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Online Super Fund for SMSF admin

Discussion in 'Superannuation, SMSF & Personal Insurance' started by Donaldp, 16th Oct, 2012.

  1. Donaldp

    Donaldp New Member

    Joined:
    16th Oct, 2012
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    Location:
    Melbourne, Victoria
    Anyone used Online Super Fund (www.onlinesuperfund.com.au) to setup and perform all the accounting / administration of their SMSFs?

    They are cheap, but I want to know if their service is also good.
     
  2. Superman

    Superman Well-Known Member

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    6th Nov, 2007
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    Location:
    Gold Coast, QLD
    Wow - yes - they are ridiculously cheap - especially when you consider it includes the audit.

    The website seems to say all the right things.

    The scope of investments is restricted to banks, TDs, ASX shares and managed fund (yes it actually says managed fund singular - so maybe you can only have one ;) )

    Restricting the assets does make compliance side easier (and reduces the work load and audit time / cost).

    They obviously have low overheads (work from home probably - nothing wrong with that - good way to start up). Relatively new business by the looks of it. Weird that it doesn't mention the person who is actually running it - maybe someone working in an accounting firm doing some work on the side (still legit - just don't tell the boss :eek: ) <-- please note that comment is purely idle speculation!

    A little worrying that they prepare the rollover forms for transferring super - what if there are insurance benefits that are lost when the account is closed - I hope they make that clear to people setting them up and give them the option of seeking financial advice to have that looked at. Maybe they just help out if asked?

    The annual fee is likely intentionally less than eSuperfund's $699 - and from what I can see there don't seem to be any commissions / kick backs as they are not requiring setting up a specific account (you should be aware eSuperfund receives fees / commissions / kick backs etc that subsidise their fees - check the docs on their website it is disclosed).

    Free setup - meh - pay the extra fee and get the corporate trustee - definitely worth the money.

    Finally to answer your question Donald, 'I want to know if their service is also good' ? - I don't know - depends on what you mean by good. It may be OK if you are simply plugging along with direct shares and don't need any advice. However if you feel you need to have someone more actively involved advice wise (tax, planning, investments etc) the service may not be ideal.

    Hopefully the person who runs the business can comment and introduce themselves!
     
  3. stephenp

    stephenp New Member

    Joined:
    10th Jan, 2013
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    Location:
    Brisbane, Qld
    SMSF admin

    The service is very cheap and seems similar to esuperfund that I have just started using. These are ideal for simple funds that require no advice. Ensure the trust deed is flexible, pensions can be started with no additional cost and the fee covers all compliance requirements eg audit, tax return etc.

    If there is an expectation of a high level of service, a need to make contact by phone, the need for a more complex fund or investment advice; go elsewhere.
     
  4. Superman

    Superman Well-Known Member

    Joined:
    6th Nov, 2007
    Posts:
    343
    Location:
    Gold Coast, QLD
    How are you finding esuperfund stephenp?

    What bank account and broker are they making you use?

    They used to be Etrade, but looks like they have moved across to ebroker (which I think is CMC Markets - just re-badged) and also Interactive Brokers and Halifax as additional options.

    Are you comfortable with the fact their service is partially funded by the commissions / fees they receive back from the brokers / bank accounts they get you to use? This is all disclosed in their documentation.

    Do you think most people are aware of this when they sign up? If someone is trading quite a lot (I am talking 10-20 trades per month) a small saving on brokerage could translate into quite a few hundred dollars per year, making it comparative with other providers who provide higher service levels and advice.

    I think the service looks after the basic end of the SMSF market very well (my comments are not intended to be critical) and you hit the nail on the head when you said:
    SM
     
  5. stephenp

    stephenp New Member

    Joined:
    10th Jan, 2013
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    Location:
    Brisbane, Qld
    esuperfund

    I have not been through a complete year yet. Set up was very straight forward and easy. How audit and tax returns are managed remains to be seen although others have provided good reports.

