What is a Self Managed Super Fund (SMSF)?
A SMSF is a structure that receives and manages funds and investments on behalf of the members. It has a maximum of four members, all of whom must be trustees (or directors of a corporate trustee).
As a Trustee you effectively control the SMSF, the investment strategy and the investments.
- Control over how funds are invested
- Greater flexibility in investment types
- Asset protection advantages
- Better management and flexibility of contribution levels and methods
- Reduced tax rates apply to superannuation (generally 15% or less and nil on retirement)
- Control over the types and level of insurances held within the fund
- Significant control over retirement and death benefits
- Estate planning strategies and control
- Costs could be less when compared with alternatives
- Provide a retirement savings structure specific to member needs and desires
- SMSFs are popular with clients who want to directly manage their investments and attend to the administration and compliance responsibilities
Your responsibilities as a SMSF Trustee
The responsibilities of a SMSF relate to the obligation placed on trustees, which broadly are:
- To act with the same care, skill and diligence as a prudent person would exercise when responsible for dealing with another person’s property
- To exercise power and perform duties in the best interest of the members and beneficiaries
- To keep the assets and money of the fund separate from that of any members, sponsoring employer or trustee itself
- Not to delegate responsibility (but tasks can be delegated) for any fund matter
We have established a service offering that provides you with the flexibility and control over your SMSF with investment choice and advice provided.