The COVID-19 pandemic is posing many challenges to individuals and businesses particularly during this period of social distancing, self-isolation and other disruptions to everyday life. The simple task of signing and sharing documents is but one.

Thankfully technology can help. There are many ways of achieving this, the following tutorials look at a  couple of simple & free methods using your phone.

⇒ Click here for iPhone
⇒ Click here for Android
(Note: The android solution is also available on an iPhone).

When it comes to signing documents electronically, particularly with legal and official documents, great care should be taken to ensure that the electronic signatures are allowed in any given situation & that they are produced correctly.

The Victorian Department of Justice has issued some guidelines and temporary measures regarding the singing and witnessing of documents during this period. Click here for the detail.

Again there are several technical options available for electronically signing documents, our staff will help you with these where this is necessary

Please contact Integrity One if we can assist you with this or any other financial matter.

Phone: (03) 9723 0522

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

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This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.

We know that finding your way into your first home can be daunting to say the least, let alone navigating through the current government schemes which you may have access to. There are now up to five schemes you could be eligible for!

Stamp Duty Concessions, First Home Owners Grant (FHOG), First Home Loan Deposit Scheme (FHDLS), First Home Super Saver (FHSS) & Homebuilder are all current schemes which have varying benefits and eligibility criteria. In this post we will simplify these to help make them a little easier to understand without boring you too much and if you would then like further information, we are more than happy to have a chat to help you determine if you qualify.

If you are able to qualify for one or even multiple schemes, this could save you tens of thousands of dollars and mean you can get into your first home a lot quicker than you originally thought.

 STAMP DUTY CONCESSIONS

Stamp Duty is a one-off fee paid to the state government based on the State the property was purchased in. This fee can be substantial and often a cost that is forgotten when people are searching for a property. Again, depending on the state you purchased the property in, there are discounts on Stamp Duty payable and each state provides varying discounts for first home buyers. As we are Victorian based we will outline the current criteria for the stamp duty concessions.

Firstly, what does Victoria’s State Revenue Office (SRO) determine to be a first home buyer? This can be found on the SRO website

Once you have established if you are a First Home Buyer or not, the current stamp duty benefits are as follows:

Purchase      Stamp
Price             Duty Saving

$600,000    $31,070

$650,000    $22,713

$700,000    $12,356

This is a HUGE saving compared to someone else (who is not a First Home Buyer) buying the exact same property you are looking at.

 FIRST HOME OWNER GRANT (FHOG)

If you are eligible for the FHOG you will receive a $10,000 grant to assist you with the construction of your first home or if purchasing a brand new home. Depending on the lender this can be used as a deposit and in conjunction with the savings you already had. For areas classed as regional, the grant is a whopping $20,000!

That’s an extra $10,000 or $20,000 compared to a non-First Home Buyer doing the same thing.

The criteria is similar to the stamp duty exemption with additional ‘new property’ criteria. To determine if you are eligible, you can complete an online questionnaire by clicking here

 FIRST HOME LOAN DEPOSIT SCHEME (FHLDS)

Don’t have much of a deposit? Then this scheme is for you.

You may have heard people say you need a 20% deposit plus costs in order to buy, but we all know that’s an old wives’ tale. Yes, it is the most cost-effective way of doing it because normally, any less than a 20% deposit requires you to pay another extra one-off cost called Lenders Mortgage Insurance (LMI). The reason the lender makes you pay this extra cost is because you are borrowing such a high amount of the property value, for example, your loan is more than 80% of the value of the property you are purchasing.

What the FHLDS allows first home buyers to do, is to avoid paying that extra LMI cost even though you don’t have the 20% deposit. The Government effectively provides the lender with the reassurance that the lender will get their loan paid out if things went bad and you weren’t able to pay your loan etc. It doesn’t mean you are off the hook, you still need to make your repayments, but it provides the lender with some security, therefore they don’t need to charge you the LMI cost.

The scheme currently allows for only 10,000 positions per financial year with 10,000 recently been released on July 1 2020, so reserving a spot is imperative before jumping into buying something!

As this is a federal government scheme the criteria to be eligible differs somewhat. To be eligible you must meet first homeowner criteria, income criteria, savings criteria and purchase price criteria.

The government has set up a great tool to check eligibility for this scheme click here.

