360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we advise listeners like Danielle, who has settled on a property and mortgage and wants to know what some of the things are that she should be considering next. We stress the need for a cash flow management strategy to ensure affordable mortgage payments and achieve savings goals. Insurance coverage is essential, including life insurance, permanent disability cover, income protection, and building/contents insurance. Building an emergency fund is crucial for handling unexpected costs. Also, seeking...
info_outline 128. F.I.R.E Movement360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we discuss the F.I.R.E (Financial Independence, Retire Early) movement. We explain that this movement encourages people to retire early and achieve financial independence by saving and investing a large portion of their income. Additionally, living a frugal lifestyle and reducing expenses are key to achieving this goal. We acknowledge that the F.I.R.E movement may not be suitable for everyone, but we emphasize the importance of being intentional with spending and making conscious financial decisions. Tune...
info_outline 127. Insurance Inside vs. Outside Super360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we discuss personal insurance and the benefits of holding it inside or outside of superannuation. We explore different types of insurance covers, such as life insurance, permanent disability, income protection, and trauma insurance. We also discuss the increasing responsibilities that make having the right insurance cover important. Funding options for premiums are discussed, including using cash flow or faying for this through superannuation. Furthermore, we also touch on tax efficiency and how this will...
info_outline 126. Market Wrap360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! We are back again with our monthly ‘Market Wrap’ segment. In this episode, we discuss the intricate dynamics of the global economy and its effects on financial markets. Observing the impressive growth in the US market despite minimal macroeconomic updates, we discuss the need for policymakers to carefully consider interest rate decisions. With inflation concerns looming in the US and negative sentiment prevailing in China, a broader global economic slowdown becomes apparent, as evidenced by countries like Japan and the UK...
info_outline 125. Land Tax Changes360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we're talking about Victoria's new land tax changes. The Victroian government has introduced increased land tax for a ten-year period starting in January 2024 to repay Covid debts. But some people aren't sure if these taxes will stop after ten years. This affects property owners with investment properties, who now face higher costs for owning and maintaining properties. It's tough for investors, and might lead to higher rents and greater levels of sales activity for investors who want out. Having a solid...
info_outline 124. Before & After Tax Super360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we're talking about putting money into your super, breaking it down into two types: concessional (before tax) and non-concessional (after-tax). We discuss the tax advantages, contribution limits, and strategic considerations for both types. We’ll be giving some worked examples to illustrate their application in real-life scenarios and how you can best utilise the benefits of each of these superannuation types for your own situation. Join us, hit subscribe, and let's make super contributions simple and...
info_outline 123. Estate Planning360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we explore estate planning, dispelling the misconception that it's solely about who will inherit your assets. We stress the need for professional assistance in creating a valid will to document wishes accurately. We also highlight concerns regarding inheritance taxation, particularly in superannuation cases, where non-tax dependents may face taxable status. Additionally, we advise seeking professional advice and introduce a strategy called a recontribution strategy. This strategy, if certain conditions are...
info_outline 122. Market Wrap360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! We are back again with our monthly ‘Market Wrap’ segment. In this episode, we discuss the US market reaching all-time highs and a strong GDP growth of 3.3%, along with the potential interest rate cuts in the US and Australia. We also talk about Australia's controversial stage three tax cuts. We discuss the importance of consistent governance and the potential impact on trust in political promises. In China, economic worries lead to a $278 billion support package for the stock market, while the Evergrande Building Company...
info_outline 121. Negative Gearing360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we dig into the concept of negative gearing in property investment. We define negative gearing as incurring an income loss on a property with the anticipation of capital growth. Additionally, we provide an example to illustrate how it operates and highlight that depreciation can be claimed as an expense, even if the property is in a positive cash flow position. We also discuss some drawbacks, including increased risk, negative cash flow in today's environment, and the significance of selecting the right...
info_outline 120. Investing Through a Trust or personally360 Money Matters
Welcome back to another episode of the 360 Money Matters Podcast! In this episode, we discuss the pros and cons of investing in your own name versus a trust. We focus on two commonly utilized types of trusts: unit trusts and discretionary/family trusts. Unit trusts distribute income based on ownership of units, while discretionary trusts allow for flexibility in distributing profits. The main advantages of using a trust include asset protection and tax minimization through strategic income distribution among family members. However, it is important to consider the complexity and costs...
info_outlineHello and welcome back to the 360 Money Matters podcast! If you’re tuning in, chances are you’re interested in investing and creating wealth– one such method to increase your wealth is through property investment. When the property increases in value beyond what we have as a loan, this is what we can call ‘equity’.
In this episode, we’ll be talking about what equity is, how we can build it, and what we can do with it– like building out property portfolios, diversifying and increasing our wealth outside of the property, etc. While there are many different ways we can build equity, there are also many different ways we can leverage equity to work in our favour to build even more wealth.
So don’t be afraid to hop in and find out how you can best leverage your equity!
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This podcast contains information that is general in nature. It does not take into account the objectives, financial situation, or needs of any particular person. You need to consider your financial situation and needs before making any decisions based on this information. This information is provided by Billy Amiridis and Andrew Nicolaou of 360 Financial Strategists Pty Ltd, authorised representatives and credit representatives of AMP Financial Planning – AFSL 232706
Episode Highlights:
• What is Equity
• Ways to Create Equity
• Calculating the equity in your property
• 80% LVR and extending above this
• Can you always access your equity?
• Using equity to purchase property or other investments
• Risk of using equity & risk mitigation strategies
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