Top 10 Reasons to Manage Your Own Superannuation
Self-managed super funds (SMSFs) are the fastest growing sector of the superannuation industry. One reason for this is because people are becoming dissatisfied with the performance of their managed super funds, particularly in the current economic climate, and feel they could do a better job themselves.
Here are ten good reasons for taking control of your own super:
It’s cheaper
The cost of running a self-managed super fund is about $2,000 a year, so as long as you have at least $200,000 worth of super, you only pay 1 per cent or less per annum (managed funds charge from 1.5 to 3 per cent).
Best Places in Australia to Retire
Australia has so many beautiful retirement spots; where you end up settling down really comes down to how much money you have in your managed or self-managed super fund, and the kind of lifestyle you prefer. This article lists some of the retirement locations that take in the best of the city, the bush and the sea.
Tasmania
The Apple Isle is a stunning place and many couples who visit on fly-drive holidays end up coming back to live in retirement. The scenery is magnificent around every corner, property prices are still low compared to much of the mainland, the people are friendly by nature and nothing is very far from anything else.
Why Track Down Your Lost Superannuation?
If you and your partner both work, the chances are one of you has lost superannuation. That’s because it is estimated that one in two Australian workers has lost super at some time in their careers, resulting in almost 19 billion dollars now sitting in unclaimed accounts.
The ATO’s definition of ‘lost’ is a super account that hasn’t received any contributions for two years and is linked to an address where mail has been returned unanswered on two occasions.
The main reason superannuation gets lost is because your super fund is unable to contact you. This can be because you changed your name, got married, moved to another address without leaving a forwarding address or changed jobs without notifying your super fund.
Potentially Dangerous Investment Mistakes Made by Baby Boomers
Nobody is spared from the effects of the economy – especially baby boomers. If you don’t consider certain factors you may experience financial problems in the future. You need to make good decisions with all of your investments, insurances and savings, especially with your Self Managed Super Fund.
Everyone is capable of making mistakes, and some are easier to overcome than others. Here are four investment considerations you should look at as a baby boomer:
- Forgetting About Health Care Costs
Many baby boomers are caught out by a sudden disability, so be prepared and factor in health care costs. You should choose health and personal insurance that offers long term care and monetary assistance if the situation should arise.
Reasons for Not Retiring Too Early
Some people want to work for as long as they possibly can, while others want to retire as soon as possible. If you really want to enjoy your retirement, you need to wait until you are financially secure. Retiring too early can be a mistake as you may not have enough money in your Self Managed Super Fund to be financially secure.
Here are five reasons why you should not retire too early:
1. Working Is Good For Your Health – Physically And Mentally
Work gives you a purpose in life; those with too much time on their hands quickly find that their physical health deteriorates. According to research published in the British Medical Journal in 2010, people who retire at 55 are twice as likely to die within the decade when compare to workers who retired at 65.
Estate Planning Check-list — 13 Items to Get in Order
Sometimes we forget that we don’t live forever. As disheartening as this thought is, we still need to prepare for our death. One way to do this is to get our estate plans prepared. If you’re working on yours, you need to make a checklist of all of your assets, including your bank accounts, investments, and Self Managed Super Fund.
To make things easier for you, here is a list of thirteen items to get in order:
1. Make an inventory of physical items
In addition to the property itself, include all of your jewellery, television sets, vehicles, computers, mobile phone, iPads and artwork. Include anything that is worth over $100.
2. Make a list of all of your non-physical assets
Non-physical items include assets to which you are entitled, such as savings accounts, shares, annuities, and so forth.
3. Make a list of all of the organisations and charities in which you have an involvement
7 Common Excuses for Not Saving for Retirement
In a perfect world, everybody would consider a Self Managed Super Fund while they’re young and healthy enough to work for their retirement purposes. Unfortunately, many people wait until they’re well into their forties or fifties before they even give their retirement plan a thought.
They come up with many different excuses for not saving for their retirement. While some of the excuses might be understandable for a short period of time, nothing is excusable about putting off a retirement savings plan for years or even decades.
Here are seven common excuses used by people who don’t save for retirement:
1. “I don’t make enough money to save.”
You don’t know what the future holds. You might make even less money in the years to come. Even if you can only afford to save a few dollars here and there, that money will add up over the next 10+ years.
Protected: 7 Last Minute Saving Strategies for Retirees
Create a Retirement Plan in 7 Easy Steps
Are you interested in a retirement plan? Are you thinking of putting your money in a self managed super fund? Just six or seven years ago all you had to do was put your money in indexed investments. The market forces would eventually cause your investments to double. Due to the global recession, things aren’t so simple any more. Nowadays, you have to rethink your entire retirement strategy.
Creating a retirement plan doesn’t have to be difficult though. You just need to know which steps to take. Here are seven retirement strategies to help you get started:
1. Compare Various Savings Options
8 Signs That It’s Time to Retire
Are you thinking about retiring? Do you have a pension plan, or a self managed super fund? You need to make sure that you have a good retirement plan set in place before you make the decision to stop working. You need to be absolutely certain that you can afford it. Before jumping into retirement it might pay to have an SMSF audit conducted to make sure you are managing your retirement money properly.
Here are eight of the most important signs that it’s time for you to retire:
1. You Really Want To See The World
Traveling the world is something that everyone wishes they can do, but most people never get the chance. You should go see the world now while you still have the chance. Putting it off will only cause regret in the future.
