Self Managed Super Funds recipes
For a large proportion of Australians, superannuation is one of their largest investment items – if not the single largest – in their investment portfolio. Self-managed superannuation funds (‘SMSFs’) account for over 30 per cent of the funds in Australian’s superannuation industry, a rise from 10 per cent over the course of a decade. In this article, we take a closer look at SMSF basics to know for those thinking about setting up their own SMSF.
What is an SMSF?
SMSF are super funds that are managed by no more than four people – the trustees. The trustees make all decisions relating to investments by implementing their own strategies. As SMSFs involve a degree of technical complexity, many SMSF trustees enlist the advice of financial advisers such as accountants. Accountants in Sydney and elsewhere in Australia can assist with tax reduction strategies and ensuring that trustees understand their obligations.
The number of self-managed superannuation funds (‘SMSF’) has grown from 97,000 in 1995 to over 450,000 individual SMSFs as of June 2011. New registration of funds average around 2500 per month. Around a third of all superannuation money in Australia is controlled by SMSFs and their trustees. Here we weight up the benefits and potential disadvantages of this very popular retirement investment vehicle.
SMSFs present a range of benefits for trustees and members. For specific advice as to your SMSF, it’s advisable to seek the advice of an accountant or financial planner. Accountants in Sydney and elsewhere in Australia are qualified to provide you with appropriate advice about any aspect of setting up and running an SMSF fund.
The decision to become a trustee of a self managed super fund (SMSF) should not be taken lightly. As a trustee, the responsibility of running the fund and complying with the law rests solely with you.
As a trustee of a SMSF, you must act in accordance with the fund’s trust deed and superannuation laws.
SIS Act Requirements
Click Here To Read More
Setting up a self-managed super fund (SMSF) is a major financial decision. Therefore it’s important that you understand what it means to set up and manage an SMSF.
What is a SMSF?
Let’s start right at the beginning, what is super? Super is a way of investing money during your working life for your retirement. The money put into your account by your employer or yourself gets invested by the fund on your behalf. With a SMSF you run the fund yourself. That is, you make all the decisions regarding where and when to invest your money.
Click Here To Read More