Super life cover

Is holding insurance cover in your superannuation fund a good idea? Read on... Life and total and permanent disability (TPD) cover Many super funds provide insurance that pays a lump sum if you die or are disabled to such an extent that you will never be able to work again. There is currently no limit on the amount of death cover that can be paid to dependants. As an example, consider Ton...
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Where does the money go when the share market “corrects”

During a share market correction or downturn the media will report that a certain market has ‘lost’ billions of dollars. But what happens to all that money and where does it go? Is it really lost? The answer is that it is purely a book figure – a ‘paper loss’. There is no magical drain other than the metaphorical one to explain this economic concept. Imagine a real estate agent est...
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Super jargon explained

A survey conducted by Galaxy Research in 2012 revealed that 80% of Australians are confused by superannuation jargon. We’ve identified some of the most common terms and explain them in language everyone can understand.   Term Explanation Account Based Pension Also known as an 'Allocated Pension'. An investment account established with a lump sum from a super fund from which...
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A great way to reduce interest

There are so many opportunities to borrow money these days, is it any wonder many of us fall under the spell of “have it today, pay for it tomorrow”, especially when the interest deals are so attractive? Unfortunately some people get carried away and soon find themselves with so many loans and mounting interest. An excellent way to manage this predicament is “debt consolidation”. This p...
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