$50k best way to invest it

[gazgolf1]

Ideas please

[Lagerlover]

All on red.

[markTHEblake]

If it was me I would put it all into Silver.

[Lagerlover]

I mean black.

[timah!]

Buy some Honma's.

[Marto65]

Bank shares.

[backintheswing]

Put it into your super

[Yossarian]

I need a new car.

[Slothman]

Not bitcoin :)

Due to the lack of information....I also agree with Lagerlover....

[sms316]

Qantas

[3Puttpete]

Put it into your super

Big fan of this idea but get advice first. Lots of tax if you go over limits.

[Slothman]

Big fan of this idea but get advice first. Lots of tax if you go over limits.

Yeh but Non Concessional Contributions are pretty huge.

As a FP...SEE A FINANCIAL PLANNER.....

[gazgolf1]

Lots of tax if you go over limits.

Anyone know the limits?

Have thought of bank shares, but not a big fan of the share market.

[3Puttpete]

Will have to double check, I tend to deal a year or so behind and haven't touched it for about 6 months but $25k pre tax contributions and $150k after tax contributions sounds about right.

Pre tax will be an issue if you salary sacrifice especially because you've most likely already had some while working.

The $150 per year can be $450 over 3 years in some circumstances.

As Slothman said, see a FP. I'd suggest seeing 2. The ATO won't care if your FP gets it wrong.

[goughy]

There's a bridge in San Fran I can sell you, could probably drop my asking down to 50k....

[Marto65]

Do you have long term or short term goals for the cash?

[gazgolf1]

Do you have long term or short term goals for the cash?

Not really, we would like to buy an investment property when the market turns but nothing immediate.

[Hux]

Depends what your super account looks like. Dropping it Into a decent super fund at present Is as good as any Idea. However Blue
Chip shares like banks with fully franked dividends would be okay as well.

How I see super is that at age 60 when you retire you no longer pay tax on your draw down, so as long as you can get it into the fund without a tax issue then when it comes out you are saving probably 15-30% tax.

[Lagerlover]

Not really, we would like to buy an investment property when the market turns but nothing immediate. Those ADF homes seem a pretty good proposition gaz.

[Peter]

Hookers and blow.

Waste the rest.

[Daves]

Those ADF homes seem a pretty good proposition gaz.

You can buy into them via a Managed Fund these days, though I would have to check whether it is a Retail Fund. We have some units in our Super Fund.

[gazgolf1]

How I see super is that at age 60 when you retire you no longer pay tax on your draw down, so as long as you can get it into the fund without a tax issue then when it comes out you are saving probably 15-30% tax.

Yeah I like that!

[gazgolf1]

Those ADF homes seem a pretty good proposition gaz.

We have looked at those in the past, can't remember why we did'nt like em. I noticed they have only one property for sale in the whole of QLD, weird.

[Courty]

Open a Tom Waterhouse account. ;)

Seriously though, I'd go with Superannuation.

[3Puttpete]

How I see super is that at age 60 when you retire you no longer pay tax on your draw down, so as long as you can get it into the fund without a tax issue then when it comes out you are saving probably 15-30% tax.

Plus the savings in the mean time. Fund's tax rare is lower than a person's

[Daves]

Anyone know the limits?

Have thought of bank shares, but not a big fan of the share market.

The limits really depend on your circumstances. If you aren't claiming a tax deduction, the limit can be up to $150K per tax year, or up to $450K every 3 years. I think the Cap is $25K where a deduction is being claimed, but there are qualifications as to who can claim a deduction. I am assuming the funds will be coming from a Redundancy payout (ETP). There are specific rules applying to what you can do with an ETP, and for the most part you can't roll an ETP into a Super fund, though there are some components where exceptions can apply.

Having said that, once you pay any tax applicable on the ETP (if it is a genuine redundancy, it should be mostly tax free) then the funds are no longer considered an ETP, an become investable funds for super or other purposes.

For the above reasons and complexities, you really need to see a Financial Planner. A good Redundancy program should include some component of free or supported Financial Advice, together with support for seeking new employment etc.

As to Shares, they probably don't suit most people, it is mostly only wealthy people that seem to own them to any extent.;)

[goughy]

How I see super is that at age 60 when you retire.

60! Try 75....

[Hux]

60! Try 75.... 60 for me. I will finish up in 9 years and 3 months and take my LSL etc before I turn 59. As long as the ass holes currently in power don't screw with my super.

[Steve57]

Be careful with ADF homes. They are generally overpriced and heavily favoured against the investor. Basically you are paying any profit and expenses upfront.

[gazgolf1]

Be careful with ADF homes. They are generally overpriced and heavily favoured against the investor. Basically you are paying any profit and expenses upfront.

Yeah we did find they were quite dear when we were looking.

[PerryGroves]

Being a b(w)anker I have a different view on bank shares and whilst in Australia the 4 majors are in a good position, like any business they are under attack from more nimble competitors. Any space where there is ample margin is being attacked.

Several of the banks have strategies that are iffy at best, massive Asian expansion for ANZ (might work, who knows), NAB still has the underperforming UK and all of them have a wealth management operations that require massive spends.

Trying to wait for a turn in property is fraught, does anyone know someone who has sold and bought back at a better level given the transaction costs. If there is a bubble in property, we know the areas that have been stressed in the past (ie avoid Queensland). Mate at work has bought 2 bedroom units in biggish NSW country towns, like Bathurst and Armidale. Anywhere with a University or somewhere that is favoured by the govt for relocation. These properties are yielding him upwards of 10%, rather than some paltry return you get from buying in the city.

My two bobs

[Slothman]

Ok.

First - get a clear mind of what you want it to do? Income generation or future capital growth or combination etc?

- do you want easy access to the funds or set and forget?

- tax minimisation??

- if you look at the super advice (and yes the caps mentioned here are accurate) it depends on the actual super fund. Some industry funds do not tax contributions on the way in, but on the way out, what does yours do?

- do you have a mortgage? Would it be better paying off a mortgage and saving the interest??

- age? Centrelink implications??

- what is your propensity gor risk?? Will you lay asleep worrying about share prices?? Stress and personal well being are major factors in your decision.

- if it is ETP (as rightly mentioned) what are your tax implications? What are the components of your ETP?

Lots to consider, so taking advice from people who have not considered everything is as crazy.

Go see a GOOD Financial planner. Ask your mates locally if they use one to get recommendations for a local one.

[gazgolf1]

Some great advice and ideas gents ta, we will be speaking to a good FP very soon...next thread title; Good FP in Brisbane?

[Lobsta]

Some great advice and ideas gents ta, we will be speaking to a good FP very soon...next thread title; Good FP in Brisbane?

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