A couple in their early 70s had recently received $1.8 million in inheritances but had low super balances of just $17,000 each. Their business had just closed, leaving them with only $100,000 in the bank and no clear plan for retirement. They felt overwhelmed and unsure how to manage or structure their newfound wealth effectively.

The couple knew they needed help to make the most of their inheritance but didn’t know where to begin. They were concerned about how to generate enough income to live comfortably, how much tax they might have to pay, and how to ensure their funds would last. They were also unaware that, even at their age, they could still contribute significant amounts to super and benefit from the tax advantages it offers. Without a plan or investment strategy in place, they sought expert advice to give them clarity and direction.

We acted quickly to take advantage of the current financial year’s non-concessional contribution cap, contributing $120,000 each into their super accounts. We then mapped out a plan to use the bring-forward rule to contribute $360,000 each in the following financial year — all before they turned 75. We will have invested their money in line with their comfort level and income needs, spreading it between super (to access the tax-free pension phase) and investments outside of super for added flexibility. A three-year roadmap was put in place to continue transitioning funds into the most tax-effective environment possible.

With a clear strategy, tailored investments, and smart use of their super contribution opportunities, the couple now feel confident and in control of their financial future. They will soon be generating a tax-free income from their super, paying very little tax overall, and most importantly - they have peace of mind. They no longer feel overwhelmed and can now focus on enjoying retirement, knowing their money is working for them in the right way.