aceraceracer, many valid comments here. My personal two cents worth (my generalised opinion here only, not advice, yada yada etc) is that the tax concession available by salary sacrifice puts the return above all else, ie a possible 19%pa tax saving before you then compare the returns available in various asset structures. A good way of viewing the opportunity is that the Govt have now limited concessional conts to $25k per year with the sole intent (imo) to limit tax minimisation, so it tells you that what is available should be capitalised on.
So unless you are on a very low income now, salary sacrifice up to the maximum each year and then pull out any required sum tax free at age 60 onwards to clear outstanding debt which by the way is the cheapest it has ever been in Australia. By applying extra payments of your investment property loan you are reducing your tax deductibility and therefore refund. The return on capital by doing this is likely less than salary sacrificing to the max on solid quality super assets. Yes super rules can be changed, and Govts could manipulate the system further but so could they on property investment (negative gearing especially), cash in the bank, bitcoin, gold etc.
By the way, ultimately throughout retirement, I believe everyone should hold as much inside super as outside super to mitigate the above mentioned risk. I don't buy into the naysayers on super being doomed. Both sides of politics do not want the masses relying on social welfare, so super will remain attractive.
Include upto 10% gold as the ultimate bureaucratic insurance, some cash as an option to buy distressed assets, then hold property and shares, but predominantly super for flexibility and simplicity. Too much property, and you limit your income to approx. half of what an allocated pension within super could provide, you'll risk extended vacancies, unexpected repair bills, ever increasing utility bills at the whim of councils etc. Also consider taking advantage of any applicable co contribution, spouse contribution incentives within super, for you and/or wife?
I'm not a fan of family trusts, had one and felt my accountant benefitted more than I did with my ramped up billing, especially after the Govt stripped away the tax free distribution limits available to the kids.
Kiss -- Keep it simple, a Million for example, in super invested wisely provides $60,000 a year tax free income from age 60 onwards, a comfortable retirement for a debt free couple with no kids/disabilities, make this a goal if possible.
