array(1) { [0]=> &object(stdClass)#6561 (52) { ["id"]=> string(5) "17344" ["title"]=> string(132) "Could property prices inflate by another 20%? What’s happening in recent dividend announcements? Did your fund fail the YFYS test?" ["alias"]=> string(135) "could-property-prices-inflate-by-another-20-per-cent-what-s-happening-in-recent-dividend-announcements-did-your-fund-fail-the-yfys-test" ["introtext"]=> string(176) "

In this episode of The nestegg Podcast, host Maja checks in with our three experts to discuss this week’s biggest conversations about super, property and investment.

" ["fulltext"]=> string(1149) "

Steve Waters, director of Right Property Group, talks about the current market and its growth prospects, hinting at a “revenge spend” period post-lockdown. Could property prices really inflate by a further 20 per cent?

Meanwhile, RMIT’s senior lecturer of finance, Dr Angel Zhong, talks about the earning season and dividends, delving into how companies decide distribution policy. Find out what is happening in the recent dividend announcements.

Last but not least, tax and super guru Timothy Munro talks us through the results of APRA’s inaugural super test and how engaged members should really be with their super. Timothy also touches on the super splitting law and what it means for relationship breakdowns.

Have a question for our experts? Get in touch at [email protected] and you might get featured in the next episode.

