What did you get up to last night? Dinner on the couch? Bath the kids? Bit of Masterchef on the television? Not for the finance die-hards at The Hopkins Group.
As the clock ticked over to 7.30pm last night, our team of committed finance enthusiasts was busily preparing to watch, take notes and analyse the potential impacts of the Liberal Government’s budget for 2016-17. Of most interest were the proposed changes that could impact our clients and their wealth management strategies.
The hype and sensationalised media that we have endured over the past couple of weeks was soon to be realised.
As discussed in our recent roundtable discussion, negative gearing has been hot on the agenda but the Liberal Government chose to leave it untouched in next year’s budget. What they have done though – and of most concern to our clients – is to introduce significant changes to superannuation caps. This will mean clients will become restricted in the way in which they can build wealth within the superannuation environment.
To keep this short and sweet – as we assume your inbox has been flooded with other post budget debriefs – we have provided a list of key superannuation and taxation issues that were addressed in last night’s announcement.
The proposed effective date for all is set at 1 July 2017 for all but one key change; the lifetime cap for non- concessional superannuation contributions came into effect at 7.30 pm (AEST) 3 May 2016.
There’s so much detail within each of these points and we encourage you to book in with your adviser on 1300 726 082 to discuss how your personal circumstances could be affected – especially in relation to wealth creation.
In the meantime, an easy way to get your head around the budget and what it means in the grand scheme of things, is to register for #ECON16, our annual economic briefing on Thursday 19 May at ACMI, Federation Square. Scott Fletcher, Director – Client Investment Strategies, Russell Investments will be our keynote speaker on the night and we look forward to hearing his response to Budget 2016-17.
Get the latest news and insights from The Hopkins Group, as it happens.