Show Notes
For decades, the family trust has been treated as the go-to structure for Australians building serious wealth.
But what happens when the rules that made trusts so attractive begin to change?
Suddenly, the structure many investors have relied on for tax flexibility, capital gains concessions and passing wealth between generations may no longer be the automatic choice. And a much less fashionable alternative could be worth another look.
In this episode, Paul compares family trusts with private investment companies and explores why the best structure for building wealth may not be the one most people expect.
This is not simply a question of which option could save you more tax this year. It is about how you hold, grow and eventually pass on wealth over decades.
In this episode:
Why the family trust may no longer be the obvious choice for building wealth
The proposed changes that could upend a strategy Australians have relied on for decades
The unfashionable investment structure that may be about to make a comeback
One powerful compounding advantage most investors overlook
The trap of choosing a structure that is great for building wealth but difficult when you want the money
How some families could pass on an investment portfolio without selling it
Why trying to minimise this year's tax bill could lead you to make the wrong long-term decision
The catch that means a company is not an automatic replacement for trusts
What anyone serious about building intergenerational wealth may need to reconsider before the rules change
If you own investments outside super, run a business or are thinking about how your wealth will eventually pass to your children, this episode will help you ask better questions before choosing a structure that could shape your finances for decades. WANT HELP CHOOSING THE RIGHT STRUCTURE FOR YOUR WEALTH?:
At Guidance Financial Services, we help you weigh up the tax, investment and estate-planning trade-offs before making a decision that could shape your family's wealth for decades. Book your appointment here. WANT TO STAY ACROSS WHAT'S MOVING THE MARKETS?: Subscribe to GainingCHOICE, our weekly email unpacking the key headlines and what to pay attention to.
GOT A FINANCE QUESTION FOR PAUL?: Send it to [email protected], and it could be featured in his Ask an Expert column each Sunday in The Age and Sydney Morning Herald.
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UPDATED: This episode was originally published with the wrong episode audio; it has been republished with the correct audio. Thanks for your patience!
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