Tag Archives: Women in Finance

How to keep your head while keeping your distance

By Robert Wright /June 01,2020/

There are people who are better at the whole social distancing game than others. If you already normally work from home, for instance, you might be laughing into your elbow as you listen to the newly homebound lament that their desire to binge on Netflix on the weekend isn’t so appealing when they can do it 24/7.

But whether you’re an old hand at this or still an apprentice, the uncertain and often frightening course of this rapidly unfolding pandemic can upend even the most stoic of temperaments.

One thing we can control, however, is our behaviour. Hiding under the doona isn’t going to offer anything more than a temporary reprieve from reality, so it’s important to find ways to make the most of your quarantine.

Psychologist Dr Nellie Lucas says creating “opportunities for calm” in the storm of worry and stress can be done with a sense of purpose.

“Begin by noticing the small things – appreciating the sunshine in the garden, the smell of coffee in the morning,” says Lucas, who is principal clinical psychologist at Melbourne Clinical and Child Psychology.

“Schedule times for social media and the news. A morning slot and an afternoon slot can work well for most of us. Similarly try and plan your day so work does not flow into rest and other activities. Recognising a need for balance can sustain you at a time when worry can escalate,” she says.

Space patrol

If you’re literally boxed in, with few options for outdoor pursuits beyond the supermarket, it might be useful to seek guidance from someone with experience being confined in tight spaces.

Astronaut Anne McClain, who was a flight engineer on the International Space Station (ISS) in 2019, recently shared some of tips with her 125 million Twitter followers.

Most are surprisingly applicable to those of us here on earth and focus on basics like self-care, including “hygiene, managing time and personal stuff, getting sleep, and maintaining mood”.

And because she had to share the ISS, there was advice on team care and group living, from respecting roles and responsibilities to being accountable, giving praise freely and keeping calm in conflict.

Another tip from astronauts: keep busy. They don’t have a lot of time to sit around and stare into space. Okay, they do a bit of that. But like grandma used to say: an idle mind is the devil’s workshop. In other words, engaging in physical and mental activities is a great way to stop your mind wandering into worst-case scenarios or terminal boredom.

Setting tasks and sticking to them not only provides structure to your day, completion brings the satisfaction of seeing a job well done, no matter how mundane. Your challenge is to recognise when you’re slipping into an apathetic state (every now and then is fine) and refocus on a worthwhile pursuit.

Bills, bills, bills

Until very recently, few of us would have imagined that not having to spend hours commuting would result in an abundance of spare time to sort out all those pesky admin tasks we typically put off until they’re overdue.

She advocates the time-honoured practice of allocating one-third of your income for housing costs, one-third for lifestyle-related activities, and one-third for savings.

Structuring your day when you’re isolated can restore a sense of purpose and normality to your daily life. The Australian Psychological Association recommends scheduling chores and activities you enjoy helping you stick to your routine.

As it happens, precarious times call for a keen eye on one’s financial situation, so get stuck in. Drag out those receipts and take a deep dive into your taxes. Before you know it, you’ll have everything ready to send to the accountant months before your return is due.

Household budgets, bank accounts, insurance policies and superannuation are also good candidates for review.

Don’t try to do everything at once. Set aside a few hours a day and imagine that once this crisis is over, you’ll be so organised you can focus on getting back to normal, whatever that may be.

Structuring activities around mealtimes and bedtime can also help you keep to your schedule while ensuring you eat regularly and get enough sleep.

Another way to celebrate your achievements is to shift gears and take your focus off you. It turns out altruism is often an unexpectedly beautiful benefit of calamity. We saw it during the recent bushfires and floods and the Australian Psychological Society says positive social connections can help us cope in times of stress, especially when we’re being asked to distance ourselves from others.

Maintaining social networks can be as simple and easy as phoning a friend to share your experience, using video conferencing technology to check in on an elderly relative, or spending quality time with the people you live with.

“As our worries build this can flow into stress upon our relationships,” says Lucas. “Making time to plan and problem solve your approach to the day can ease this stress. It can also get you into the habit of problem solving rather than worrying and feeling compassion rather than frustration.”

And if you find you sometimes still struggle with bouts of stress or anxiety, it’s normal. But don’t be afraid to seek professional support. A psychologist or counsellor may be able to help.

 

Source: Colonial First State

Downsizer contributions: what are the rules?

By visual /May 13,2020/

In the first year since older Australians have been allowed to make downsizer contributions, 4,246 people have contributed a total of $1 billion in downsizer contributions to their super funds (1 July 2018 – 1 July 2019).

This not only allows retired people to have access to more money to fund their retirement, it’s also likely to have freed up new property for sale for first home buyers and young investors.

Although this is good news for people who have benefited from this scheme, some people have reportedly missed out because they didn’t understand the eligibility criteria.

