1. an automatic contribution into superannuation via the compulsory SGL (superannuation guarantee levy, currently 9.5% of pre-tax salary) and an additional $800 of 'salary sacrifice' from each fortnightly pay. Within the SMSF $5000 is automatically moved from our ANZ V2 High Interest SMSF bank account into our investment in Vanguard LifeStages HighGrowth Index Fund.
2. $100 per month investment into the Colonial First State Geared Share Fund via a direct debit by my StGeorge Margin Lending account (with a matching $100 loan amount being invested)
3. $100 per month invested into the Vanguard LifeStrategy HighGrowth Index Fund held
So, overall I am currently saving around 30% of my total pre-tax salary package, mostly via tax-effective superannuation savings.
I had sold off some of my smaller individual stock holdings and some of my Resource Company Investments (when the 'mining boom' was coming to a close) in recent years, so the remaining investments in my geared portfolio are likely to remain unchanged during financial year 2015/16. I recently took up my entitlement to 88 additional shares in National Australia Bank, and IPE Private Equity is likely to continue to decline in market value as they slowly sell off various private company holdings and pay out the proceeds to the shareholders.
Overall the level of gearing is fairly modest (loan:value ratio around 50%), with the total dividend income distributed last year slightly exceeding the interest on the margin loans (hence the portfolio was slightly 'positively geared'). Some of the dividend income is reinvested, so I actually have a slightly negative cashflow and have to use some of my 'take home' pay to cover any monthly margin loan interest payments that aren't covered by the dividends I receive. The dividend paid out by Woodside Petroleum is also likely to be a lot less than was paid out during the past 12 months.
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