July 2015

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WHAT ARE THE HIDDEN COSTS OF RETIREMENT VILLAGES

THE 2.5% RISE IN THE MINIMUM WAGE

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LEGAL - WEALTH PROTECTION - INVESTMENT - BUSINESS - LIFESTYLE - SYDNEY

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THE MARRIAGE OF FIGARO: MOZART’S CLASSIC OPERA COMEDY

page 7SAME SEX MARRIAGE: IS IT THE TIME

ISSUE

ESTATE ADMINISTRATION: WHAT TO KNOW WHEN A LOVED ONE DIES

PAGE 2 OWEN HODGE LAWYERS

From 1 July, the Fair Work Commission's National Minimum Wage Order 2015 (the Order) came into e�ect. The Order increases the minimum wage by 2.5% to $656.90 per week.

The Fair Work Commission (FWC) states that this increase a�ects 1.86 million workers who are dependent on the national minimum wage.

2.5 % Rise in the Minimum Wage

The

The 2.5% increase applies to those employees that get their pay rates from:

• the national minimum wage;• a modern award; or• a registered agreement.

If you have employees whose pay is taken from an award, you will need to check whether the rise applies to them. The government's fair work website has calculators to help you determine whether the change applies to you.

If you are an employee and you believe that you are not getting the right pay, then you can get help from the Fair Work Ombudsman.

Moving forward

Australia is in a relatively fortunate position. On a relative measure, Australia has bypassed the sharp end of the global

maintained a relatively healthy environment for business.

These factors coupled with the recent budget in which small business was a major winner means that the economy can support a 2.5% wage increase.

In the context of international concern over increasing economic inequality, however, a 2.5% wage increase cannot address the fundamental and increasing inequalities inherent in the living standards of those that rely on capital and those that rely on income.

Owen Hodge Lawyers has a thriving and proactive business support team and takes an active interest in the economic context in which its clients operate.

Fair Work Commission

The FWC is Australia's independent body tasked with ruling on workplace relations. The law requires that the FWC conduct an annual review of the national minimum wage and minimum wages in modern awards.

The increase of 2.5% is less than last year's increase.

aggregate wages growth stating that these two factors have a direct bearing on the living standards and needs of the low paid. The reduction in these two factors warrants a more modest wage increase.

caution in the face of a reduction in reliance on mining to fuel Australia's economic growth. This coupled with the fact that non mining contributions to economic growth are still

FWC.

The FWC has balanced factors supporting a cautious approach against economic indicators that there is no real evidence of corporate stress citing the following evidentiary factors:

• that business entry rates have exceeded business exit rates;• the lower business exit rates; and• that labour costs are at a historical low.

Another factor that the FWC took into account when determining the increase was the principle of equality in remuneration stating that evidence indicates unmet needs among the low paid. The FWC argues that the increase, therefore, promotes social inclusion.

Consultation

In addition to its economic analysis, the FWC undertook extensive consultation with trade unions, employers and the public in order determine the level of wage increase. The Australian Chamber of Commerce and Industry and the Australian Retailers Association proposed an increase of $5.70 per week.

• low economic growth; and• that any further increase may cause small businesses to cut

The Australian Council of Trade Unions (ACTU) argued for a $27 per week increase. The ACTU has stated that the 2.5% increase is not enough to relieve stress on low paid workers when health care, education and childcare costs are increasing at

OVER 60 YEARS OF TRUSTED EXPERIENCES PAGE 3

Determining what employees are covered by the minimum wage increase and setting new wage rates can be complicated, andyou need to get appropriate legal advice so you can remain in compliance with Fair Work Commission requirements.

Contact us on 1800 770 780 for assistance!

PAGE 4 OWEN HODGE LAWYERS

Estate Administration:

What to Know When a Loved One Dies

Knowing what to expect when a loved one has passed away can help you prepare for the estate administration process and take necessary steps to ensure the deceased’s wishes are respected and honored.

OVER 60 YEARS OF TRUSTED EXPERIENCE PAGE 5

When a loved one has passed away, dealing with the adminis-trative issues involved with handling the estate is likely the last thing on your mind. Although death is a deeply personal experience that can change your family forever, a death also triggers legal obligations to be aware of.

The post-death legal process will vary depending upon wheth-er your family member or friend has left behind a will or has died without one, so here are the basics of what to expect.

What Happens When a Loved One Dies with a Will?

When a loved one passes away with a will, a Grant of Probate typically is required. While some estates may be administered without one, they generally are limited to small uncomplicated estates valued at $15,000 or less, or when all assets are owned as joint tenancies. Whenever the deceased died owning real estate not owned as a joint tenancy, probate is necessary.

The will the deceased has left behind should name an executor. It is this person’s job to get the probate process started and to manage the administration of the deceased’s estate until the Grant of Probate comes though.

