What are SMSFs?

A superannuation fund is a tax structure (like a company, trust or partnership) but one that has a specific purpose – it is designed to be used to save for retirement. An SMSF is simply a special type of superannuation fund.

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 1.1 million SMSF members. 

The difference between an SMSF and other types of superannuation funds is that, generally, SMSF members (trustees) are also the people in charge of the fund. 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.  

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.   

With the right assistance, anyone can set up and manage their own SMSF. 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.