Super hits a soft spot
We had some great feedback on last month’s cover story, “Why you only need $275k in super to retire”. The sweet spot to retirement is certainly a soft spot for a lot of our readers. Some feedback was good, such as that from Kerry on Twitter who described it as “a practical approach to retirement”. Others, like Martin on email, were not so positive: “As a hardworking gen Y taxpayer I am aghast at the thought of all my annual taxes going towards older generations who have failed to adequately provide for themselves.” You can read more reader comments below.
Good or bad, last month’s issue got us talking about super and with the federal gov- ernment’s new super rules formally kicking in this month, what better time. Even though concessional contributions have dropped from $30,000 or $35,000 to $25,000 (this includes your employer’s contributions), super is still one of the most tax-effective strategies.
I’m also pleased to announce that Super Booster Day, a joint initiative between Money magazine and the Association of Superannuation Funds (ASFA), is back for a second year. The campaign is encouraging Aussies to make a pledge by September 15 to boost their super. See page 31 for more details.
This month we called on several experts to put together smart strategies for growing
your wealth based on your income. And while you should never base an investment decision on tax benefits alone, some strategies clearly work better on a lower income than a higher one, and vice versa. We hope this month’s cover story helps you kick off the new financial year in a positive direction.
And watch out for our 2017 Real Estate Guide, which went on sale on June 26. There are 148 pages of real solutions to building wealth through property (one home at a time).
Effie Zahos, Editor, Money magazine