As part of managing the estate:

• A probate notice should be made on the Supreme Court Online Registry website. The notice’s purpose is ensuring anyone who knows of another will or who is owed money has the opportunity to make a claim.

• The executor should �le the will, petition at the probate court to be appointed executor (personal representative of the deceased) and apply for a Grant of Probate. If the will did not speci�cally name an executor, an heir should petition the court for a grant of probate. Typically, the court appoints the major bene�ciary as the executor to carry out the will’s terms when no executor was named.

• The executor should collect or marshal the assets of the deceased. Everything the deceased owned should be identi�ed and inventoried. When possible, accounts should be consolidat-ed so there is one single checking account for the estate.

• Valuable assets should be appraised. If the deceased had expensive jewelry, artwork, or other valuable items, an apprais-al should be obtained from a quali�ed professional.

• Bills should be paid out of the checking account or estate of the deceased. It is important to keep track of all expenditures of any money the deceased left behind.

• An inventory of the deceased’s assets and a list of the deceased’s liabilities should be �led with the probate court. The person conducting the inventory must list all property the deceased left behind. This includes not just money, but also furniture, art, dishes and all other tangible property. The inventory should be created before any money or property is distributed to heirs.

• An estate tax return should be �led if required. Estate tax returns are required only on larger estates. When required, the tax returns should be �led within nine months of the date the deceased has passed away. Missing the deadline has severe consequences as interest can apply and there may be tax penalties. If you are not certain of the full value of the estate or the amount of taxes due, �le for an extension and pay an amount you believe is correct.

If there is no dispute about whether the will is a valid one, probate will be granted in common form. If the court does not believe the will is a valid one, probate will not be granted. If the court approves a will that has been disputed, probate will be granted in solemn form.

The executor is responsible for distributing estate assets to heirs and legatees. Typically, this is done once the period of time has passed for creditors to make claims against the estate. This can take as long as a year. However, if the executor is reasonably certain he or she understands all claims likely to be made, the majority of assets may be distributed. Then the executor simply can retain a small reserve for unexpected expenses and for the �nal costs of closing out the estate.

A �nal account with the probate court must be �led before the last remaining funds in the closing reserve are paid out and an executor’s work is done. This should list any income the estate has obtained since the deceased passed away, as well as all expenses and all distributions of assets made from the estate.

What Happens When a Loved One Dies Without a Will?

When a loved one dies without a will, the next of kin should apply to the court for a letter of administration. This essential-ly asks for an authority under the seal of the court giving the next of kin the power to administer the estate of the deceased. Intestacy laws dictate how property will be distrib-uted when someone dies with no will. Money and assets typically are divided among spouses, children and other close relatives when someone dies with no will.

Getting Legal Help

Owen Hodge Lawyers provides assistance with the probate process and can help you whether your loved one has died with a will or not. Give us a call to schedule a consultation and learn more.

What are the hidden costs of retirement villages

Living in a retirement village may seem like a great opportunity for a senior who wants to be close to others, who wants activities available and who does not want to take care of a large property. However, before you buy into a retire-ment village you need to understand some of the hidden costs associated with these living environments.

Hidden Costs of Retirement Villages

Most retirement villages do not sell you your unit in the village with a freehold title. Instead, you may enter into a di�erent type of ownership structure, such as a long-term leasehold, a company title or a strata title. You also may purchase the right to occupy your unit, but agree to paying annual fees and a charge when you leave.

If you buy your unit and lease the land, or otherwise have some type of lease-holder agreement, the agreement often comes with a thick contract full of terms that are hard to understand. However, the bottom line is this ownership structure generally means you end up paying an upfront fee as well as fees along the way.

By the time you exit the village and want to move out of the unit (which happens, for most, an average of 10 years after buying in), you will be lucky if you get your original capital back. Depending upon what speci�c type of ownership agreement you had, your investment often will be eaten up by fees, including:

• Maintenance fees, recurrent fees or monthly service fees• Fees for special care• Fees for services used

• Selling, contract, and legal fees• Departure or exit fees, which could accumulate annually at a rate of between 2 and 2.5 percent of the purchase price. • Refurbishment fees, or the cost of remodeling and repairing the unit when you leave.

Not only will you have to cope with fees during the time you are living in the unit, but you can expect to continue paying recurrent fees while your unit is on the market. When the unit does eventually sell, the operator may receive a share of any capital gain.

These fees don’t necessarily mean living in a retirement village is a bad thing. You get the bene�t of community amenities and a living experience with other seniors. Still, you should know what to expect up right.

OVER 60 YEARS OF TRUSTED EXPERIENCE

PAGE 6 OWEN HODGE LAWYERS

Prime Minister Tony Abbott has

man and a woman to the exclusion of all others, voluntarily entered into for life” as set forth in the Marriage Act (1961). The prime minister also has released a statement in which he notes that, “It is rare for a private member's bill to be voted on and any bill would be subject to the usual process.”