" ["checked_out"]=> string(1) "0" ["checked_out_time"]=> string(19) "0000-00-00 00:00:00" ["catid"]=> string(3) "302" ["created"]=> string(19) "2021-09-07 06:13:09" ["created_by"]=> string(4) "2404" ["created_by_alias"]=> string(0) "" ["state"]=> string(1) "1" ["modified"]=> string(19) "2021-09-08 00:31:26" ["modified_by"]=> string(4) "2334" ["modified_by_name"]=> string(18) "Jerome Delossantos" ["publish_up"]=> string(19) "2021-09-07 08:01:32" ["publish_down"]=> string(19) "0000-00-00 00:00:00" ["images"]=> string(233) "{"image_intro":"images\/podcasts\/Angel_Zhong_Steve_Waters_Timothy_Munro.jpg","float_intro":"","image_intro_alt":"","image_intro_caption":"","image_fulltext":"","float_fulltext":"","image_fulltext_alt":"","image_fulltext_caption":""}" ["urls"]=> string(121) "{"urla":false,"urlatext":"","targeta":"","urlb":false,"urlbtext":"","targetb":"","urlc":false,"urlctext":"","targetc":""}" ["attribs"]=> string(855) "{"article_layout":"","show_title":"","link_titles":"","show_tags":"","show_intro":"","info_block_position":"","info_block_show_title":"","show_category":"","link_category":"","show_parent_category":"","link_parent_category":"","show_associations":"","show_author":"","link_author":"","show_create_date":"","show_modify_date":"","show_publish_date":"","show_item_navigation":"","show_icons":"","show_print_icon":"","show_email_icon":"","show_vote":"","show_hits":"","show_noauth":"","urls_position":"","alternative_readmore":"","article_page_title":"","video_url":"","channel_id":"UCLBR-2LtTtui_WiRuEfW3qA","send":"0","test":"0","comments":"1","readingDiff":"3","schema_active":"0","schema_name":"","schema_description":"","schema_thumbnailUrl":"","schema_uploadDate":"","schema_duration":"","schema_contentUrl":"","schema_embedUrl":"","canonical_link":""}" ["metadata"]=> string(68) "{"robots":"","author":"","rights":"","xreference":"","metatitle":""}" ["metakey"]=> string(101) "property, prices, inflate, cent, what’s, happening, dividend, announcements, fund, fail, yfys, test" ["metadesc"]=> string(167) "In this episode of The nestegg Podcast, host Maja checks in with our three experts to discuss this week’s biggest conversations about super, property and investment." ["access"]=> string(1) "1" ["hits"]=> string(2) "85" ["xreference"]=> string(0) "" ["featured"]=> string(1) "0" ["language"]=> string(1) "*" ["readmore"]=> string(4) "1149" ["ordering"]=> string(1) "0" ["category_title"]=> string(7) "Podcast" ["category_route"]=> string(17) "resources/podcast" ["category_access"]=> string(1) "1" ["category_alias"]=> string(7) "podcast" ["published"]=> string(1) "1" ["parents_published"]=> string(1) "1" ["lft"]=> string(2) "82" ["author"]=> string(12) "Robyn Tongol" ["author_email"]=> string(33) "[email protected]" ["parent_title"]=> string(9) "Resources" ["parent_id"]=> string(3) "300" ["parent_route"]=> string(9) "resources" ["parent_alias"]=> string(9) "resources" ["alternative_readmore"]=> NULL ["layout"]=> NULL ["params"]=> object(Joomla\Registry\Registry)#6535 (3) { ["data":protected]=> object(stdClass)#6565 (95) { ["article_layout"]=> string(14) "momentum:newne" ["show_title"]=> string(1) "1" ["link_titles"]=> string(1) "1" ["show_intro"]=> string(1) "0" ["info_block_position"]=> string(1) "0" ["info_block_show_title"]=> string(1) "1" ["show_category"]=> string(1) "1" ["link_category"]=> string(1) "1" ["show_parent_category"]=> string(1) "0" ["link_parent_category"]=> string(1) "0" ["show_associations"]=> string(1) "0" ["flags"]=> string(1) "1" ["show_author"]=> string(1) "1" ["link_author"]=> string(1) "0" ["show_create_date"]=> string(1) "0" ["show_modify_date"]=> string(1) "1" ["show_publish_date"]=> string(1) "1" ["show_item_navigation"]=> string(1) "1" ["show_vote"]=> string(1) "1" ["show_readmore"]=> string(1) "1" ["show_readmore_title"]=> string(1) "1" ["readmore_limit"]=> string(3) "100" ["show_tags"]=> string(1) "0" ["show_icons"]=> string(1) "1" ["show_print_icon"]=> string(1) "1" ["show_email_icon"]=> string(1) "1" ["show_hits"]=> string(1) "1" ["record_hits"]=> string(1) "1" ["show_noauth"]=> string(1) "0" ["urls_position"]=> string(1) "0" ["captcha"]=> string(0) "" ["show_publishing_options"]=> string(1) "1" ["show_article_options"]=> string(1) "1" ["save_history"]=> string(1) "1" ["history_limit"]=> int(10) ["show_urls_images_frontend"]=> string(1) "0" ["show_urls_images_backend"]=> string(1) "1" ["targeta"]=> int(0) ["targetb"]=> int(0) ["targetc"]=> int(0) ["float_intro"]=> string(4) "left" ["float_fulltext"]=> string(5) "right" ["category_layout"]=> string(14) "momentum:newne" ["show_category_heading_title_text"]=> string(1) "1" ["show_category_title"]=> string(1) "1" ["show_description"]=> string(1) "0" ["show_description_image"]=> string(1) "0" ["maxLevel"]=> string(2) "-1" ["show_empty_categories"]=> string(1) "0" ["show_no_articles"]=> string(1) "1" ["show_subcat_desc"]=> string(1) "1" ["show_cat_num_articles"]=> string(1) "0" ["show_cat_tags"]=> string(1) "1" ["show_base_description"]=> string(1) "1" ["maxLevelcat"]=> string(2) "-1" ["show_empty_categories_cat"]=> string(1) "0" ["show_subcat_desc_cat"]=> string(1) "1" ["show_cat_num_articles_cat"]=> string(1) "1" ["num_leading_articles"]=> string(2) "14" ["num_intro_articles"]=> string(1) "0" ["num_columns"]=> string(1) "0" ["num_links"]=> string(1) "0" ["multi_column_order"]=> string(1) "0" ["show_subcategory_content"]=> string(2) "-1" ["show_pagination_limit"]=> string(1) "0" ["filter_field"]=> string(4) "hide" ["show_headings"]=> string(1) "1" ["list_show_date"]=> string(9) "published" ["date_format"]=> string(0) "" ["list_show_hits"]=> string(1) "0" ["list_show_author"]=> string(1) "1" ["orderby_pri"]=> string(4) "none" ["orderby_sec"]=> string(5) "rdate" ["order_date"]=> string(9) "published" ["show_pagination"]=> string(1) "2" ["show_pagination_results"]=> string(1) "1" ["show_featured"]=> string(4) "show" ["show_feed_link"]=> string(1) "1" ["feed_summary"]=> string(1) "0" ["feed_show_readmore"]=> string(1) "0" ["sef_advanced"]=> int(1) ["sef_ids"]=> int(1) ["custom_fields_enable"]=> string(1) "1" ["show_page_heading"]=> NULL ["layout_type"]=> string(4) "blog" ["menu_text"]=> int(1) ["menu_show"]=> int(1) ["page_title"]=> string(71) "Invest Money - Strategies and Tools for your Investment Goals | nestegg" ["menu-meta_description"]=> string(180) "Let us help you decide how you want to invest your money on. Learn the best strategies in investing and options like cryptocurrency, bonds, mutual funds, property and stock market." ["secure"]=> int(0) ["page_description"]=> string(7) "nestegg" ["page_rights"]=> NULL ["robots"]=> NULL ["page_heading"]=> string(71) "Invest Money - Strategies and Tools for your Investment Goals | nestegg" ["access-view"]=> bool(true) } ["initialized":protected]=> bool(true) ["separator"]=> string(1) "." } ["displayDate"]=> string(19) "2021-09-07 08:01:32" ["slug"]=> string(141) "17344:could-property-prices-inflate-by-another-20-per-cent-what-s-happening-in-recent-dividend-announcements-did-your-fund-fail-the-yfys-test" ["catslug"]=> string(11) "302:podcast" ["link"]=> string(154) "/resources/podcast/could-property-prices-inflate-by-another-20-per-cent-what-s-happening-in-recent-dividend-announcements-did-your-fund-fail-the-yfys-test" ["image"]=> string(58) "images/podcasts/Angel_Zhong_Steve_Waters_Timothy_Munro.jpg" ["image_alt"]=> string(0) "" } }

