1 July 2020: Change in the new financial year

1 July 2020: Change in the new financial year

Change has the potential to impact our financial situation, goals and objectives. When this occurs, it’s important to assess the relevance and potential impact—then plan and act accordingly.

A new financial year can mean change—thresholds and rates can increase (or decrease), and legislation can take effect.

Below is a summary of the most notable changes occurring from 1 July 2020 across superannuation, employment, social security and taxation. For a full write up of all changes, please see the original article posted on The Wealth Mentoring Group’s Financial Knowledge Centre on 14 July 2020. Continue reading “1 July 2020: Change in the new financial year”

What is a Power of Attorney?

There are different types of Powers of Attorney you can nominate, but the two main ones are a Medical Power of Attorney (also known as a guardianship) and an Enduring Power of Attorney. A Medical Power of Attorney gives another person authority to make decisions about your medical treatment if you’re not physically or mentally able to choose for yourself. An Enduring Power of Attorney (PoA), gives someone the legal authority to manage your financial affairs when you’re unable to do so.

Why would I need a Power of Attorney?

Having a PoA organised is important in case you lose capacity make decisions about your finances through medical reasons, such as age, injury or illness. It can also be worthwhile to organise a PoA if you plan on living or travelling overseas for an extended period of time. Continue reading “What is a Power of Attorney?”

SMSFs: Are they for you?

Self-managed superannuation funds (SMSFs) continue to be popular amongst many investors but ASIC has warned the individuals need to be aware of the potential downside to establishing an SMSF that may be inappropriate for their circumstances.

ASIC Commissioner Danielle Press said:

‘SMSFs may be an attractive option for investors wanting more control over their superannuation investment strategy, but it requires real skill, care and diligence to manage your own superannuation. SMSFs are not for everyone simply because not everyone can meet the significant time, costs, risks and obligations associated with establishing and running one.’

Continue reading “SMSFs: Are they for you?”

1 July 2019: New financial year, new state of play

It’s a new financial year, which means changes in rates and thresholds, as well as changes in legislation. This article focuses on the stay of play from 1 July 2019, with particular emphasis on three key personal finance areas: employment, social security, and superannuation.

1 July 2019: New financial year, new state of play

You can arm yourself with the most up-to-date financial knowledge, by accessing more interesting articles, facts and calculators, through our Financial Knowledge Centre!




Raquel Netto wins the “Gwen Fletcher Memorial Award”

Raquel (w jacket sml)We are thrilled to announce that our very own Raquel Netto has just been awarded the highly prestigious Gwen Fletcher Memorial Award! This award recognises the highest performing student in the first semester of the CFP® Certification Program, which Raquel has recently completed. Raquel was delighted to receive this award, explaining:

“It’s an honour to receive the Gwen Fletcher Memorial Award in recognition of the study and effort I’ve put in to complete the CFP® Certification Program.”

The award honours the memory of Gwen Fletcher (1919-2014), the “First Lady of Financial Planning” as she was known, a champion for the importance of education and its central importance in nurturing the financial planning profession.

The CFP® designation is the only financial planning designation recognised globally. It is a symbol borne by financial planners actively committed through higher education and accountability to adhering to world class professional and ethical standards.

We are so proud of Raquel and given her work ethic, we are not surprised to see her achieve this accolade. We are confident that this award reflects the values and expertise of the entire Wealth Mentoring Group – we are committed to offering our clients the highest quality advice and service!

For a full run down see the following articles:

Money Management

Financial Planning Association of Australia

Great Ocean and Otway Classic Ride

Inspired by his recent forays into triathlon, Forbes set out to conquer this year’s Great Ocean & Otway Classic Ride in April. He took on the tough 60kms event, which winds through the “undulating” and iconic Great Ocean Road.

Forbes has embraced his newfound passion with gusto, and it’s safe to say completing this course would not have been possible without plenty of well planned training sessions. He reports having a wonderful day out, with perhaps more particular enjoyment of the downhill sections.

The team at The Wealth Mentoring Group are immensely proud of his efforts and can’t wait to see what the next challenge is going to be! We think Forbes has proved, once again, that planning is the key to success!

2019-20 Federal Budget – A ‘Back in Black, Pre-Election’ Budget

There have been many unofficial catchphrases making the rounds with regards to the 2019-20 Federal Budget such as Pre-Election Budget, Back in Black, Budgeting for a Miracle, and Pre-Poll Cash Splash.

