@@grumpyoldman. so good to hear that you are taking advantage of this tax system, and your tax benefit and franking credits benefit will only increase in retirement.
Including the tax return all my working life. Also, the levy fees are quite high so I really only get $12 thousand dollars a year which I still paid tax on.
So very welcome, I hope this video helps, but as I mentioned, I will create another video explaining the franking credits benefits further, so watch this space Sven 😃
I look forward to the next video on imputation credits, Katherine. It is a very misunderstood concept. It doesn't help when some politicians are dishonest for political gain (as Labor and Bill Shorten were in the lead up to the 2019 federal election). Imputation credits are simply "tax already paid", a bit like PAYG deductions. They make a big difference to retirees - inside or outside of super.
Hi Walters, I do have a video on the topic of TTR, this is one of my older videos, but I think it is worth watching: ruclips.net/video/15jOpDoXMYM/видео.html
This brings up a question then. Scenario 1 Spend down my super at 100k p/a from age 60->70 Then live off Pension + some dividends from 70+ (45 Pension + 25 Dividend) Scenario 2 Spend down my savings (350k) + super (50k) at 100k p/a from age 60->70 Then live off Pension + Super income stream (45 Pension + 25 super) It seems that franked dividend might give more bank for buck?
I love your thinking Andre, but still it is not as straight forward. I am in the process of preparing another video on this topic, as the full explanation and comparison is beyond just one video, so there is more coming 😀
Hi Katherine .recently Centerlink changed my disability pension from income based to asset based .I have a rental property and I have looked at your videos but couldn’t find any info on whether capital gains tax which mine is about $145.000 . Is that tax amount deducted in there calculations for there asset value . iam enjoying your videos ,signed up to your newsletter cheers terry
I thought the grossed up dividend of $25.524 would be taxed on the level of tax after the tax free threshold was meet of $18,200 a difference of $7,314 @ 19 cents in the dollar
Your income is under the threshold, so you do not pay any tax.If your income was $19200, you would pay tax on $1000.which would be $190 off the total franking credits.Note not all shares are fully franked some are partly franked some none.
That is correct. Marginal tax rate applies after 18200 then the credits are added back to the tax owing I don’t think the presenters explanation was complete
Her assumption is $18k is fully franked dividend. Hence, tax was already paid by company. That's why you get back tax credit. But if the compnay tax rate is less than yours, the tax credit amount should be different. Since you're a retiree the tax rate rate is zeros, i think. She is quite correct.
I have aldready done couple of videos on rental properties. watch: ruclips.net/video/LHrLbVRaSc8/видео.html and 2nd ruclips.net/video/-Kixk8_OzA0/видео.html
Love the videos but the audio on this one sounds like you recorded in a room with hard walls and ceiling causing a hollow echo. Makes it hard to listen to.
Yes, I have noticed this, but unfortunately I didn't have the time to re-record it. some issue with equipment, that I only noticed once the video was fully edited. Hopefully will be better next time.
As someone getting ready for retirement, I often run financial scenarios past my wife. She will kiss on the side of my cheek, and say... follow the "K-I-S-S" principle. SO, I ask, what's that? She replies... Keep-It-Simple-Stupid. 😉
Yes, your wife is very wise, I also always advise all clients to simplify their finances for retirement, but simplification does not mean sacrificing your benefit. So planning is essential to gain the most our to retirement system in Australia.
Have you considered investing into Aussie shares?
@@grumpyoldman. so good to hear that you are taking advantage of this tax system, and your tax benefit and franking credits benefit will only increase in retirement.
This episode really clarifies something i need to know VERBALLY. Thank you very much for sharing knowledge. You're a real germ.
Including the tax return all my working life. Also, the levy fees are quite high so I really only get $12 thousand dollars a year which I still paid tax on.
Thank you. I learned what franking credits are
I feel so special. Thank you very much. 😘🙏👍
So very welcome, I hope this video helps, but as I mentioned, I will create another video explaining the franking credits benefits further, so watch this space Sven 😃
I look forward to the next video on imputation credits, Katherine. It is a very misunderstood concept. It doesn't help when some politicians are dishonest for political gain (as Labor and Bill Shorten were in the lead up to the 2019 federal election). Imputation credits are simply "tax already paid", a bit like PAYG deductions. They make a big difference to retirees - inside or outside of super.
I was looking for a video regarding transition to retirement pension . I just turned 60 yrs. do you have any videos n on that. Thanks
Hi Walters, I do have a video on the topic of TTR, this is one of my older videos, but I think it is worth watching: ruclips.net/video/15jOpDoXMYM/видео.html
Thanks Katherine
Thank you 🙏 thank you 😊 thank you ☺️
Thanks kate i love Your channel, love watching
This brings up a question then.
Scenario 1
Spend down my super at 100k p/a from age 60->70
Then live off Pension + some dividends from 70+ (45 Pension + 25 Dividend)
Scenario 2
Spend down my savings (350k) + super (50k) at 100k p/a from age 60->70
Then live off Pension + Super income stream (45 Pension + 25 super)
It seems that franked dividend might give more bank for buck?
I love your thinking Andre, but still it is not as straight forward. I am in the process of preparing another video on this topic, as the full explanation and comparison is beyond just one video, so there is more coming 😀
Hi Katherine .recently Centerlink changed my disability pension from income based to asset based .I have a rental property and I have looked at your videos but couldn’t find any info on whether capital gains tax which mine is about $145.000 . Is that tax amount deducted in there calculations for there asset value . iam enjoying your videos ,signed up to your newsletter cheers terry
I thought the grossed up dividend of $25.524 would be taxed on the level of tax after the tax free threshold was meet of $18,200 a difference of $7,314 @ 19 cents in the dollar
Your income is under the threshold, so you do not pay any tax.If your income was $19200, you would pay tax on $1000.which would be $190 off the total franking credits.Note not all shares are fully franked some are partly franked some none.
That is correct. Marginal tax rate applies after 18200 then the credits are added back to the tax owing
I don’t think the presenters explanation was complete
Her assumption is $18k is fully franked dividend. Hence, tax was already paid by company. That's why you get back tax credit. But if the compnay tax rate is less than yours, the tax credit amount should be different. Since you're a retiree the tax rate rate is zeros, i think. She is quite correct.
Hi Katherine, thank you for your great videos.
How about rental income in retirement? Thank you
I have aldready done couple of videos on rental properties. watch: ruclips.net/video/LHrLbVRaSc8/видео.html and 2nd ruclips.net/video/-Kixk8_OzA0/видео.html
Retirement planning is very important in our world, funny how in some parts of the world, you need over a million dollars to retire comfortably?
❤❤❤
Love the videos but the audio on this one sounds like you recorded in a room with hard walls and ceiling causing a hollow echo. Makes it hard to listen to.
Yes, I have noticed this, but unfortunately I didn't have the time to re-record it. some issue with equipment, that I only noticed once the video was fully edited. Hopefully will be better next time.
❤
As someone getting ready for retirement, I often run financial scenarios past my wife. She will kiss on the side of my cheek, and say... follow the "K-I-S-S" principle. SO, I ask, what's that? She replies... Keep-It-Simple-Stupid. 😉
Yes, your wife is very wise, I also always advise all clients to simplify their finances for retirement, but simplification does not mean sacrificing your benefit. So planning is essential to gain the most our to retirement system in Australia.