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Robson
Consulting Group
With over 26 years experience in Business
Management and personal wealth creation, Robson Consulting
Group is your "one stop shop" to all of
your Business growth and personal wealth creation
needs.
Will you be financially healthy
in 2009
The start of the year
is a great time to reflect on your achievements over
the past year and importantly focus on what you
would like to achieve in the coming year.
At this time of the
year, many people look back and reflect on what they
achieved the year before and set goals for the 12
months ahead. Most often this will be centred around
lifestyle decisions such as shedding a few kilos by
dieting or planning a holiday with family or
friends.
The start of the year
is also a time when it is just as important to
ensure we take the time to consider what we achieved
and what we would like to achieve when it comes to
our financial security.
Investment market
volatility throughout 2008 has been well documented
and the continuing uncertainty in both global and
domestic markets may mean many clients are holding
back on making decisions that can enhance their
financial security.
Financial Planning is
not just about the state of the market, regardless
of sharemarket movement there are some key areas you
should be considering as part of your goal setting
for 2009.
1. Assessing your risk
profile
What can you ‘afford
to risk’ in the short-term for higher returns,
particularly during tougher market periods, may
change dramatically with age, marriage, children,
wealth and retirement.
Therefore, it’s vital
that you review your financial strategy periodically
or as significant life events occur to take account
changes in your:
A) Time horizon
B) Income and growth
requirements
C) Ability to cope
with short-term volatility
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Accurately
interpreting these three factors can ensure healthy
balance (over time) between investment returns and
the level of risk you can afford to handle –
whatever the market conditions.
2. Ensure you have
adequate Wealth Protection
During tough economic
times, many Australians will consider letting their
existing wealth protection policies lapse in an
effort to save money. However, it is important to
remember the safety net wealth protection can
provide when either an accident or illness occurs.
It can be both an emotional and financially
stressful time when something happens to either a
loved one or business partner. One way to reduce the
emotional burden is to ensure you, your family
and/or business partner(s) have adequate insurance
in place.
Did your circumstances
change in 2008 that mean you should adjust your
current level of cover?
3. Do you have a will?
Is your will up to date?
If you don’t have an
estate plan, you have no control over where your
assets go on your death. Get organised today and
prevent leaving behind a potentially unpleasant and
messy financial legacy for your loved ones.
An estate plan
determines how your assets and liabilities will be
handled when you die. It should ensure that your
wishes are met and help secure the financial future
of your loved ones by tax-effectively passing on
your assets.
However, estate
planning is a complex issue and to lay the
foundations for a successful plan, there are several
factors your must address.
A) Ensure your will is
valid
B) Fill out a Binding
Death Nomination Form
C) Protect your assets
Reduction in the minimum annual
payment amount for the 2009 financial year
Amended regulations
which commenced on 17 March 2009 provide relief for
self-funded retirees from the minimum payment
requirement for account-based pensions. This change
is due to the impact of the downturn in global
financial markets on superannuation accounts. The
regulations reduce the minimum annual pension
payment by 50% for the 2008/09 financial year only.
For example, a self-funded retiree who is 60 years
of age is currently required during a year to draw a
minimum annual pension payment of 4% of their
account balance as at 1 July (or the account balance
as at the commencement date of the pension, if it
commenced during that year)
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