Bill is 61 and looking forward to a carefree retirement. He has worked hard all his life and has done his best to provide for a good education and a wonderful life for his three children, who are now all married with children.

Initial meeting with one of our financial planners

Bill's initial discussions were about assessing his current situation.

The session revealed that he:

• Is ready to retire and has three superannuation accounts totalling $700,000.
• Has a net worth of $2.5 million including property, shares, inheritances and term deposits.
• Has an investment property loan of $60,000. It generates an income of $15,000 per year. He wants to keep the property as an inheritance for his children and grandchildren.
• Requires a regular income stream of $40,000 per year for living expenses.
• Requires additional money each year for planned holidays and other purchases.
• Has a disciplined approach to finances.
• Wants an investment portfolio that is easy to manage.

If this sounds a little bit like you, see what our financial planner's initial recommends.

Recommendation - let's start a plan to grant Bill's wish to enjoy his retirement.

Our financial planner initially recommended a restructure of his investment portfolio, as follows:

• Transfer Bill's current superannuation balances into one fund and invest according to the risk he is comfortable with.
• Once retired, contribute up to $230,000 into his super account from his share portfolio and term deposits, minimising any capital gains tax liability.
• Repay the investment property mortgage.
• Keep approximately $10,000 in his working account.
• Convert his super into a pension fund, drawing the minimum of 4% per year or $37,000 per year.
• Use the property income to provide most of Bill's further income and lump sum requirements.
  

Bill's decision

With further careful planning Bill was also able to meet his projected home renovation and overseas holiday expenses from the income produced from cash, rental property and growth generating assets. As part of this total financial review, Bill also made an appointment to review his Will with his solicitor, giving him the confidence he needed and peace of mind with his financial future.

Contact us if you think you could benefit from a personal wealth program.

This service is provided by Guild Financial Services Limited ABN 35 004 399 464, AFS Licence No. 225590. This information is of a general nature only it is not intended to constitute the provision of advice. Before acting on any information on this page you should consider its appropriateness having regards to your objectives, financial situation and needs. Prior to making a decision in relation to any financial product, you should consider the relevant Product Disclosure Statement.