Passive income – how to improve your cash flow
Located in: Blog
This is one of Mark Hay’s favourite topics: creating passive income streams for his clients & a great way to acquire a tax deduction before you get a tax deduction!
Bit confusing? Grab a tax variation form from the Australian Taxation Department which can also be obtained online. Once you have filled in the blanks and submitted to the ATO (we suggest retaining a copy yourself) the ATO will work out what you tax deduction would have been the year after you completed this form, however you’re going to get it in advance!
Then, you and your employer will be informed of your tax deduction that’s available so instead of receiving a (for example) $10,000 lump sum at the end of the year, you’ll receive a couple hundred dollars each week in your pay packet.
This is a fantastic way to improve and generate ongoing cash flow.
This great new way to improving your cash flow will not actually be used by up to 80% of Mark Hay’s clients because they want to know they’re going to get the lump sum at the end of the financial year and not absorbed in their weekly pay cheques. The common reason is because it will be spent rather than saved.
But if you own one or more properties it’s a great way to improve your weekly, fortnightly or monthly cash flow.
If you’d like further guidance on this we recommend having a chat to your accountant or for further information contact Mark Hay and his team on 9225 7000. Mark Hay personally runs seminars on this exact subject with lots of time allocated for Q&A so contact Sinead at firstname.lastname@example.org for details and to reserve your spot today!
August 7, 2018
Posted in: Blog