Company or individual?

[tech/a]

Julia.

If you can't out perform Managed Funds.
OR
You can afford to hold vast amounts of Asset and or Cash--un touchable in a Superfund until you retire.
OR
You dont have the ability to grow your assets and or savings beyond 7% or so (The figure plucked out of the air by most Managed Fund examples) then
Super wether it be self managed (Read ---Your risk dont blame us) or held by funds maybe the way to go.
(95% of people it seems---this is tragic!)


But in the end you lose control of your $$s.
Opportunities are then limited.
If the rules change then your stuck with them.

Putting ALL your eggs in the Super Basket isnt wise in my veiw.
Some yes-----all NO! What risk control measures can you place on Super once its in?

 

[money tree]

What risk control measures can you place on Super once its in?

Super is the BEST form of asset protection.

it cant be taken during a lawsuit

it cant be taken during a divorse

it cant be touched by company creditors

it is immune from bankruptcy

it cant be spent by addicted gamblers, compulsive spenders or tryhard traders

compound effect of Invested funds, income tax vs super, $1000 Gross invested per year @ 7% p.a. over 50 years

Income - $1000
Tax = 48.5%
Tax - $485
net - $515
After 50 years - $139,000

Super - $1000
Tax = 15%
Tax - $150
net - $850
After 50 years - $230,000

 

[tech/a]

Super is the BEST form of asset protection.

it cant be taken during a lawsuit

Not so in some rare cases---family law court!

it cant be taken during a divorce

Not so--family law court!!!

it cant be touched by company creditors

true

it is immune from bankruptcy

true. but the Family law court could demolish it.

it cant be spent by addicted gamblers, compulsive spenders or tryhard traders

If its self managed try hard traders can kill it.

compound effect of Invested funds, income tax vs super, $1000 Gross invested per year @ 7% p.a. over 50 years

Income - $1000
Tax = 48.5%
Tax - $485
net - $515
After 50 years - $139,000

Super - $1000
Tax = 15%
Tax - $150
net - $850
After 50 years - $230,000

Yes and if you cant out perfom that then your suggestion is the better option.

Check it out the Family Law Court is a scary place to find yourself.
But yes tree there are many more instances where peoples money is better off locked away.-----from them!!!

 

[GreatPig]

Check it out the Family Law Court is a scary place to find yourself

The number one rule of asset protection: never get divorced! :

GP

 

[Joe Blow]

The number one rule of asset protection: never get divorced! :

GP

...or never get married in the first place! :

 

[tech/a]

...or never get married in the first place! :

Often joked about by many a "bloke".

But there are a few ways around this I know of.

Marry money!
Make enough for BOTH of you when your married.
Sign a pre nup.
Work as a team not individuals---the goal is common after all!

 

[Julia]

Thanks very much Julia, that really is very helpful, a great starting point for us. BTW, is that booklet you have in electronic format (ie scanned), if not that's okay, we could have emailed it around otherwise.

No, Richkid, not in electronic format. It's no trouble to run off a copy and mail if you'd like that. I re-read it last night. It doesn't actually cover anything which is not included in the ATO booklet I referred to previously, but let me know if you want it.
Cheers
Julia