 THE HOMEBUILDER SCHEME

Whilst this is not a scheme exclusively for First Home Buyers, it is still a scheme which First Home Buyers have access to. If eligible this scheme provides a $25,000 cash grant to you!

To be eligible for the scheme you must meet particularly build criteria, time frames and income requirements. This grant will be administered by each State Government and at this point in time we are still waiting for further information on when the grant will be paid and some other particulars but it could potentially be another $25,000 towards your purchase.

The home must be a new owner-occupied property build or renovations of at least $150,000 to an existing owner-occupied property.

The eligibility for this scheme can be found by clicking here

FIRST HOME SUPER SAVER SCHEME (FHSS)

This scheme provides an incentive to start saving for your deposit in a more tax-effective way.

Effectively this scheme allows additional payments into your superannuation in a more tax-friendly way which further boosts your savings/deposit. When you are ready to buy, the additional amounts you deposited into your super fund are tracked via your MyGov account and can be utilised. These are taken out of your super to form part of your deposit on your first property. Superannuation can be complex therefore we would recommend seeking financial advice regarding this scheme but it could be a way of increasing your deposit just by saving tax.

More details on this scheme can be found by clicking here

Confused?

If all of this is still sounding like gibberish, don’t worry we can help you understand each scheme and assist you in determining your eligibility! We can also assist you in gaining a loan approval incorporating the schemes you are eligible for. If you are able to qualify for one or even multiple schemes, this could save you tens of thousands of dollars and mean you can get into your first home a lot quicker than you originally thought. We can help by determine your budget, utilising these schemes.

Don’t hesitate to get in in touch with us as a pre-approval is very important before buying!

WRITTEN BY
NICHOLAS BERRY & TOM BAILEY
INTEGRITY FINANCE PTY LTD

Click here to learn more about Nic & Tom, or  just give them a call on (03) 9723 0522

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

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Nicholas Berry Credit Representative Number 472439 and Thomas Bailey Credit Representative Number 472440 are Credit Representatives of Integrity Finance (Aust) Pty Ltd – Australian Credit Licence 392184.

This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. These articles are not owned by Integrity One Planning Services. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.

The COVID-19 pandemic has resulted in the government allowing early access to superannuation, for people significantly financially affected by the virus.

The eligibility criteria specified unemployment, eligibility for certain government payments, a drop in working hours by at least 20 percent, or suffered a 20 percent drop in turnover (sole traders) on or after January 1.

The scheme allows eligible members to withdraw $10,000 in the last three months of this financial year and another $10,000 in the first three months of next financial year.

The popularity of the scheme has surprised the ATO and reports that many of those accessing the scheme may not have been eligible has shone a bright light on this activity.

The ATO has said that it will consider action against all ineligible applicants. It said that individuals who accessed their super funds without meeting the eligibility requirements could face up to $12,000 in penalties for each false and misleading statement.

From a long term financial planning perspective it is better not to access super early, but if circumstances dictate then you may have no option, however, you MUST make sure you meet the eligibility criteria.

If you would like more information please give us a call on 03 9723 0522.

Please contact Integrity One if we can assist you with this or any other financial matter.

Phone: (03) 9723 0522

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

Integrity One Facebook

This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.

As we continue our busy lives day in and day out it can be hard to take a step back and consider what your long term goals are and devising a plan on how to get there. We often focus on the here and now as there is always something demanding our immediate focus. With the current environment throwing more and more challenges at us this has never been truer. I believe the following quote (Source Unknown) sums up a financial plan quite well ‘Give me six hours to chop down a tree and I will spend the first hour sharpening the axe’. A solid financial and business plan is the sharp axe required in navigating this challenging environment.

Key Steps to Devising a Plan

1. Set your goals and objectives – The first step of a plan is to determine what you want to achieve in the short and long term. This could include retirement age, short and long term business goals or even a goal to buy a caravan and travel.

2. Review your Current Position – Set out how you are currently positioned. Note your assets, liabilities and understand your current cash flow. Budgeting and reviewing cash flow can be a mundane exercise however, it establishes the backbone of your planning.

3. Seek Expert Advice to Devise Plan – In order to develop a thorough plan, it is highly likely you will need to seek advice to assist. Specialists in accounting, finance and lending will assist in devising strategies to suit your situation. As you are an expert in your field, they are experts in their fields. If these specialists have your key goals and objectives in mind, these strategies will align to formulate your overall plan.

