Newsletter 14 March 2009

 

“What we see depends mainly on what we look for” – Sir John Lubbock

 

 

Has the property bubble burst and is now the best time to invest in property?

 

With interest rates plummeting, yields are climbing and now is the time to get your either get your portfolio off the ground or buy more investment properties, but it is vital to get it right in this market. To do this you need to get the best education and tools.

 

We have managed to negotiate a special offer exclusively for our clients that we are very excited about and would like to share with you.  

 

On the 28th and 29th March 2009, Richmastery , New Zealand ’s leading property educators, are holding a 2 day Property College in Wellington for the first time ever. The normal investment for this 2 day seminar is $399 and $299 for your partner but we have negotiated $50 of this price for our clients. Seating is limited so you will need to be quick. As a bonus you will receive an investor pack valued at $249.

 

Call now on 0800-8033700 .

 

Here are just a few topics that will be covered at this Event:

 

  The Property Cycle – how the cycle works, when to buy or sell and just what the current market means for us all.   Understanding the truth about the property cycle is vital to your investing success.

  Current Market Top 4 Strategies – if you are serious about profiting in the slump you need to know about the top 4 recommended ways to do it.   We’ll cover:

o        Lease Options

o        Buy and Hold/Renovations

o        Renting Room by Room

o        No Money down deals

  Financing – How to get it, what the lenders look for and how to protect your future borrowing power.   Plus broker vs bank vs non-bank lender – what is really the best way to go?

  Negotiating – In property you make your money when you buy and to do this you need to negotiate.   A master negotiator will give you the inside edge when dealing with agents and vendors in a real life role play activity.

 

 

Date:       28th-29th March 2009

Venue:   Level 1, 7 Daly Street , Lower Hutt

Time:      9.00am to 7.30pm Saturday and Sunday

 

 

The New 90 Day Trial Period

 

One of our Government’s moves to mitigate the effects of the global economic troubles and position New Zealand for higher growth in the long term was the introduction of a 90-day trial employment. Its objective is to lower the legal risks employers face so they will be more confident in giving people the opportunity to prove themselves.

 

The legislation was introduced by way of amendment to the Employment Relations Act 2000.

 

What to do and why.

 

1. A Trial Period is not automatic for new jobs in small businesses. It only occurs if the employer and employee agree to it.
2. The trial period will need to be in the Employment Agreement.
3. The 90 days is a maximum and it can, by agreement be less.
4. All employment rights such as good faith, non-discrimination, non-harassment, holidays, leave and OSH are maintained during a trial period. If you dismiss an employee for non performance, misconduct, redundancy or another legitimate reason during the trial period then they will not be able to take a personal grievance. If you dismiss someone because they are pregnant (for example), you can have a grievance brought against you.

 

The termination itself does not have to fall within the 90 day period of the trial period. The employer must give the employee notice of termination within the period. There is no minimum notice period in the legislation, it simply says that the employer must "give the employee notice" – so it appears short or immediate notice of termination will be within the law. Check your agreements on notice.

 

The amendment only protects employers from unjustified dismissal claims. Employees can still bring personal grievances for sexual or racial harassment unjustified disadvantage, discrimination, duress and failure by an employer to comply with the continuity of employment provisions in the Employment Relations Act or in the Employment Agreement.

 

5. There can be only one trial period per employee. An employer can not have a trial period for an employee who has worked for them previously.
6. If an employee leaves a benefit (WINZ) to take up a job which is terminated within the 90 day trial period, there is no stand down returning to the benefit.
7. While small businesses (less than 20 staff) make up 97% of enterprises, they only employ 31% of employees.
8. The statement above means the Act will affect employers with 19 or less staff.
9. The law only applies to new employees, and cannot affect any existing employee in their current job.
10. The law is effective from 1st March 2009.
11. Employers can retain the 3 month Probationary Period and insert a Trial Period in their employment agreements with the agreement of the employee.

 

2009 Financial Year and Year End Questionnaires

 

We are still in the process of tidying up 2008 work before we launch into the 2009 financial year. Shortly you will be receiving your Year End Questionnaires.   As part of preparing for this process we have been considering scheduling your work to better manage our workflow. Please do not be offended at this. We value you, our client. We will confirm the details of this by letter.

 

If there is a genuine reason that you might require your financial statements and tax returns ahead of when we have them scheduled, then please get in touch as we do have a little flexibility in our schedule to reassign work where necessary.

 

 

Although every effort has been made to ensure the accuracy of this newsletter, the information is necessarily generalised. Clients are therefore requested to seek specific advice and not rely solely on the above, if they are interested in any matters mentioned.

 

Paul Enoka Chartered Accountants Ltd

PO Box 31-348 Lower Hutt

Phone (04) 939-7977