We would all prefer not to think about illness, injury or death. However, putting in place the appropriate insurance can provide you and your family with peace of mind and help protect against the 'what ifs.'
In Norse mythology, the story of Idunn stands out as a tale of really bad asset-management by the gods. Some consider it never a good idea to store your most critical and valuable possessions in a single asset for too long. “Don’t keep all your eggs in the same basket” is a truism for a good reason.
We can arguable say that following the 2017/18 Federal Budget there was speculation that first home buyers had no hope, particularly in the Sydney property market.
According to the latest data from Australian Bureau of Statistics (ABS), stamp duty incentives in New South Wales and Victoria have supported jumps of 55 per cent and 35 per cent respectively in the value of first home buyer commitments in just two months.
The pursuit of a hobby by an individual may be to supplement wages, create income after having lost a job, test the waters for a new commercial venture or simply follow a passion. The pursuit of a hobby is not the same as carrying on a business for taxation purposes, which means that money derived from a hobby is not income and therefore is not assessable. Conversely, hobby expenditure is not tax deductible.
The demand for mortgage broker services has continued to rise over the last couple of years with now well over 50% of residential mortgages being written through the third-party channel. That number is even higher when it comes to property investors, due to the ongoing regulatory changes and tightening of credit regarding investor lending.
With fire season upon us, it is important to make sure your insurance cover is up to date and that you are not underinsured.
There was a time when cyber security was a term familiar only to technology professionals. That time has long gone. Today, cyber security is a real issue for everyone, regardless of whether you are an individual or a large multi-national company. Alarmingly, experience is telling us that cybercrime will continue to be a permanent risk to our personal security and looks to be a long term issue facing modern society.
It can seem like a daunting task when you begin the process of putting a proper insurance protection strategy in place for your family. With information coming from so many different sources about personal insurance – the TV, super funds, your well-meaning friends and family - it can be confusing to know where to start and what information you should listen to.
I met with Steve and Tracey in 2010 to review their personal insurance policies. They were existing Business Services clients at the time. They operated a business in the civil and construction industry, which was going through an expansion phase, launching interstate.
There have been numerous destructive weather events around the country this year, and this has once again put the spotlight on the insurance industry. While the media has criticised some insurers for their slow response and lack of care, there is one thing that many policyholders are thankful for – their broker.
In a surprise announcement earlier this year, the Federal Government extended Australia’s foreign resident capital gains tax (CGT) regime by denying foreign and temporary tax residents access to the CGT main residence exemption.
The vesting date is defined in the trust deed as the date on which the trust will conclude, and the entitlements to trust capital and the income therefrom will crystalise.
For a household’s main income earner, having children is the number one catalyst for purchasing a life insurance policy. The reasons are clear; without their main income stream, how would the family feed the children, pay the mortgage or pay off the car?
The Australian Taxation Office (ATO) has recently released Taxation Ruling 2017/D6, setting out the ATO’s updated guidelines regarding when an employee can claim a tax deduction for their travel expenses and the Fringe Benefits Tax (FBT) implications of these expenses.
The lack of transparency in the current home loan market, complicated pricing arrangements and the ever changing policies around investment lending, makes deciding on the right home loan more difficult than ever before.
Every time you go to the bank to borrow money, the bank takes out an insurance policy on you.
By taking out what is known as a “Loan to Value” margin on what the property is worth versus what they are prepared to lend you the bank is taking out their form of “Risk Insurance”.
As Tax Advisors we are often asked to provide advice to business owners who are wanting to incentivise key staff. Whilst this is most likely a clear reward and recognition strategy, it is important to ensure that these employees are completely aligned with the goals of the owners.
In 1952, Harry Markowitz wrote an essay titled “Portfolio Selection” that became the basis for Modern Portfolio Theory (MPT). The concept behind MPT is that the assets in an investment portfolio should not be selected individually. Rather, it is important to consider how each asset changes in price relative to how every other asset in the portfolio changes in price.
As we move forward into the technological revolution and continue to receive services and products in dynamic and innovative ways, it’s important to also realise that technology is extending our lives like never before. A bi-product of extended life expectancies, although sometimes forgotten, is the increase of intergenerational risk that family units may be exposed to.
Being contrarian is not a simple mathematical formula. Nor does it guarantee success, which is why value investing is not more popular. Instead it requires a detailed knowledge of how a company and its industry works so you can handicap what expectations are priced into its stock and act accordingly.