A relationship breakdown is traumatic enough, and then you have to also consider the division of the assets.....but what should you do?
Katrina came to us seeking advice following the split from her husband of 10 years. The couple had a young child who would be living with Katrina.
Katrina had sought advice from a solicitor, however she wanted to understand her financial position in regard to the family home and the Self-managed Superannuation Fund (SMSF) of which she was a trustee and member.
Upon analysing her situation it became clear that she was not able to take on any debt associated with the family home and therefore should seek to be paid out her share of the equity.
We advised Katrina to invest the proceeds from the home in an appropriate investment that would supplement her income (and allow her to rent a property while she adjusted to her new life). We also recommended that she resign as a member and trustee of the SMSF, and rollover her account balance to a new superannuation fund (which was invested according to her risk profile). We helped Katrina establish adequate personal insurance cover that would provide for her young child should Katrina die, or become sick or disabled and could not work.
* Names have been changed to protect client privacy.
What to do next:
If you want us to help you review your financial situation, contact us today on 03 8394 0300 or email us at firstname.lastname@example.org to organise to speak with one of our Certified Financial PlannersTM.
Using a testamentary trust to protect assets and distribute income tax effectively