James (65) and Louise (64)
James and Louise had concerns that they couldn’t make their retirement savings last the distance, so they reached out to Andrew, their LGS financial planner.
James and Louise have been married for nearly 40 years, almost as long as they have both been working. James continues to work full time, and Louise works one day a week.
While Louise is eligible to access her super when she turns 65 later in the year, she’s decided to keep working for a few more years to keep herself busy and to continue to build their nest egg.
Here’s how Andrew, their LGS financial planner, helped
- Accessing their entitlements: Andrew was able to structure some of the couple’s funds, so James became eligible for a part Age Pension, even though he was still working. Andrew also suggested that Louise get a NSW Seniors Card, so she could be entitled to $2.50 train fares, and many other discounts and benefits for when they were out and about.
- Making a transition: James took up a ‘transition to retirement’ strategy, which meant he could salary sacrifice into super and still enjoy his lifestyle. This also helped him minimise his overall tax liability.
- Guaranteed income: Andrew also recommended a guaranteed lifetime income stream for James, which means they will have a certain bedrock level of income for life, regardless of market volatility.
- Super boosts: Andrew provided advice on the best way to put extra cash into their super. Both James and Louise made some additional contributions into Louise’s super, resulting in $1,040 worth of bonus contributions through the spouse rebate and government co-contributions. They realised they could have been making these additional contributions and receiving these bonuses for years, and regretted not taking action sooner.
- Peace of mind: Both were concerned that their funds may not last their lifetime, so Andrew ran some modelling projections, which again gave them peace of mind that they would remain comfortable in retirement. Andrew also completed a risk assessment for Louise and James to give them comfort that they were invested appropriately. The results showed that both of them were in an option that matched their risk appetite.
To see how an LGS financial planner can help you maximise your super and reduce your overall tax, request an appointment now, or call us on 1300 LGSUPER (1300 547 873) between 8.30am and 5.00pm, Monday to Friday.
Member names have been changed to protect anonymity.
Natalie (59) and Jeff (61)
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