Eureka Correspondence

Small business foots the bill, dividends, franking credits and PPL, single pot strategy.

Small business foots the bill

As a small business owner I am tired of footing the Government's bills and listening to so-called “experts” who have never owned or operated a successful small business telling us that we need this or that.

A couple of perfect examples are:

– Paid maternity leave on full pay – how can we as a nation afford this indulgence?

– Superannuation of 12-15% – isn't it about time employees accepted some responsibility for the funding of their own retirement plans? When I first joined the workforce as a bank employee I was forced to contribute 5% of my salary to the employer's super scheme. Why shouldn't all employees be compelled to contribute a similar amount to their own retirement plans and then we would not need to keep shifting the responsibility to employers to fund their employees’ retirement plans?

Perhaps these so called experts should get out into the real world and be forced to run a small business and then see how keen they are to promote their scatter-brain ideas.

Des Rock

Dividends, franking credits and PPL

I too rely on dividends and franking credits for a large part of my income. But unlike your earlier correspondents (see Eureka Correspondence) I am far from happy at the prospect of losing any of this income to fund a gold-plated scheme which will benefit a minority of workers. We may be a first-world country, but our economy is not of such size that we can afford such an impost on business as the PPL scheme will ultimately cost. The 1.5% tax (sorry - levy) is only a small component of the total cost of a scheme which, without a means test, adds even more to the middle-class welfare bill. 

Name withheld

Single pot strategy

It is interesting to read Bruce Brammall's article, A single pot strategy. My super pot will provide the core of my retirement income. The non-super pot provides a bit extra. So I pursue two investment strategies - conservative and adventurous respectively. Thanks for the affirmation.

Name withheld

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