8 Sep 2017
Friday Tidbit: Bankruptcy
- Posted by Dejan Pekic BCom DipFP CFP GAICD, Senior Financial Planner
The entity vehicle that we call superannuation has many advantages.
These include disciplined savings towards retirement, low tax rate on investment earning (maximum 15%), the ability to contribute before tax income (maximum $25,000 per financial year) and the opportunity to rollover into a pension and pay nil tax on investment earnings and withdrawals (maximum $1.6 million).
These are tremendous benefits and an often forgotten advantage of superannuation is that it is also bankruptcy proof.
Creditors will take every cent that you own when things go horribly wrong financially except for your superannuation which is the only exception.
At Newealth we are always looking to support and promote our clients wherever possible and if you have any ideas or comments, please feel free to email me or to call me on +61 2 9267 2322.