Newsletter April 2007

Our role – “building your portfolio from 0 to 10 properties”



Free – Enduring Power of Attorney


Many investors don’t appreciate the total impact of using the tenants-in-common structure to hold their investment properties.

Of course tenants-in-common is the way to maximise your tax rebates, however to round out your strategy you also need to

(a) put enduring powers-of-attorney in place and

(b) up-date your wills.


(a) The reason why you need enduring powers-of-attorney is to cover that circumstance should one to the names of the title be unable to sign the documents due to incapacity. For example, suppose one of you went into coma and needed expensive medical support, and the only way to pay the hospital and the doctors was to liquidate the investment.

But to realise on the asset, you need both signatures – which is obviously impossible in these circumstances.

But an enduing power-of-attorney allows the other party to sign on behalf of the other.

So get one in place! It’s simply a matter of prudence.

(b) The reason why you need to update your wills is to nominate the person who will inherit the investment (upon your demise).

Because any asset – other then joint bank accounts and the family home – will not pass automatically to the surviving spouse.

Rather, such un-nominated assets flow to your estate, and anyone can lay claim to those assets (even the next door neighbour who might claim that you haven’t paid your half when the fence between your properties was repaired some years ago).


FREE OFFER

If you want a free copy of an Enduring Power-of-Attorney just sent me an email with your postal address. I’ll arrange to have one back in the mail to you promptly. When completed, just post it to your solicitor and ask him to put it into the packet with your wills.

BONUS

This will save you perhaps $100 – which they would charge you if you had them prepare such an enduring power-of-attorney for you.




Another country raises retirement age


As countries brace to tackle the problem of an ageing population and spiraling pension costs, Germany has now (9 March 2007) taken the bit into its teeth and announced that pensions will not be available until age 67 from 2012.

The UK announced some months ago that its forward estimates include a provision that the state pension age will increase to 68 by 2050.

And of course Australia has already started to address the problem of an ageing population by offering a $25,000 bonus to workers who stay in the workforce until they are 70.

More and more western economies are making it harder for the aged to draw a government pension, or rely on welfare during their retirement years.

By implication: the solution is for individuals to provide for themselves, by investing NOW!



Property investment is not …

Easy.

Let’s face it. No matter what those television advertisements tell us, in reality it requires time and commitment to gain the necessary skills and experience to be a successful property investor.

So our role at retirelaughing.com is to transfer those skills and experience to you, in particular:

1. Information – actually much more than you need in the various educational modules, the monthly newsletter, the websites, the novel “Goolwa by Breakfast”

2. Investment Analysis – a detailed computer examination of every cost and every income stream that determines the weekly contribution to have your names on the title.

3. Investment Funding – your borrowing capacity, your ability to service, and (most importantly) the appropriate choice and structure of the chosen funding product from among the possible 1000+

4. Legals – conveyancing, ownership structure, update to your wills, enduring Powers of Attorney, medical powers of attorney

5. Accountancy – tax variation (to allow you to get your tax back every payday), depreciation schedule, maximum tax benefits

6. The property – in a growth corridor, surrounded by infrastructure, research into what product suits the demographics of the suburb, brand new, off-the-plan including the WOW! factor to attract a choice of long stay quality tenants, and totally complete (fly screens, gardens, air conditioning, dishwasher, paving etc etc)

7. Rental Management – tenant check, insurances, meeting tenants on site, finding new tenants, monthly and annual statements

8. Portfolio Management – an ongoing investment program to help you achieve your goals

That’s what we deliver to you, your family members, friends and work colleagues.


On-Line Magazine for Boomers


Here’s a free on-line magazine targeting affluent 50-plus readers. Back issues are readily available

It has a stated mission of providing "media for life's next chapter."

There are some interesting articles. For example the issue of 2 April 2007 carries a story on “re-careering”.

Go to http://www.50plusdigital.com/




Regards

Bernard Kelly http://www.retirelaughing.com/ admin@retirelaughing.com

mobile 0414 778 518 cell phone 61 414 778 518

PS your greatest compliment would be a Personal Referral