How can we... support our disabled child?

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Meet Pete and Dina1:

Pete

  • 47 years old
  • Working full time 
  • Accumulation 2 member
  • Some external life insurance
Dina

  • 45 years old
  • Full-time carer and mother
  • Small amount of super with external fund

Pete and Dina have been so busy raising their children they’ve not had much time to focus on their finances. They have two teenage sons, and the younger one is disabled. Pete works full time, while Dina has stopped working so she can be a full time carer for their son. 

Pete wants to go part time – and retire early in a few years – so he can help Dina care for their younger son, but he’s not sure they can afford it. He’s also starting to wonder whether they have enough insurance to provide for each other and their sons if something should happen to him and/or Dina. He talks things over with Dina and they decide it’s time to bite the bullet and get financial advice. They organise to meet with a UniSuper adviser at Pete’s workplace. 

At the initial meeting, Pete and Dina explain their situation and desire to better understand their options. The adviser asks them some questions about their financial position, lifestyle objectives and investment preferences. After the meeting, he models a range of investment strategies and formulates some recommendations. He also investigates insurance offerings both inside and outside of UniSuper, and analyses what different insurers can offer in terms of coverage, price and performance rating. All the adviser’s recommendations are detailed in a Statement of Advice.

A few weeks later, they all meet again so the adviser can explain the advice and hear Pete and Dina’s feedback. He encourages Pete and Dina to think everything over and come back to him with any questions. They do so, and then authorise the adviser to help them make the necessary changes.

Pete and Dina are enormously relieved they no longer need to worry about their financial future. They can’t believe the advice paid for itself in the first year alone, and decide they’ll sign up for a review service to ensure they stay on track. 

Could a UniSuper financial adviser help you? Get in touch to find out.



How Pete and Dina saved $3,6402 in the first year…

+ $4,500  in tax savings

  • The adviser suggested Pete make his standard member contributions from his before-tax salary, which reduced his income tax bill.
+ $1,000  in fees saved annually
  • The adviser suggested Dina roll her accumulated super into an alternative fund with a lower fee structure.
 + $1,000  in premiums saved annually
  • The adviser found that some of their external life insurance cover could be replicated within UniSuper, at a much lower premium.
- $2,860  fee for comprehensive advice
  • Pete was able to deduct a portion of this fee from his UniSuper account as it related to his superannuation and retirement planning. The remainder was paid directly by Pete and Dina.
...and get peace of mind.

More comprehensive insurance

  • In addition to the savings mentioned above relating to life insurance, the adviser identified some gaps in their insurance cover, particularly in relation to trauma and long-term income protection. He compared different insurers’ offerings and helped Pete and Dina purchase the most appropriate cover..
An investment strategy that aligned with their values
  • The adviser suggested a revised investment strategy within UniSuper that was more aligned to their appetite for risk and their preference for social, ethical and environmental investments.
A strategy for Pete to transition to part time work
  • The adviser did some financial modelling which reassured Pete and Dina that they could afford for Pete to transition to part time work and retire at a relatively young age.
  • They established a commission-free non-super savings vehicle in Dina’s name. This was tax-efficient and gave them ready access to funds in case of emergency.

1. Pete and Dina are a hypothetical couple, but the relevant facts are based on a real couple.   2. All figures provided, including this figure, are based on the specific factual circumstances detailed in this scenario and may be rounded. The amounts are not guaranteed and will vary depending on your specific circumstances. These calculations are based on current legislation. 


The information contained in this case study is not legal, taxation or accounting advice. It is intended to provide general information only. It has been prepared without taking into account your objectives, financial situation or personal needs. Prior to making any investment decisions, you should speak with a financial adviser to consider whether this information is appropriate for your needs, objectives and circumstances. You should also obtain a copy of the relevant product disclosure statement (PDS) prior to making a decision regarding any investment in any financial product. Whilst care has been taken in the preparation of this information, the accuracy or completeness of the information is not guaranteed. This case study was prepared and issued by UniSuper Management Pty Ltd ABN 91 006 961 799, AFSL No: 235907, which is also the administrator of, and wholly owned by, the UniSuper Superannuation fund (ABN 91 385 943 850). UniSuper Limited (ABN 54 006 027 121) is the trustee of the fund. UniSuper Advice is operated by UniSuper Management Pty Ltd, which is licensed to provide financial product advice to members.