A Yield Client Case Study 
Retirement
Client is able to retire 3 years earlier than anticipated.
Superannuation
Contributions to super resulted in an annual tax saving of $6,185.
Cash Flow
Reduced ongoing credit card debt for a saving of $14,000
Estate Planning
Est. strategy value of $36,320 for their estate.
Retirement
Client is able to retire 3 years earlier than anticipated.
Superannuation
Contributions to super resulted in an annual tax saving of $6,185.
Cash Flow
Reduced ongoing credit card debt for a saving of $14,000
Estate Planning
Est. strategy value of $36,320 for their estate.
We were advising a couple on questions around how they will transition to retirement and what solutions were available to them based on their current financial plan.
A component of what made this couple seek out financial planning advice was them being clear on when they would be able to retire at different stages of their lives, which is one of the most important parts of financial planning for retirement.
Overview
We prepared a transition to retirement plan for a couple in their 50’s recently. He has a health condition that forced him to reprioritise what was important to him and as a result, is now largely retired.
Having worked at Telstra for over 20 years, he was fortunate to have a defined benefit pension, which will meet a lot of their ongoing income needs.
His wife intended to continue working and they wanted to know how long this would be necessary and what more they could be doing to prepare themselves for retirement.
They had ideal objectives around travel that they wanted us to help them budget for and advice to fund their ideal lifestyle and transition to retirement.
Outcome
We researched his defined benefit and advised that it should be retained due to the certainty of income and reversionary benefit it would pay to his wife.
Outside of this, as a result of other advice we were able to provide, we identified that we could help bring forward her retirement by 3 years.
The advice we gave that helped achieve this outcome included them both making concessional contributions to super, which resulted in an annual tax saving of $6,185.
We recommended she put $1,000 p.a. to receive the co-contribution for a $2,500 benefit over 5 years.
We also recommended they pay off their credit card debt for a $14K saving, compared to their current minimum payment plan, and recommended they reduce their insurance cover in line with their needs.
We then advised they do a re-contribution strategy, which had an estimated strategy value of $36,320 for their estate.
If you would like to discuss your retirement plan or start to have one developed, please feel free to contact us with any questions.