This being said, the 2019-20 Federal Budget is being officially referred to by the Government as a ‘Stronger Economy, Better Future for Australians’.

With this in mind, the Federal Budget priorities, and subsequent proposed measures, primarily focus on delivering in the following areas:

  • a better tax system
  • investing in economic and community infrastructure
  • delivering skills for today and tomorrow
  • guaranteeing essential services
  • restoring trust in the financial system

Below we have provided you with an article that covers the main proposed measures that may be relevant to you and your personal finance, as well as three videos that may be of interest if you want to know more.

Please contact us if you wish to discuss any aspect of this year’s Federal Budget or how it may affect you.

2019 Budget: The ‘Back in Black, Pre-Election’ Proposed Measures

Treasurer Josh Frydenberg delivered the 2019-20 Federal Budget on 2 April 2019. We provide you with a summary of the main proposed measures that may be relevant to you and your personal finances.

Read More

2019 Budget: Guardian Australia and the Political Context

Guardian Australia’s political editor Katharine Murphy highlights the political context of the 2019-20 Federal Budget, given the Government’s wish to hand it down before the next election.

Launch Video

2019 Budget: ABC and Key Numbers Explained

As a result of the proposed measures that have come out of Treasurer Josh Frydenberg’s 2019-20 Federal Budget, ABC’s national affairs correspondent Greg Jennett explains the key numbers.

Launch Video

2019 Budget: PwC and the ‘Prudence Prevails’ Budget

PwC’s chief economist Jeremy Thorpe discusses his thoughts on the 2019-20 Federal Budget, “Prudence prevails in this budget, but with challenges around low wage growth there’s a lot more to do.”

Launch Video

Australian Corporate Triathlon – The Return

After all the fun of last year, the team decided we had no choice but to once again tackle the Australian Corporate Triathlon! We competed again in the relay event, each team member completing a 400m ocean swim, 10km road cycle or 4km run leg. And this year we also expanded, to include a partners team!

Melbourne turned on an exceptionally hot Autumn day for us, with the temperature rapidly climbing up into the 30s, so just getting to the start line took some doing (especially for those of us with a young “cheer squad” in tow!). Competition between the teams was fierce, with the addition of the partners’ team only stoking the fire, but it was fantastic to see everyone stepping up and putting in their all. It was a wonderful day out, working with our team towards new challenges and new goals. Who knows what 2020 will bring?!

We love bringing the same team energy towards everything we do, working with our clients to achieve their goals too!

A Note on the Royal Commission

Over the last year or so, there has been much attention centred on the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

The central task of the Royal Commission was to inquire into, and report on, whether any conduct of financial services entities might have amounted to misconduct and whether any conduct, practices, behaviour or business activities by those entities fell below community standards and expectations.

We acknowledge that the findings that have been laid bare may have raised concerns for some of our clients. This is an understandable response given the nature of the findings.
Continue reading “A Note on the Royal Commission”

Seven Lessons from the Global Financial Crisis for Investors

The Global Financial Crisis was the worst financial crisis since the Great Depression, resulting in banks freezing lending, financial institutes requiring rescue and 50% plus share market falls.  As we enter the tenth anniversary of the GFC, Dr. Shane Oliver reflects on the key lessons for investors from the GFC:

  • The inevitability of cycles: long periods of good growth, low inflations and great returns are always followed by something going wrong.
  • While each cycle is different, markets are pushed to extremes of valuation and sentiment. Patient investors could be provided with opportunities here.
  • Higher returns come with higher risk. Risks may not be immediately apparent, but will invariably make their appearance at some point.
  • Be sceptical of financial engineering or hard-to-understand products. The GFC showed us that the biggest losses for investors were in products that no one actually understood.
  • Avoid too much gearing or gearing of the wrong sort. Gearing magnifies gains as well as losses.
  • The importance of proper diversification. While listed property trusts and hedge funds were more popular alternatives than low-yielding government bonds prior to the GFC, through the crisis they ran into big trouble, and government bonds were the star performers.
  • The importance of asset allocation. The GFC reminded everyone that what matters most to your investments is your asset mix.

You can read the full article here: Oliver’s Insights – Seven lessons from the Global Financial Crisis for investors

Dr. Shane Oliver is Head of Investment Strategy and Economics and Chief Economist at AMP Capital.