Retirement tips tools and strategies

Tips, tools & strategies

We all want to be comfortable in retirement. Take a look at these tips and strategies to help get your retirement savings working for you.

Transition to Retirement

Transition to Retirement is a tax effective strategy that could benefit you if you are 55 and over and still working. The strategy is a Government initiative that gives workers aged 55 or over, access to their super money. A Transition to Retirement strategy could help you with one of the following:

  • Ease into retirement by reducing your working hours but still maintain your take-home income
  • Boost your savings and maintain your income
  • Boost your take-home income.

How does Transition to Retirement work?

Super is a tax-effective environment. Provided we have your tax file number (TFN), you only pay 15% tax on the contributions you make with pre-tax income, and up to 15% tax on investment earnings. This means, instead of being taxed at your marginal tax rate which can be as high as 46.5%, you may only pay 15% when you put your salary into your super. As most people who are currently aged 55 or over can have access to their super through a Transition to Retirement pension, that money isn’t locked away until you completely retire.

A Transition to Retirement strategy also offers a range of tax and other benefits. To learn more read our Transition to Retirement fact sheet and case studies. It's also a good idea to talk to your financial adviser who can help you decide whether Transition to retirement fits with your financial situation and future plan.

Have you thought about estate planning?

While you may not want to think about making a Will or estate planning, after a lifetime of working hard and accumulating your wealth you’ll want to know that it is distributed according to your wishes. Knowing that your loved ones are taken care of after you die can be a great comfort.

Without adequate estate planning and a legal Will you can expose your family to unnecessary risks and burdens like your Will being contested, loved ones having to administer your estate or your wishes not being legally enforced.

Your financial adviser can help you plan effectively for your Will and estate. They can provide you with professional advice and strategies to make sure your estate in distributed according to your wishes.

This has been provided for general information purposes only. It does not purport to recommend any particular adviser or provide you with financial advice. In addition to seeking financial advice, potential investors must always read the Product Disclosure Statement for the relevant product before making an investment decision.