Latest Podcast

Could property prices inflate by another 20%? What’s happening in recent divid...

Resources

There is $17.5 billion in lost and unclaimed super across ...

Invest

Estate planning in the post 1 July 2017

By Neil Rogan

October 25 2017
Share

Invest

Estate planning in the post 1 July 2017

By Neil Rogan
October 25 2017

Investors spend a lifetime saving and building wealth; however, without an effective estate plan, the death of a spouse or parent can trigger a range of unintended consequences, writes Neil Rogan.

Estate planning in the post 1 July 2017

By Neil Rogan

October 25 2017
Share

Investors spend a lifetime saving and building wealth; however, without an effective estate plan, the death of a spouse or parent can trigger a range of unintended consequences, writes Neil Rogan.

An estate plan defines how an investor wants their assets to be managed during their lifetime and how they want them disbursed after death.

Mr Rogan, the general manager of investment bonds at Centuria, explains how the recent changes to super can impact estate planning, and how investment bonds can be used to fill this role.

Four ways super changes impact estate planning

The transfer balance cap
Under the new regime, only $1.6 million can be transferred into retirement phase accounts. This limits both the amount an individual can have in their superannuation retirement pension account and the amount an individual can receive from a deceased spouse’s pension account. In other words, the deceased’s pension will now count towards the surviving spouse’s transfer balance cap.
Changes to contribution caps
1 July heralded changes that make it harder for investors to build retirement savings through pre-tax and post-tax contributions to super.
Lower income threshold for 30 per cent contributions tax
Australians earning $250,000 or more will pay 30 per cent, double the usual 15 per cent, on super contributions.
No tax-exemption for transition to retirement pensions
Super fund earnings supporting a transition to retirement pension are no longer tax-exempt.

