Optimiser will always set aside cash to meet goal. If multi-goal optimisation set, than engine will prioritise meeting goals with highest ranking. If ranking is not set, optimiser will force goal to happen. This can create unfeasible scenarios and/or negative equity.
3
Cashflow management
Maintain an expenditure plan (budget)
Client must indicate a reason for seeking advice is to implement a budget. The amount of cashflow requried can be determined through a budget process in the Fact Find. Altnernatively, standards around Modest/Comfortable/Luxury can be set.
4
Cashflow management
Salary packaging (mortgage)
Employee must qualify as an FBT employee.
5
Cashflow management
Elect to use the indexation method for calculating capital gains tax
Must be eligible asset. Generally the discount method is preferred unless there are existing CGT losses.
6
Cashflow management
Elect to have salary paid into offset account
This recommendation will occur is a debt is available that has an offset feature and paying salary directly into that account will generate interest savings.
7
Cashflow management
Reduce discretionary spending
It is always financial optimal to reduce expenses. However, this recommendation will only be allowed if expenses are set as a client goal.
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