Chris Childs


Will the mining profits tax make it easier to invest in property?

There has been a lot of talk about the mining profits tax in the past few days, with politicians and business leaders quick to point out the pros and cons of this latest development.But it is probably fair to say that most investors are interested in learning about the impact this tax will have on their ability to save for the future and expand their property investment portfolios.Figures released this week show that the first round of rebates, which are said to be worth $1.9 billion over the next four years, could directly benefit 800,000 Queenslanders – or 3.6 million taxpayers residing in states and territories across the country – from July 1 onwards.To put these statistics into perspective it might be more helpful to look at the direct impact the tax will have on your typical income earners.According to the government, a 22-year-old hairdresser could pocket an extra $94,487 in super by retirement age, while teachers that are over the age of 55 will get $12,000 despite the fact they are only 12 years away from retirement.Bill Shorten, superannuation minister, said that the tax will help to raise the superannuation guarantee levy from nine to 12 per cent and will be phased in between 2013 and 2019.“The golden goal of lifetime income security will become significantly easier to achieve, thanks to the mining tax,” he said.“We know the mining boom is great news for the mining industry and the country – but we want to make sure those digging up Australian minerals are sharing their profits with average Australians.”And while sharing the profits may mean different things depending on the individual, a smart property investment strategy can help to safeguard your long-term financial security – and offer further cushioning to your retirement nest egg.If you are just starting to think about investing in property, speaking to a wealth coach can be a great way to find out more information about the process.Smart property investments can help you build wealth over the long-term – and the right property coaching can start you off on the path to success.