Financial advisers... are they worth it ?

[Ando77]

Boring subject , I know.

 

Worked my ass off for over 35 years

 

I am 51 now and fed up with being raped by the tax man and watching what little super I have go to the shitter.:realmad:

 

I want to retire by 65 and have enough coin to really enjoy life.

 

Never tried an adviser. The internet is a minefield of detail.

 

I'm confused,

 

Thoughts ? Recommendations please guys ?

 

Cheers,

Ando

[toads]

In my experience years ago I would never go near one again.

[Colt45]

Talk to an asian one, they're the most savvy on the subject

[Jed]

My experience: Definitely worth it, if only to find the best use for specific amounts of money. For example, couple years back my wife got offered a payout package due to a restructure of the executives in TAFE. We were at a loss what to do with the bag of loot we suddenly had, but an adviser recommended putting to bulk of it in an account to offset our mortgage, and the net result is we're not paying any interest at all on the house. It's a no-risk option that instead of making us money is saving us money (same thing really) but also something the adviser said was easily the best yield with no risk.

 

For us it was definitely worth doing.

 

Sent from my SM-N9005 using Aussie Arcade mobile app

[djc]

I got badly burned a few years ago, but getting to the stage you are now and should speak to someone. The key is finding an honest one that will be impartial and not motivated by commissions.

[namastepat]

If you get a good one, absolutely. The difficulty is finding an honest one who will work for you, and not for themselves. I know an excellent one in Brisbane. He does take on clients outside of Brisbane, but he generally sticks to locals. I can send you his details if you like.

 

EDIT: Also, the best way to ensure your good retirement is to focus on your super development. I'm of the lucky bunch of people who for my entire working life, I have had compulsory super. I was told by my dad to always tip the extra 3.5% into my super so I can ensure my retirement is safe. I have literally been doing that since I was 16 and my super balance is now far and away ahead of the average super balance for a person my age. I consider that piece of advice to be one of the best pieces of advice I have been given.

 

I can expect by the time I retire, the pension will be either totally non-existent, or very difficult to ever get.

[Rob1966]

In my experience financial advisors get paid heaps to give you shitty advice there not in it for you they are in it for them, that’s how they make there money.

Put your money in your super fund if you can

 

 

Sent from my iPhone using Tapatalk

[Railways]

I haven't had an honest, decent, unbiased one yet. What I have learn't though is not to store all your eggs in one basket and also going with industry based super is the way to go. In fact I've diversified to spread the risk with Super as well as in 3 different super's as being industry based generally the fees aren't horrific and they work for you and not the shareholders and filthy board directors.

Was with AMP for 15 years but after the fees I would have been better off putting the money under my pillow - bloody thieves and glad they got hauled over.

Some people swear by Real estate but that's a bit like all your eggs in one basket as well IMO.

[angs1957]

You could try a local accountant, visit consultation is usually free :)

[hotty]

Super is a personal thing when it comes to contributions as it's a long term view on financial stability and the fact that it's so long term it's able to weather the bad times. As there is no guarantee on the principle investment this often deters people from contributing to a fund. So if your now in your 50's and like a lot of people had dual incomes at one stage or still do and now have teenage kids if you started later in life and liked to live a good life in your younger days and bought new cars, dined out often, maxed out your credit cards and regular oversea's holidays and thought paying off the minimum mortgage repayments were all good idea's then you probably won't be retiring at 65 and financial advice is probably a good thing, but if you did all of the opposite in moderation and hit your loans hard then you are probably going to find you still question whether a financial adviser can help because you probably will retire at 65 with a very healthy bank balance and use this money in a tax effective way as an allocated pension and that.s where an advisor is there to benefit you, great advice is not free.

[kkb]

A lot of financial advisors usually recommend you invest your money with whoever they get the most commission off . But there are several good ones around . The good one should offer first up advice for free . Speak to a couple to get a good understanding before committing.

A few people at work have been happy speaking to there super fund advisors . Ask them to work out a plan for your transition to retirement.

[Railways]

That's pretty sensible advice. I'd agree with that.

[goodolddays]

Financial advice via your Super fund may well be free. It is with Australian Super .

I paid for financial advice for years with managing my Super .. a huge waste of $$$.

I regret not switching to an Industry Fund a lot earlier .

[c_mario]

If they were any good, they wouldn't be advisers, they'ed be independently wealthy.

[Ando77]

In my experience years ago I would never go near one again.

 

Sorry you had a bad experience mate.

 

I understand there are a lot of bad operators out there, Hence my hesitation.

 

I saying that, I believe it is a must these days depending on the portfolio you have, or wish to have.

 

My interest is property and managed funds at this time.

