Hey everyone, thanks for watching! Ready to take control of your retirement? Download our FREE 6-Step Superannuation Check today: www.torowealth.com.au/6-step-super-check/
I and the Retirement Calculator (RC) do not get on at all. R.C keeps telling me that I need to work until I am 67 and I am fed up with work now at age 56😖.
I wanted to retire the day I started work, I remember being asked on my 1st day at what age I wanted to retire 60 or 65 (for government super purposes) and I said how about tomorrow and while I enjoyed my job of 36 years, I never liked having going to work, or to school for that matter, as I said it wasn't that I didn't like it but in my mind I could be doing something else or just nothing rather that having to get up and head off to work. When I worked out at 54 I had enough to retire comfortably I went about getting myself made redundant, I could have left then and there but why miss out on a attactive redundancy package, it took 14 months. That was 4 years ago now and certainly absolutely zero regrets.
That moneysmart calculator is broken for a number of reasons: - It assumes you want to retire at 60 or after. - It assumes the only investment assets you have are inside superannuation, it lets you add non-super investment assets, but seems to ignore it in the calculation completely. - It assumes your partner is within 10 years of your age. - It assumes your employer will pay 11.5% regardless of how your comp is structured
It also doesn’t do TTR or lump sum contributions and assumes full balance based annuity. It is a simple calculator which covers the majority of Australian cases which is a wage earner fully accessing their super when they completely retire at 60 or over. Your superfund should have a more sophisticated calculator. If you are able to retire early and coast FIRE in your 50’s say using after tax accumulated wealth, then well done, but even then the calculator isn’t completely useless. For the coast FIRE early retiree, it can give you an idea of what your super balance might provide for you from the 60 or over age that you choose to fully access your super balance. Simply put in your current age, current super balance, a zero income and whatever personal contribution you choose to keep making up to the super access age, and it will work out the balance and annuity at your “retirement” (super accessing) age.
The tool available on the Australian Retirement Trust website is more granular than the Moneysmart one (don't have to be a member to access the tool), and I'm sure other super outfits have similar tools...
Great video and breaking it down into simple but critical points is excellent. At 59 I have just been made redundant so keen to start my retirement next year when I turn 60!
Good post 👍🏽 Retired last year at 51. “Afford to retire” is the #1 Question. If you can’t get to the answer yes, all other questions become meaningless. The government tools are excellent for planning. So even if the answer is no after using the tools, at least now you know when you can say yes.
I’m 54 . Gave 38 years to mining . Sucked most of my best years away FIFO . Chucked it in last year . Couldn’t give a stuff about the next gen . Will enjoy life now. If anyone says they want to be a mining engineer tell them to find another residential job . Mining sucks !
@@victoriatreacy4626- good. But I couldn’t wait . FIFO is just wishing your life away. Wish I was home, wish the plane was on time, wish food was better, wish neighbour didn’t snore, wish leadership team made a decision, wish it wasn’t hot, wish I was home, wish it wasn’t dusty , wish I had more time off. The only thing I didn’t need to wish for was $$$$$ . That they had covered. Therefore fully retired at 53 yo 🫡
A lack of health and just wanting to enjoy myself is my reason. Want to leave now but will hold out till mid next year just after I turn 65. I can still do some relief work
Could someone use a TTR to improve their tax position by say taking a TTR income but maintaining work hours and adding the pension drawdown as a salary sacrifice? Pay 15% tax save 15% tax in all likelihood?
I run my own construction business if I say I never work a day in my life because I loved my work and never look for money Money just come in i am nearly 60 I be keep going till the day I die I believe if I stop working I be dead
I hope you realise sooner rather than later that you won’t die if you stop working and there’s a LOT more to do and enjoy than just working your whole life. That’s like the worst plan I’ve ever heard of. Sorry…just saying.
But you missed the very important point I never work a day in my life because I love what I do I am the lucky one I work when I want to I holiday when I want to I start finish when ever I want to my point is do what you love as work then no need to retire
@@TIPUSULTANLYLLPURIA You say that but how do you know you wouldn't find other really enjoyable pursuits once you have retired? If you have worked all your life all hours then you most likely don't know anything else. I had a good friend who loved his job and didn't retire until his mid 70s but afterwards realised that he was happier retired than working and regretted retiring too late in life when he had plenty of money so no need to have done so.
