PROPERTY IN SUPER
SUPERANNUATION – IT’S YOUR MONEY. ARE YOU LOOKING TO CONTROL YOUR SUPERANNUATION AS YOU’RE UNHAPPY WITH YOUR INDUSTRY OR RETAIL SUPER FUND RETURNING CONSISTENTLY POOR OR NEGATIVE RETURNS? Like many other Australians, you now have more options in regards to superannuation through a Self Managed Super Fund (SMSF). Changes to super legislation now allow SMSF’s to borrow to invest in residential real estate. What if you could utilise these changes to put a deposit on a property that you could either retire in to or sell in retirement and buy your dream home? Remember, you can sell your investments and pay no Capital Gains Tax in pension phase. If you’re still worried about the tax paid for contributions to your Super fund then you’re missing the whole point of the superannuation system that we currently live in. It is this: If you keep your wealth inside the superannuation system, when it comes time to retire, most people will be able to live tax free for the rest of their lives. Due to our current cost of living as well as the cost of buying a home in Australia, many people are starting to implement a strategy which involves purchasing multiple investment properties in a Self Managed Super Fund with the intention of living in one of them after retirement. With no tax to pay. Direct investment in property has traditionally been restricted to those with really big bucks in super or those borrowing to invest outside of super. Setting up a SMSF could be a solution. An average couple with $120,000 combined in Super and joint incomes of $120,000 a year can purchase a property up to $320,000. If the same property is held within a super fund, the tax can be reduced to zero if the property is sold after the Super switches to pension phase. The alternative; if you buy an investment property the conventional way and sell it to fund your retirement then the capital gains tax could amount to many tens of thousands of dollars. Where to start? There are lots of things to consider when looking for something to invest in. How long will it be before you want income from the investment? Will you be able to sleep at night, knowing your money is tied up in a particular strategy? It is important that you use an experienced Self Managed Super Fund adviser and seek professional, experienced financial advice before deciding on any investment decisions. Contact Integra Investment Property for a free, no obligation appointment and find out why buying an investment property through your Self Managed Super Fund could be the right decision for you. For more information contact Randall Zahner 0403 671 712 or Tim Shapter ADV DIP FS (FP) Cert IV FS (MB) Accredited SMSF Specialist 1300 761 685
98 DUO INVESTOR’S GUIDE TO TOWNSVILLE
Published on May 31, 2013
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