Rich people know things that poor people do not know.
For example, do you know you can get a 24% return on your money in one day? Here’s how.
These days almost everyone can get a tax deduction for putting money into their superannuation account (even if your employer already contributes).
Say you contributed $10,000 into your superannuation fund. If you were on the 39c tax bracket, you get a tax refund of $3,900 (you could also add this into your superannuation or just put it in your pocket).
However there is a 15% contributions tax on tax deductible contributions to superannuation. You would lose $1500 in contributions tax.
So you gained $3,900 but lost $1,500 for an overall gain of $2,400.
In summary your $10,000 has turned into $12,400 – a 24% gain overnight.
We used small figures here to make the point. What if you used $100,000 instead of $10,000.
The people “on the inside” have hundreds of these “tricks” that the person on the street is just not aware of.
Canterbury know all the financial tricks and when combined together, the end financial result is astounding.