I have to reduce tax and make my super work better

 

I'm aiming for a 1.5 - 2k passive income per week by the time i'm 50 . I don't want to get old on the bones of my ass.

 

I am really appreciating the feedback so far and hope this thread might help others plan for their financial future.

 

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Talk to an asian one, they're the most savvy on the subject

 

Are you talking about my missus, lol, shes got no idea, just happy to come along for the ride

 

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My experience: Definitely worth it, if only to find the best use for specific amounts of money. For example, couple years back my wife got offered a payout package due to a restructure of the executives in TAFE. We were at a loss what to do with the bag of loot we suddenly had, but an adviser recommended putting to bulk of it in an account to offset our mortgage, and the net result is we're not paying any interest at all on the house. It's a no-risk option that instead of making us money is saving us money (same thing really) but also something the adviser said was easily the best yield with no risk.

 

For us it was definitely worth doing.

 

Sent from my SM-N9005 using Aussie Arcade mobile app

 

Good advice right there.

 

My accountant missed this, It was a broker that made this suggestion.

I slapped myself for not realising. Offset your own mortgage, not investments, doh

 

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I got badly burned a few years ago, but getting to the stage you are now and should speak to someone. The key is finding an honest one that will be impartial and not motivated by commissions.

 

Yes, Thanks,

 

I don't hols a great deal of hope but perhaps the RC will weed out a lot of turkeys

 

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If you get a good one, absolutely. The difficulty is finding an honest one who will work for you, and not for themselves. I know an excellent one in Brisbane. He does take on clients outside of Brisbane, but he generally sticks to locals. I can send you his details if you like.

 

EDIT: Also, the best way to ensure your good retirement is to focus on your super development. I'm of the lucky bunch of people who for my entire working life, I have had compulsory super. I was told by my dad to always tip the extra 3.5% into my super so I can ensure my retirement is safe. I have literally been doing that since I was 16 and my super balance is now far and away ahead of the average super balance for a person my age. I consider that piece of advice to be one of the best pieces of advice I have been given.

 

I can expect by the time I retire, the pension will be either totally non-existent, or very difficult to ever get.

 

Thanks Pat, and well done for you.

I hold no hope for pension and doubt an enjoyable life could be lived on it anyway.

Appreciate the lead for your Brisbane contact.

I was having a look at these guys

 

http://www.visis.com.au/

 

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In my experience financial advisors get paid heaps to give you shitty advice there not in it for you they are in it for them, that’s how they make there money.

Put your money in your super fund if you can

 

 

Sent from my iPhone using Tapatalk

 

Yeah understand mate there are a ton of rogues out there.

 

My super is really small and getting eaten away, I got to find a better solution

 

- - - Updated - - -

 

I haven't had an honest, decent, unbiased one yet. What I have learn't though is not to store all your eggs in one basket and also going with industry based super is the way to go. In fact I've diversified to spread the risk with Super as well as in 3 different super's as being industry based generally the fees aren't horrific and they work for you and not the shareholders and filthy board directors.

Was with AMP for 15 years but after the fees I would have been better off putting the money under my pillow - bloody thieves and glad they got hauled over.

Some people swear by Real estate but that's a bit like all your eggs in one basket as well IMO.

 

Yep, good call mate

 

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You could try a local accountant, visit consultation is usually free :)

 

Yeah good point, I think all accountants are not equal, for some reason I choose to stay with mine even though at times I believe he might under perform.

 

- - - Updated - - -

 

Super is a personal thing when it comes to contributions as it's a long term view on financial stability and the fact that it's so long term it's able to weather the bad times. As there is no guarantee on the principle investment this often deters people from contributing to a fund. So if your now in your 50's and like a lot of people had dual incomes at one stage or still do and now have teenage kids if you started later in life and liked to live a good life in your younger days and bought new cars, dined out often, maxed out your credit cards and regular oversea's holidays and thought paying off the minimum mortgage repayments were all good idea's then you probably won't be retiring at 65 and financial advice is probably a good thing, but if you did all of the opposite in moderation and hit your loans hard then you are probably going to find you still question whether a financial adviser can help because you probably will retire at 65 with a very healthy bank balance and use this money in a tax effective way as an allocated pension and that.s where an advisor is there to benefit you, great advice is not free.

 

Yes, I have tried to be conservative and done the right thing, I was unlucky to get set back 15 years by a separation, she took me for a lot

[Colt45]

all the chinese I know have made successes from meagre beginnings that's why I mentioned

 

One lady started out as factory worker,now runs 3 tatts outlets and 5 giftware/$2 shops . Owns x5m,golf R and Porsche Macan

[prktkljokr]

My wifes parents retired at 65, with only $65,000 in the bank, that was 15 years ago, father in law passed away 2 years ago, mother in law still has about $50- 60,000 in the bank, they went on holidays bought a new car etc.

