Financial Solutions In Your 40s
If you are thinking about getting financial advice in your 40s, you will no doubt feel that life has become more complicated.
Financial responsibilities have increased and it’s seemingly impossible to look beyond the here and now. The credit trap is easy to fall into and the rat race makes it hard to see the forest for the trees. Who is ensuring you are making optimal financial decisions for the present and the future?
Life can be unpredictable and so it’s important to have a plan in place for any unforeseen circumstances that may arise, such as changes in employment, changes in family circumstances or health issues.
As your income grows, tax minimisation is increasingly important as is managing your superannuation carefully to adequately provide for your future. This stage of life usually involves raising and educating a family and buying a home. Income and family protection is critical to ensure against unforeseen circumstances.
Do you have a back-up plan in place in case you lose your job? Being made redundant is not something that you think about happening, and it can come at the worst and least expected times.
Consulting with an Axios Financial Planner when you are employed means you can plan in advance in case you are made redundant. If you have already been made redundant, you can receive financial advice on how to deal with the loss of income and still meet your financial requirements.
How we can help
High levels of debt
Budgeting, refinancing and saving strategies
Changes in employment
Planning for the future
Investment and wealth creation
Providing for your parents or children
Greg and Samantha Case Study
Greg and Samantha came to Axios Financial when there were both 45 and 43 years of age respectively. Greg owned a very successful and profitable business in the IT industry and Samantha worked in the business as well.
Over the years, they both accumulated a very healthy superannuation balance as they had the financial capacity to contribute the maximum amount into super each year.
They told us that even though they had a substantial amount in super at their age, they were just putting money into super because they thought it was the right thing to do without any direction or real purpose.
We discussed Greg and Samantha’s lifestyle requirements in details, their retirement goals and how Greg’s business operated. We learnt that Greg was renting the premises his business operated from and that it suited his long-term needs. Greg was aware that his landlord was open to selling this property.
We implemented a strategy where they established their own Self Managed Super Fund (SMSF) and used the money in the super fund to purchase the property. Greg and Samantha’s SMSF owns the property where they operate the business. The major benefit being that the rental income Greg was paying to his previous landlord is now being directed into his own SMSF.
The rental income plus their own personal contributions, as employees of their own business goes into the SMSF. Because of this, they are on track to have the option of retiring in around 12 year’s time, in their late 50’s.
At that time, they can decide whether to sell the property, which is potentially capital gains tax-free or retain the property with a tenant paying rent. Knowing Greg, he enjoys his work too much and will probably work longer however he now has options and a very comfortable retirement to look forward to.
The information provided is of a general nature and does not take into account your personal needs and financial circumstances. You should consider the appropriateness of the advice, having regard to your objectives, financial situation and needs.
For specialist advice from award winning financial planners, contact Axios Financial Solutions. As a referall based business, we appreciate your referrals to family and friends.