Discussion in 'Introductions' started by Chrissie, 21st Nov, 2010.
My name is Chrissie.
Currently wanting to learn more about SMSF.
A SMSF is a great way to control your assets and establish your own family super fund (that is how I explain it to clients).
- You can have up to 4 members, but generally husband and wife is the common way.
- Once the SMSF is established, we rollover clients existing funds into the new SMSF (cash account)
- Then we placed assets on behalf of the clients (i.e. term deposits, shares etc).
- If you would like to do this yourself, you will need to registed a SMSF (preferrably with a corporate trustee). Once the ABN/TFN has been received, you take this along with the signed documentments of the trust deeds to open your bank account and share broking account. Any accountant should be able to do this for you but be careful with the cost because some accountants charge considerable amounts.
- You must have the ABN of the SMSF before you can rollover any of your existing super into the new SMSF.
- Ongoing requirements - you need to ensure the SMSF is a complying superfund otherwise you can be hit with the top marginal tax of 46.5%. You can outsource the accounting and auditing function to an accountant if you feel you are not up to handling this function.
- If you are above the age of 55 - you can implement a Transition to Retirement Strategy which coverts your super from accumulation to pension. Great way to reduce overall tax position.
I hope this helps you.
Welcome to the forum
Do you want to start a SMSF and if so for what purpose?
Here is a search I did
InvestEd - Search Results
Thanks Bill - already have SMSF .Just looking at investment options with property now.
I don't know where my other reply went so not sure if you saw it. Just briefly, I have SMSF already and have invested in managed fund however am looking at options to invest in a small parcel of land that can produce an income and have been searching for information regarding rules regulations surrounding that type of property investment and currently can't find anything.
Are you thinking of purchasing a farm?
That is fine but you must ensure it is not used for private purposes.
If you are wanting to buy an investment property also, you can borrow up to 60% in your SMSF to purchase a property. Your SMSF will need a corporate trustee behind it, a bare trust (which the property is held in) and then the lender will hold an agreement between the bare trust and your SMSF. Westpac and St.George provide finance around lending in SMSF so you should look into this further.
But the answer to your questions, absolutely - you can buy land/property etc (as long as it is NOT for private use).
Hope this helps.
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