Like all superannuation funds, a self-managed super fund is a way of saving for your retirement. The difference between an SMSF and other types of superannuation funds is that, generally, the members of an SMSF are also the people in charge of the fund (called the “trustees”). This means that if you choose to have an SMSF, you and your fellow trustees have complete control over how it is run, what investments are made and what other suppliers such as administrators, insurance companies etc. it uses. There are legal rules to follow and every fund has a “trust deed” which details any particular rules specific to your SMSF, but decisions rest with the trustees.
Control also brings responsibilities. There are a number of things trustees of all super funds have to do as part of following superannuation law. For example, the fund’s assets must be kept separate from your personal assets, there are records you need to keep and returns you need to lodge with the Australian Taxation Office each year. When you partner with Heffron, we help you understand and meet your responsibilities and at the same time help you get the most out of your SMSF.
SMSFs can have up to four members. Usually they are all in the same family and the most common combination is you and your spouse/partner or just you if you are single.
SMSFs form the largest and fastest growing sector of the Australian super industry. Approximately one-third of Australia’s superannuation is now held in SMSFs and there are currently more than one million SMSF members. With the right assistance, anyone can set up and manage their own SMSF. Let Heffron help you start today.