NewsRetirement Planning Retirement Planning Essentials

What the Financial Planning Association of Australia (FPA) Says About Retirement Planning

We offer full service retirement planning in our Perth office. In a recent blog post, Certified Financial Planner James McFall of the Financial Planning Association of Australia (FPA) outlined ten steps he feels are essential to a comfortable retirement. As a public service, we would like to provide the information that we think is relevant to you. Remember, though, that we can only provide financial advice via a personal, one on one consult.

Retirement Planning Essentials

The FPA advocates identifying what it is that you value the most in life. After you have done this, they recommend prioritising what is important to you and then creating a list of firm goals which can be turned into a financial plan. *

According to Mr McFall, your superannuation fund is probably going to be your biggest retirement asset. He likens it to a “tax haven, but…legal.” *

The next step is to determine how much you can save and use that amount to make your plans. Mr McFall reminds that savings and home equity are available for investment and that you may consider investing either or both. He also feels that it is important to take full advantage of tax laws to lower your liability. *

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Financial PlannersInvestment PlanningNewsRetirement Planning Clear on Investment Goals

Why It’s Important to be Clear on Investment Goals

Whether you are in the investment planning stage, the retirement planning stage or both, our parent company AMP recently provided information reminding us all how important it is to be clear on investment goals. We provide individual consults in our Perth office. One of the first questions we usually ask is about investment goals. Believe it or not, some of those we are consulting don’t have any investment goals yet.

Why Now?

The cash interest rate is at record lows. While this is a boon for borrowers, it is causing many investors to rethink their strategies. One of the major decisions investors must make now is whether they prefer income sustainability or capital stability. *

Previously, term deposits and other cash investments have been regarded as “safe.” Under normal circumstances, cash investments deliver an adequate, if not large, level of income. In addition, their capital value is stable. *

So, what has changed? When the RBA cash interest rate is low, both loan rates and the income provided by long term cash deposits are also low. Since the RBA cash interest rate is the lowest it has ever been, many cash investments are no longer providing high enough returns to offset inflation. *

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NewsRetirement Planning Planning For Retirement

Why it is Important to Plan Your Retirement

Whether you call it financial planning or retirement planning, it is never too early to start thinking ahead, especially if you plan on staying in the Perth area. While we can’t provide advice in blog posts, we can provide you with some general information regarding the planning of your retirement. Just remember that you need to call one of the financial advisors in our Perth office for individual advice.

Why is it so Important to Plan Your Retirement?

Once again, we can’t give anything that constitutes advice. What we can tell you, though, is that there is plenty of research suggesting that those who plan their retirements with specific goals are more likely to fulfil those goals than those who don’t have any goals. *

In a social or lifestyle sense, retirement goals may include lifelong learning, avenues for social engagement and intergenerational connections. Financially speaking, our retirement planners will work with you to set a retirement date and a retirement income. Then, it’s a matter of organising your finances to help you get there.

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Financial PlannersNews Developing a Financial Plan for Your Family

Developing a Financial Plan for Your Family

If you are new to financial planning, don’t feel bad; you have company. There are plenty of people in WA who haven’t taken control of their finances yet. Luckily, Approved Financial Planners can get you started on the right path.

Recently, the Financial Planners Association of Australia published a blog post discussing how to develop a financial plan and what factors should be taken into consideration. All of the factors they cited are factors that we like to take into consideration when helping a family develop a financial plan. Here are five crucial factors that we consider.

Your Priorities

Everyone’s situation is different. Everyone has different dreams and goals. Everyone is starting from a different position. Some people want to create more family time now. Some want to ensure their family’s future. Many figure out a way to carve out a good future without sacrificing their entire present.

Your Cash Flow

Since it is called “financial” planning, your financial position will mean a lot concerning the direction and scope of your plan. How much money do you currently make? How much can you afford to invest? Do you have a “buffer” in case something forced you to go without income?

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Financial PlannersNews Habits for Effective Retirement

Five Habits for Effective Retirement

As the baby boomer generation ages, retirement planning is becoming a common expression around Perth. Some started planning early and some are in the “better late than never” category, but it certainly seems like Australians are paying more attention to what they need to do to retire comfortably than ever before.

While a lot of Australians still use the default superannuation funds from their workplaces, the self managed superannuation fund has become more popular every year. Many Australians also choose not to self manage, but to choose from many of the super funds that are available instead of using their workplace’s default super fund.

We can’t give specific advice to anyone without an individual consultation, but we would like to present five habits that those who are on the way to effective retirement have in common.

They are Actively Planning their Retirement

I have heard these two sayings often: “It’s never too early to start thinking about retirement” and “It’s never too late to start thinking about retirement.” While it is much better to start as early as possible, even someone close to retirement age can benefit by talking to a financial planner about retirement.

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Financial PlannersNews Financial Tips from Financial Planners Perth

Financial Tips for Singles

It’s never too early or too late to listen to one of the financial planners in our Perth office. It’s also never too early or too late to become financially responsible. Many people are under the misconception that it is more difficult for singles to be financially successful than couples.

We think that single people have plenty of opportunity to be successful. While it can be more expensive for singles to live due to only having one income instead of two, they also get to be the sole decider on where the money goes. This more than makes up for the expense of living alone.

Here are some financial tips for singles based on their generation or age. Please remember that all information is general in nature and does not constitute advice for anyone’s specific financial situation.

Generation Y

Gen Y people are still fairly young but are rapidly becoming much more financially accomplished than any other generation in history.* The most important things for a Gen Y single to do are to start living on a budget, protect their income and avoid expensive debt such as credit and store cards.

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News Life Expectancy - Key Factor in Retirement Planning

Life Expectancy: the Key Factor in Retirement Planning

Although we call it financial planning, a great part of what we do is retirement planning for our clients in the Perth area. If the recent Financial Services Inquiry (FSI) report is any indication, it will be even more important for every Australian to hire a financial planner at some time during the process of preparing for retirement.

While an increase in life expectancy is obviously seen as a very good development for most people, it has one major downside. Your retirement income has to last longer than it would with a shorter life expectancy.

The real surprise in the report is that Australians tend to underestimate their life expectancy by an average of seven years. Those who are 65 years of age and retiring can now have a reasonable expectation of living to be 90 years of age. One out of ten females who live to be 65 will live to be at least 100 according to the Australian Bureau of Statistics’ (ABS) Australian Life Tables (ALTs).

The Pitfalls of Retirement

If it were just a straight mathematical equation, it would be easy to figure out how much money each individual would need for retirement to sustain their preferred lifestyle. However, there are many factors that go into what will happen to your superannuation fund as you get further into your retirement years.

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News Do You Need Financial Planning?

Do You Need Financial Planning?

What aspects of finance can be improved by financial planning and why superannuation regulations in Australia can be difficult to navigate without qualified help.

Many Australians ask whether or not they need a financial planner. While we cannot give blanket advice to anyone, we can give you an idea of situations in which a financial planner can be helpful. Ultimately, the decision of whether or not you need a financial planner is yours to make. Here are some services we provide that may be difficult to perform on your own.

Retirement Planning

Different people attach different meanings and goals to the word “retirement.” A financial planner can help you formulate a customised retirement plan that can help you retire with the income that you want. The sooner you begin planning for retirement, the easier it is to get you there with the lifestyle you want to live.


Superannuation is designed to provide Australians with a vehicle for investing in and saving for retirement. A good superannuation strategy can help you maximise tax concessions in conjunction with any government benefits you may or may not be receiving to ensure a comfortable retirement.

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