Maintaining your standard of living during retirement is very important to many Australians. There’s nothing worse than moving towards your retirement years and discovering your superannuation will barely cover your necessary living costs. Retirement is supposed to be luxurious, relaxing and stress-free. You shouldn’t have to deal with worries brought on by financial and work-related issues.
It’s never too early to start planning for a comfortable, hassle-free retirement. But assessing the amount of wealth that you must accumulate to exit your company successfully is another matter altogether, and that’s where your accountant comes in. Your accountant should be helping you put together exit strategies and succession plans. They should be offering superannuation advice from day dot of your relationship. And if a vast majority of your retirement fund depends upon the sale of your business, your accountant should be even more involved in your future financial plans. So if you haven’t heard a peep out of your business accountant about your retirement plan, it might be time to make a change! An accountant who invests themselves in assisting you to achieve the most desirable retirement fund will carry out the following duties.
Generate an exit strategy for your retirement
Many business owners don’t wish to spend time considering how they will exit their business when they could be investing effort into growing it instead. But the continual growth of your business depends upon how you leave it when you retire. You want to leave behind a functioning company which relies on systems and procedures. You don’t want to leave behind a company which relies solely on you, which is why a succession plan is an integral part of your exit strategy. Spending time with your accountant to consider your business’s position, and how it will function when you retire, is vital to acquiring a decent price if you decide to sell the business. Because, a business with potential is a business worth buying!
Consider your standard of living now, when planning your retirement fund
You don’t want to be downgrading your lifestyle during retirement. If you’ve spent years building your business from the ground up, you want to reap the returns. Your accountant will consider this when assessing how to achieve a standard of living in retirement that matches your current income. They will do this by offering advice on how to invest your wealth wisely, to gain better returns and grow your business.
Complete a business value gap analysis
An experienced business accountant will not only be able to assist you with the financial progress of your company, but also suggest ways in which it can improve. They will help your business grow to reflect what it is worth. A business value gap analysis looks at where your company is now, and what needs to be done to get it where you want it to be so that its sale will fund part of your retirement.
Get to retirement quicker
Whether you wish to retire early or not, a superb business accountant will assist you in achieving your retirement fund goals quicker. And the earlier you get started, the closer you will be to gaining a wealthy and comfortable retirement! Do you require business advice regarding succession planning, developing an exit strategy or performing a business valuation? Switch to Toohey Reid today!
General Advice Disclaimer
General advice warning: The advice provided is general advice only as, in preparing it we did not take into account your investment objectives, financial situation or particular needs. Before making an investment decision on the basis of this advice, you should consider how appropriate the advice is to your particular investment needs, and objectives. You should also consider the relevant Product Disclosure Statement before making any decision relating to a financial product.
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