4. Review your Plan – Once your plan is in place it is important to regularly review it. This not only involves ensuring the strategies remain relevant but also tracking your current position towards meeting your goals and objectives. In addition, as time goes by, your goals and objectives may change and hence your plan will need to change accordingly.

To start you thinking about what you may plan for, I have summarised below some key areas which may be included in your planning.

Budgeting

Budgeting is a key component of a financial plan for not only business cash flow but also personal cash flow. At the end of the day it is cash flow that keeps both our business and lifestyle moving forward. We prefer to refer to a budget as a spending plan. As what you are trying to achieve is estimate your cash inflow and then devise where you would like to spend that cash flow. By establishing a spending plan, you can prioritise areas where you would like to direct cash flow (e.g. savings for a holiday) and identify areas where you may be able to make savings and pay out debt earlier (e.g. credit card debt).

A key component of reviewing your spending plan is reviewing regular ongoing expenses such as finance payments, utilities and insurances. These should be reviewed to determine if you can achieve the same level of quality service or product at a more competitive price. The savings can then be focussed into the areas which will further assist in meeting your goals and objectives.

A cash flow buffer will also assist in providing comfort so that in the event that unforeseen events may occur, you will be in a position to ride these out whilst making changes to your business or personal structure.

Superannuation

It is a common misconception that superannuation in its own right is an investment. In fact superannuation is effectively a tax structure. Superannuation is designed to provide incentive for Australians to save for their retirement. For those employed by an employer, there are mandatory payments required to each employee’s superannuation. However, those who are self-employed can often neglect considering superannuation as part of their overarching plan. Superannuation does have a vast number of rules regarding contributing and withdrawing money to mention a few however, this structure can be a key pillar to your overarching strategy. Given the complexity of this area it would be likely that you will need to seek advice to assist you.

Insurance

Given the amount of hard work you have put in to be in the position you are today, it is important to protect this. Not only should the assets which you utilise be protected but also your income. Without income it would not be possible to proceed in achieving your financial goals and objectives. Therefore, it is important to have appropriate insurance cover that is regularly reviewed to protect the areas that are important to you.

Moving Forward

In summary, a thorough and robust plan will assist in blocking out some of the current distractions to help keep focus towards your overarching goals and objectives. I hope this article has assisted in making the first steps to devising a plan for a great future. It is never too late to start planning AND the best time to start is now.

Please contact Integrity One if we can assist you with this or any other financial matter.

Phone: (03) 9723 0522

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

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This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.

Car loans, credit cards and personal loans can be helpful at the time, however often become a source of unnecessary stress later on.

Clearing your debts doesn’t have to be hard work. With the right plan, it’s possible to get your finances on track sooner than you think – and back to living the good life, guilt-free. Here are some tips to help you get out of debt.

Plan your budget

Achieving your goal of being debt-free doesn’t have to be daunting; a good way to start is with a budget. Try to keep a diary for your expenses and your spending. This will let you track where your money is going and where you can make savings which you can use to attack your debt.

Make more than the minimum payment

Pay more than the minimum off your debts. Whether it’s personal loans or credit cards, paying the minimum will hardly make a dent as you will only be paying off the interest. If you have a mortgage, try to pay every two weeks instead of monthly. This can mean one full extra payment each year – saving thousands off your loan.

Talk to your loan or utility provider

In many cases a better deal is just a conversation away. Asking your bank for a better way to manage a loan may uncover options you hadn’t realised and you could even end up paying less interest. If you are having trouble with utility bills, let then know. Many companies have counsellors and can create a payment plan to help you out of trouble. It is always better to be proactive about any financial issues you may have, rather than trying to deal with it later once it becomes a larger issue.

Prioritise

Prioritise all your debts by the interest rate you are paying. It makes sense to get the balance down on high-interest debts first, as paying these off first will save you more money. The money you save in interest, you can then use to pay off your lower priority debts. Another approach, if you have a few small balances, is to prioritise repaying these debts. After all, getting rid of debt can psychologically be very powerful.

Consolidate

If you have more than one loan, consolidate all your higher-interest debts into one lower interest debt. This could be in the form of a low-interest rate credit card or a personal loan. Your loan will be easier to manage and also reduce your interest repayments.

