{"id":1116,"date":"2017-07-24T05:23:48","date_gmt":"2017-07-24T05:23:48","guid":{"rendered":"http:\/\/actinvest.com.au\/?p=1116"},"modified":"2017-07-24T05:23:49","modified_gmt":"2017-07-24T05:23:49","slug":"technical-expert-flags-estate-planning-strategies-for-2017-18","status":"publish","type":"post","link":"https:\/\/actinvest.com.au\/index.php\/technical-expert-flags-estate-planning-strategies-for-2017-18\/","title":{"rendered":"Technical expert flags estate planning strategies for 2017-18"},"content":{"rendered":"<p><strong><em>With the $1.6 million transfer balance cap now in place, technical experts have identified some of the considerations that will need to be made in relation to death benefits and reversionary pensions.<\/em><\/strong><\/p>\n<p style=\"text-align:center\"><img loading=\"lazy\" alt=\"\" height=\"311\" src=\"http:\/\/www.plannerweb.com.au\/images\/estate-planning-strategies.jpg\" width=\"400\" \/><\/p>\n<p>\u00a0 \u00a0 \u00a0 \u00a0 \u00a0<\/p>\n<p>\u00a0<\/p>\n<p>Perpetual Private head of strategic advice Colin Lewis says many SMSF practitioners, in the lead-up to 30 June 2017, didn\u2019t have the opportunity to review their clients\u2019 estate planning in light of the changes to superannuation.<\/p>\n<p>\u201cSMSF practitioners now really need to start looking at the client\u2019s estate plans in terms of what income streams they\u2019re receiving, if they\u2019re receiving any reversionary income streams or whether they just have binding death benefits in place,\u201d Mr Lewis said.<\/p>\n<p>\n\u201cFor those with more than $1.6 million, reversionary pensions may be treated more favourably in terms of the amount and when it\u2019s counted towards the transfer balance account test.\u201d<\/p>\n<p>SuperConcepts executive manager of SMSF technical and private wealth, Graeme Colley, said it\u2019s important reversionary pensions are considered carefully before they are implemented, as there can be some traps.<\/p>\n<p>\u201cIf you\u2019re going to put a reversion in, make sure your pension can move from being non-reversionary to reversionary,\u201d Mr Colley said.<\/p>\n<p>\u201cIf that\u2019s not possible, they may need to commute that pension and start a new pension. The trap there will be that if someone qualifies for Centrelink benefits, then that is an issue they need to be aware of. That may lend itself to people keeping the non-reversionary pension.\u00a0<\/p>\n<p>Individuals with more than $1.6 million who\u2019ve had to do something with the excess or will be doing something with it to transfer it out of pension phase, will need to work out what to do with the money when it gets paid out to their family on their death, Mr Colley said.<\/p>\n<p>\u201cOr if their spouse dies, they\u2019ll need to decide what happens with the money then,\u201d he said.<\/p>\n<p>\u201cThey might want to look at whether they can implement equalisation strategies for the estate [also].\u201d\u00a0<\/p>\n<p>\u00a0<\/p>\n<p>MIRANDA BROWNLEE<br \/>\n5 Jul 2017<br \/>\nwww.smsfadviser.com<\/p>\n","protected":false},"excerpt":{"rendered":"<p><strong><em>With the $1.6 million transfer balance cap now in place, technical experts have identified some of the considerations that will need to be made in relation to death benefits and reversionary pensions.<\/em><\/strong><\/p>\n","protected":false},"author":1,"featured_media":1117,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[4],"tags":[],"_links":{"self":[{"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/posts\/1116"}],"collection":[{"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/comments?post=1116"}],"version-history":[{"count":1,"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/posts\/1116\/revisions"}],"predecessor-version":[{"id":1118,"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/posts\/1116\/revisions\/1118"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/media\/1117"}],"wp:attachment":[{"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/media?parent=1116"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/categories?post=1116"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/actinvest.com.au\/index.php\/wp-json\/wp\/v2\/tags?post=1116"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}