Bung knee bung ankle bung prostate. 60 it will be for me after a total knee job. Want to keep cycling surfing walking and living with only 20 good years left before the inherited dementia sets in. Bugger working to 65.
Thanks Chris. What do you say to a 66+ yo, $0 debts, decent $ in super? I don't feel fulfilment in my work any more after 47 year career, a CPA in Aus, never gone on a holiday in the past 10 years and feeling deterioration in my health. I'm still undecided whether to stop working reaching 67 next year. Thanks 🤔
@@michaelramage73 I know we did it, we haven't touched our Super and hopefully won't until pension age. We also don't get money from the Govt. My point is that self funding is expensive for 7 years and costs are going up every year as well.
Could you do a video on if retiring at age 62 next year and super balance is low. But you have money outside of super. Or is that the only way of the $120,000 or do 3 years at $360,000 (excluding sale of home) and than after 3 years continue with up to $120,000 per year. from then on. and start additional pensions. to get the tax savings from a pension Say you want to stay in the home for now. So it's a payoff of $120,000 each year or do the $360,000 now and wait 3 years to continue the up to $120,000 each year.. Or if you are retired, you can not put in up to the $120,000 of after tax dollars? In other words how to retire ASAP in nearing 60 or there abouts.. This year I am doing the 5 and current year of before tax dollars to up the balance ASAP. then switch to after tax dollars
I despise getting up in the morning. I hate driving in traffic. I hate my job. The only reason I go to work is to get away from my wife. I started putting small amounts arsenic in my boss's coffee. I'm stealing money from the company after being passed over for promotion by a lady with a big pair of dirty pillows. I'm ready to retire.
Great video. I checked the retirement planner. I added an estimated Investment Assets of $100k. My future income is lower taking into account my investment assets as opposed to have zero investment assets. Why is that? I thought I’d have greater income.
@@disasterblaster3693 I don’t know? Sure there will be less entitlement to the pension but you’d think initially I’d have a higher retirement income, but it shows less!?! If I had $100k more in superannuation, it shows I have a higher retirement income, not less. Either we have a very screwed up system or the calculator has a bug?
@@josephj6521disaster blaster is correct; it will be the effect of those assets on age pension eligibility. For every $1 in assets you have over the threshold the age pension reduces by $3 per fortnight. This means your investment needs to be giving you a return of 7.8% per annum AFTER tax. The calculator is generic and my guess is it’s not using anywhere near this return ( 7.8% is up around 11-12% before tax).
I used the retirement calculator. Age 60 currently, retire age 65. Not eligible for pension. Provisioned till 110 (max of the calculator and no way to reach there). It says I can have 190k annually.
Wow, a huge retirement income. If you’ve had tax reduction over working life to support your investments ie: support from taxpayers, many of whom never had sufficient disposable income to make “ investments” beyond a costly mortgage & could never claim tax deductions for very much , why do you want tax payers to pay you an Age Pension as well? Kinda sounds like you might want that.
@@pacapaca6307 No I would never ask for the pension because clearly I don't qualify. I am sure I paid plenty of tax along the years as well, with no plan to get anything from hand outs. BTW the projected income sounds great but I doubt if it would be realistic to get it in real life.
@@Woodland26 Guess it depends on what happens for you between now & 65; how much you have then in your Super Fund. Apologies if I came off sounding judgemental. It’s just that I worked with people with multiple investments properties who skited about “not paying any tax”… whilst I struggled on a single income ( earning quite a less than the median income) saving a deposit, paying a mortgage, paying tax with minimal tax deductions or tax saving devices like “ income splitting “ etc available to me, hence also minimal ability to “salary sacrifice” into Super etc either. I was also always deemed “ineligible” through means testing for any 1st homebuyer assistance due to being “single”, having a lower threshold applied to me than to a “single with a dependent” or an “ engaged couple”, both of which had higher income levels permitted than before deemed “ ineligible”. So, so much easier for couples to save, finance, repay much more quickly a mortgage then sock money into Super strategies. Even with kids if assisted by grant of Family Tax Benefits, childcare subsidies etc which overall boosted “ family incomes”. For sure, going into the future, the obligatory employer based Super contributions should assist future generations into retirement, although I really worry about the likelihood of those generations never being able to afford their own home. How much do you reckon someone has to earn to finance a mortgage of $600,000 upwards to $1,000,000 for a very ordinary abode? Wages & salaries just don’t run high enough for most people. 😢
100% Great comment. I ceased work at 58 and my wife was 60, had no choice due to my wife’s autoimmune issues, Covid did not help. But both have improving health day by day, so I agree do it as early as possible!👍👏😎
You can. Talk to your super people, financial advisor or accountant regarding your personal situation and how to manage your lifestyle for maximum tax and other cost advantages
if you meet condition of release, you can access your super. After 65, regardless if you meet conditions of release, you can access your super no questions asked.
