Glenorchy Gazette JUNE 2022 19
A FINANCIAL MOMENT MCMF opens new Tasmanian office
THE Murdoch Clarke Mortgage Fund (MCMF) was established in 2000 as a pooled mortgage fund managed investment scheme to succeed the mortgage fund operated by the respected Tasmanian legal firm Murdoch Clarke for more than 100 years. The business is now looking to the future, with the opening of its Launceston office and a refreshed brand identity. Offering a wellestablished, wellperforming Tasmanian fund for investors and a trusted lending facility at affordable interest rates for borrowers, the fund has grown significantly – especially in the past three years, as the fund’s investor pool increased by more than 60 per cent to over $355
MCMF client and entrepreneur Andrew Langmaid
million. MCMF places great value on its personal relationships with its clients, and is proud to help Tasmanians achieve their dreams and ambitions. “That’s where it becomes really rewarding – and it’s so different to other mortgage funds and banks,” MCMF Manager Ben Wallace said. “We seek to create a better Tasmania, building a legacy that will last for generations. “As a business that has already assisted many generations of Tasmanians, we aim to continue this tradition creating opportunity and progress that will better our community and create impact on a statewide level.
“MCMF continues to consolidate its position as an innovative mortgage fund, wholly committed to supporting the growth of the Tasmanian community. As the state’s economy continues its upward trajectory, MCMF aims to remain an integral part.” MCMF’s refreshed brand identity has recently launched, with a multi-channel campaign including an updated logo, social media, outdoor advertising, and a press and print campaign set to highlight some of Tasmania’s small business success stories. The launch seeks to position the firm as a catalyst that creates true opportunities – for individuals, for businesses, and for Tasmania.
EOFY savvy super strategies Damian Gibson, Partner and Financial Advisor, Elevate Wealth* WITH the end of another financial year fast approaching, it’s time to get your finances in order. It is also a great opportunity to use your super to boost your wealth and save money on tax. Here we will discuss some smart super strategies to consider before the end of the financial year.
Tax-deductible super contributions
If you contribute some of your after-tax income or savings into super, you may be eligible to claim a tax deduction. This means you will reduce your taxable income for this financial year, potentially pay less tax, and boost your super balance all at the same time. The contribution is generally taxed at 15 per cent in the fund. Depending on your circumstances, this rate may be lower compared to your marginal tax rate, which could be up to 47 per cent (including Medicare). Therefore, you could save up to 32 per cent in tax. Once you’ve made the contribution you will need to notify your super fund of your intention
to claim the contribution as a tax deduction by completing a Notice of Intent to Claim form. You then need to ensure you receive an acknowledgement from your super fund before you complete your tax return, start a pension, withdraw or rollover your super. It is important to be aware that personal deductible contributions count towards the concessional contribution cap, which is $27,500 for the 2021/22 financial year.
Convert your personal savings into super savings
Another way to invest more in your super is to use some of your aftertax income or savings to make a personal non-concessional contribution. Although these contributions do not reduce your taxable income for the year, you can still benefit from the low tax rate of up to 15 per cent that is paid in super on investment earnings. This tax rate may be lower than what you would pay if you held the money in other investments outside super. Before you consider this strategy, ensure the contribution does not push you over the non concessional contribution cap, which is $110,000
in 2021/22, or up to $330,000 if you meet certain conditions.
Top-up your super with help from the Government
If you earn less than $56,112 in the 2021/22 financial year, and at least 10 per cent of that income is from your job or a business, you may consider making an aftertax super contribution. If you do, the Government will make a ‘co-contribution’ of up to $500 into your super account. The maximum cocontribution is available if you contribute $1,000 and earn $41,112 per year or less. You will receive a reduced amount if you contribute less than $1,000 and/or earn between $41,112 and $56,112.
Boost your spouse’s super and reduce your tax
If your spouse is not working or earns a low income, you may want to consider making an aftertax contribution to their super account. This strategy could potentially benefit you both, as your spouse’s super account gets a boost and you could qualify for a tax offset of up to $540. You are eligible to get the full offset if you contribute $3,000 and your spouse earns
$37,000 or less, which includes their assessable income, reportable fringe benefits and reportable employer super contributions. If you contribute less than $3,000, and/or your spouse earns between $37,000 and $40,000, the tax offset available will be reduced. There is no doubt that superannuation is one of the most effective ways to save for your retirement. Employing some of these strategies before you retire can have a really positive impact on your super balance, while also saving you money now. Before making any contributions to your super it is important you understand all the associated rules, benefits and consequences, to ensure it’s right for you. A financial adviser will be able to guide you through these strategies and give you confidence in your decision making.
Information in this article is of a general nature only and has not been tailored to your personal circumstances. Information in this article reflects our understanding of relevant regulatory requirements and laws etc as at the date of issue, which may be subject to change. Please seek personal advice prior to acting on this information.
Damian Gibson of Elevate Wealth