    As I understand it, there are no commissions. The low price is a result of electronic information transfer between the brokers, the bank and the administrator.

    The use of ANZ V2 plus is obligatory. I hold minimum cash in this account.

    I aim to have a simple fund (Australian equities and bonds) with a relatively low number of trades (1-2/month). Brokers are restricted to Commsec and etrade. As I recall, for about 10 trades/month, other administrators and SMSF packages become more attractive.

    There are liitatoins on the range of investments, eg no investment in private companies.

    As indicated previously, poor feedback on the low cost administrators comes from people who want advice.
     
  6. Superman

    Superman Well-Known Member

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    Location:
    Gold Coast, QLD
    Thanks stephenp

    Yes - agree - the clients I seem to take over from esuperfund are those people where something has triggered a need for specific advice.

    In regards to the comments on commissions they take, if you check their Financial Services Guide it does say they will receive up to $X for this and that (on brokerage etc). I have also spoken to someone who worked for ANZ when esuperfund negotiated the commissions they would receive on the V2 account and on etrade brokerage - however that happened quite a few years ago so no doubt it has changed.

    There is nothing wrong with commissions either way - provided people know they are getting paid.

    Good luck with everything - my SMSF has been ticking a long very nicely over the last 5-6 years with a similar strategy.

    SM
     
  7. Andrew Newman

    Andrew Newman Well-Known Member

    Joined:
    5th Nov, 2008
    Posts:
    175
    Location:
    Melbourne
    Hi All

    As a financial adviser, my clients regularly ask me if I can refer them to a SMSF provider who will set up their fund and handle all the administration.

    One thing I have noticed is that in the past few years, SMSF annual administration fees have come down.

    While recently researching SMSF providers, I came across the Online Super Fund website. Their price looks very competitive - so I contacted them. I spoke with the owner Jarrad and hopefully he will make some comments. Based on my discussions with Jarrad, the Online Super Fund offering looks compelling if you meet the investment restrictions criteria (Cash accounts with any bank, Term Deposits with any bank, ASX Listed Securities and Managed Funds (plural)). I like the fact that you can use any bank account and share trading account.

    Kind Regards
     
  8. Online Super Fund

    Online Super Fund New Member

    Joined:
    7th Feb, 2013
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    1
    Location:
    Perth, WA
    Hi All,

    Looks like there has been bit of discussion about my company so I thought I would introduce myself.

    My company, Online Super Fund, specialises in providing accounting services for SMSFs. My motivation for starting Online Super Fund was to offer low cost, high quality SMSF administration which would make it affordable for everyone to take back control of their superannuation.

    My experience stems from working in international top and mid-tier accounting firms and I am a Chartered Accountant, SPAA Specialist Advisor and registered Tax Agent.

    Although my fees are low I do not compromise on quality. I take pride in the work I do and do not cut any corners. I am always available to answer any queries you have and you will not have to wait up to 3 days to get a reply email from me. I always put my client’s interests first and I am happy to be truly independent as I do not receive any commissions or other incentives from any financial institutions.

    To answer your question (and bear in mind I am probably a little biased) – I put customer service as my number one priority and see this as a point of differentiation with my company.

    It’s great to see so many people looking to managing their own superannuation in an SMSF. Please feel free to send me an email at info@onlinesuperfund.com.au if you have any queries or would like any further information on the services I offer.
     
  9. Jimmy007

    Jimmy007 Member

    Joined:
    28th Aug, 2013
    Posts:
    19
    Location:
    Brisbane
    Online Super Fund

    your reply was admirable online super fund, but you still failed to reveal who you are or why i should trust you...?
    im considering setting up my smsf online and looking at your site. why should i choose you over esuperfund ?

    Regards,


    Jimmy
     
  10. Dissed

    Dissed Active Member

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    28th Aug, 2008
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    Location:
    Sydney, NSW
    Feedback on eSuperfund