 

You dont need a huge amount when you retire, your house should be paid off, so no mortgage, you might even downsize so some extra $$ in the bank, no kids live with you, not putting $100 worth of fuel in the car a week to get to work, the pension even though its not a lot, is more than you need if you dont owe money and are good with what you spend it on.

 

I suppose it just depends on the lifestyle you want to live to how much you need, as your life changes a lot when you retire and from what I have been told, its a bit to get used to.

 

Really cant see you going through $2000 a week when you retire unless you are traveling the world and living it up :D.

[Beast]

Have a read of Scott Pape's book 'The Barefoot Investor'. A lot of good advice in there for everybody.

[Colt45]

Yeah retiring onto the pension....stuff that. What a life

[stuzza]

We met with a financial adviser through our bank and it was a big waste of time. He pretty much told us to take our entire weekly savings (yes all of it!) and spend it on expensive insurance. So we would have insurance but no life? I'm sure because he was getting a kick back for that insurance company. Can't see how that was good advise. He also didn't mention we could get the same insurance by simply upping our cover via our Super fund.

 

I'm sure there are probably some more respected advisers out there just a matter of finding a good one.

[Coon82]

Have a read of Scott Pape's book 'The Barefoot Investor'. A lot of good advice in there for everybody.

 

This is a great place to start. Great book, easy to follow, unbiased opinion to put things on autopilot.

 

Everyone's situation is different but for me, after reading this it reinforced we were already doing a lot of the right things and were in a good position. The main change we made was increasing our salary sacrifice to super.

 

Knowledge helps making an informed decision and confidence takes away doubt/indecision.

[jason1]

My interest is property and managed funds at this time.

I have to reduce tax and make my super work better

 

If your doing property, Likely stay away from capitol cities.

There has been some pretty concerning drops in sales and sale prices in allot of capital cities the last few months.

Banks have made it harder toget loans so that has reduced buyers.

Also Likely chance that the negative gearing will be abolished soon, So that could see housing prices lower, but if doesnt see prices lower, it would still be one door closed to you.

City property would is being more risky, right now. Prices are still high but sales are down and a decline is a decline. 10% decline in Melbourne and 9.1% in Sydney from peak is a fair chunk of cash.

1% fall last month alone

 

So consider those sorts of things. Because if you were to negative gear you might want to get in soon, But could be taking the risk you've got in to late and your investment may drop.

The hard part with declining markets is getting good information on if you should or shouldnt invest, Often people giving the advice are in the market that is declining so they have vested interest, so they need to talk it up and dismiss those sorts of risks.

So that is also something you need to consider.

 

I have a business that puts all its profits into me and my partners Super accounts, I dont take a cent out of that business, it is a piggy bank for my retirement.

I am a bit old school and like the idea of saving money for the future, and having a debt free house hold is helping me out the most with being able to save.

Ive always had my concerns with financial advisers, as Its impossible to know where their money is and if your money is just being used to help them not you.

and the more complicated your investment becomes the harder it is to keep track of it and actually monitor its progress, Often having to take the financial advisors word that is gaining momentum rather than being able to see it for your self.

 

But Im sure some people do well from good financial advice, and every one has their own ideas on how to finance their retirement.

I like others have mentioned above hold little hope of any age pension being around when I retire,

Edited March 1, 2019 by jason1

[djc]

Excellent thread :-). Finally got off my butt and moved to an industry super fund and will get one opened for my wife once she gets a TFN as she has not worked for 15 years and never in Aus. Property not looking good, but hopefully better in the long game. Reckon have lost $400k since the peak on our house. 15-20 years of super stuffing to go...

[Boots]

Isn't the proposal to end negative gearing only on existing properties?

I believe it was still going to be allowed on new builds.

[jason1]

Isn't the proposal to end negative gearing only on existing properties?

I believe it was still going to be allowed on new builds.

 

Either way the principle of the policy is to bring down prices.

 

Im not against housing prices going down, Its pretty obvious these prices are over inflated, and are out the range of first home buyers and families who just want to live in their own home rather than buying for investment.

But this is not what the topic is about

 

But You need to take these sorts of things into account, If there is a policy that is designed specifically to lower House prices, and is very likely that will happen, then you need to take note of that if you are looking at buying houses for investment purpose, obviously

But also Changes to capital gains taxes is also a likely change, which is something that will effect investments in the housing market.

So if your a want tobe investor you would be crazy not to Think long and hard about that before investing

Edited March 1, 2019 by jason1