Jacob is a 45-year-old aeronautical engineer who has been working for Qantas since 2012. His wife, Sara, is a 41-year-old business analyst working for Telstra since 2010. They have been married for twelve years, have two children, Isabella aged 11 and Jack aged 13. Both Jacob and Sara are in good health, do not smoke, however Jacob drinks alcohol almost every day that becomes a daily habit now a days.

They would like to have another child, but Sara previously had serious complications and considered a high pregnancy risk (which needs consideration when selecting health insurance coverage for the family).

Jacob's annual taxable income is $145,000 excluding 9.5% superannuation and Sara's income is $85,000 excluding 12.5% superannuation. Total household expense is approximately $135,000 including home loan repayment.

They own two cars. Jacob drives a 2019's Mazda 6 (still $22,000 loan to pay at a rate of 4.5%) and Sara drives a 2010 Subaru Tribeca (paid up in full).

They live close to the city in a house valued at $1.5M with a mortgage of $750,000 (they pay a variable 5.5% interest rate).

Both children attend public schools. On Jacob's income, they are able to comfortably afford living expenses, school fees and the mortgage and have accumulated $25,000 in savings. It is Wilson family's desire to send both their children to private school from the year 2022 which will cost them another $35,000 yearly.

Jacob has superannuation balance of $210,000 with Cbus (combined Life & TPD covers of $550,000 with income protection) and Sara has $150,000 in her NGS super fund (combined Life & TPD covers of $250,000 with no income protection). Both are in the balanced portfolio option. They have no other debts such as credit card, and have no private health insurance. They go on holidays almost every after two years and spend around $20,000 per holidays.

Goals & Objectives:

Following discussions with Jacob and Sara, find their agreed goals and objectives as follows:

1. Ensure a net income of $135,000 per annum is available to maintain living expenses.

2. Maintain a cash reserve of $20,000.

3. They would like to know if investing somewhere else would be better than paying off the mortgage first.

4. They are interested to know benefits of inside/outside super and appreciate any advice applicable for them such as salary sacrifice.

5. Ensure their income is replaced in the event of an accident or illness while employed, and both Jacob and Sara intend to retire at age 65.

6. Ensure they have adequate Life, Total Permanent Disability (TPD), Trauma and income protection insurance in place.

7. Explore any other personal insurance covers that they may require such as private health insurance.

8. It is Jacob and Sara's desire that their children have the opportunity to go to university after attending high school. They estimate that schooling will last from age 13 to 25. To provide for this, they estimate that $125,000 should be set aside for both children.

9. Sara's mother, Jennifer is living with the family. She is 66 and receives a lifetime annuity earnings of around $14,000 per year that covers her incidental expenses. Jacob and Sara meet her other expenses, which amount to $350 per month.

10. Planning for a third baby in 2022 though Sara has pregnancy complications.