Super - What's Best For Your Future?
Did you know... Only 4% of retirees have a family income over $41,000 and 84% of retirees have an income under $21,000. Could you live on less than $21,000? In the last 10 years (until 2010) managed funds (where most people have their super) have grown at:
- 5.4%pa for conservative funds;
- 5.0%pa for balanced funds; and
- 4.5%pa for growth funds.
These returns are inclusive of dividends. Recent advertising by large financial institutions claim that if you are in share market long term you will be rewarded...but 4.5% to 5.4%pa over the last 10 years - we can understand why so many Australians are retiring poor! In comparison, Australian houses over the same period have grown at 8.6%pa (and this does not include rental income).
Combine these higher rates of return with the power of leverage (borrowing) and the increase to retirement wealth is magnified. Many Australians are now setting up their own Self Managed Super Funds so they can control their wealth creation and have the ability to invest their super money into direct property and benefit from the higher returns of this asset class. In fact there are over 5,500 new Self Managed Super Funds set up each quarter.
Mortgage Blitz runs educational workshops in conjunction with Blue Wealth called 'Buying Property Through Super.' Please contact us if you would like details of the event.
The next one is scheduled for the 27th. September 2011.
Ray is also available for exclusive one on one sessions regarding this topic.
