{"id":65447,"date":"2021-05-27T05:32:48","date_gmt":"2021-05-27T05:32:48","guid":{"rendered":"https:\/\/websitedesigns.com.au\/elankanew\/?p=65447"},"modified":"2021-05-27T05:32:48","modified_gmt":"2021-05-27T05:32:48","slug":"noel-news-21","status":"publish","type":"post","link":"https:\/\/websitedesigns.com.au\/elankanew\/noel-news-21\/","title":{"rendered":"Noel News"},"content":{"rendered":"

Noel News<\/span><\/h1>\n

\"\"<\/p>\n

“If you don\u2019t invest in yourself,<\/em>
\nwhat are you going to invest in?”<\/em><\/i><\/span>
\nDAVID MELTZER<\/span><\/p>\n

Welcome to another newsletter<\/span><\/h3>\n

\"\"I received feedback from some readers that my last newsletter was a bit long and complex, so this one will be shorter and hopefully less complex. Also, future newsletters will be shorter and more frequent.<\/span><\/p>\n

Just remember that a major finding of the Retirement Income Review was that our systems are overly complex, especially in the interaction between tax, superannuation, age pension and aged care.<\/span><\/p>\n

So, even though we can do our best to keep things simple they can quickly become complex. This is why good advice is so important.<\/span><\/p>\n

In this edition I\u2019ll talk about the recent federal Budget, and the battle I had with Telstra which went over eight weeks. As you will discover I did win it.<\/span><\/p>\n

The Budget<\/span><\/h1>\n

There was no doubt the budget was framed with an election in mind. It was full of goodies for everybody, and really left little to complain about, at least in the short term.<\/span><\/p>\n

\"\"<\/p>\n

Certainly, many people think there will be a day of reckoning when all the spending stops, but that appears to be a long way down the track. Right now, the world appears to be on a spending spree financed by borrowing.<\/span><\/p>\n

But, interest rates appear to be on the move \u2013 in six months the Australian 10 year bond rate has doubled from .8% to 1.6%. And , remember when Covid first struck everybody was scared about massive unemployment . The big problem now is nobody can get staff – this is a signal that inflation may be starting, which means prices and interest rates will start rising.<\/span><\/p>\n

The front page of last weekend\u2019s Financial Review featured the problems caused by material shortages throughout the world and the way costs were rocketing. The Weekend Australian of the same weekend ran a story headed “Terrible rental crisis stalls regional jobs” which talked about the pressure on rents in regional areas. This was making it impossible for workers to come to the country because there was no accommodation. To cap all that off, the Commonwealth Bank has just called the end of the bottom of the right cycle and has started moving their fixed rates upwards.<\/span><\/p>\n

\"\"<\/p>\n

What I found surprising the budget is that most of the changes to \u00a0superannuation don\u2019t start till July 2022. Maybe the purpose was to give time for them to be legislated, though I don\u2019t see any reasonable political party would object to them. But it does mean that extra care needs to be taken for people who may fall between the cracks if their birthdays are such that they lose the right to take part in the new rules when they come into force in 14 months. This is especially relevant if you are considering the bring forward contribution rules.<\/span><\/p>\n

Before I start talking about superannuation I\u2019ll give you a brief summary of the rules as they stand.<\/span><\/h3>\n