Tax on Income from Overseas Investments

Do you earn income from overseas investments? The Australian Taxation Office is targeting Australian taxpayers who are not declaring their earnings from overseas investments. Generally speaking, an Australian resident taxpayer is taxed on his or her worldwide income, regardless whether that same income is taxed overseas. Typically foreign income includes income earned on overseas investments, […]

Diversification, Asset Classes, and Your SMSF

Do you have a Self Managed Superannuation Fund? Are you one of the 17,700 trustees who have received a letter from the ATO questioning the asset diversification of your fund? The ATO has sent a letter to 17,700 trustees of Self-Managed Superannuation Funds (SMSF) questioning whether the assets within the Superannuation fund are too concentrated […]

How does your net wealth compare to other Australians

The Australian Bureau of Statistics (ABS) released the results of their 2017/2018 Income and Housing Survey. This survey measures household wealth by adding up all the assets owned by the household and subtracting all debts. In summary the key finding were: the average household wealth is $1.02 million the average household wealth has increased by […]

What to look for when choosing a financial planner

Based on an ABC report, almost 50% of Australian adults have unmet financial advice needs. More Australians need financial planning assistance but they are unsure how to select a prudent financial planner, particularly after the finding of the recent Bank Royal Commission. A good financial planner should be able to help you achieve your financial […]

5 Behavioural Biases that Affect Your Investment Decisions

There are five typical behavioural biases when making financial decisions. They include; 1. Overconfidence. The overconfident trait is developed when we make an investment in say shares or property and these shares or property increase in value by more than we anticipated. We did nothing other than buy the investment. We feel very confident, so […]

What are franking credits, and how do they affect retirement income?

Franking Credits, Refunds and the effect on retiree pensions There has been much publicity about Labor’s announcement of its policy to scrap franking credit cash refunds. To understand ‘franking credits’ we need to go back to the ‘imputation system’ introduced by the Hawke-Keating Labor Government in 1987. The purpose for the introduction of this legislation […]