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Personal Finance

This Month

Experts are calling for law reform as the ATO pursues family trusts for innocent mistakes.

The family trust blunder that could send you bankrupt

The tax office is scrutinising family trust distributions dating back decades. Some trustees have been shocked to receive bills worth hundreds of millions of dollars.

When a founder starts selling large blocks of stock it’s rarely random.

Four signs a founder-led company isn’t worth the hype

Investors love charismatic disruptors, but backing the wrong one can be harmful to your wealth.

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Six tips for outsmarting the dirtiest trick in real estate

Underquoting costs would-be buyers time, money and heartache, but they can beat the notorious ploy with free tools and simple strategies.

That fight-or-flight instinct makes us want to panic sell when markets fall.

Why ignoring your inner caveman will make you a better investor

Morgan Housel writes that 99 per cent of good investing is “doing nothing” and the other 1 per cent is “how you behave when the world is going crazy”.

April

Sticking to a disciplined contributions strategy remains compelling even when markets are moving against you.

Am I foolish to invest in shares when markets are so volatile?

Donald Trump’s erratic policy statements have markets in a spin. Is the best response to stop salary sacrificing into superannuation?

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Lisa Chew, photographed at home in Canberra, describes the financial strategies she used to stay afloat after her husband’s death.

My husband died at age 37. Here’s how I survived financially

Last-minute changes to super and estate planning allowed Lisa Chew to manage the family finances once her husband was gone.

It’s widely accepted by many researchers that, for investors, a loss feels roughly twice as bad as an equal-size gain feels good.

What a quarter of a century of ASX data shows about timing the market

By missing the 20 best days, your total return on $10,000 invested over 25 years would have been more than halved to a seriously disappointing $26,916.

AFR

Signs your partner is hiding money (and what to do about it)

Divorce proceedings are littered with lies about wealth, including the bizarre example of a man who claimed to have eaten 665 farm animals.

Documenting succession plans with contracts can help family businesses avoid the type of court stoush the Levis family is embroiled in.

How to avoid a succession fight like the Cue fashion family’s

The legal principle of promissory estoppel is tripping up founders who have made promises but not put them in writing.

Mimi Jaksic Berger at the opening of her solo exhibition in 2022 at Flinders Street Gallery.

The $24m inheritance that was almost split 10 ways

Sydney artist Mimi Jaksic Berger, businessman Andrew Findlay and Queenslander Raveica Negrean all died with “homemade” wills. That’s a problem.

You will need to re-serve each waiting period included in the higher level of cover.

How can I get around health insurance waiting periods?

Many couples are tempted to cut back on private health insurance as they get older to save money, but it can backfire if you need a knee or hip replacement.

When you truly understand a business, the biggest risk isn’t overpaying – it’s selling too soon.

My biggest mistake in 20 years of investing

Unless the price is truly egregious, never substitute a business you know intimately for one you don’t because of valuation alone.

Your primary residence will be exempt from means testing for the age pension.

Can I get more age pension if I sell my investment property?

The government expects you to spend your own savings before becoming eligible for Centrelink support.

Dean McKillip and Lizzy Rawdah.

Would you pay $900,000 to live in Valencia? This couple did

While Spain and Portugal are cancelling or tightening their golden visa schemes, expats and retirees are finding other ways to live out their lifestyle fantasies.

Watch out for cash amounts that include dividends or rental income.

Will we have to pay tax on an inheritance from family overseas?

You will be eligible for the 50 per cent capital gains tax discount once you’ve held the asset for more than a year.

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How markets just got real for these 4 Millennial investors

Meet four young investors who this week experienced their first major market shock (albeit a very quick one). Here’s what they plan to do next.

The S&P 500 index slumped toward a “bear market” before a wild rally a day later.

One surprising group sailed through the Trump turmoil - here’s how

As markets plunged, jumped, slumped and soared around them, the one thing this group didn’t do was panic.

ATO commissioner Rob Heferen.

‘Feels like the commissioner is sitting at the kitchen table’

What was once a relatively simple formula has become a maze of complex decisions with potentially severe tax consequences.

Some exposure to bonds may be protecting your super from the worst of the share market falls.

This will cushion your super balance during the Trump slump

Bonds typically act as a counterbalance to equities, providing ballast during share market corrections. But this time around there’s a wrinkle in the system.

To make the downsizer contribution, you’ve got to be 55 or older selling a property that you’ve owned for at least 10 years.

How can I add a downsizer contribution and inheritance to super?

There is the potential to contribute a combined $1.32 million to your super fund and that of your spouse.

legend has it that Holmes a Court carried an unsigned will around in his briefcase for years that he just never got around to finalising.

Don’t repeat this estate planning mistake by Robert Holmes a Court

Australia’s first billionaire died of a heart attack in 1990 at the age of 53. The problem was he didn’t leave a valid will.

There may be good opportunities as shares fall, but advisors say it is difficult to find a bargain while things are so heavily in flux.

Six things for investors to do right now (and one to avoid)

Retail investors, superannuation savers and retirees are understandably jittery, so we asked financial planners for advice. 

Recently retired Jo White at home in Coogee in Sydney’s eastern suburbs.

This retiree expects a market ‘bloodbath’. Here’s what will help

Jo White, 64, refuses to look at her super balance given what’s happened in financial markets over the past few days. These wealth experts lay out a game plan.

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The average sum Australians will inherit and what to do with it

Inheritances can be life-changing – so long as the money is spent wisely. Here are four options.

Leaving assets to a pet can lead to bitter disputes.

What a beach house and dog called Trouble teach us about succession

Estate planning is where wealth collides with family politics, and nowhere does that hit harder than with lifestyle assets.

Original URL: https://www.afr.com/wealth/personal-finance