Do it yourself Super
For many Australians, superannuation is one of the biggest investments, if not the biggest, they will ever have. That's why most people keep their super money in professionally managed superannuation funds. Some, however, prefer the hands-on control that comes with a self-managed super fund (SMSF). Of course, with this comes additional responsibility and workload.
SMSF’s are becoming increasingly popular as they offer a number of benefits to investors. They give members control of retirement savings, offer great investment flexibility, tax efficiency, and in some cases can be less expensive that traditional super funds, depending on fund size.
Whilst setting up your own superannuation fund may seem relatively straightforward, you need to make sure they are the right arrangement for you.
If you set up a SMSF you must:
- Carry out the role of trustee, which imposes important legal duties on you
- Use the money only to provide retirement benefits
- Set and follow an investment strategy that ensures the fund is likely to meet your retirement needs
- Keep comprehensive records and arrange an annual audit by a qualified auditor
SMSF’s can be suitable for people with a lot of superannuation and extensive skills in financial and legal matters. You must be prepared to research and track your superannuation investments regularly if you want to manage it yourself. If you do feel however, you don’t have the required skills to do so but still want to enjoy the benefits then you may look to outsource some of the administration and compliance burden.
Whether you plan to take care of all the administration and investments of your SMSF yourself, or are looking for assistance in managing your fund, Eastwoods Wealth Management can help.
Our Self Managed Superannuation Fund specialist can assist with establishing your own fund, provide advice on your investment strategy and your overall financial planning requirements plus help you decide who will administer the fund.
To find out if SMSF is suitable for you call our specialist on (08) 8132 9288