It’s amazing what you can do with wealth creation under the tax system in Australia – we are encouraged to get a loan for investment purposes, leverage any deductions against your taxable income and potentially receive a tax refund, or even take advantage of reducing capital gains tax, but how can you access such benefits?
Well, the simple answer is to re-structure your current financial situation so that we create the opportunity to start investing and accelerate the reduction of your home loan debt.
The structure of the loan is just as important as the investment selection. Because in both of these sections, the tax ruling and the way deductions are created blends together with the income stream and saving interest on your home loan. Each aspect of this structure is inter-dependant of each other – in other words, if any one of these sections are omitted, then the wealth strategy is lost.
We want to ensure that the maximum leverage is working for you – and if we use a car engine as an example – we set up a big V8 engine instead of a small V4 engine to get you where you want to go financially, AND to give each cylinder something to work towards. No good having a V8 when only 6 cylinders are working.