Could last year’s strong equity returns keep on rolling?

Could last year’s strong equity returns keep on rolling? Aussie battler On the home front, the economic cycle in Australia is less advanced than in other developed economies. Activity remains subdued as housing investment moderates and consumers remain cautious on account of anaemic wages growth. Nonetheless, the preconditions for an improvement in growth are in place. Business confidence has improved and there is evidence of broad-based acceleration in business investment. At the same time, large …

How to create visibility on spending goals in retirement

How to create visibility on spending goals in retirement Retirees looking to develop a sustainable financial plan face a challenging technical problem. So it makes sense to simplify some of the inputs. Those of us who focus on the production of investment returns for retirees’ financial assets often choose to make simple assumptions about consumption patterns in retirement. However a more detailed understanding of priorities for spending in retirement can inform the design of appropriate …

Government pulls back on proposed changes to super

Government pulls back on proposed changes to super The government has announced changes to three key 2016 Federal Budget proposals—the most significant being that it would not go forward with its proposal to introduce a $500,000 lifetime cap on non-concessional (after-tax) super contributions. In a nutshell the new proposals include: From 1 July 2017, the existing annual cap of $180,000 on after-tax super contributions will be reduced to an annual cap of $100,000. The proposed …

Budgeting on a growing family

  Budgeting on a growing family Having children is a rite of passage that brings a mix of joy, fulfilment and anxiety when the financial realities of raising kids become apparent. Parents must make difficult decisions about housing, education and lifestyle to keep the family budget in the black and to give their kids the best start in life. The cost of raising children rose 50 per cent from 2007 to 2012, outpacing growth in …

Be clear on investment goals

Be clear on investment goals by Jeff Rogers Retirees concerned about cuts to the official cash rate need to clearly identify their investment goals to help clarify whether capital stability or income sustainability is of greater importance. In this article, we discuss how a well-managed portfolio of select corporate bonds, equities, property and infrastructure can deliver attractive and predictable income streams that can be expected to rise over time. Sustainable income in a low-rate environment …

Five super terms that should be on your radar

  Five super terms that should be on your radar Confused by industry jargon? We help you make sense of it all… We want to empower you to take control of your finances and own your tomorrow. But we know it’s not always easy. The language of finance can be complex and confusing. Here we explain superannuation terms in everyday language. Superannuation guarantee (SG) The payments your employer makes into your super. All Australian employers …

Phone security: get switched on

Phone security: get switched on Keep your money, identity and personal information safe Have you ever left your phone behind? It’s an odd feeling – like part of you is missing. And even though you’ll only feel right with it back in your hand, if your phone’s secure you’ll have peace of mind that your money and identity are safe in the meantime. Make sure your phone’s not susceptible to viruses and, if lost or …

How You Can Save Money On Back To Back When Shopping For School?

How You Can Save Money On Back To Back When Shopping For School? When the vacations are over, the excitement of children is at their peaks. A new school year is a beautiful new prospect for students each year with parents often rejoicing the steps on the ladder of education by their child. Yet the start of the school year can be a worrying sign for some families that believe firmly in budgets since new …

3 ways to get a foot on the property ladder

3 ways to get a foot on the property ladder Creative ideas for younger Australians to invest in property It won’t come as a huge surprise to learn that Australian homes are among the most expensive in the world. In a recent surveyi every Australian town and suburb was rated as ‘seriously’ or ‘severely’ unaffordable. And if you’re in a capital city it’s even worse, with the average Sydney home costing nine times average household …

Sun shines on local holidays

  Sun shines on local holidays No matter how far and wide they roam, Aussies still love to call Australia home. Increasingly we are seeing this Great Southern Land as an attractive alternative to holidaying overseas. For a while, the lure of exotic destinations was enhanced by the Aussie dollar’s buying power as it soared against foreign currencies. Value for money That was then. From its high of US$1.10, the Aussie dollar has dipped below …