If you want to take your pension at 60, you have to retire (or stop working e.g. Retrenchment or redundancy etc.). At 65 you can get your full pension even if you are still working.
At age 60, full access (if you meet the conditions of release eg stop working) or TTR access (within the TTR rules) become available to you. But you can have access to from 65 whether you are fully working or not.
Every super/retirement advice channel is the same. How much? Whatever your number is - it's not enough. You need at least $15 million to retire. House paid off. Three investment properties. Five overseas holidays a year. Plan on living to 115. And so on.
Don't underestimate the sometimes negative health impacts of retirement. Your body and mind has been trained over a lifetime to be active and making a positive contribution to society and your family. Have a plan for how you will continue to achieve those benefits post-retirement.
You can still be active in retirement. In fact I would say many people are a lot more active. I think it is a stretch to say that all jobs make a positive contribution to society. 😄 Many are a negative!
As always thank you for your advice however all calculators seem to be aimed at people that can get the aged pension. Is there an online calculator that assumes you are self funded so it takes the pension out of the equation. Many thanks.
Go to the advanced settings, select the include pension, select no. But my advice if you don’t even know how to do something that simple is get a financial adviser because it seems you’re not intelligent enough to even manage your own self managed fund.
Haven't watched the video yet, but I'll just stop you right now.... The time is now.. And no, no sane person wants to work into old age- they are either scared, lack imagination, or their identity is too closely linked to their job.
Hey everyone, thanks for watching! Ready to take control of your retirement? Download our FREE 6-Step Superannuation Check today: www.torowealth.com.au/6-step-super-check/
Is the Toro weath / app 6 step check free ?
I'm on the countdown to 60, and am preparing for volunteering my professional services a few hours a week after. Great video.
Good one Ric!
I and the Retirement Calculator (RC) do not get on at all. R.C keeps telling me that I need to work until I am 67 and I am fed up with work now at age 56😖.
Your relationship with RC will improve in time. ❤
😂🩷
Your advice is much appreciated. I watch all your video's trying to work out what I should do. You make it easier to understand.
Glad to hear it!
These Videos are great, 60 now aiming to be out comfortably in the 61-62 range latest . Thanks for great topics to consider.
53 now.
At 55 I’m done!
You won’t regret it 🎉
All the best!
I wanted to retire the day I started work, I remember being asked on my 1st day at what age I wanted to retire 60 or 65 (for government super purposes) and I said how about tomorrow and while I enjoyed my job of 36 years, I never liked having going to work, or to school for that matter, as I said it wasn't that I didn't like it but in my mind I could be doing something else or just nothing rather that having to get up and head off to work.
When I worked out at 54 I had enough to retire comfortably I went about getting myself made redundant, I could have left then and there but why miss out on a attactive redundancy package, it took 14 months. That was 4 years ago now and certainly absolutely zero regrets.
I’m looking forward to retirement in two years at 60. I’m an engineer and I still want to contribute and mentor the next generation.
After 5 weeks of leaving the business they wont even remember your name. Stuff them! Live the life for you!!!!
Your so right. I'm getting burnt out at 54 with each swing away destroying me further. Problem is big mortgage
That moneysmart calculator is broken for a number of reasons:
- It assumes you want to retire at 60 or after.
- It assumes the only investment assets you have are inside superannuation, it lets you add non-super investment assets, but seems to ignore it in the calculation completely.
- It assumes your partner is within 10 years of your age.
- It assumes your employer will pay 11.5% regardless of how your comp is structured
It also doesn’t do TTR or lump sum contributions and assumes full balance based annuity. It is a simple calculator which covers the majority of Australian cases which is a wage earner fully accessing their super when they completely retire at 60 or over.
