Securing a comfortable retirement through smart and effective SMSF planning.
Background
A 55-year-old couple wanted to invest in two cash positive properties with a view of retiring at the age of 65. High income earners, the client had a deposit of $600,000 from the sale of an overseas property, and a number of additional assets and properties in their names, so they are looking for an SMSF accountant to help them set the right strategies for their estate plans.
Before engaging Nav Accountants, the client had presented an offer for the properties and were keen to buy. However, it was identified that by investing in their own names they would be left exposed to the risks of asset protection – and be subjected to 49% tax on their income from the properties and pay any future capital gains.
Solution
When Nav Accountants came on board, our first action was to conduct a thorough review of our client’s situation. Understanding their retirement plan and knowing how important it was to have the right investment structure in place, we recommended they set up a self-managed super fund (SMSF) and each contribute $300,000 to the fund under the ATO’s carry forward rule – but retain the properties under their SMSF.
Outcome
By setting up our client with a SMSF, the outcome has been very much in their favour. They will only be required to pay 15% tax on the income from their properties and $0 tax when they reach their planned retirement ages of 65 years.
Our client was extremely satisfied with this plan of attack and have peace of mind knowing that their financial future is in safe hands.
An SMSF accountant can greatly help in setting up the right strategies to secure your wealth and all your assets are protected from risks.
If you’re thinking about your retirement and deciding if a SMSF could be the right option for your personal situation, contact the team at Nav Accountants today and arrange your initial consultation.
We are SMSF accountant experts and ready to support you.
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