Tax minimisation is when you legitimately arrange your tax affairs to reduce the amount of tax you pay. These arrangements comply with both the letter and spirit of the law. You have the right to arrange your financial affairs to keep your tax to a minimum. This is often referred to as tax planning, or tax-effective investing. Tax planning is legitimate when you do it within the intent of the law. However, tax minimisation schemes that are outside the spirit of the law may attract attention from the ATO.
Tax savings strategies through smart investing.
When you consider that the average Australian pays more in taxes in a lifetime than they do on their mortgage, using tax minimisation strategies to reduce your tax bill makes perfect sense. These strategies are readily available and can make a significant difference to your bottom line.
Tax is consistently the single biggest expense a person who has enjoyed any level of financial success will incur over their lifetime.
So it makes sense to minimise the tax you pay at every available opportunity, and consistently each year.
The difference it can make over your life can be huge.
We can save you a considerable amount each year by thinking about some strategies to minimise your tax burden.
One of the simple ways to start is a mortgage offset account. Generation Private Wealth will advise the use of offset accounts connected to your mortgage. You not only reduce the amount of interest payable on your home loan, but it will also stop you paying tax on the interest you would have otherwise earned.
Knowledge is power.
Generation Private Wealth’s priority is to know exactly what tax you are paying and why. Know what your options are and understand your circumstances.