Self Managed Superannuation (SMSFs)

Our team can help you with your self managed super fund in all areas of administrative functions including year end accounting and taxation requirements through to external audit obligations. 

What are Self-Managed Superannuation Funds?

SMSFs are a breed of superannuation funds managed by four or less members. SMSF members are usually trustees or directors of a company where a corporate trustee is used. Typically SMSFs are used by families, close friends or business associated who wish to retain control of the fund and decide how to manage its assets. 

What decisions can the trustees of an SMSF make?

Trustees of an SMSF can decide how to invest the assets of the fund, formulate member’s retirement strategies and pensions and determine details of the Trust Deed. At the end of the day corporate trustees will be responsible for the trust. However, it is common and advisable for trustees to engage professionals such as auditors, accountant, lawyers and financial advisors to help them discharge their duties. 

Why have an SMSF? What are the benefits?

There are a number of benefits to having an SMSF. Some of these include: 

  • Greater investment Choice: SMSF members can choose to invest in a wider range of investments such as property, direct shares and overseas assets. However when doing so members must make sure that they comply with the relevant superannuation legislation and regulations. 

  • Estate planning: SMSFs provide a way to look after your spouse and children when you die. SMSFs are a tax effective means of providing income payments or payouts to a member’s family upon their death. As estate planning strategies are separate from members will, tax concessions can be made. This also protects the estate of the deceased from legal challenge and the claws of the Public Trustee. 

  • Taxation Planning: SMSFs provide an added advantage over retail funds as members can chose how to manage their tax liabilities. Strategies to limit tax include selecting investments such as high franking dividend stocks and transferring assets to the tax free pension phase of an SMSF. 

  • Cost effective: Administrative and reporting costs can be cut by managing SMSF assets yourself. These savings are amplified for larger funds. 

SMSFs are not for everyone so make sure you consider your needs when deciding to set one up.