Wealth Accumulation TMFS icon

Choosing the smart way to build wealth

We have chosen to partner with Tailor-Made to help us build and protect our wealth because of their outstanding reputation in the community, and how we’re not judged – no matter what our financial situation is. We’re both big fans of Tailor-Made and of their experience, knowledge and relationship that we have with them. We’re looking forward to a lifelong relationship with Tailor-Made knowing that they genuinely care and will look after our financial well being. We would recommend Tailor-Made to anyone who wants to have a trusted adviser who genuinely cares about their clients’ best interests.
Emily and Troy

Professional management

Without a plan, unexpected expenses tend to routinely appear. Decisions are often taken by default, too much tax is being paid and one year will lead into the next with no action being taken.

We understand your time is valuable and we can build and implement a professional plan tailored to your goals and your cashflow requirements. Our service includes ongoing advice to ensure you remain on track.

We are able to access high quality research from a number of sources and our preference is to utilise securities listed on the ASX to ensure transparency, liquidity and cost effectiveness.

We put in place a structure so that we can act quickly and decisively to make changes when required and keep you informed.

Cashflow is key

Your cashflow is the key to achieving your financial goals.

We can help build and implement a plan that focuses on your specific goals, for example:

  • Repay home loan debt quicker.
  • Meet education costs for your children.
  • Build wealth for retirement.
  • Meet lifestyle goals such as taking an extended holiday.

Positive, negative or neutral gearing?

By borrowing to invest, the interest costs can be tax deductible. These tax benefits can be quickly eroded if the income earned on the investments is not carefully considered.

Managed funds do not provide certainty over distributions and can ruin any negative gearing strategy.

Dividends on direct shares can assist in funding a gearing strategy and can result in a strategy becoming “neutrally” geared or even positively geared.

We can ensure any gearing strategy is built around your cashflow needs and the tax efficiency is carefully considered, including the need to maximise superannuation contributions.

Tax effective strategies

Before even considering any investment decisions, it is imperative that careful planning is given to the ownership and structure of the overall plan.

Should the lower income partner be holding the income assets? How can the capital gains tax exemption be best used in the future? Should you be looking to borrow funds via your superannuation fund?

We can work with other specialists to answer these questions and ensure that you actually take action.

Debt recycling

Strategies can be adopted that routinely replace your non-tax deductible debt (bad debt) such as a home loan with tax deductible debt (good debt).

The reduction in the tax payable enables more cashflow to be available to reduce your home loan. Once your home loan is reduced you can then replace this with tax deductible debt.

Ultimately your debt levels are not increased, however, your bad debt is replaced with good debt.

The underlying investments can assist in building wealth over the longer term which can then be used as lump sums to pay off your home loan or assist with children’s education funding or other lifestyle goals.

Review income and asset protection

Building wealth may be your primary focus but it is also critical that you protect your existing wealth and lifestyle.

For example, your most important financial asset is not your car or home but your ability to earn an income. This should be one of the first assets you protect.

We can work with you to identify sensible insurance levels and ensure cost effective yet high quality products are implemented.

Superannuation strategies

Superannuation still remains the most tax effective savings plan available. There are various strategies available including accessing the government co-contribution scheme, salary sacrifice, making contributions for your spouse and superannuation splitting.

We can select a fund based on your needs. For example, we can provide ongoing investment management of your superannuation or discuss the merits of starting a Self Managed Superannuation Fund which provides greater control and transparency.