These changes impact investors’ ability to contribute lump sums into super. Finding a wealth creation vehicle that also provides estate protection and planning has become increasingly important.

Five ways investment bonds benefit estate planning

An investment bond is an insurance policy, with a life insured and a beneficiary, but works like a tax-paid managed fund. Importantly for estate planning, an investment bond is a tax effective structure. Like superannuation, tax is paid within the investment bond rather than personally by the investor. The maximum tax paid on the earnings and capital gains within an investment bond is 30 per cent, although franking credits and tax deductions can reduce this.

A key feature of investment bonds is that if the investment is held for 10 years, no personal tax is paid by the investor.

When it comes to estate planning, investment bonds provide five clear benefits to investors:

Certainty
Investment bonds provide certainty around passing on wealth; an investor can nominate beneficiaries, who then receive benefits directly rather than via the estate.
No caps
While the contribution cap limits superannuation contributions, there’s no limit on the amount to establish an investment bond. Investors can make subsequent investments up to maximum of 125 per cent of the previous year’s contribution without restarting the 10-year period.
Easily transferrable
Ownership can be easily transferred and the original start date is retained for tax purposes.
Beneficiaries
Investors have the freedom to nominate anyone as a beneficiary in the event of their death. Investment bonds fall outside the estate, so are not distributed according to the will, nor are they affected if the owner dies intestate.
Paid tax-free
Investment bonds are paid tax-free to the nominated beneficiary/ies.

After a lifetime building wealth, don’t waste it by failing to plan. Despite the changes to super, tax effective wealth creation strategies exist to enable a comfortable retirement and provide viable estate planning solutions.

Neil Rogan is the general manager of investment bonds at Centuria Investment Bonds.

Forward this article to a friend. Follow us on Linkedin. Join us on Facebook. Find us on Twitter for the latest updates

Rate the article

Investment insights

How Aussies can invest like Warren Buffett

Arguably the most successful investor of the modern age, Warren Buffett is still the chairman and CEO of Berkshire Hathaway at 90 years old, and currently has a net worth of over $100 billion, writes ...Read more

Investment insights

Pahari leaves AMP as it pursues demerger

In yet another twist, AMP has announced its intentions to pursue a demerger of its private markets business, a move that has seen it kill off its takeover negotiations with Ares Management and Boe Pah...Read more

Investment insights

Business warned on COVID vaccine policy backlash

Businesses that pressure staff into getting a COVID-19 vaccine are being warned they could face discrimination, harassment, bullying and employment abuse claims, according to an industry expert. ...Read more

Investment insights

5-step guide to teaching kids about money

It’s never too early to start teaching kids about money and how to manage it. With the added challenges associated with COVID, it’s never been more important either! ...Read more

Investment insights

Why ethical investing is at a tipping point

Best-selling author Malcolm Gladwell said it best: “Look at the world around you. It may seem like an immovable, implacable place. It is not. With the slightest push – in just the right place – ...Read more

Investment insights

Ares withdraws from AMP bid as wealth manager’s financial results spell trouble

The bad news keeps rolling in for AMP, with the wealth manager reporting a significant drop in profit as its US bidder, Ares Management Corp, announces that it is backing out. ...Read more

Investment insights

‘RBA not responsible for asset prices’, governor says

RBA governor Philip Lowe has said that the Reserve Bank is not responsible for targeting asset prices, after questions were raised about the creation of raging bull markets against the backdrop of l...Read more

Investment insights

Retailers report strong HY21, with Super Retail set to refund JobKeeper

Certain Australian retailers are flourishing despite the government-mandated temporary store closures in 2020, with JB Hi-Fi reporting good sales growth and Super Retail Group pledging to hand back $1...Read more