Retirement is a major life transition, and planning it together as a couple is key to ensuring financial security and the lifestyle you envision. At LIFE Financial Planners, we work with Perth couples to help them create a tailored retirement plan that aligns with their goals. The right strategies can make all the difference in how comfortable and stress-free your retirement will be.
Financial Planning Strategies for Perth Couples
Superannuation
Your super is one of your most powerful tools for retirement planning as a couple. Here are some key strategies to ensure both partners are maximising their retirement savings.
Contribution Splitting
Balancing superannuation between partners can be an effective long-term strategy. You can transfer up to 85% of concessional contributions from one partner’s super to the other’s. This is particularly useful if there’s a large difference in balances, helping to even out super savings and potentially reducing tax burdens in retirement.
Spouse Contributions
If one partner earns less than $40,000 per year, the other can contribute up to $3,000 to their super and receive a tax offset. This strategy helps boost the lower-earning partner’s retirement savings while providing tax benefits.
Downsizer Contributions
Thinking about selling your home? If you’re over 55, each of you can contribute up to $300,000 from the sale proceeds into your super. This can significantly boost your retirement savings, giving you more flexibility in how you enjoy retirement. Learn more about Downsizer Contributions.
Creating a Shared Financial Vision
Aligning Goals
We always encourage couples to sit down and discuss their retirement goals—whether that means travel, downsizing, or simply maintaining their current lifestyle. Having a clear, shared vision helps you make informed financial decisions and ensures both partners are on the same page.
Age Pension Considerations
Your combined income and assets affect your eligibility for the Age Pension. Structuring your superannuation correctly, such as keeping more in the younger spouse’s super, can help improve your entitlements. Understanding these nuances can help you make the most of available government support. Visit the Age Pension page for more information.
Regular Financial Reviews
Your financial situation will change over time, whether due to market shifts, health considerations, or new opportunities. Regularly reviewing your retirement strategy with a financial planner ensures you stay on track and adapt to changes as they arise.
Estate Planning Essentials
Retirement planning isn’t just about growing wealth; it’s also about ensuring your assets are protected and distributed according to your wishes. Here’s what couples should consider when structuring their estate plans. Read more about creating a will in Australia.
Wills and Beneficiary Nominations
Ensuring your wills and superannuation beneficiary nominations are up to date means your assets will be distributed according to your wishes. We can help you navigate the complexities of estate planning to protect your legacy.
Powers of Attorney
It’s essential to have financial and medical powers of attorney in place to ensure that decisions can be made if one partner becomes unable to do so.
Testamentary Trusts
For those wanting to provide for a surviving spouse while managing obligations to other family members, testamentary trusts can be a smart option. These allow for the structured distribution of assets, offering both security and flexibility.
Lifestyle Planning for a Fulfilling Retirement
Shared Pursuits
Retirement is about more than just finances—it’s also about enjoying life together. Whether it’s travel, hobbies, or community involvement, planning for shared activities can help keep your retirement fulfilling and rewarding.
Different Retirement Timelines
If one partner plans to retire earlier than the other, it’s important to consider how this will impact your finances. Planning ahead ensures a smooth transition and financial stability during different life stages.
Health and Longevity
As part of your retirement planning, we consider potential healthcare costs, long-term care, and life insurance needs. Factoring these in early can prevent financial stress later on.
Getting Started with Expert Guidance
At LIFE Financial Planners, we help Perth couples take control of their financial future. Retirement planning isn’t just about numbers; it’s about ensuring you have the means to live the life you’ve worked so hard for.
If you and your partner are ready to take the next step in securing your future, we’re here to help. Book a consultation today, and let’s start planning your retirement in Perth, together.
PHONE 08 9322 1882