Go back 40 years ago, the way to own your own home was to save and pay off your home as quick as possible. Of course that is the only way to pay off your home still but these days, if your wage covers your minimum mortgage repayment and monthly bills, there sure isn't much surplus money left over to make any extra payments off your home loan to get you in front.
That’s where property investment comes in. It won’t increase the gross figure on your payment summary at the end of the financial year but it will lower the tax that gets taken out of your pay packet each week and will therefore increase the amount of cash you receive to pay your bills, mortgage, investment property and anything else that comes along.
For example on an $80,000 income you will pay $17,547 in income tax but if you could reduce your taxable income by using tax deductions from an investment property to $70,000, you will pay $14,297 in tax, giving you an extra $3,250 a year or $62.50 cash in your hand each week.
This is just one way to increase your cash flow and because each individual’s circumstance are different, the entire process is complex. That is why we offer our consultations for free, so you can see the difference it will make for you before committing to ANYTHING. Talk to us today to arrange your consultation.
*Information on this page is general and is not an exact representation for each individual circumstance. A thorough finance check is required to equate the benefits for each individual.
PEB Invest is part of PEB Property Group; a complete financial planning advisory service for Perth families. Offices are located in Inglewood and Willetton, Perth, Western Australia and offer - Financial Planning · Finance Broking · Property Management · Real Estate Sales · Property Investment · Development.