Guardian Australia recently surveyed all Senators who were either against same sex marriage or whose position was unknown. If those who were already on the record as supporting a change in the law remain in support, it appears passing the legislation would require only two more votes or, viewed from another angle, it would come up two votes short.

A long history

As originally enacted, the Marriage Act contained no language that would exclude gay couples from marrying. That language was introduced in 2004 by the Howard government. Some suggest it was done to insert a “religious values" issue into the 2004 election and to wedge socially conservative religious voters away from Labor.

For years thereafter, it was left to minor parties such as the Democrats and the Greens to make the public case for same sex marriage. That began to change in 2011 when the Labor party voted to amend its policy platform on the legal

same sex couples.

In 2013, a same-sex marriage bill was defeated in the New South Wales Parliament but, at the time, the vote was very close - 21 to 19. The margin strongly brings to mind the anticipated division in the national parliament today. Many who voted against it in NSW gave as a reason their belief that marriage was an issue to be decided at the federal level. The issue now may be ripe for a federal decision.

That is the question that Parliament may face very shortly. A cross-party same sex marriage bill is expected to be intro-duced on 11 August, and many think it has as good a chance as ever. However, it is not clear the bill will go to a vote and, even then, the opposition appears to be as mobilized as supporters.

Same sex marriage long has been the subject of a political tug-of-war between socially conservative and more liberal political factions in Australia. Each side

as either an issue of equality or religious morality.

Others argue the matter should be decided not as a conscience vote in Parliament, but through national referendum to amend the constitution, a process that likely would take several years. There has been profound disagree-ment about what the question is, much less the answer. Nonetheless, now that Ireland and the United States, as well as Canada, New Zealand and the United Kingdom (excluding Northern Ireland), have recognized the right of same sex couples

increasingly isolated position among developed, English-speaking countries. The time for a decision appears to be looming.

The positioning to date

The bill will have a wide array of co-spon-sors, including Liberal MPs Warren Entsch and Teresa Gambaro, Labor MPs Terri Butler and Laurie Ferguson and Independent MPs Andrew Wilkie and Cathy McGowan.

Opposition leader Bill Shorten has welcomed the new bill, saying he hoped the prime minister would allow a free vote. The Liberal Party will decide whether to hold a conscience vote on same sex marriage on 18 August. If the Liberal Party backs a conscience vote, it will improve the bill’s chance of passing.

The rest of the social environment

Since 2008, same sex de facto couples have enjoyed many of the same legal rights as married couples do. In addition, nearly three quarters of couples who marry do so in a civil ceremony, rather than a religious one.

This may serve to further blur the distinction between married and de facto relationships, or at least weaken the religious values argument against same sex marriage. Opinion polls suggest nearly 70 percent of Australians favor permitting same sex marriage, a margin that is even greater than voted to approve it in Ireland.

The recent United States Supreme Court’s granting of marriage equality throughout the United States does nothing to decrease the pressure.

The U.S. Ambassador to Australia, who is an openly gay man, and whose marriage in the U.S. is not recognized in Australia,

Parliament would lift a nationwide ban on same sex marriage.

marriage in Australia are a matter for Australians. If the matter goes to a vote in August, a resolution of the issue may be at hand. It simply may be a matter of the law catching up with developing public opinion.

At Owen Hodge Lawyers, our family law attorneys look forward to supporting all Australians in matters of marriage,

planning and whatever other family matters occur.

Same Sex Marriage, is it time ?

OVER 60 YEARS OF TRUSTED EXPERIENCE PAGE 7

The Marriage of Figaro Mozart’s Classic Opera Comedy

If you are looking for a unique and entertaining activity, a visit to the opera may be just the ticket.

Going to the opera is a great opportuni-

and to have a transcendent cultural experience. The Marriage of Figaro, Mozart’s classic comedic opera, also allows you to enjoy a little comedy with your culture.

or are considering going to the opera for The Marriage of Figaro is a

can’t miss show. This four-act comedic opera by Wolfgang Amadeus Mozart has delighted audiences since it premiered in May of 1786 at the Burgtheater in Vienna.

What to Expect if You See The Marriage of Figaro?

The Marriage of Figaro is a tender comedy centered around an intercon-necting series of revenge schemes.

The comedy carries forth the story begun in The Barber of Seville, but picks up several years later and can be seen as a stand-alone opera show. It takes place at the palace of the philandering Count Almaviva, whose story ultimately has a happy ending although he begins the show as one of the characters who is the target of a revenge plot.

The show’s drama unfolds during a single day, which begins with the valet Figaro measuring the space for a bridal bed for his soon-to-be wife, Susanna (the maid at the Count’s palace).

Susanna is concerned, however, that Count Almaviva has designs on her and plans to bed her before her husband despite the fact that the Count is married to Countess Rosina.

