There has been a massive focus on the maximum allowed in a tax-free pension of $1.6 million, but what happens if your portfolio rises in value and you exceed it? Should you worry about it?
Tag Archives | pension phase
Most people think of super access in terms of age, but when life deals a cruel blow, the rules allow members early access subject to certain conditions. It’s a valuable safety net.
After decades of intense work in financial markets, including Asia-wide responsibilities, a sabbatical walk along Spain’s Camino led to an unexpected mix of superannuation insights and dealing with death.
Most people in retirement will have three financial goals in the decumulation stage to take account of the uncertainty of health, longevity and markets, and here’s a framework to help.
Labor has been forced to exempt ‘pensioners’ from its franking credit refund policy, but the target remains the zero tax paid by large SMSFs in pension phase. That will sustain the class war.
Understanding the rules for starting an account-based pension to fund retirement income is an important part of estate planning and should be done with expert guidance.
SMSF trustees and other people with large super balances should realise there are two applications of the $1.6 million transfer balance cap, and final opportunities to grow retirement savings in the most tax-effective way.
One consequence of the proposed super changes might be that keeping money in super is no longer the best option, especially due to new anti-detriment rules. There are many unexpected consequences now surfacing.
A clear challenge for superannuation funds is improving customer loyalty as they transition from accumulation phase to pension phase. There is not enough urgency in addressing member retention at this crucial moment.
A response to Labor’s proposal to tax superannuation earnings of more than $75,000 during retirement phase from a former Assistant Deputy Commissioner for the ATO who has seen it all before.