Your superfund should have a more sophisticated calculator.
If you are able to retire early and coast FIRE in your 50’s say using after tax accumulated wealth, then well done, but even then the calculator isn’t completely useless.
For the coast FIRE early retiree, it can give you an idea of what your super balance might provide for you from the 60 or over age that you choose to fully access your super balance. Simply put in your current age, current super balance, a zero income and whatever personal contribution you choose to keep making up to the super access age, and it will work out the balance and annuity at your “retirement” (super accessing) age.
The tool available on the Australian Retirement Trust website is more granular than the Moneysmart one (don't have to be a member to access the tool), and I'm sure other super outfits have similar tools...
Great video and breaking it down into simple but critical points is excellent. At 59 I have just been made redundant so keen to start my retirement next year when I turn 60!
So glad to hear you are getting value from the videos. Thanks for taking the time to comment.
Good post 👍🏽
Retired last year at 51. “Afford to retire” is the #1 Question. If you can’t get to the answer yes, all other questions become meaningless. The government tools are excellent for planning. So even if the answer is no after using the tools, at least now you know when you can say yes.
I’m 54 . Gave 38 years to mining . Sucked most of my best years away FIFO . Chucked it in last year . Couldn’t give a stuff about the next gen .
Will enjoy life now.
If anyone says they want to be a mining engineer tell them to find another residential job . Mining sucks !
Huh I'm 43 a mining engineer and I love it
@@victoriatreacy4626- good. But I couldn’t wait . FIFO is just wishing your life away. Wish I was home, wish the plane was on time, wish food was better, wish neighbour didn’t snore, wish leadership team made a decision, wish it wasn’t hot, wish I was home, wish it wasn’t dusty , wish I had more time off. The only thing I didn’t need to wish for was $$$$$ . That they had covered. Therefore fully retired at 53 yo 🫡
It only took you 38 years to realise. 😂
I’m an operator and I’ve just done 30yrs in mining I’m over it now but couldn’t have earned that kind of money anywhere else so im grateful for that
@@oggyoggy1299golden handcuffs
A lack of health and just wanting to enjoy myself is my reason. Want to leave now but will hold out till mid next year just after I turn 65. I can still do some relief work
Love watching your videos you always give good food for thought!
glad you like them!
Could someone use a TTR to improve their tax position by say taking a TTR income but maintaining work hours and adding the pension drawdown as a salary sacrifice? Pay 15% tax save 15% tax in all likelihood?
While the TTR makes pension payments, it does not have drawdown options.
Yes, this is a very popular strategy that Chris Strano covers in other videos
Thanks for these videos most helpful
Glad you like them!
I run my own construction business
if I say I never work a day in my life because I loved my work and never look for money
Money just come in
i am nearly 60 I be keep going till the day I die
I believe if I stop working I be dead
So if you keep working you will be dead.
And if you stop working you will be dead.
I hope you realise sooner rather than later that you won’t die if you stop working and there’s a LOT more to do and enjoy than just working your whole life. That’s like the worst plan I’ve ever heard of. Sorry…just saying.
But you missed the very important point I never work a day in my life because I love what I do I am the lucky one I work when I want to I holiday when I want to I start finish when ever I want to
my point is do what you love as work then no need to retire
@@TIPUSULTANLYLLPURIA You say that but how do you know you wouldn't find other really enjoyable pursuits once you have retired? If you have worked all your life all hours then you most likely don't know anything else. I had a good friend who loved his job and didn't retire until his mid 70s but afterwards realised that he was happier retired than working and regretted retiring too late in life when he had plenty of money so no need to have done so.
Bung knee bung ankle bung prostate. 60 it will be for me after a total knee job. Want to keep cycling surfing walking and living with only 20 good years left before the inherited dementia sets in. Bugger working to 65.
Go low carb intermittent, research it, you'll get your life back.
Thanks Chris. What do you say to a 66+ yo, $0 debts, decent $ in super? I don't feel fulfilment in my work any more after 47 year career, a CPA in Aus, never gone on a holiday in the past 10 years and feeling deterioration in my health. I'm still undecided whether to stop working reaching 67 next year. Thanks 🤔
Great video SuperGuy. Thanks
No problem. Glad you like it.
As soon as I hit 60 and csn access my Super.
Hope you have lots of it cos 7 years is a long time to wait for the pension.
