In our 88th podcast, we made a statement about how you can turn $100 a week into $100,000 over 10 years by making voluntary contributions to your superannuation. The trick for most people, of course, is to find that sum of money each week and make sure they put it away.
Well, ladies and gents, we’ve just about found that extra $100 a week for you.
In October 2020, the Federal Budget was released (it’s normally released in May, but it was pushed back this year and then backdated to the 1st of July). In the Budget, tax cuts were made, which pushed up the taxable income brackets.
Let’s take a look at what the new figures mean.
If your gross income is $80,000, you get to keep an extra $21 a week due to the tax cuts.
For $100,000 it’s $29 a week.
For $110,000 it’s $38 a week.
And if you earn $120,000, you’d be keeping an extra $46 a week.
With figures like this, it’ll be much easier to find that extra $100 a week – especially if you’re a couple. Take a closer look at your expenses – we really believe it’s possible. We’ve seen many of our clients doing it.
Once you make the saving happen and you’ve patted yourself on the back, make sure you automate it right away so the money goes into an investment. You don’t want to spend the money elsewhere.
We’re not saying don’t enjoy your life – we just know how easy it is to spend ‘extra’ money sitting in your bank account! We’re guilty of doing it, too.
Check out these related podcasts:
The Give-up, Get-back Ratio
Find Money and Automate
Dallas Davison, Michael Hogue and Ali Hogue.
Money Over 50 Financial Advisers
Tel 07 4772 0938
45 Ingham Road West End Townsville Qld 4810
Money Over 50 Financial Advisers Pty Ltd ABN 26 146 225 505, 45 Ingham Road, West End Queensland 4810 is the holder of an ASIC Australian Financial Services Licence (AFSL) #471826.
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