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Why now is a good time to review your current mortgage. 

Rates are at an all-time low and the RBA (Reserve Bank of Australia) have kept rates steady for nearly 12 months saying it would not be in the public interest to change interest rates due to already stressed household balance sheets in some parts of Australia. By reviewing your current mortgage or if you are applying for a new home loan then AVB Tax and Loans, as certified professional Mortgage Brokers and Accountants can look at your overall financial position and structure you in the best possible way.

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The Amazing Power Of Creating A Home Loan Mortgage Buffer

Most homeowners would love to do it – and many are according to reports that have come out over these past few years. They verify that a lot of people are paying off mortgage debt a lot earlier, or at least, making some additional payments ahead of schedule. How does this benefit homeowners at large? It provides a buffer to those who make early or extra payments, allowing them to absorb shocks to their pocket books a bit easier with those extra payments under their belts. Paying off Debt Can Be a Powerful Money Saving Strategy It stands to reason that paying off your debt is in your best interest even if you can just lessen the load a bit. The interest you are saving by doing alone is a great benefit although the payments you make to do so may not be tax deductible if it pertains to an owner occupied property. However, one may ...

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The Benefits Of Leasing A Car For Business

Unless you operate a totally online business, the need for a vehicle is a given. Even then, there are meetings with potential clients, office supplies to purchase and perhaps commuting back and forth to the office, unless of course it is home-based. Nonetheless, whether you have a small business or a huge company with multiple locations and a huge sales staff, there are benefits to leasing a car for business. Reduction in Upfront Payments One of the biggest concerns for most businesses is operating within a budget. When new cars are needed, there is generally a huge down payment required if there is to be a loan. Of course if the car is to be purchased with cash, that outlay of money can be huge. Leasing a vehicle for your company mitigates this initial layout of much needed operating capital. Increase in Cash Flow It only stands to reason that ...

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Tax Effective Borrowing

Before borrowing any funds for your business, it’s important to take the taxation implications into consideration, and take professional advice from an experienced mentor, financial advisor, or financial lawyer where possible. You should also ensure to reduce the level of your private debt, to reduce the net cost of debt prior to incurring any tax-deductible debt. Convert Non-Deductible Interest: In some cases, it may be possible to convert non-deductible interest payments on a private loan to tax-deductible interest payments, if the company borrows the funds. For example, this may be possible in an SME, where a shareholder or director of a company is currently repaying a private loan such as a mortgage. However, the company must have sufficient accumulated profits and franking credits to pay the dividend. Deduction for Post-Business Interest: In some cases, the ATO will allow deductions for interest paid after a business has stopped earning an income. ...

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