Today, there are more than 1 million Australians who have decided to take charge of their super and are running a self managed superannuation fund (SMSF).
How you manage your super today will have a significant impact on your choices in retirement, which is why SMSFs are rapidly becoming a growth area for investors who want greater control of their super savings.
Here are a few of the benefits our clients have experienced using an SMSF structure.
Control and visibility
For most Australians, superannuation is their second largest asset behind the family home – so naturally they want to understand it, control it and have greater visibility in relation to it. With an SMSF, you can decide how you would like to invest your retirement savings and continually monitor how your super is tracking.
Owning your business premises in your SMSF
SMSF’s are often an attractive vehicle for business owners looking to acquire their business premises. It means rent payments become investment earnings of your fund rather than ending up in the pocket of a third party and also means any capital growth on the premises accrues to your super fund. Earnings of your fund are taxed at the concessional rate of just 15%.
Pool family assets
SMSFs can be a great way to pool your super assets with a partner or extended family. With an SMSF, you can have up to four members. This means you are able to consolidate multiple super accounts to create a larger pooled balance – and because it’s consolidated into one SMSF you only pay one set of fees.
SMSFs have become a popular way for some Australians to manage their retirement savings, but you need to carefully consider whether it is the best option for you.
Blackburn ' Prior can help with:
- Assessing the benefits of holding your super assets in an SMSF structure
- Initial set-up
- Admin and accounting
- Tax and financial planning advice
Since 2014 we have enjoyed using Politis Investment Strategies as our preferred financial planning partner.