Amazingly, SMSF pensioners invested in Australian shares will be much worse off under the Labor franking policy than in the ‘bad old days’ when their pensions were taxed.
Tag Archives | superannuation
Many commentators are assuming all industry and retail funds can utilise their franking credit refunds, but a case-by-case check is required. Plus hard words from a cranky reader.
The Labor franking credit proposal creates a group of people who count franking credits as taxable income, and another group that doesn’t. A basic principle of tax should be horizontal equity between investment structures.
It sounds arcane but it could be costly. For the first time, about 44,000 individuals will receive their first Division 293 notice early in 2019, and it will surprise many.
Where once it was difficult to differentiate between the superannuation policies of the two major political parties, the 2019 Federal Election will deliver some stark choices for voters.
One person’s unjust retrospective policy change is another’s overdue and necessary reform. Did people objecting about unfavourable policy retrospectivity complain when they benefitted from a retrospective change?
A significant compliance breach can materially affect the tax effectiveness of your SMSF, so check you are complying with these seven steps and stay on top of the administration and obligations.
Depending on the type of fund you use and whether you pay for advice, there is a large difference in the size of fees. It might be worth paying for extras but choose the fund and advice level that suits you.
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?
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.
In considering whether setting up an SMSF is the right decision for you, weigh up compliance obligations and cost with the main advantages SMSFs offer over other super funds. The 6 key positives are enumerated here.
APRA’s letter to super funds highlights concerns about ‘cash’ investments. A lack of understanding might haunt investors when the next downturn comes as too many people forsake protection for yield.
Garry Weaven was instrumental in the development of the industry fund movement, and as Chair of IFM Investors, he outlined his five areas of future investment potential and policy in his address to the AIST Conference.
Claims that zero tax rates on superannuation pension funds are a rort are misinformed because they ignore the taxes paid to put money into super, and the social contract that super was designed for.