Thursday, 29 November 2012

Low interest rates might affect retirees

Today’s retirees had planned for the future but many did not expect the low interest rates of current cash deposits.

The global financial crisis of 2008 spurred many retirees to move their investments to cash and lock in rates. Now, three years later, many retirees face term deposits with significantly lower cash rates that are projected to fall even further in the coming year.

The last thing a retiree should do is to chase the next ‘hot’ asset in hopes of rebuilding income. An experienced financial advisor can help retirees invest for income through a diversified and balanced portfolio.

Read more here: http://retirementplanningperth.net.au/retirees-under-pressure-with-lowering-interest-rates/

Thursday, 25 October 2012

Investing in Property using Your SMSF


Having full control over your superannuation is only one advantage of self managed super funds.

Being able to borrow money through your SMSF and investing in property is another one.

Having a mixed portfolio within your superannuation is important and investment properties should be a part of it.

Paul Baggetta has recently written an excellent article which points out not only the possibilities of property investment through your self managed super fund but also the provisions and why you should discuss this with a professional accountant that knows the ins and outs.

You can find the article here:

ATO targeting SMSF's

Self Managed Superannuation Funds are becoming more and more popular. And that for a good reason.

Using a SMSF people can take control of their retirement funds and even use it to invest in property.

With the growth of SMSF, the ATO is about to target the funds trustees.

You can read more about this here:

Taking control of your Cash Flow


The term Cash Flow is used by so many people these days, but do you really know what it means and why it is so important to be in control of it (all the time!).

Most businesses that get into cash flow trouble do so because they don't spend any time in managing it. Cash flow statements are designed to forecast when and what you have to pay and how much money you can expect to have available at that time.

To learn more about cash flow management read this article written by Paul Baggetta:

Business Advice and why it is important

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Most small to medium business owners think that getting business advice from a specialised accountant is merely about the numbers.

It's not!

Sure, numbers play an important role within the business but there are so many more things to look out for. That's were professional advice can make the difference between success and failure.

Other important areas include such things as systems and procedures as well as staff stability.

For more information read the following article: Business Advice is Not just about the Numbers

Tax Audits: How the Taxation Office uses Benchmarks


It's no secret that the ATO uses benchmarks to check up on businesses to figure out if the business is following their tax obligations.

Some of the benchmarks include: Rent to turnover, material costs to turnover and costs of goods sold to turnover.

The ATO will continue to add to list as they have recently done by adding: GST free sales to total sales and non-capital purchases to total sales.

To find out more read the following article about the ATO's Use of benchmarks:

Boutique vs. Big Accounting Firms


Are you looking for a business accounting firm for your small or medium business? Then you've probably come to a point where you were not sure if it might be better to hire one of the big boys or stay with a boutique but local practice.

There is no definite answer to wether the big ones are better or not. As so often in life: it depends!

Let's say your business turns over 30 or even 40 million dollars a year. In that case there is no doubt that a big accounting firm might be more suitable for you than a small one.

However, if your turnover is 10 million or below than going with a small, boutique and local accountant will have several advantages.

Paul Baggetta has written an interesting article on that topic titled: Why boutique accounting firms can be better than the big boys.