Wealth Creation – The Building Blocks
Despite the importance of financial planning, many Australians don’t actively think about wealth as a means to achieve their most important life goals. According to MLC’s Wealth Sentiment Survey (2024), 41% of Australians feel they don’t have their finances under control, and only 23% have a comprehensive financial plan. This shows that most are missing key elements in their wealth-building strategies.
It’s about achieving your key goals!
Wealth isn’t just a bank balance — it’s a set of building blocks that work together to help you reach financial goals. From managing income to estate planning, these components are critical.
Let’s break them down.
Key Wealth Building Blocks
- Income
Your foundation, earned from work, investments, or businesses, which you use to fuel other wealth-building strategies. Diversifying income streams is key to long-term growth. - Savings, Budgeting & Debt
Effective budgeting and saving strategies help you prepare for the future. Managing and minimising debt helps avoid financial setbacks. - Structuring & Tax
Optimising tax strategies and structuring your financial affairs helps reduce tax liabilities, and maximise your wealth. - Property Investments
Real estate remains a solid investment for generating rental income and long-term capital appreciation for some Australians. - Shares & Investments
Investing in shares, ETFs, and bonds offers potential for capital growth and passive income over the long term. - Superannuation
Australia’s retirement savings system allows tax-effective contributions that can greatly impact your retirement lifestyle. - Insurance & Wealth Protection
Insurance, including life and income protection, is essential to safeguard your wealth and mitigate risks. - Retirement Planning
Setting goals, estimating future expenses, and saving for retirement ensures financial security later in life. - Estate Planning
Wills, trusts, and powers of attorney help distribute your assets according to your wishes, avoiding disputes and managing taxes.
Conclusion
These building blocks form the backbone of a wealth (financial) plan.
By prioritising these and optimising them over time, you can ensure long-term financial success and reach your most important goals.
Wealth Maximiser will help you achieve this for around 1/3 the price of traditional financial advice, this is based on the Canstar article ‘How much does a financial adviser cost? (2022)’ by Tamika Seeto.
Disclaimer
This information is of a general nature only and does not take into consideration your objectives, financial situation, or needs. Before acting on this information, you should review the Wealth Maximiser Financial Services Guide and Wealth Maximiser Terms & Conditions and consider this information in light of your own objectives, financial situation, and needs. Wealth Maximiser is operated by NobleOak Services Limited ACN 112 981 718 AFSL 286798.