Here’s a summary of the rules around making downsizer contributions:

• You need to be 65 or over at the time of making the contribution.
• You or your spouse need to have owned your home for more than 10 years prior to the sale.
• You don’t need to be working.
• Both you and your spouse can make a concessional downsizer contribution of $300,000 each if you both lived in the property at some point in time and the proceeds of the sale are exempt or partially exempt from capital gains tax (CGT) under the main residence exemption or because you bought the property before 20 September 1985. If only you lived in the property at some point in time then only you, not your spouse, can make a downsizer contribution (as long as you meet all other conditions).An investment property that you haven’t lived in is not eligible.
• Houseboats, caravans or mobile homes are not eligible.
• The total super balance test of $1.6 million and the $100,000 non-concessional contributions cap restrictions don’t apply.
• You need to make all downsizer contributions within 90 days of receiving the proceeds of sale, usually the date of settlement.
• You can only downsize once.
• You don’t need to buy another property to use the scheme.

If you sell your home and put some of the proceeds into super, you need to consider how this will affect your Centrelink benefits. Your super balance is counted towards the means test so you could potentially lose some, or all, of your Centrelink benefit if your super balance goes up.

Source: IOOF

The value of sound financial advice in these challenging times

By Robert Wright /April 29,2020/

In addition to the terrible health consequences, the coronavirus is having a massive impact on global economies and the way we live, work, and interact with each other.

Loss of income and uncertainty about the future can place a great strain on households, relationships and finances. For those affected, it can be overwhelming.

For those approaching or already in retirement, sharp falls in share markets can lead to sleepless nights about their retirement plans and whether they will have enough income to live comfortably.

In times like these, seeking professional financial advice is essential. We can help you to:

• Assess your current financial situation, review your income and expenses, and develop strategies to manage your cash flow more effectively.
• Make the most of any severance pay or redundancy payment.
• Identify any government support payments you may be entitled to receive and assist you with the application process.
• Assist you with practical strategies to consolidate and eliminate debt.
• Review your circumstances and assess whether early access to your superannuation savings or early retirement may be a suitable option for you.
• Review your retirement strategy to determine whether it continues to meet your near and longer term needs and objectives.
• Develop and implement a detailed financial strategy for your future personal and financial wellbeing.

Avoid making emotional or impulse decisions

It’s natural to feel anxious in turbulent times, however it’s important to make carefully considered decisions when it comes to your finances and investments. An emotional or impulse decision in the short term will rarely benefit your financial wellbeing over the longer term.

Sound financial advice can be life changing

Sound financial advice really can make all the difference. As qualified professionals, we understand the complexities of financial planning, the world of investments and the various support packages available from the government.

We are available to help you, or someone you care for to make the most of a difficult situation and to navigate a path forward.

Now isn’t the time to go it alone.

Looking after your mental health during the coronavirus outbreak

By Robert Wright /April 14,2020/

As the Coronavirus continues to spread, many people are naturally fearful for their health, their livelihoods and those they care for. During times of great uncertainty, it’s natural to be anxious however it’s also important to keep things in perspective.

In this time of crisis, it’s important to remember that medical professionals and infectious disease experts are working hard with public service officials to bring the pandemic under control, treat those affected and develop a vaccine as soon as possible.

In saying that, loss of income and job insecurity are very real problems and the Government has announced new measures for those affected. Should you find yourself in this situation please visit the Services Australia website (www.servicesaustralia.gov.au) for assistance.

The sheer volume of negative coverage in the mainstream media can be overwhelming leading to heightened anxiety, depression or feelings of panic. While it is important to remain informed, you may find it beneficial to limit your exposure to the mainstream media at this time if it is troubling you or those you care for.

It’s only natural to want to turn on the TV or search the web to get the latest coronavirus news. However, too much negative coverage can be overwhelming and simply cause more stress and anxiety.

Should you find yourself in a situation where you need to self-isolate for 14 days (or longer) there are a number of strategies you can adopt to support your mental wellbeing:

• Stay connected with friends, family members and colleagues via social media, email, video conferencing and phone.
• Remind yourself that this is a temporary period of isolation necessary to limit the spread of the virus. You are doing your bit for the community and those you care for.
• Try to get some exercise. Maintain a regular routine and choose healthy food options.
• If you are working from home, try to set up a dedicated workspace, take regular breaks and stick to your normal working hours.
• Avoid the mainstream media if you find it distressing.

If you are caring for young children, try to address their concerns about the virus in an open and honest way. Try to explain the situation calmly and in a manner that is appropriate to their age and temperament. It’s important to listen to their concerns, address any questions they may have, and to let them know they are safe and that it’s normal to feel worried in times like these.

If you are concerned about your own mental health, or if you are worried about the mental wellbeing of someone you care for, support is available from Beyond Blue on 1300 22 4636 or Lifeline on 13 11 14.

Source: Capstone