@oldbloke204 have 1% chance of outliving my Super at the moment based on the calculator. Enough to support myself and wife for good 30years.
@@oldbloke204you can plan well ahead and retire early. The amount of sacrifice needed is different for everyone, but be done.
@@michaelramage73 I know we did it, we haven't touched our Super and hopefully won't until pension age.
We also don't get money from the Govt.
My point is that self funding is expensive for 7 years and costs are going up every year as well.
Could you do a video on if retiring at age 62 next year and super balance is low. But you have money outside of super. Or is that the only way of the $120,000 or do 3 years at $360,000 (excluding sale of home) and than after 3 years continue with up to $120,000 per year. from then on. and start additional pensions. to get the tax savings from a pension
Say you want to stay in the home for now.
So it's a payoff of $120,000 each year or do the $360,000 now and wait 3 years to continue the up to $120,000 each year..
Or if you are retired, you can not put in up to the $120,000 of after tax dollars?
In other words how to retire ASAP in nearing 60 or there abouts..
This year I am doing the 5 and current year of before tax dollars to up the balance ASAP. then switch to after tax dollars
I despise getting up in the morning. I hate driving in traffic. I hate my job. The only reason I go to work is to get away from my wife. I started putting small amounts arsenic in my boss's coffee. I'm stealing money from the company after being passed over for promotion by a lady with a big pair of dirty pillows. I'm ready to retire.
Your funny !
😂😂😂
Great video. I checked the retirement planner. I added an estimated Investment Assets of $100k. My future income is lower taking into account my investment assets as opposed to have zero investment assets.
Why is that? I thought I’d have greater income.
Probably to do with not being entitled to as much Age Pension when you have more assets.
@@disasterblaster3693 I don’t know? Sure there will be less entitlement to the pension but you’d think initially I’d have a higher retirement income, but it shows less!?! If I had $100k more in superannuation, it shows I have a higher retirement income, not less.
Either we have a very screwed up system or the calculator has a bug?
@@josephj6521disaster blaster is correct; it will be the effect of those assets on age pension eligibility. For every $1 in assets you have over the threshold the age pension reduces by $3 per fortnight. This means your investment needs to be giving you a return of 7.8% per annum AFTER tax. The calculator is generic and my guess is it’s not using anywhere near this return ( 7.8% is up around 11-12% before tax).
Where does it allow for additional “outside of the super environment” investment assets?
@@robsalvv5853 there is a drop down box below the results “Advanced Settings - Other “. Enter your values and the result will update
how can you afford to pay land tax if you retire and the rent does not cover the land tax and fees and maintenance
Why does the govt planner calculator give the retirement income from 70 when i put in 60?n
Not sure. Maybe you input your current age as 60 and your retirement age as 70????
There are good calculators on Noel Whittaker website and they are free. Great video thank you.
Thanks for the tip! You're welcome
I used the retirement calculator. Age 60 currently, retire age 65. Not eligible for pension. Provisioned till 110 (max of the calculator and no way to reach there). It says I can have 190k annually.
Wow, a huge retirement income. If you’ve had tax reduction over working life to support your investments ie: support from taxpayers, many of whom never had sufficient disposable income to make “ investments” beyond a costly mortgage & could never claim tax deductions for very much , why do you want tax payers to pay you an Age Pension as well? Kinda sounds like you might want that.
@@pacapaca6307 No I would never ask for the pension because clearly I don't qualify. I am sure I paid plenty of tax along the years as well, with no plan to get anything from hand outs. BTW the projected income sounds great but I doubt if it would be realistic to get it in real life.
@@Woodland26 Guess it depends on what happens for you between now & 65; how much you have then in your Super Fund.
Apologies if I came off sounding judgemental. It’s just that I worked with people with multiple investments properties who skited about “not paying any tax”… whilst I struggled on a single income ( earning quite a less than the median income) saving a deposit, paying a mortgage, paying tax with minimal tax deductions or tax saving devices like “ income splitting “ etc available to me, hence also minimal ability to “salary sacrifice”
into Super etc either.
I was also always deemed “ineligible” through means testing for any 1st homebuyer assistance due to being “single”, having a lower threshold applied to me than to a “single with a dependent” or an “ engaged couple”, both of which had higher income levels permitted than before deemed “ ineligible”. So, so much easier for couples to save, finance, repay much more quickly a mortgage then sock money into Super strategies. Even with kids if assisted by grant of Family Tax Benefits, childcare subsidies etc which overall boosted “ family incomes”.
