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Superannuation and Retirement Planning

Discussion in 'Financial Planning Study Group' started by TGUN, 23rd Feb, 2010.

  1. TGUN

    TGUN Member

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    Hey guys,

    Anyone doing there last module of their DFP?

    T :)
     
  2. study

    study Member

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    hi,

    yep. I am doing the assignment now. Fine with qu's 1- 5, but plodding along with q 6. Not too sure of what to include and in how much detail.

    Jeremy
     
  3. TGUN

    TGUN Member

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    Hey,

    I forgot about this site haha
    but i have hit a wall (maybe a lack of motivation).
    i'm stuck on q5, i don't know where the start on the strategy.
    she is in the lower tax bracket so how will a TTR benefit her?
    :confused:
     
  4. AsxBroker

    AsxBroker Well-Known Member

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    What's the tax rate of the allocated pension? (Ie, what tax is paid on the funds INSIDE the allocated pension?). This should help you out.
     
  5. TGUN

    TGUN Member

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    15% ??
    but thats what she pays on her employment income anyway...
     
  6. AsxBroker

    AsxBroker Well-Known Member

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    Hi Tgun,

    It's time for you to hit the books and look up the answer.
    Inside superannuation accumulation the tax is 10% to 15%.
    Look up the tax rate inside an allocated pension (ie, superannuation in pension phase).

    Cheers,

    Dan
     
  7. TGUN

    TGUN Member

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    Hey Jeremy,

    What 2 strategies did you usein Q 5?

    T :)
     
  8. plan

    plan Active Member

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    Hi

    For those who have done Q5, did you include Richard's salary $57K and his $19K retirement package when calculating the income/assets test?

    Can anyone mention which two strategies they used to reduce the couple's income/assets?

    Thanks
     
  9. TGUN

    TGUN Member

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    Hey,

    I am stuck on this question too but i followed the case study at the end of the chapter.
    I took it as if they were both retired so only income was from bank account, cmt and shares.
    I'm not sure if this is right though. ??

    I have no clue about the 2 strategies either. :(

    T
     
  10. plan

    plan Active Member

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    Read through it and we do need to include B's salary as she is still earning, and R benefits from it.
     
  11. TGUN

    TGUN Member

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  12. plan

    plan Active Member

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    That's a good site.

    With Q1, do you use 30% as Richard's MTR when calculating the tax treatment of the options available to him? ie. do you include his salary to take him to the 30% MTR?

    How did you calculate it i.e. multiply the amount by 30% and for super 15%?

    Thanks
     
  13. TGUN

    TGUN Member

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    Annual leave and long service leave can't be rolled into super.
    So you could roll the loyalty bonus of $4000 into super which will be taxed at 15% and then the remaining $15000 will be taxed at his tax rate of 30% therefore $10 500 in his pocket.
     
  14. plan

    plan Active Member

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    Can Richard take his whole superannuation as a tax free lumpsum (now that he has retired) and gift/transfer that to Bernie, and she can put that into her Super as a non-concessional component???
     
  15. TGUN

    TGUN Member

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    Yes he can withdrawl the full amount taxc free and contribute non-concessm into her super.

    i rolled all available cash except 25k (clients goal) into her super. she exceeds the cap but not the 3yr rule.

    now im confused as to working out his age pension.
    which formula do i use?
    none of the examples include if one person was working so i dont know where to add in B's salary. sooo confuuusing :S
     
  16. plan

    plan Active Member

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    there is an example for both in the book under the assets test and income test. Either example of formula - couple but where only one is working
     
  17. TGUN

    TGUN Member

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    Centerelink with income stream??

    Do i count B's income and account based pension income together when calculating assessable income?
     
  18. TGUN

    TGUN Member

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    account based pension meaning for R - to cover the income gap for the 3years B is still working