Office: Suite 513, Level 5/321 Pitt Street, Sydney NSW 2000
02 7228 0466
About SMSF
FIRST STEP IS ALL THAT MATTERS
HOME / About smsf
What is Self-managed super funds (SMSFs)?
SMSF stands for Self-Managed Superannuation Fund. It's a type of superannuation fund in Australia that allows individuals to have more control and responsibility over their retirement savings.
Here's a simple explanation:
Imagine you have a piggy bank where you save money for your future. Usually, you give this money to someone else (like a bank or a fund manager) to take care of and invest for you. In return, they give you updates on how your money is growing and make decisions on where to invest it.
Now, with an SMSF, instead of giving your money to someone else, you decide to manage it yourself. You become the boss of your piggy bank! You have more control over how your money is invested and can choose specific assets like stocks, property, or even cash. You can also decide how much risk you want to take with your investments.
However, being the boss also means taking on more responsibilities. You need to make sure you comply with all the superannuation laws and regulations set by the government. This includes things like keeping proper records, preparing financial statements, and lodging tax returns for your SMSF.
It's important to note that SMSFs are generally suitable for people who have a good understanding of investments and are willing to dedicate time and effort to manage their superannuation effectively.
Take greater control of your retirement savings with a self-managed super fund.
The term self-managed superannuation fund – otherwise known as an SMSF – basically refers to do‑it-yourself super. Having an SMSF means simply having control of how your super is being invested, and it has become a popular method of saving for retirement.
If you choose to go down this path, it's essential that you are aware of the administrative and compliance requirements of SMSFs. The information below should answer many of the questions and obligations specific to managing your own SMSF.
Before you consider leaving your current superannuation fund to establish an SMSF, you should discuss your options in detail with a financial adviser
What are the benefits of establishing an SMSF?
The main rationale for establishing your own SMSF is the increased level of control you have, as well as the investment choice and flexibility. You become the trustee of your fund and therefore make decisions on your fund's investment strategy and the type of assets that are held within your fund.
Your SMSF can also invest in investments not usually available in a public super fund (please note, however, that these investments are subject to certain limitations and legal restrictions). This will allow your fund's investments to be customized to suit the precise requirements of members, before and after retirement.
Furthermore, similar to all complying super funds, an SMSF is taxed at a concessional rate. The top tax rate for investment earnings from your SMSF is 15 per cent. This tax concession, however, is only available for complying funds – which are SMSFs that fulfil all the rules set out by the ATO, the Superannuation Industry (Supervision) (SIS) Act 1993 and the SIS Regulations.
If you set up an SMSF, you're in charge – you make the investment decisions for the fund and you're held responsible for complying with the super and tax laws. It's a major financial decision and you need to have the time and skills to do it. There may be better options for your super savings.
An SMSF must be run for the sole purpose of providing retirement benefits for the members. Additionally, all decisions you make as trustee of your SMSF must be in the best financial interests of the members.
Don't set up an SMSF to try to get early access to your super, or to buy a holiday home or artworks to decorate your house. This is illegal and severe penalties apply
.
You also need to be aware of anyone promoting illegal schemes to access your super early. If you have any doubts, contact us on 02 7228 0466.
.
It's best to see a qualified, licensed financial adviser to help you decide if a SMSF is right for you. The Australian Securities and Investments Commission website has information about choosing a financial adviser
Make Use of Leverage to Increase your retirement Savings
You can invest in real estate using bank loans to leverage your retirement savings. If you are already in the real estate market, already have Investment property and you have confidence in the real estate then you can invest in real estate through SMSF. Banks can finance upto 80% of the value of the property.
Copyright © 2023 by Sydney SMSF Services. All rights reserved
General Information Warning & Disclaimer
All information contained on this website is provided as an information service only and, therefore, does not constitute, and should not be relied upon as, financial product advice. None of the information provided takes into account your personal objectives, financial situation or needs, and you will need to make your own decision about how to proceed. Alternatively, for financial product advice that takes account of your particular objectives, financial situation or needs, you should consider seeking financial advice from an Australian Financial Services licensee before making a financial decision.
Sydney SMSF Services does not hold an Australian Financial Services License (AFSL) and we are not authorized representatives of a AFSL We do not provide financial product advice or recommend any financial products either expressly or implied.
From time to time Sydney SMSF may produce information or content about specific financial products or services that enable access to specific financial products however we do not recommend, endorse or confirm as suitable any financial product or service featured on the Sydney SMSF website or social media assets. This condition specifically applies to any financial product where Sydney SMSF provides services at a discounted or preferential fee due to the use of those products, services or accounts. It's not compulsory to utilize a specific account or service provider to be a client of Sydney SMSF however the types of accounts, investments and service providers you use for your SMSF will determine the fees your SMSF is charged.
Where Sydney SMSF provides information in relation to a financial product or service supported by or integrated with Sydney SMSF the information is factual information only about the operation of the account or service and how data or reporting information is made available to us. Before making a decision on any financial product for your SMSF you should obtain a Product Disclosure Statement (PDS) relating to that product and consider the PDS before making any decision. As financial product and solution providers are frequently making changes to their products and services Sydney SMSF cannot accept any responsibility for any outdated or inaccurate information provided on this website or via social media assets.
Sydney SMSF Services is Sydney based accountants looking after SMSF trustees from around Australia. Liability limited by a Scheme approved under Professional Standards Legislation,
Our Reviews
Lucas Johnson
★★★★★
I recently ventured into the world of self-managed super funds (SMSFs), and I must say it has been an absolute game-changer for my retirement planning. With the flexibility, control, and potential for higher returns, SMSFs have exceeded my expectations in every way.
Noah Evans
★★★★★
SMSFs have been a game-changer for me when it comes to financial control and growth. The ability to have complete control over how I invest my funds has been liberating. Unlike traditional super funds, SMSFs allow me to tailor my investment strategy to align with my goals and risk tolerance. This flexibility has enabled me to diversify my portfolio and seek out higher returns, leading to a winning combination. I have no regrets about choosing SMSFs for my retirement planning.
Olivia Williams
★★★★
I am thrilled to share my experience with self-managed super funds (SMSFs) and how they have transformed my financial journey, leading me towards ultimate freedom and empowerment. If you're looking for a retirement solution that puts you in the driver's seat, SMSFs are an absolute game-changer.
Start panning your own happiness
© 2020 | Privacy Policy
Office: Suite 513, Level 5/321 Pitt Street, Sydney NSW 2000
02 7228 0466
Assistance Hours: Mon – Sat 9:00am – 5:00pm
Sunday – CLOSED