Self-managed Super Funds

Let’s get this out of the way. Self-managed super funds (SMSF) are not for everyone and the first question we ask at Future Step is if a SMSF is the right choice for you?

Once you’ve made the decision, there are benefits of taking your superannuation into your own hands: there is higher visibility around where your money goes, greater control over the types of investment, the ability to borrow within the fund and the fixed-fee structure means greater cost effectiveness as the fund grows.

But those benefits come with higher levels of compliance and closer involvement in the day to day running of the fund. Jo Matthews says that starting a SMSF can be complicated and it’s important that those thinking of taking the step should get advice.

“There are strict rules around self-managed super funds and harsh penalties for breaking them. There are higher levels of accountability and compliance in terms of accounting, reporting and the annual audit,” she says.

Future Step Financial Services we are specialists in SMSFs and we’ll help you work through the questions.

• How much money do I need to start my fund to make the set-up costs and ongoing fees worthwhile?
• What are the ongoing costs of managing the fund’s compliance around accounting, reporting and the annual audit?
• How do I go about starting a fund? What structure should I adopt?
• How do I roll over my existing super into my new fund?
• Who are the trustees and nominated beneficiaries?
• What are the tax implications for my SMSF?
• How adequate is the insurance I have in the fund?
• What is my plan for exiting or winding down the fund?
• How is the fund reflected in wills and estate planning?

Jo says that the choice of a SMSF are particularly attractive for small business owners, particularly those who want to purchase commercial property to operate their business.

At Future Step Financial Services, we can help you navigate the complexities of all aspects of setting up, running and winding down a self-managed super fund.