Miranda Brownlee writes an article for the website SMSF Adviser wherein she talks about the potential danger of bypassing laws of superannuation or taxation, especially where a relative is involved. The case which highlighted the possible threat of bending Super/taxation rules involves Payne v Commissioner of Taxation.
A Self Managed Super Fund (SMSF) is your ticket to a stable retirement. The federal government wants us to set up our own Superannuation fund and for that it is quite willing to lay various tax perks ahead of us. Some of us, however, give credibility to the myth that managing SMSF is a time-consuming process. This is far from the truth. Let us find out why the myth needs to be busted before it does any more harm. Also, let us read about that one particular way of saving our personal time and effort when managing SMSF.
Property has long been recognised as a highly valuable asset class. Investors are keen on buying properties because it represents a lesser challenge to them (everyone is familiar with homes), can be held for long (pure investment rather than mere speculation) and is expected to provide a decent ROI, time and again.
Of late, many investors are using their Superannuation funds to get into the property market. Self-managed Super Fund is a rapidly growing industry and in such a shot time, it has carved a niche for itself. Even while the critics have screamed themselves hoarse over one aspect of it or another, SMSFs have come to well and truly engage our minds.
It is then quite natural that investors look forward to mixing these two weapons for creating a powerful investment strategy for themselves. And this, dear readers, is exactly what’s happening. Many more properties are being bought through the help of SMSF. The strategy can work wonders except that there are a few critical points to consider first. Let us read more into the SMSF borrowing guidelines and also find out that one particular aspect where you can get really stuck (resulting in the erosion of your dollars).
Most of us cannot deny that we daydream about our lives post retirement. In those dreams, we may be cruising half way across the globe or just indulging the gardener in us. We dream of an easy life full of small nothings and crazy ‘somethings’. This is how we are programmed: we know we have to slog it out while we are part of the active workforce and get rewarded for it with a leisure-filled retirement.
So it may come as a rude shock if you do not find enough in your nest egg to retire peacefully and may be work through your 70s to make ends meet. The crux question then is- how much do you need to retire at 65? Let us find out. You will be surprised by a few stats and one trend in particular.
People invest for diverse reasons. If you probe the surface, you will find that earning money out of the venture is the top reason but look deeper and you will find myriad currents in the human brain which determine an investment. A person who has lost a loved one to cancer may open a cancer research institute even if the proposition is not financially rewarding. Likewise, some investors may have a score to settle with life, an anger to placate or a ego-battle to win. Sometimes, rare though such occasions may be, investors also make those really stupid/weird/ridiculous investments.
Let us, if only in jest, examine some potentially stupid investments. I am sure some of them will invoke fits of laughter and if you are reading this funny topic seriously, may be one or two may give a spark for a really smart investment idea…and there is actually one such example here. Read along!
Cristiano Ronaldo is one of the most celebrated footballers of our times. Since Eusebio and Figo, no footballer has delivered as much for Portugal as this 31-year-old genius. While his exploits for his country are remarkable, it cannot still be compared to what he has done for his club, Real Madrid.
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