Here, our financial experts take a close look at what’s happening in the world of finance.
We uncomplicate breaking announcements from the Reserve Bank of Australia (RBA), the Australian Taxation Office (ATO), the Australian Securities and Investments Commission (ASIC) and the Federal and State Governments so you can understand how those changes will impact you, your family or your business.
If you’re wanting to stay up-to-date on topics such as interest rates, tax planning, superannuation, the Federal Budget, incentives and schemes, HELP debt, deductions, concessions, depreciation, investment properties and much more, this is where you’ll find the answers.
Knight is with you every step of the way as you strive for financial success. If you’d like some additional information regarding any financial news, please reach out for a consultation to plan your next step.
NKH Knight welcomes its newest Executive
We are delighted to announce the appointment of our newest Director to Knight Financial Advisors, Peter Farlie. Peter joined Knight Financial Advisors in March 2006 after spending 3 years working as a Paraplanner in Melbourne, a role which provided him with a very strong technical understanding of strategies for high net worth clients. Shortly after joining KFA, Peter progressed to the role of Financial Advisor, providing highly personalised wealth creation and risk protection strategies for his clients. Peter has a particular
Simon Headon celebrates 25 years
This month one of our long standing Directors, Simon Headon, celebrated his 25th year as an employee of NKH Knight. Simon joined the team as a budding junior accountant in 1988 and over the last 25 years has risen through the ranks to the most senior levels while at the same time becoming a major equity holder. Over this time Simon has endured the ups and downs of the economy with his clients, the introduction of the GST and a
Setting a retirement target
The most popular question we get from those planning their retirement is ‘How much money is enough?’ From experience I know that when people ask this question what they really want to know is how much they will need to maintain their current lifestyle. So how much is enough? For an average couple to live a comfortable life in retirement they will need income after tax of around $56,000 per annum. A single person will need $41,000 per annum after
Where has my interest gone?
With some of the recent economic uncertainty settling down abroad and with our super funds returning double digit returns it is interesting to see battle weary investors continue to seek investment safety in the form of cash. The hoarding of cash is common however as interest rates have been falling (and along with it cash and term deposit rates) many retirees will need to reassess their strategy as they search for a reasonable income on their investments. What happens
Boosting your retirement income
With interest rates at extremely low levels one of the major issues facing retirees is how best to generate enough income from their investments to meet living costs. Term deposit rates will soon have a ‘3’ in front of them so how can we invest and receive a reasonable yield. The gross dividend yield for the share market has fallen to around 6.5% from 8% 6 months ago. Term deposit rates are now likely to fall under 4% and the
Borrowing strategies for a SMSF
SMSF members wanting to expand their investment portfolio are able to borrow money through their SMSF to purchase these assets. Assets available to an SMSF include business real property, as well as shares and managed funds – however the usual superannuation rules continue to apply where the fund is purchasing an asset from a related party. Some SMSF borrowing strategies There are a number of strategies that enable individuals to take advantage of the rules. Increasing the asset base. Contributions rules
Year End Tips for Business Owners
Fixed assets Review fixed assets useful life and determine if there are any benefits in scrapping or trading in assets. Write off obsolete inventory The year end stock-take should involve a review of all inventory. Obsolete stock may be scrapped or valued below cost subject to specific guidelines. Small business CGT concessions Individuals operating a small business may be eligible for CGT concessions on the sale of business assets. Capital expenditure vs repairs Review all spending during the year to
New super changes
The government recently proposed significant changes to superannuation which are far reaching and intended to make the superannuation system more sustainable, efficient and equitable. Although the new changes may not be passed until the next parliamentary sitting, it is worth being prepared if they do come into effect later this year. The changes include: Limiting tax exemption on super income streams The government proposes to limit earnings that support a pension, such as dividends and interest to $100,000 from 1
SMSF member insurance
Following changes to the SMSF sector as part of the government’s Stronger Super review measures, SMSF trustees are now required by law to consider the need for insurance cover for members, such as life or disability insurance. Considering insurance for one or more of its members will come under the SMSFs broader investment strategy, which trustees will need to ‘regularly review’, taking into account the changes in circumstances of the fund and its members. The new legislation does not require
