Retirement Age - what age is it?

What age is retirement age?

It seems that the answer for most people is the age that they can get the government aged pension, which stands at 65.  So is this the same aim for everyone?

Retirement age is the age that you want to cease your working life and do something else that fills in what used to be your working hours.  It can depend on family, health, financial commitments, travel desires, business succession - a whole host of factors.

Depending on my own financial situation, which is healthy, I can see myself being involved in my business well past the "retirement age".  I subscribe to the philosophy that if I am enjoying what I do (and right now I really do) then I am not really working anyway, so what would I be "retiring" from?  There is the old saying that you should find something that you really enjoy for your occupation, and that way you will never "work" a day in your life.  I guess I am one of the lucky ones in this regard.

Don't get caught in the retirement trap - it is your decision and relates to your situation alone.  Just because someone else is or isn't ceasing work doesn't mean that you fit the same template too.

It's your life, live it your way.

Brian is CEO & Partner at Clifton Accountants. Cliftons - THE Business Specialists

Can a Trust be trusted?

Hands up who uses a trust to run their business and protect their assets?

If you have a company as the trustee then you have the best level of asset and personal protection.  If you don't, then you need to see Cliftons (www.cpaaccountants.com.au).

Trusts are by far and away the best method of protecting your assets whilst also getting the benefit of tax-effective distributions to utilise low tax rates across family members, including children.

In recent time, however, the courts and particularly family law courts, have been looking more closely at trusts that have been established with the (seemingly) sole purpose of hiding assets from or making them inaccessible to spouses.  The courts are looking at what assets went into the trust, when the trust was established, who are the beneficiaries and who ultimately controls the trust entity.  This that assets you thought were beyond the reach of the other party can and likely will be brought into the equation for the calculation of a settlement and maintenance.

Whats the answer?

Get good advice before you do anything.  Will it be costly?  Quite likely.  But think of what it may cost you otherwise.