Ensure you have the right card

Don’t pay 20 per cent interest on your credit cards. Increased competition in the credit card space means many lenders are offering much lower interest rates and deals such as zero percent on balance transfers. Make sure you read the fine print and don’t use that card for any new purchases until you have paid off the full amount from the initial transfer. The best way to do that is the old fashioned way – cut your card up and throw it away!

Take the first step

If you’re having difficulties repaying your debt, take the first step and speak to your lender. If you’re open and honest about your financial difficulties with your lender, you will probably find they are open to review your repayments and look at other solutions to help you out.

Speak to a professional

If you feel that you are in over your head and struggling with your finances, speak to us today for help with a financial strategy that gets you back on track.

Please contact Integrity One if we can assist you with this or any other financial matter.

Phone: (03) 9723 0522

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

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This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.

Most people wouldn’t dream of taking their car on the road without car insurance or living in a house without home and contents insurance. But when it comes to taking up insurance to protect their life or income, most Australians act indifferently.

Common reasons for not taking up insurance are a lack of knowledge, a belief that insurance is too expensive and the age-old ‘it won’t happen to me’ mentality. If this sounds like you, it’s worth taking a moment to consider your insurance needs. The peace of mind this will give you is well worth the effort.

Myth #1: It’s too complicated

If you’re new to insurance, it may seem complicated. There are all sorts of different products, acronyms and official-sounding terms. To help make things clearer below is a snapshot of the typical types of insurance available to you.

Type: Death (AKA Life or Term life)
Death cover provides your family with financial security if you die. If you die, your insured benefit may be paid to your beneficiaries, as nominated on your superannuation account or will.

Type: Total & permanent disablement (AKA TPD)
Total & permanent disablement cover provides you and your family with financial security by paying a lump sum if you become totally and permanently disabled and are unable to ever work.

Type: Income protection (AKA Salary continuance)
Income protection cover provides you with a regular monthly income if you are unable to work and earn your income.

Type:Critical illness (AKA Trauma)
Critical illness provides you and your family with financial security if you are diagnosed with a life-threatening illness like cancer, heart attack or stroke. Unlike TPD, there is no need to prove disablement, only that you have suffered one of the specified medical conditions.

Myth #2: It’s too expensive

Value is relative and depends on what is important to you. But when you have dependents, it’s hard to argue that the right insurance cover is anything but money well-spent. The ability to sleep better at night knowing that everything is taken care of is priceless.

Besides, insurance doesn’t have to be exorbitant. By finding the cover that best suits your needs, you should be able to structure your insurance cover so that your premiums are well within reach.

Myth #3: It won’t happen to me

You might think ‘I don’t need to worry, I’m fit and healthy’ but with the incidence of life-threatening or debilitating health conditions on the rise, you may think again after considering the following leading causes of death (and disability) in Australia.

• Heart disease – Affects 1.4 million Australians and is the leading cause of death in Australia.
• Strokes – There are 50,000 strokes in Australia each year – 65% result in disability.
• Dementia – Dementia is already the single greatest cause of disability of Australians aged 65 years or older.
• Cancer – 1 in 2 men and 1 in 3 women will be diagnosed with cancer by the age of 85.

Get some advice

If the thought of understanding insurance and what’s right for you seems like an insurmountable obstacle then leave it to the experts. The cost of insurance doesn’t need to stop you in your tracks and you’re always better off knowing more. Speak to us to get the advice you need to protect yourself – and your family. Give us a call on 03 9723 0522.

Please contact Integrity One if we can assist you with this or any other financial matter.

Phone: (03) 9723 0522

Suite 2, 1 Railway Crescent
Croydon, Victoria 3136

Email: integrityone@iplan.com.au

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This information is of a general nature and does not take into consideration anyone’s individual circumstances or objectives. Financial Planning activities only are provided by Integrity One Planning Services Pty Ltd as a Corporate Authorised Representative No. 315000 of Integrity Financial Planners Pty Ltd ABN 71 069 537 855 AFSL 225051. Integrity One Planning Services Pty Ltd and Integrity One Accounting and Business Advisory Services Pty Ltd are not liable for any financial loss resulting from decisions made based on this information. Please consult your adviser, finance specialist, broker, and/or accountant before making decisions using this information.