The start of a new year is the perfect time to reassess your financial strategy and ensure you’re on track to build and protect your wealth. For mining and resources executives and business owners, the right financial decisions today can have long-term benefits, from optimising tax strategies to securing your family’s future.
To make 2025 your most financially rewarding year yet, here are five key actions you should consider.
1. Supercharge Your Superannuation Contributions
Superannuation remains one of the most tax-effective ways to build long-term wealth, yet many executives and business owners fail to take full advantage of the contribution opportunities available.
For the 2024–25 financial year, individuals can make tax-effective concessional contributions of up to $30,000 per person and non-concessional contributions of up to $120,000 per person.
Key considerations include:
- If your spouse earns a lower income, contributions on their behalf can provide financial advantages.
- Using surplus cash for after-tax super contributions may be more beneficial than investing outside of super due to lower tax rates (typically 15% in super vs. up to 47% in personal accounts).
- Strategic timing of super contributions can help reduce taxable income and maximise retirement savings.
📖 Further reading: Time to catch up? Why You Should Consider the New Concessional Contributions Catch-up Provision
2. Understand and Optimise Your Executive Share Scheme (ESS)
If you participate in an executive share scheme (ESS), it’s essential to review your holdings and upcoming vesting events. These schemes can be complex, and the decisions you make today impact your future tax liabilities and wealth-building strategy.
- Review past vested shares: understand the tax treatment of each parcel of shares and plan accordingly.
- Anticipate upcoming vesting events: quarterly tax instalments may be required, and strategic sales may reduce tax burdens.
- Diversification strategies: avoid overexposure to company stock by reinvesting in a diversified portfolio.
📖 Further reading: What You Need to Know About Executive Share Schemes
3. Make the Most of Your Surplus Cash Flow
A well-structured cash flow management strategy ensures that surplus income works in your favour, rather than sitting idle or being spent inefficiently.
- Set up an automatic savings system—Direct surplus cash into a dedicated savings or investment account separate from everyday expenses.
- Use an offset account—Reducing your mortgage interest can provide significant financial flexibility.
- Consider smart investment strategies—Extra cash can be used to top up super, invest in diversified portfolios, or repay debt.
📖 Further reading: Surplus Cash: Repay Debt, Contribute to Super, or Invest?
4. Review Your Insurance Coverage
As your career progresses and your financial position changes, your insurance needs evolve. Many executives and business owners unintentionally leave themselves underinsured or continue to pay for unnecessary policies.
- Reassess your coverage—Determine if your policies align with your current income and assets.
- Life and TPD insurance—Ensure your family is protected in case of unforeseen circumstances.
- Income protection—Review whether your policy provides adequate coverage based on your lifestyle and financial commitments.
📖 Further reading: How Holistic Insurance Advice Helped Rebecca and Paul
5. Prioritise Estate Planning for Long-Term Security
A well-structured estate plan ensures that your assets are distributed according to your wishes and that your family is financially secure.
Key steps to take in 2025:
- Ensure your Will and Power of Attorney are current—These documents protect you and your family in case of incapacity or death.
- Review your superannuation and life insurance beneficiaries—These assets do not automatically form part of your estate.
- If you have a blended family, consult a specialist to ensure your estate plan reflects your intentions and protects all family members.
📖 Further reading: Estate Planning for Blended Families
Take Control of Your Financial Future in 2025
These five steps can significantly enhance your financial position and provide long-term security for you and your family. By proactively managing superannuation, executive share schemes, cash flow, insurance, and estate planning, you ensure that your hard work translates into lasting financial success.
For expert guidance on aligning these financial strategies with your unique circumstances, please contact James Marshall for a 20-minute, no-obligation discussion. You can call James at +61 (0) 7 3007 2000 or email contact@resourcesunearthed.com.au.
To learn more about James, visit this link.
Resources Unearthed is a solutions hub that connects senior executives, established professionals, and business owners in mining and resources with proven specialist advisers.
This advice is general and does not take into account your objectives, financial situation or needs. You should consider whether the advice is suitable for you and your personal circumstances.
