The Money Doctors

Mitch McKeown and Ricky Caldow continue their discussion on trusts, focusing specifically on investment trusts and property trusts. Investment trusts are commonly used for asset ownership, offering benefits like tax efficiency and discretion in distributing profits. They can hold various assets such as shares, property, and ETFs, and allow distributions to be allocated to beneficiaries in a tax-effective manner.

Property trusts, often used by high-net-worth individuals, provide additional protection and tax planning opportunities. However, they are not suitable for everyone, especially when negative gearing applies. Despite their advantages, trusts are costly to set up and maintain, making them best suited for specific situations.

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/ 

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

Trusts can offer tax benefits by distributing income across multiple beneficiaries, potentially lowering the overall tax liability, especially when assets are split among family members.

While there are multiple types of trusts, each has unique features and applications.  Ricky Caldow and Mitch McKeown, Directors at the Bongiorno Group, explain how trusts are valuable for long-term estate planning, helping to pass on wealth and assets to future generations in a structured manner while avoiding potential probate delays.

In this first of two-part episode, they focus on business trusts, which can hold the assets and generate income for a business, such as a GP practice, by charging service or management fees.

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/ 

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

One of the biggest expenses in a doctor’s career is tax, and so it’s crucial to understand how to manage it effectively. That’s according to Matt Homewood, Financial Consultant at the Bongiorno Group. In this episode he is joined by Nic Pereira, Accountant at the Bongiorno Group, who both insist it’s important to operate within the law when claiming deductions, as penalties for crossing the line can be severe.

They discuss the three rules for deductions: incurrence (ensure you personally incurred the expense); proof (keep detailed receipts or invoices); and relevance (deductions must be directly related to your current employment). Consulting a tax professional can maximise your deductions and ensure compliance with tax regulations, ultimately reducing your taxable income.

MORE INFORMATION

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

The rise of “finfluencers”— individuals providing financial advice on social media platforms such as TikTok, Facebook, and podcasts — has led to significant concern, particularly in Australia. Many of these people are not licensed to provide financial advice, yet their followers often act on their suggestions, sometimes with dire consequences.

Vanessa Smith and Nick Fenessy, both Directors at the Bongiorno Group, say the key issue is that advice found online may not be suitable for everyone’s unique financial situation. Younger people, often less financially literate, are particularly vulnerable. While discussing finances and money-saving tips is beneficial, licensed professionals should be the go-to source for tailored advice.

MORE INFORMATION

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

At tax time, your accountant will ask you if you’ve donated anything to a charity. Why? Because it could be claimed as a tax deduction. But not all donations are deductible. The Bongiorno Group’s Tax Manager Chantelle Turner and Director Nick Fennessy explain that to claim a deduction, the charity must be a Deductible Gift Recipient (DGR). You can verify DGR status via the ABR website using the charity’s name or ABN.

MORE INFORMATION

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

Underwriting is the process insurers use to assess an individual’s risk in order to determine whether to offer coverage, under what terms, and at what premium rate. It involves evaluating factors like health, lifestyle, occupation, and financial situation to gauge the likelihood of a claim being made.

Liz Burke, Victoria Underwriting Chapter Lead at major insurer Zurich, and Yanish Geerdharry, Head of Risk Advisory Services at the Bongiorno Group, discuss the importance of underwriting. Fundamentally, it ensures that premiums are fairly set based on risk, protects insurers from excessive losses, and provides policyholders with clarity on what their insurance covers and excludes. This helps maintain a balanced and sustainable insurance system.

MORE INFORMATION

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

Many people who want more hands-on control over their investments and their retirement are opting for a self-managed super fund (SMSF). It allows you to choose assets like property and manage your retirement savings directly.

But, establishing and maintaining an SMSF involves significant costs and ongoing compliance. Vanessa Smith, Director at the Bongiorno Group, and Michelle Harrod, Tax Manager and Head of SMSF at the Bongiorno Group, says it’s wise to create and regularly review an investment strategy that considers risk, liquidity, diversification, and insurance.

Seeking financial advice, they insist, is critical to ensure the SMSF aligns with your long-term retirement goals and complies with legal requirements.

MORE INFORMATION

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

When setting up a business, it is crucial to separate personal and business expenses by establishing a dedicated business account. This ensures financial clarity, especially when managing software, hardware, and other business-related expenses.

Ricky Caldow and Mitch McKeown, both Directors at the Bongiorno Group, continue their discussion on setting up a private practice.

Running a business also requires careful management of IT systems, websites, and branding, including securing domain names and handling compliance. Equally, the responsibilities of employing staff, managing superannuation, and meeting regulatory requirements like tax reporting are key considerations. By planning the endgame, whether selling the business or growing it, structuring the company properly from the outset helps avoid costly mistakes in the future.

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

Establishing a private practice can be rewarding, both personally and financially. But, before setting one up, it’s crucial to understand the various issues that might arise. In this two-part series, Ricky Caldow and Mitch McKeown, both Directors at The Bongiorno Group, discuss the common pitfalls that doctors might face by not setting up a practice properly.

In Part 1 of the two-part series, they explore ownerships structures, personal services income, the importance of proper legal documentation, business registration, and commercial leases.

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.

Income protection is a crucial part of a financial plan, safeguarding your greatest asset—your income—by providing coverage in case of illness, injury, or inability to work, with flexible options for structuring policies based on individual needs. The Bongiorno Group’s risk advisers Tom Will and Yanish Geerdharry, discuss the various options of income protection.

It’s vital, they insist, to secure income protection early when you're healthy, as underwriting becomes harder over time. Income protection policies generally cover up to 70% of your income, which is subject to tax. Policy costs vary based on age, health, and occupation, with premiums generally not exceeding 10% of annual income. Structuring income protection within or outside superannuation has tax benefits, but personal circumstances should guide decisions.

The Money Doctors is proudly brought to you by leading financial services organisation the Bongiorno Group, the preferred tax and accounting partner for the Australian Medical Association Victoria and the Australian Dental Association Victorian Branch.

For more information, please call 03 9863 3111 or visit https://bongiorno.com.au/

This general advice has been prepared without taking account of your objectives, financial situation or needs. You should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.

See omnystudio.com/listener for privacy information.