Tim Mackay shared his views on how savvy investors should best prepare for Budget 2016 in SMSF Adviser Magazine.
(You can read the full SMSF Adviser Magazine article here)
From the article:
Similarly, Quantum Financial principal Tim Mackay said it’s imperative to remember that speculation around budget time “is nothing new”.
“Whatever the revolving door of prime minister or treasurers, there’s always talk of changes to superannuation,” he told SMSF Adviser.
“On the back of the GFC, with the government struggling to fix balance sheets, and always looking for opportunities for revenue, super stands out as one of those areas. You would be naïve to think that there will not be changes to super.”
Still, Mr Mackay said he advises clients that if they had contributions they were going to make, to consider bringing them forward in anticipation of any budgetary changes.
“Rules that are already in place typically get grandfathered, so they are protected. But if you were going to do it anyway, bring it forward,” Mr Mackay said.
Mr Mackay said it’s important to advise clients that they should keep making decisions based on the current rules.
“Don’t use this as an excuse not to do anything for weeks. Don’t let it paralyse you about making strategic decisions about your dream retirement. Make decisions based on the current rules, put them in place before anything changes. They should be grandfathered, and there should be lead time,” he said.
“If there are changes that are flagged or implemented, then I’d