Self Managed Superannuation Funds
The responsibilities and costs in running a Self Managed Super Fund (SMSF) are a burden and they do not suit everyone. A great deal of consideration should be given before embarking on this journey.
If you set up an SMSF you become a trustee of the fund. This means you'll be responsible for managing your SMSF according to its Trust Deed and the laws and rules that apply to SMSFs .
As a trustee you'll have a number of administrative obligations - for example, you'll need to arrange an annual audit of your fund, keep appropriate records and report to the ATO.
The income of your SMSF is generally taxed at a concessional rate of 15%. To be entitled to this rate your fund has to be a 'complying fund' that follows the laws and rules for SMSFs. Much higher rates apply to income from non-arm's length investments and contributions above the contribution caps.
Accessing the super in your SMSF to pay benefits is generally only allowed when a member reaches what's called their 'preservation age' and meets one of the specified conditions of release - for example, they retire. There are significant penalties for unlawfully releasing super benefits.
If after discussion you chose to go down the path of SMSF, we can assist you with:
- The provision of a Trust Deed
- Develop and implement an Investment Strategy
- Ongoing review process to provide guidelines and checks to your Trustee responsibilities