – 84 7% 3.5% 85 – 89 9% 4.5% 90 – 94 11% 5.5% 95 or …
Continue ReadingTax Tips for End of Financial Year Planning
As the end of the financial year approaches, tax planning is front of mind. You can access a quick reference guide to help with the main end-of-year questions and issues you have below. Optimising Tax Deductible Contributions into Superannuation Review your contribution types and amounts to ensure your deposits have been optimised, especially if you are a high income earner or had strong business profits this financial year. Maximise Concessional Contribution Caps for 2021-22: Up to $27,500 and remember this limit includes the total of any employer, salary sacrifice, payments into superannuation for insurance premiums, or any personal deposits you …
Continue Reading2022 Global Market Outlook
2021 was a year of rebound and recovery, and we expect that 2022, by contrast, will be a year of Moderation – particularly when it comes to growth, inflation and investment returns. Developed economies have spare capacity, households are sitting on accumulated savings from thepandemic lockdown and central banks are planning to remove accommodation only gradually. Overall, the global economy appears poised for a second year of above-trend growth, but at a slower pace than in 2021. In our view, the three main uncertainties for 2022 are: The durability of the spike in inflation; The extent and duration of the …
Continue ReadingCryptocurrency and Block Chain – Fad or the Future?
A hot topic around the barbeques, sunset drinks, dinner parties, and social media posts of summer will be the outlook for cryptocurrencies and future of blockchain in our lives. There is tremendous focus and attention being paid to the crypto and blockchain industry, both among retail investors, institutions, governments, and popular culture. It is impossible to say exactly what will happen to the cryptocurrency market in 2022 and beyond. Questions are far more numerous than answers. But by keeping an eye on a few overarching tendencies of crypto, you will be able to make better investing decisions as the market …
Continue ReadingHoliday Homes – Dreams Vs Reality
Owning a holiday home seems to be the ambition of many Australians. Statistics suggest that around one in every twelve households owns what is known in the industry as a ‘lifestyle property’. These properties are typically located on the coast in popular tourist destinations, but many others can be found in the country and adjoining Australia’s many inland river and waterway systems. And the reasons why holiday homes are popular are clear to see. From a personal perspective we have all visited those special places where we could unwind and relax away from the rat race, enjoy the scenery, trek …
Continue ReadingThe Greatest Challenges Facing Future Retirees
Most working Australians aspire to the idea that they will reach a point where they can retire debt-free and with enough money in their superannuation fund (and perhaps supplemented by the Age Pension) to provide them with a comfortable standard of living in retirement. For many that remains a reasonable aspiration, but a growing range of challenges mean that retirement goals that could easily be achieved a few years ago look like being harder to achieve in the future. Losing interest? One of the greatest challenges facing future retirees (and current ones) is the fall in interest rates. Retirees have …
Continue ReadingMoney Tips for Millennials
Ask anyone on the plus side of age 50, and they will most likely tell you they could have been so much smarter with their money management when they were younger. As a young person, it is really easy to not think about your future and to just simply do what everyone else is doing. But you might be surprised how much a small amount of management can gain you in just a 10 year period, let alone a few decades. When you’re young, living at home, you have less commitments and more flexibility. If you don’t want to waste …
Continue ReadingAccumulate Relocates Office to Subiaco
Accumulate is excited to announce that we have moved into our new premises at 420 Bagot Road, Subiaco. Convenient parking is available for clients underneath the building in the visitor marked bays. We look forward to welcoming you to our new office at our next meeting.
Continue ReadingWhat Does the Future Hold for Booming Property Prices
Residential property prices are booming not only in Australia but also around the world. What’s the view for property investors and what factors should you consider before taking the leap? Vanguard Australia’s finance journalist Tony Kaye wrote a good article about this recently which you can read HERE. Another good source of information comes from market-leading digital advertising business specialising in property: realestate.com.au. Interesting insights can be gleaned about your local city market in the market outlook by property research analyst Cameron Kusher HERE.
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