March 2014

Age pension

Boost your income in retirement by qualifying for the Age Pension.

The Age Pension is a great way to make your savings last longer and get access to a range of pensioner discounts. But it’s important to know all the rules and conditions.

The amount of pension you receive is based on two things;

  1. your income, and
  2. your assets.

Centrelink will conduct an income test as well an assets test based on very specific and detailed guidelines.

It can all seem a bit daunting but, thankfully, Stonegate can do all the heavy lifting for you:

  • We handle all your dealings with Centrelink.
  • We can maximise your entitlement by developing strategies to get a better result in your assets test.
  • We ensure that you get all the pensioner discounts and benefits you are entitled to, even if you are only eligible for a very small Age Pension.

Self Managed Super Funds

Self Managed Super Funds, or SMSFs, are the fastest growing sector of the superannuation industry – and for good reason.

A SMSF gives you greater flexibility and control of your super than a traditional super fund. With your own SMSF you have access to more investment options than traditional super funds, and you can personally tailor your investment portfolio for your specific needs.

Managing your own super fund may seem daunting, or beyond your own expertise – this is where Stonegate can help. Stonegate can set up and manage your SMSF for you. We offer a comprehensive accounting and administration service so your paperwork is done for you. You also receive access to personally tailored SMSF investment advice from our specialist advisors.

Contact Stonegate to find out if a SMSF is right for you.

Superannuation

Superannuation or ‘super’ is money saved for your retirement.

By law, if you work for someone, they must contribute a minimum of 9.25% of your salary into your super each year. If you work for yourself, then it’s up to you to put money aside. Apart from situations where you experience severe hardship, you can only access these funds once you have reached retirement age. This makes sure your funds are locked away for just one thing – your retirement.

Many people also choose to make extra contributions to their super – either as direct payments or through salary sacrificing. Doing this can reduce your tax – savings in your super are taxed at a lower rate than savings you have outside of super.

For example, while your marginal tax rate can be as high as 46.5% (depending on your salary) your super is only taxed at a maximum of 15%. Super funds also enjoy the benefits of compound interest.

If you’d like to find out how you can boost your super and save on tax, contact Stonegate and one of our experienced consultants will make a time to see you to discuss your particular needs.

Retirement planning

Whether you are almost ready to sail off into retirement, or it feels like a long way away, now is the time to review your affairs and make sure that you cash in on all those years of hard work.

Stonegate can help you make an informed decision about how long you should work, and plan your transition to retirement. Our specialist advisors use a comprehensive process to map out where you are right now, what you might need in the future, and what you need to do to reach your goals. To do this we collect information about your current financial situation, set goals and develop strategies with you to achieve those goals.

Stonegate can help you to:

  • reduce the tax on the sale of your personal and business assets
  • turn your super into a tax effective income stream for your retirement
  • ensure you make the right investment choices for your new life stage
  • use tax effective measures to pass your assets to your dependents.

Strategies

Whatever your circumstances, Stonegate can tailor a strategy to suit your needs and build for your retirement.

Here are some strategies to consider:

  • Consolidate your super: It’s a lot easier to keep track of your money if it’s in one account, and you’ll save on fees.
  • Salary sacrifice: pay an agreed amount of your salary directly into your super before income tax is deducted from it – which also reduces your overall taxable income.
  • Personal contributions: make extra contributions to your super from your salary before income tax is deducted from it (up to a limit).
  • Receive a co-contribution: receive an extra payment into your super from the Government when you make a personal contribution.
  • Make a spouse contribution: make extra payments into your spouse’s super if you currently earn the lion’s share of super.
  • Receive a tax rebate for spouse contributions: you may qualify for a tax rebate if your spouse does not earn much.

Estate planning

Estate planning is the process of anticipating and arranging for the disposal of an estate during a person’s life.

It helps to eliminate uncertainties over the administration of your estate and can maximize it’s value by reducing taxes and other expenses. Guardians are also often designated for minor children and other beneficiaries.

Stonegate can refer you to a solicitor to help you establish appropriate wills and advise you on tax-effective estate planning strategies like testamentary trusts.

Stonegate’s financial advisers can also help you to implement an insurance portfolio to ensure that your family is adequately provided should your death occur.

Insurances are also useful if you need additional funds to equalise payments to beneficiaries without selling key assets.

Wills

Having an up-to-date, legally sound will is one of the best ways to protect your assets.

A will is a document that states how you would like your assets distributed when you die. It also nominates the Executor (the person or organisation) you would like to carry out your wishes.

Because wills involve complicated estate law, it’s important to get the help of legal professionals who know what they are doing. We have a network of Solicitors and estate law experts with many years of experience writing legally binding and tax-effective wills.

Our dedicated team are happy to answer all your questions and pride themselves on being able to clearly explain this complex topic. Contact Stonegate to talk to one of our estate planning experts.

Trusts

A trust can help you control and protect your assets and leave a legacy.

Trusts can be established for different purposes such as setting aside money for your children when they get to a certain age, or for charitable projects. They can be set up during your lifetime or through your will (called a testamentary trust).

A testamentary trust allows you to protect your assets when they pass to your beneficiaries. A testamentary trust may also help to distribute your estate to your beneficiaries in a more tax-effective way.

To find out more about the benefits of setting up an appropriate trust for you, contact Stonegate to talk to one of our estate planning experts.

Introduction

You can’t take your money with you when you go, but you can control what happens to it.

In fact, its vital that you do, especially if you have a family or other dependents.

Ensure that the assets you leave behind are used the way you would like them to be by talking to our Stonegate team about our estate services. Stonegate can help you to organise your financial and personal affairs so that your wealth is protected both throughout your life and beyond.

Our estate planning services give you the confidence that your future needs and those of your dependents will be met.

TPD and trauma insurance

Have you ever considered what would happen to your family if you were no longer able to work due to an unexpected illness or accident?

This is where Total and Permanent Disability (TPD) and Trauma insurance can help:

  • If you become permanently disabled – for example as a result of a workplace or traffic accident – and are no longer able to work, TPD insurance will pay you a lump sum to get you through (as per the amount specified under your insurance cover).
  • If you suffer a serious specified medical condition such as a heart attack, stroke or cancer Trauma insurance will pay you a lump sum (as per the amount specified under your insurance cover).

You can use your lump sum from either of these insurances as you see fit – to repay loans, help meet day to day living expenses, fund medical expenses, meet rehabilitation costs, pay for any modifications required to your home, or even just take a holiday with your loved ones to help you adjust to life again.

Contact Stonegate today to ask us how we can help you choose the right TPD and Trauma cover for you.