Frequently Asked Questions

View the Russell Dew Financial Services FAQ. Includes a range frequently asked questions and answers.

How much does a financial plan cost?

A financial plan takes around 10 to 20 hours to produce which includes research into products, plan preparation and implementation of the plan. The standard plan costs $2,200.

What should I bring to the first interview?

You should bring your last year’s tax return, current payslip, superannuation fund statements, loan and bank statements and any documents on your investments plus Tax File Number, bank account details and current photographic identification.

What are the benefits that can be derived from obtaining financial advice?

Financial advice helps clients in 6 major ways:

  • Improving the returns on investments
  • Reducing tax
  • Obtaining access to capital
  • Obtaining Centrelink benefits
  • Guidance on Age Care home fees
  • Estate planning.

What is the safest way to invest funds and still get a reasonable return?

Investment returns in every financial sector will vary from year to year and picking which sector will perform best from year to year is very difficult.

The best way to get reasonable ongoing returns is to diversify across every financial sector and maintain this strategy over time.

Do we have expertise to provide financial planning for Public Servants?

Our practice has mainly catered for those either retiring from the Commonwealth and ACT Governments or those employees needing salary packaging advice. Our particular expertise is the knowledge of how to gain the maximum benefits from either the CSS, PSS and PSSAP super funds.

If interested, read more on services for public servants.

How old do you have to be to get an Age Pension?

The Age Pension for those born before 30/6/1952 is available from age 65. After that date a phase in of the Age Pension will occur to make the Age Pension only available after 67 after 1/1/1957.

What should be the expected rate of return for a My Super default super fund over a 5 to 10 year period?

My Super default funds have started to be used by all employer super since 1/7/2013. This fund could expect to return around 6 to 8% per year over 10 years.

Can investments be guaranteed not to fall in value?

Yes there are funds that can guarantee your capital but these funds will charge an ongoing fee for this service. The real issue is getting efficient return to enable investors to stretch their investment through their time in retirement. By definition guaranteed investments lead to low retirement income that limit the ability for the investor to live within their desired income needs. The main need is to balance returns with the volatility various asset classes exhibit. This balancing process reduces the overall volatility across a diversified portfolio.

How much income does a single person or couple need in retirement?

Couples need around $40/45,000 p.a. if they have one car and $45/$50,000 p.a. if they have two cars. A single person would normally need $30/$35,000 p.a.

How much is the maximum Age Pension?

For a single person it is $22,804.60 p.a. and a couple it is $34,382.40 p.a. combined. Also a Health Card is available and this could save up to $3,000/$4,000 per year depending on how many pharmaceutical prescriptions a person may use.

How much can an individual salary sacrifice into super each year?

For those people who were aged 49 or over at 30/06/2016; they can contribute $35,000 p.a. into super in total as both Salary Sacrifice and employer Super Guarantee Contributions.
For those people under this age, the maximum contribution is $30,000 p.a.
Taking effect from 1 July 2017, the annual cap on concessional (pre-tax) super contributions will reduce to $25,000, regardless of age.

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