For sure, going into the future, the obligatory employer based Super contributions should assist future generations into retirement, although I really worry about the likelihood of those generations never being able to afford their own home. How much do you reckon someone has to earn to finance a mortgage of $600,000 upwards to $1,000,000 for a very ordinary abode? Wages & salaries just don’t run high enough for most people. 😢
You are in the top 1% of the top 1% to have a $3m+ balance already. Why wait till 65yo????
Hey Mate, good video. If you set the camera higher, we won't be looking up your nose the whole time tho. No hate, just feedback. 😊
Oh no, now I can’t unsee it 😂😂😂
Hahaha... yes we still have a lot to learn on the production side! Thanks for the 'heads-up'
Yes, camera at eye level would be great 🙂 Thanks for the great content.
Retire when you are healthy as one day you will not be.
At 22 then.
@@oggyoggy1299 perfect.
100%. No good having all of your ducks lined up but don't have the health to enjoy your retirement.
100% Great comment. I ceased work at 58 and my wife was 60, had no choice due to my wife’s autoimmune issues, Covid did not help. But both have improving health day by day, so I agree do it as early as possible!👍👏😎
@@patrickaustralia528 I was a nurse and how many times did patients tell me, I wished I never worked so hard.
@superguy You should point out that some super funds allow access at 55.
What does it mean "Full Access" to Super at age 65?? I'm 55 and was hoping to access my Super at age 60...
You can. Talk to your super people, financial advisor or accountant regarding your personal situation and how to manage your lifestyle for maximum tax and other cost advantages
if you meet condition of release, you can access your super. After 65, regardless if you meet conditions of release, you can access your super no questions asked.
If you want to take your pension at 60, you have to retire (or stop working e.g. Retrenchment or redundancy etc.). At 65 you can get your full pension even if you are still working.
@@kazbutler no, you can do TTR plan from 60 which lets you continue working and drawing super. There are rules which is why it isn't "full access"
At age 60, full access (if you meet the conditions of release eg stop working) or TTR access (within the TTR rules) become available to you. But you can have access to from 65 whether you are fully working or not.
When you can’t bear work a minute longer
So when you’re 32?
yes, true!
Every super/retirement advice channel is the same. How much? Whatever your number is - it's not enough. You need at least $15 million to retire. House paid off. Three investment properties. Five overseas holidays a year. Plan on living to 115. And so on.
You’re either taking the Mickey or seriously deranged, or maybe just dopey, I cannot tell which. Please enlighten us.
Retire when you have 568k between super and outside of super. Move in with parents.
That’s your plan or you’re trying to give dumbass advice?
perfect!
TRT is a great option assuming your employer agrees to your request 🙄 unfortunately in my case the employer refused my request 😡
There are ways around this with personal concessional contributions
Yes, any calculator for me will say work till you die
Don't underestimate the sometimes negative health impacts of retirement. Your body and mind has been trained over a lifetime to be active and making a positive contribution to society and your family. Have a plan for how you will continue to achieve those benefits post-retirement.
You can still be active in retirement. In fact I would say many people are a lot more active. I think it is a stretch to say that all jobs make a positive contribution to society. 😄 Many are a negative!
As always thank you for your advice however all calculators seem to be aimed at people that can get the aged pension. Is there an online calculator that assumes you are self funded so it takes the pension out of the equation. Many thanks.
Go to the advanced settings, select the include pension, select no. But my advice if you don’t even know how to do something that simple is get a financial adviser because it seems you’re not intelligent enough to even manage your own self managed fund.
@@aussiestallion69 seriously ! You are a complete moron and so is your UA-cam name.
That's a bit harsh...he might have other skills that he could better than yourself
@@nicholaspapas4670 seems unlikely though
Just deselect 'include pension' in the settings
14 years and 5 months
Nice
9-Get to cranky 😆
hahaha
Haven't watched the video yet, but I'll just stop you right now.... The time is now.. And no, no sane person wants to work into old age- they are either scared, lack imagination, or their identity is too closely linked to their job.
Why retire? What the hell will you do once you have done your two laps of the country. Just work less..
Not a bad idea!