Retirement Planning

Building a generous nest egg for retirement is becoming increasingly important and those who plan are often more successful.

The financial planner’s role is to guide and educate clients along the way assisting them with strategies to accumulate funds to provide their desired lifestyle in retirement. Legislative changes to superannuation and changing economic conditions make the journey difficult and uncertain but with the right advice one can navigate one’s way to build up capital to supplement the Age Pension or alternatively to have enough capital to be self-funded in retirement.

Superannuation with its concessions and benefits provides an ideal vehicle for accumulating capital for retirement. Superannuation is one of the most tax-efficient structures to hold investments and superannuation strategies such as salary sacrifice, the use of concessional and non-concessional contributions, government co-contributions, pension and the capital gains tax (CGT) small business concessions should be considered.

There are other areas to consider which include how best to invest along the way. Maximising your end benefit over the long term is achievable with sound investment advice. Generally, the period of time an investor invests their money will govern their choice of investment strategy. For short term investments a high degree of capital security is appropriate. Time is the essential ingredient required for capital growth to reach its potential.  For long term investments, a client’s ability to accept investment risk, their financial situation and objectives as well as the expected investment time frame all need to be considered.  

In planning for retirement, one of the first considerations to be addressed is “how much money do you need in retirement” and secondly “how long is that capital going to last”? These questions need to be addressed and in doing so clients need to consider the kind of lifestyle they desire in retirement.

Building a generous nest egg for retirement is becoming increasingly important and those who plan are often more successful. The financial planner’s role is to guide and educate clients along the way assisting them with strategies to accumulate funds to provide their desired lifestyle in retirement. Legislative changes to superannuation and changing economic conditions make the journey difficult and uncertain but with the right advice one can navigate one’s way to build up capital to supplement the Age Pension or alternatively to have enough capital to be self-funded in retirement. Superannuation with its concessions and benefits provides an ideal vehicle for accumulating capital for retirement. Superannuation is one of the most tax-efficient structures to hold investments and superannuation strategies such as salary sacrifice, the use of concessional and non-concessional contributions, government co-contributions, pension and the capital gains tax (CGT) small business concessions should be considered. There are other areas to consider which include how best to invest along the way. Maximising your end benefit over the long term is achievable with sound investment advice. Generally, the period of time an investor invests their money will govern their choice of investment strategy. For short term investments a high degree of capital security is appropriate. Time is the essential ingredient required for capital growth to reach its potential. For long term investments, a client’s ability to accept investment risk, their financial situation and objectives as well as the expected investment time frame all need to be considered. In planning for retirement, one of the first considerations to be addressed is “how much money do you need in retirement” and secondly “how long is that capital going to last”? These questions need to be addressed and in doing so clients need to consider the kind of lifestyle they desire in retirement. ...