Franking credits - gone?

Further but this time in support of trying to be elegible for the aged pension:

 

A perfect illustration of the problem this creates. Simple game theory tells us the couple with $800k will sell down until they maximise their return. The net result is tax payers suffer by having to fund more pensions.

The game should be linear. The more you earn, the more you save, the more you get. If there's a point after which there's no point working, people will just stop. Fundamental reason Communism didn't work in the real world, the brightest and hardest workers said why should I work hard.

 

Yep.

And for medium to higher income earners with Labor wanting the tax rate at near 50%, attacking most avenues for wealth creation, workers killing themselves with stress, huge hours, delayed gratification through saving excessively, impact on health and loss of time with family, trying to get ahead in their career why would you bother. If getting ahead is important then best move overseas.

The current Labor government if elected will be a huge disincentive for productive enterprise in Australia. Labor’s union mates along with them will likely run amuck creating the mess that a number of countries in Europe such as Greece have experienced. For wealth creators / accumulators Sovereign Risk is a biggie. There has never been a more important time to consider investing overseas but Valuations Matter, take it steadily.

Not advice.

 

I'm sure a lot of people would be thinking the same.

My concern would be if they further means test the pension, ie lower the asset limit, extend the eligible age, include the family home, etc.

 

Only my opinion but Labor will not be elected ,and once you summarise if you are a wide reader all the arguments in the media about something like this it's all unknowable..

 

Cayman Islands, Bermuda, Luxembourg, just a few random countries I thought I might mention for no particular reason.

We are governed by professional politicians, not people who care about Australia, although I think Malcolm Trumbull is an anomaly.

 

Singapore looks convenient.

 

North Korea?

 

Now that’s Sovereign risk

 

Well, are you a contrarian or what?

 

I'd be worried that NK's fatboy would spend my legally taxed wealth on cheese and wine.

Singapore the Switzerland of the east. I'd prefer "business trips" to Cayman Islands.

 

Singapore sucks, but at least it’s on the way.

 

I’m moving to Greece.

 

The islands are pretty nice in summer

 

Yep. But then they could convert all your deposits into worthless bank shares. Just like Cyprus.

And country finances are junk.

 

How the better off can avoid Labor’s proposed Franking Credit change:

Labor's dividend imputation changes a 'tax on widows'

 

That goes to show what an idiot that BS is!!

 

Shorten going on again about helping the battlers on the 730 report the other night. You can tell Shorten is lying because his mouth is moving.

As I said before, this policy is just politics and will have a net negative effect on the economy. Targeting a slither of the big company tax would make a real difference.

 

Unfortunately this doesn’t stop idiots getting elected.

Hence I’ve decided on a number of alternative strategies we could use if different variations of Labor’s Policy were implemented some of which I’m already implementing as future protection against legislative risk but more importantly due to an infrequent Investment Policy meeting with the boss (wife) on our long term investing goals, risk management and requirement of simplicity etc. Sometimes the threat of change can be a positive thing in that it requires a long hard think about what one has been doing.

 

Quote..
Labor claims the Parliamentary Budget Office (PBO) did the costings. While the PBO undertakes costings for parliamentarians on a strictly confidential basis – and is not permitted to release the details of any costing advice unless the parliamentarian has released that costing advice – the PBO is independent and has established a practice of correcting the record if they have been materially misrepresented. PBO costings always take current policy settings as their starting point.

At least they have a plan "b" ,success is not failure ,just drop someone else on the bbq plate..thanks for the link ..