Case Study 3: Advice on Salary Sacrifice
Ralph is a single Project Manager who has most of his investments outside of superannuation. Ralph would now like to salary sacrifice into his super fund to build wealth for retirement and to maximise his taxation position, and would like an annual income after tax of $45,000.
Your savings:
- Fees charged by IFFP planner: $660
- Fees charged by retail commission remunerated adviser: $9,769
- IFFP saved $9,109 in fees compared to advice from a retail commission remunerated adviser
- Net value delivered by IFFP: $56,679
- Net value delivered by retail adviser: $31,753
The difference in net value over 9 years delivered by an IFFP is $25,512 more than the value delivered by a retail commission remunerated adviser.