Self Managed Super Funds
Tel: 0433944055
Email: amol@askfinancials.com.au
The amount a lender is willing to lend to financing your purchase factored in your ratio of debt to income, among other things.
The amount a lender is willing to lend to financing your purchase factored in your ratio of debt to income, among other things.
Self Managed Super Funds
A Self Managed Super Fund (SMSF) is a private superannuation fund, regulated by the Australian Taxation Office (ATO), that you manage yourself. It provides flexibility and control over how your retirement savings are invested, but it also comes with responsibilities and legal obligations.
Setting up an SMSF can be a rewarding strategy for those who want greater control over their superannuation. It allows you to invest in a wider range of assets, including property and shares, while tailoring investment strategies to suit your personal circumstances.
However, with this control comes the responsibility of compliance with super laws, taxation requirements, and record-keeping obligations. It is essential to understand the rules and have a clear investment strategy.
Download your free guide to managing an SMSFBenefits of Self Managed Super Funds
- Greater control over your investment decisions.
- Flexible investment options, including property and direct shares.
- Potential cost savings for large super balances.
- Ability to pool resources with family members to grow your retirement savings.
While SMSFs offer many advantages, it is important to weigh the benefits against the responsibilities and ensure you have the time and expertise to manage your fund effectively.
FAQs about Self Managed Super Funds
What is an SMSF?
An SMSF is a superannuation fund with 1-6 members, where all members are trustees (or directors of a corporate trustee) and manage the fund’s assets and compliance.
What are the setup costs?
Setting up an SMSF involves initial costs such as trust deed creation, legal and accounting fees, and possibly corporate trustee fees. Ongoing costs include auditing, accounting, and compliance expenses.
Who can set up an SMSF?
Anyone can set up an SMSF as long as they meet the trustee eligibility requirements. It’s recommended to have a sufficient super balance (typically $200,000 or more) to make it cost-effective.
What are the compliance requirements?
SMSFs are required to comply with strict regulations, including annual audits, tax returns, and ensuring investments meet the sole purpose test of providing retirement benefits.
How can I learn more?
Contact us to receive personalized advice or explore our resources on SMSF management. We can guide you through the setup and compliance process to ensure your fund is well-managed.