redundancies
Redundancy offers from employers often arise in the workplace and invariably create a period of anxiety and uncertainty for many.
If a redundancy is likely to be offered to you make sure you seek financial advice as soon as possible. Seeking advice before you receive your termination payment may provide you with greater financial planning opportunities and improve your financial position. There are many financial issues you need to take into consideration. These include;
- minimising the tax liability on your redundancy payment
- maximising your government entitlements
- managing your cash flow, debts and expenses
- maintaining your insurance cover, most people have insurance cover through their employer’s superannuation fund
- understanding your superannuation options
Redundancies are an unfortunate fact of commercial life. It’s very important to take a step back from the emotional whirlpool job loss can generate. Take the time to be very clear about what money you will receive and how that will be treated. You will find it very useful to talk to a financial adviser to help you make the right financial decisions.
We can assist you with all aspects of managing a redundancy. We offer a no obligation initial consultation. This is an opportunity for you to assess how we can assist you plan your financial future.
A lump sum payout also offers an opportunity for the right investment decision that can greatly influence your personal wealth. Some of the important areas to consider before you make any decisions regarding accepting an employer severance package are:
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Entitlements - this will include any unused annual leave or long service leave
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Tax implications - besides tax on lump sums you will also need to consider tax treatment of Superannuation monies if withdrawn from the superannuation system
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Superannuation issues - Undeducted contributions etc are areas that will need attention
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Re-employment or early retirement - Your life stage, financial implications and circumstances will need to be considered prior to making this decision.
Contact Outlook on 1300 657 872 prior to making any financial decisions regarding redundancy.