Use of Self-managed super fund (SMSF),

Self-Managed Super Fund

There are a few things that can be performed to make sure that you are getting the most out of your SMSF when you have stepped out on your own and decided to manage your super. It is a big responsibility to manage your super. On how you can use a self-managed super fund (SMSF), how you can invest your money, and when you can get at it there are certain strict rules made that govern it? When you have a conversation with a financial adviser or accountant then they will help you in deciding whether going it on your own is a good option or not.

You must take the following six steps on working out whether an SMSF is right for you or not: To suit the members of your fund tailor your trust deed and investment strategy. To manage your fund make sure you have sufficient assets, time, and skills. Understand your annual auditing obligations. Seek professional advice on the options that you choose. Ensure you can meet your record-keeping and reporting obligations. Follow the super and tax laws and learn about the risks.

Responsibility Managing a Self-Managed Super Fund is not that easy. Being a trustee, you need to make sure that the fund complies with all relevant regulations otherwise for getting it wrong you may encounter severe consequences. Penalties can include fines and civil or criminal proceedings if the fund is deemed to have breached its compliance responsibilities. Tax penalties could be levied depending on the transgression, including fund returns being taxed at the top personal marginal tax rate as opposed to the concessional super rate of 15%.

Time The administration and management of an SMSF is time intensive so an SMSF may not be a good option if time is something you’re short of. On the other hand, various SMSF investors enjoy the sense of involvement and purpose that running their fund brings.

Professional outsourcing You can outsource to investment managers, financial advisers, or other experts if you find you don’t have the time or investment knowledge to manage your

Self-Managed Super Fund. This will be available to you at an additional cost.

Contact Details TELEPHONE (02) 9411 1134 EMAIL: info@cantoraccounting.com.au