Four common areas people need financial advice
Multiple Superannuation Funds
This is probably the most common area where people have a need for advice. These days a lot of people work for a number of different employers and the majority don’t tend to work at the same one for their whole career. A large amount of people need assistance packaging all their Superannuation into something suitable for them and this is something everyone should look into. Typically there shouldn’t be a need to have more than one open except in very specific cases and you may find admin fees have been eating away at the balance of your funds. A big part of what we do involves helping clients to find a suitable Superannuation product that suits their goals. As a word of caution you should also check your insurances before making any changes or of course contact us for advice.
Transition to Retirement
Most people have heard the saying before and know it involves the lead up to retirement but it is very important you explore and delve a bit further to understand the tax savings you could be making. The plan can begin from age 55 so if you are closing in on your 55th birthday or still working and aged 55 or over then you should be taking action and looking into the possibilities.
Too many people are unaware of the savings they could be making and it is important to seek help. The strategy involves drawing a pension from your Superannuation while directing a larger portion of your pre-tax salary into super. While this does sound a little crazy given you’re trying to build your retirement nest egg, in the majority of cases you should find there are significant savings to be made.
Insurance cover falling well short
Another big one that unfortunately is all too common is personal insurances that don’t fit the client’s needs. The purpose of personal insurance such as life cover, income protection, disablement & trauma is to keep you on the same track should something go wrong, at least financially. The reason why this is a big issue is that people are more inclined typically to insure their homes, cars, boats or contents before looking at the bigger picture. If they cannot make money any more for their family either through because of death, an injury or an illness then what will happen?
No Estate Planning
Most people leave this too late and it’s really important you actually take the time to step back and think practically about what would actually happen if you or your partner did pass away. If your estate is not setup correctly you could have potential delays, tax implications or worse still have your estate distributed in a way you’re not happy with. There are also structures that can be put in place to leave behind assets to children or grandchildren that may not have been considered.