Can you use your pension to retire debt free? Perhaps you’re considering options for how to reduce your debt before retiring. Well, one option may be to use your pension account, but there are some important things you should consider first. It’s no secret that Australia, like many countries, has an ageing population. According to the Australian Bureau of Statistics, 16.3% of us are over the age of 651, but that number is expected to grow …
Transfer balance cap set to increase to $1.7 million The amount of super savings that can be transferred into a retirement pension (whether you have one or more than one) will increase from $1.6 million to $1.7 million on 1 July this year, but not for everyone. Currently you can transfer a maximum of $1.6 million from your super savings into a retirement pension (or pensions) to generate an income after you’ve finished working. However, from 1 …
Key measures for super, social security in response to COVID-19 The government’s announcements on 22 March help provide support for some people impacted by the economic effect of the Coronavirus. Three of the announcements which are now law, apply to anyone with super or in receipt of social security benefits. Let’s look at what the government has to say and how the changes work. In a nutshell the changes are: Reduction in the minimum pension for …
Dealing with being asset rich and cash poor Reverse mortgages could be one way to help with living expenses, but they may also erode any equity you have in your home over time. Given longer life expectancies, the rising cost of living and the property boom, more and more retirees find themselves asset rich and cash poor. One option is to downsize to a cheaper home, but this often has major disadvantages. If they are …
Does a part-time job in retirement work for you? Maybe you can’t wait to give up work forever. But having a part-time job in retirement offers health and income benefits that could make it worth considering for your future lifestyle. Boosting your super For many people in their retirement years, one of the most compelling reasons for continuing with paid work is to make ends meet. According to a recent research report from the Association …
Get your new financial year game on We’re about three quarters of the way through this financial year, but don’t worry, you’ll be wearing a confident grin by June 30 with this list of eight things to do now to get new financial year ready. Download our checklist and tick them off as you go. 1. Check in on your goals There’s no point doing anything until you know what you’re doing it for. Write down your …
What do Aussies do with their super? Find out where and what retirees are investing in and spending their superannuation money on. A significant number of Aussies are now entering retirement with substantial superannuation balances, after compulsory super contributions for most employees were introduced a quarter of a century ago1. But what are retirees doing with their super money? Are they putting it toward big-ticket items, paying off debts or investing it into retirement products …
Retirement and your mental health It can be hard to stay engaged and keep a positive outlook in retirement, but advances in technology can help enormously. For example, if you are interested in volunteering, websites such as Good Company can instantly put you in touch with hundreds of opportunities, charities and individual projects. Or other options such as renting out a spare room on Airbnb or driving for Uber will not only contribute to keeping you more connected, you can also …
5 reasons to save for retirement Saving for retirement might not seem important, especially when there’s the super guarantee and aged pension to fall back on. But employer contributions and government benefits may not keep you as comfortable in later life as you’d like. Here are 5 reasons to make saving for your super a priority in the coming year. Whether you’re near retirement or not, it’s important to get your head round what to …
Should I take my super as a lump sum? Taking your super as a lump sum might be tempting, but it won’t be the best option for everyone. You’ve probably spent much of your working life accumulating super. So, when the time comes and you’re able to access it, you might be wondering whether you’d be better off taking the money as a lump sum, income stream, or even a bit of both. To help you make …
