SMSFs are a very powerful retirement planning vehicle that allows you greater flexibility and control over savings and investments. SMSF is a superannuation fund with one to four members where the members actively participate in the fund’s management. SMSFs are also sometimes referred to as DIY funds, mum and dad funds or family funds.
BENEFITS OF SMSF
- Implementation of effective tax management strategies
- Flexibility to make timely investment decisions when market conditions change.
- Up to four fund members so you can include your family, increasing investable savings and keeping fees lower for everyone.
- Lower fees compared to industry and commercial funds (depending on your Super balance)
- Flexible pension planning and management
- Control and flexibility in estate planning
Who Can Benefit From Establishing an SMSF
- self-employed (professionals or people running a small business) who wish to have their own cost-effective superannuation vehicles
- taxpayers who are high income earners and have a large net worth
- retirees who wish to manage their own pension funds.
- employees who want to have a greater say in the investment of their superannuation savings in line with their expectations and needs
- employees who are dissatisfied with the investment performance of their existing employer-sponsored or public offer managed funds, or with the level of charges imposed by these funds.
SMSF Establishment
Our procedure to establish your SMSF is quick and simple. First, we provide you with SMSF establishment advice, detailing of the benefits of SMSF for you. Secondly, we provide you with simple and easy to understand documentation., which consists of:
- The SMSF trust deed.
- Minutes and all documentation relating to the establishment of the fund and admission of members and trustees
- Investment strategy information and sample template
- Nomination of beneficiary instructions and forms
Thirdly, we prepare and lodge application for tax file number and Australian business number for your SMSF as well as provide necessary documentation to open SMSF bank account. And last, we help you with any roll-overs of funds held in other superfund. Our establishment team can also assist you with organizing Life Insurance and/or Property loan in SMSF.
Compliance & Administration Of The SMSF
We can assist you with all of the accounting and taxation required for your superannuation fund, including:
- Maintaining detailed capital gains tax records
- Maintaining detailed membership records
- Preparation of financial statements
- Preparation of the annual tax return and regulatory documentation
- Preparation of all minutes and associated documentation
- Pension administration
- Arranging for external SMSF audit
Four key questions will need to be addressed when deciding whether to commence an SMSF.
- Is the SMSF strictly for retirement purposes?
- Does the taxpayer have the time and skills?
- Will the benefits be worth the costs?
- How will switching to an SMSF affect the taxpayer’s current superannuation?