In other articles I’ve written about buying land through superannuation, the focus has been on the huge savings in tax. While this is a motivating factor and good reason to use this strategy, it’s not the only major advantage.
There’s an old adage that says ‘only buy investments you understand.’ For a farmer who is looking to buy land this makes perfect sense. Why? Because they get to choose their investment and act as their own investment manager.
Farm land is an asset they know, trust and understand. In addition, they get to use the land in their business. When you combine this with the significant tax advantages of superannuation, it’s a win win outcome. There’s no doubt that making investment decisions like this gives greater confidence, meaning and peace of mind.