Today like no other time, thinking of your future retirement has never
been so important. Property investment, purchasing a rental property and
superannuation is a freight train to long term wealth. The below articles
are information packed with retirement investment related articles and
When Superannuation Choice of Fund (self managed superannuation)
arrived and became a choice for fund members all over Australia,
more people than ever were asking themselves if (SMSF) was for them.
Today, ordinary people are now realising that the Australian Federal
Government pension won’t give them the lifestyle they want
in the years when they are not earning an income.
Thousands upon thousands of Australian employees and employers have
billons of dollars in unclaimed or lost (superannuation) Super.
As the baby boomer generation moves from the age fifty plus age bracket
to the sixty-plus age bracket more attention is being focused on retirement
Stock markets are out of favour with many investors who have seen the
values of their portfolios, endowment policies and pension funds shrink,
whereas property has generally continued to rise in value. Interest rates
are at historically low levels and mortgage finance is readily available
on competitive terms from major banks and building societies.
A second mortgage is a loan that is secured by the home itself, and subordinate
to the first mortgage. Any mortgage taken out against a home in addition
to an already established mortgage automatically becomes a second mortgage.
As the name implies, second mortgages are secondary to first mortgages.
This means if the homeowner is forced into foreclosure, the second mortgage
holder will receive no proceeds from the sale of the home until the first
mortgage has been completely repaid.
Australians, in general, constitute some of the worst savers in the world.
Current estimates suggest that, on average, Australians save just 4% of
their income. This is less than half of the 11% estimate for Australians
in the late 1970s. In the past, pensions from taxpayers were used to provide
pensions for senior citizens upon their retirement. However, because of
the increased life expectancy of Australians coupled with the decrease
in the average number of children per household, the use of pensions,
if persisted with, will put a significant strain on the Federal Budget.
It's easy to fall for some myths about your super unless you do some clear
thinking about who is in charge. Virtually all Australian employees now
have a superannuation account, many have several, even more than they
Higher fees do not in any way correlate to higher returns. For some funds,
higher fees are introduced for additional flexibility, investment options
and services. Many retail funds will also charge higher fees to cover
the costs of advertising and marketing.
It's easy to fall for some myths about your super unless you do
some clear thinking about who is in charge. Virtually all Australian
employees now have a superannuation account, many have several,
even more than they know about.
Super choice legislation will soon give more Australians a choice
about who manages their superannuation. I hope this tale helps to
make it clear why this is important.