The recent financial crisis should serve as a wake-up call for Australia’s high-income earners, according to NAB Private Wealth Queensland state manager David Pourre.
Pourre believes that only those with a solid financial plan for 2010 and beyond will emerge on the Australia’s next rich list, and that high-income earners should be taking steps to ensure their wealth is protected.
“It is surprising how many of Australia’s top professionals and business people haven’t set out a clear plan for the future,” Pourre said. “Australia has shown such significant growth over the past decade, that it will now take a change in attitude to remain in that position.”
Pourre said it is essential to have a balanced, informed financial plan, as well as income and life insurance, a tax minimisation strategy, a superannuation plan and of course a well thought out strategy for wealth transfer.
He recommends Australia’s high earners ask themselves a few simple questions to ascertain whether they are financially fit for the years ahead:
- Do you have a current financial plan?
- Are you minimising your tax?
- Do you know what age you can comfortably retire?
- Do you have a wealth creation plan?
- Do you have protection for income, critical illness and death?
- Have you got a strategy to transfer your wealth?