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Patient in hospital

WILL YOU HAVE ENOUGH?

Use the F3 superannuation retirement calculator to estimate your personal superannuation balances at retirement and your projected retirement income.

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2. Protecting future income

 Client Michelle, late 30s, Lawyer
 Income $150,000p.a. – strong candidate for substantial pay rise in near future
 Assets Reasonable equity in a luxury apartment and an investment property for which she borrowed more than 100% of the purchase price.
 Need Michelle was paying off her debts by her income alone and wanted to protect herself in the event her income stopped.
 Solution Income Protection Insurance (premiums are fully tax deductible)
 Event

6 months after taking out the policy, Michelle was involved in a water skiing accident that resulted in spinal injuries. She was in constant pain and undergoing significant rehabilitation, and the doctors said she would be out from work for at least 5 years.

The Income Protection Insurance paid 75% of her income for the entire period, excluding the first month in which she received sick leave. The insurance payments paid for her expenses and living, and her lifestyle and long term financial goals were not affected.


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