2022 Budget Opportunities
The Financial Planning Association has indicated there are no major changes for financial planners or their clients resulting from the 2022 Federal Budget - great news!
Minor changes still present opportunities to add value to your client base, including the Superannuation reduced minimum pension being extended until 22/23 financial year. This is a good opportunity to review clients with pensions and provide advice around cashflow.
More opportunities for client reviews around super include the following which take effect on 1 July 2022:
Superannuation Guarantee (SG) contribution rate to be increased to 10.5%.
First Home Super Saver scheme’s maximum withdrawal to be increased to $50,000.
Work test for retirees aged 67 and 74 years to be abolished.
Eligibility age for downsizer contributions to be lowered to 60 years.
$450 monthly income threshold for super contributions to be removed.
The Financial Review indicated that Goldman Sachs economist believes there will be several interest rate rises this year, which present opportunities for your clients to have their loans, and their cashflow positions, reviewed, including those arrangements within SMSFs.