The franking credit system was established to prevent a double whammy of taxation for shareholders; if a company has paid tax on its profits at the corporate rate of 30% (27.5% for small business), it doesn’t seem fair that the government gets to ‘double dip’ and then charge income tax to the shareholders once it gets distributed as dividends to them.
Investing
Assets to gain for FI
One of the most important lessons in the pursuit of Financial Independence, or FIRE, is to understand the difference between an Asset and a Liability
Shares vs Property
The debate of whether to invest in shares (stocks) or property (real estate) is one that rages on in the investment community. Whilst there isn’t actually a right or wrong answer, what you choose to invest in really depends on the kind of investor you are.
December 2019 Net worth update
Captain FI Net Worth update for December 2019 | +$12,432 and Savings rate of 76% | 2019 in Review
The best portfolio management tool for FI
So once you have decided on your strategy to reach FI, figured out which stocks and ETF funds to buy and then gone out and bought your stock, how do you manage your portfolio?
Safe FI withdrawal rates
A safe FI withdrawal rate is the rate at which you can safely, and comfortably withdraw money from your investment portfolio during your retirement phase of living
Tax free retirement investments
Most countries have a retirement plan that gives employees an incentive to save for their retirement. This usually takes the form of tax concessions or matching contributions.
Interest rates, Reserve banks and savings accounts.
Bank accounts are a necessity in this day and age. By understanding interest rates and basic monetary policy you can snag yourself the best deal
Vanguard total world ex US (ASX:VEU) ETF review
EU is Vanguards all world minus USA offering. This is a diversified fund which seeks to track the performance of the FTSE all-world es US index
Vanguard Total Australian Market (ASX:VAS) ETF review
VAS is Vanguards offering for an Australian ETF. It tracks the S&P/ASX 300 index, which is the top 300 Australian publicly traded companies by market capital.