Figaro vows to outsmart the Count, while another character, Dr. Bartolo, arrives at the Palace. Dr. Bartolo, too, is seeking revenge.

This time, the target is Figaro. The Doctor is plotting against Figaro because he foiled Dr. Bartolo’s own plot to marry Countess Rosina.

Rosina, Figaro, and Susanna all conspire to take revenge upon the cheating Count Almaviva by embarrassing him, as the Count engages in his own scheme involving an attempt to delay the marriage between Susanna and Figaro.

Meanwhile, the Court also is trying to compel Figaro to marry an older woman, who eventually turns out to be Figaro’s mother.

While all these interconnecting schemes ultimately culminate in the Count rediscovering his love for the Countess,

how it all happens.

The Music and the Magic of The Marriage of Figaro

While the plot may sound far-fetched, like those of many operas, the action is carried along by Mozart’s beloved music. In fact, the overture from The Marriage of Figaro is a well-known work frequently played independently at concerts as well as during the opera.

The arias and ensemble scenes also have been winning acclaim since the opera debuted more than 200 years ago and became an immediate success.

The Marriage of Figaro was performed just nine times in Vienna in 1786 despite the positive reception, as it had to compete with Una cosa rara by Marin y Soler.

The Marriage of Figaro, however, also played in Praque in 1786 where the favorable reception led to the theatre director encouraging Mozart to write a

prompted Mozart to write Don Giovanni.

Today, audiences throughout Sydney have the chance to delight in The Marriage of Figaro and experience the comedy for themselves. Check out this fun opera today for a great night at the theatre.

OWEN HODGE LAWYERS PAGE 8

Time: 6th August till 29th August

Contact: (02) 9318 8200

Locations: Bennelong Point, Sydney NSW 2000

Korean Film Festival - SYDNEY

12th August till 20th AugustEvent Cinemas, Sydney NSW 2000

The Sun-Herald City2Surf

9th AugustStarting from Park Street Sydney and Finishing at Bondi Beach

The Sun-Herald City2Surf presented by Westpac is not just Sydney's favourite sporting event, it is the world's largest run with over 80,000 registered participants each year.

SMASH! (Sydney Manga Show)

8th August till 9th AugustJames Ruse Drive, Rosehill NSW 2142 www.smash.org.au

SMASH! Sydney Manga and Anime Show is a Japanese pop-culture convention that is set to return with its spectacular two day convention at Rosehill Gardens. For fans of comic, manga, and anime, Smash! is a true pop-culture festival!

What’s On in Sydney

festival will showcase the vibrant cinema emerging from South Korea. KOFFIA promises to bring you a unique Korean cultural experience with industry forums, gala receptions, cultural activities.

OVER 60 YEARS OF TRUSTED EXPERIENCE PAGE 9

Singapore Food Week - The Rock

12th August till 20th AugustEvent Cinemas, Sydney NSW 2000

Dear World - Potts Point

3rd August19 Greenknowe Avenue, Potts Point NSWwww.hayestheatre.com.au

Neglected Musicals will present Dear World, at Hayes Theatre Co. Directed by Nicholas Hammond this 1969 Broadway Musical, Dear World is a modern day clash of good and evil where the forces of idealism, love and poetry win over those of greed, materialism and science.

Oyster Festival - Sydney

1st August till 31thAugust225 George Street, Sydney NSW 2000www.themorrison.com.au/

Everyone's favourite Oyster Festival returns this year, with internationally awarded Executive Chef Sean Connolly hosting a line-up of exciting activities

Singapore food fans won't need to travel far to enjoy their favourite dishes during our Singapore Food Festival! Diners will

stations including classic Singaporean dishes including Hainanese Chicken Rice, Singapore Laksa, Chicken Satay ...

DANCENDENTS - Erskineville

14th August till 30th August107 Railway Parade, Erskineville NSW 2043(02) 9550 2744

Fifties Fair 2015 - Wahroonga South

23th August71 Clissold Road, Wahroonga South NSW 1300 448 849

Put on your Sunday best and be a part of the most swinging event of the year at Sydney's iconic 1950s home, Rose SeidlerHouse. Enjoy live music from rock n' rollersThe Hi-Boys, dancing by Swingtime Australia, food by Porteño, classic car displays and more!

Ferragosto - Five Dock

16th AugustGreat North Road, Five Dock NSW 2046(02) 9911 6555

Sydney's favourite Italian festival, run by the City of Canada Bay is back this year for its eighteenth year.

There will be great entertainment, over 150 market stalls, music and dancing and plenty of activities for the kids.

DANCENDENTS, a new dance program of performances, masterclasses and events.DANCENDENTS hosts the Sydney premiere of two remarkable dance works - Rhiannon Newton's Assemblies for One Body and Leah Landau's Summer Bone.

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