logo
spacer
spacer

 eWombat Search 
>
spacer spacer spacer
Latest Accounting News
Hot Issues
Federal Budget 2018 - Overview
Your Budget
4 components of our 2018 Federal Budget
Resources to help understand and implement Single Touch Payroll (STP)
New rules capture SMSFs trading big with cryptocurrency
New passive income test for lower corporate tax rate
Tools to help you manage your financial position are available on our site.
‘A simple mistake can attract our attention’: ATO reminder about FBT slips-ups
Australia by numbers – Update
Beware residency rules if moving overseas
Meaningful tax reform in high demand
Working holidaymakers and tax returns
Single Touch Payroll – 1 April 2018 Action
Property investors on notice after ATO spots false claims
ATO issues update on cryptocurrency compliance traps
Australia's vital statistics
Accountants spy elder abuse spike as mortgage stress sets in
Tax office releases fresh guidance on SMSFs
Labor's tax plans could favour the rich, analysis shows
FBT Reminder – Odometer Reading
Our website is really our digital office.
‘Substantiation will be a key focus’: ATO drums in tax time 2018 hit list
Super changes: $1.6 million transfer balance cap and death benefit pensions
Payroll, compliance issues top dodgy practices in Aussie business
Employee travel expense deductions
The Goldilocks effect - Economic and market update 4Q 17
Tax assessments confirmed for undisclosed business income
Super returns on the up despite clients’ hesitation
Australia. All you need to know to be the expert.
Business confidence hits 5-month high: NAB
Articles archive
Quarter 1 January - March 2018
Quarter 4 October - December 2017
Quarter 3 July - September 2017
Quarter 2 April - June 2017
Quarter 1 January - March 2017
Quarter 4 October - December 2016
Quarter 3 July - September 2016
Quarter 2 April - June 2016
Quarter 1 January - March 2016
Quarter 4 October - December 2015
Quarter 3 July - September 2015
Quarter 2 April - June 2015
Quarter 1 January - March 2015
Quarter 4 October - December 2014
Quarter 3 of 2015
Articles
Individual Tax Returns – Medical Expenses 2015
Resources on our site to help you and your family.
Retirement Planning becoming more difficult
Salary and Superannuation after the death of an employee
Ambiguity in Shareholder Agreements - what you need to know
Five reasons the RBA will likely cut rates again
Consistency between Income Tax and Business Activity Statements (BAS)
Tax Time Checklist - Individual - 2015
Tax Time Checklist - Company Trust or Partnerships - 2015
Tax Time Checklist - Superannuation Funds - 2015
Retirement Planning becoming more difficult

 

Every person in the second half of their working life faces an increasing dilemma.



       


In one sense, it is great news because we are all living longer.  Gone are the days where we worked for 40 to 50 years and then retired for 7 to 15 years.  Our meagre savings was generally adequate.  If it wasn’t adequate, we had a pension from age 65 and with a life expectancy of only about 7 years; the burden on the government was minor.


How things have changed!  We now start work later and work less and live longer.  The result of course is that we all need to plan for up to 25 years of retirement expenses.


In one sense there is one easy answer – compound interest.  In other words, start young and let your investments in early years provide for the future.  Obviously it is not quite that simple, because our priorities in the first half of working lives are different and there is little interest in the need of retirement, which is much later.


And the lump sum on the death of a parent will on average arrive much later and might be split with a new younger spouse (step-parent).


Do you take an interest in how your superannuation funds are invested or simply let them be allocated to a balance fund by the fund manager as the default position?


Of course the good news is that we are living longer, but hopefully that is not stressing us so much that we bring an early demise.  Moderating our expenditure and expectations, achieving work-life balance and retirement plans is necessary for everyone.


 


AcctWeb


 


 


 


 




12th-September-2015