Looking at everything, and making smart decisions can ‘unlock’ plenty of untapped wealth. (Source: Getty)
When we first met Wayne and Wendy, they thought they were doing pretty ok with money.
In their late 30s, they were earning good incomes, saving at a solid rate each month, and already owned a home. They had some shares, stable jobs, and a growing investment mindset. Looking at their situation on paper, it looked like they were doing all the right things.
But behind the scenes, there was a lot of frustration and stress. They were paying a lot of tax, wanted a dream home that wouldn’t crush their lifestyle, and ideally wanted to create the option to wind back from work before they were too old to enjoy themselves.
They’d been thinking about making their next big financial move for almost two years while the markets kept running. They recognised that analysis paralysis was costing them money.
Wayne and Wendy were stuck because they thought their money was simple. But it wasn’t. Like many other strong earners, they had a tendency to collect ‘good ideas’ that never quite seemed to add up to an actual strategy.
And ultimately, that’s how many end up stuck – saving hard, paying plenty of tax, and still feeling like they’re not getting ahead. The fix here isn’t to get a hotter stock tip. It’s a plan that connects your savings, debt, tax, super, and investing to the lifestyle you actually want.
Once we mapped Wayne and Wendy’s full picture, a clear pattern emerged. They were doing a lot of good things, just not in the right order, under the right structures, or with the right system behind their financial moves. Fixing that sequence unlocked some serious money.
The first thing that came through was that they’d been investing in Wayne’s name, even though his income and tax rate was higher. Shifting the ownership immediately cut their annual tax bill by around $3,000.
Their super fund was another drag. Higher fees and underperforming investments meant their overall return was lagging. Moving to a better, lower-cost super option added another $3,500 each year. Wayne was underusing an employer share plan, so with a few small tweaks to how they participated and when they sold, they picked up another $4,200 yearly.
On the tax front, they hadn’t been contributing funds up to the tax deductible contribution limit in super, missing out on a straightforward $3,900 tax deduction. And outside super, they didn’t have any tax structures in place – by setting up an investment bond, they capped the tax on their investment fund earnings at 30%, with the added benefit that capital gains are tax free when investments are held for ten years or more. This added another $6,000 to their bottom line in year one.
Story Continues
And the final big move they made was to purchase and investment property. They had equity in their home, and their savings surplus was solid, so in buying an investment property they were able to use the bank’s money to acquire a quality asset and drive tax deductions at the same time. Even after funding the shortfall between their investment property’s rental income and the mortgage payments, this one move delivered a net benefit of $34,670 in year one.
When you add up all of these moves, the total upside for Wayne and Wendy was $52,270 in year one – all done without earning a single cent more. Not bad for a couple that thought they were already doing ok.
Most of these ideas weren’t new to Wayne and Wendy. They’d read the articles, listened to the podcasts, and even had done up a few spreadsheets. The blockage for this couple was confidence.
When you’re making decisions that shape the next decade (or more) of your life, it’s hard to press go without seeing the full picture. You need to be clear on the upside, as well as the risks, and the trade-offs. It’s only then that your ideas turn into a sequence you can execute on.
Once we mapped Wayne and Wendy’s full picture, the pattern was obvious – they were doing plenty of smart things, just not in the smartest way. It’s a common story for strong earners – good income, strong savings, but no clear strategy tying everything together.
The fix wasn’t a single big move – but a handful of small, smart changes that worked together to make a big difference.
If you’re in a similar position, the lesson is simple but powerful. Start by looking at where your money is at today – where your investments are owned, how your super is performing, and what you’re paying in feed. Small shifts here can add thousands to your bottom line each year.
Next, review your tax position. Most people pay more than they need to because they don’t use the full range of legal options available – things like deductible super contributions, negative gearing, or using the right investment structures for your income level. These aren’t super complex moves, but they require some planning to get right.
And finally, ensure your money is actually moving you towards your targets and goals. Having cash in the bank may feel safe, but if it’s just sitting there you’re missing the opportunity for compounding growth. Whether that’s through regular investing into shares, property, or a mix of both, the key is having a structure and sticking to it.
Wayne and Wendy’s financial tweaks added up to more than $52,000 each year in extra upside. None of it came from a windfall or pay rise – it came from being deliberate – and that’s something anyone can do.
Wayne and Wendy didn’t win because they found a magical investment. They won because they made their money intentional. They reduced tax and fees, used the right ownership and structures, captured benefits offered by their employer, and bought a quality asset with purpose.
You can copy the playbook. Get your whole financial picture on one page. Ensure you fix the right things first, then sequence your next moves. You might even need to push yourself to move sooner than feels comfortable. And use the right support when speed and precision matters, and your focus will pay off.
Ben Nash is a finance expert commentator, podcaster, financial adviser and founder of Pivot Wealth. Ben’s new book, Virgin Millionaire; the step-by-step guide to your first million and beyond is out now on Amazon | Audiobook.
If you want some help with your money and investing, you can book a call with Pivot Wealth here.
Disclaimer: The information contained in this article is general in nature and does not take into account your personal objectives, financial situation or needs. Therefore, you should consider whether the information is appropriate to your circumstances before acting on it, and where appropriate, seek professional advice from a finance professional.
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