Setting up your own self-managed super fund
In this article we explain about setting up an self-managed super fund in Australia and go into the the pros and cons involved with having a self-managed super fund.
Self-managed super funds (SMSFs) are a way of saving for your retirement.
Are self-managed super funds good?
If you want to know how can you get an SMSF read this>>>> Self-managed super funds.
All about SMSF
If you want to open up an self-managed super fund, you’ve had to chat to your accountant and they put you onto,
someone or they’re doing it for you.
The next thing they want to ask you would be, do you want a corporate trustee or an individual trustee?
Your self-managed super fund is essentially its own entity or trust.
So they will probably steer you in the way of doing a corporate trustee which is great.
Especially if you’re looking at partnering up with your wife or husband, your kids, your brothers, aunties, uncles and,
whoever you want to all sort of pull your money together into one self-managed super fund.
Having it incorporate trustee name will make it a lot easier, especially as people’s life changes throughout life and may,
come or go from that particular trust.
It’s much easier through a corporate trustee as all the assets within that corporate trust are in the corporate trustee’s,
name rather than the personal individual trustee’s names.
You probably go down the corporate trustee rather than the individual trustee, and you’ve also got a little more,
protection in the corporate trustee regarding if you have your own business.
Let’s say if there’s a chance of you getting sued, they’ll have a lot harder time trying to get money out of your assets,
within your self-managed super fund.
When you’re going to create the trust, a lot of this you’re not physically going be doing your accountant or whoever’s,
setting up your self-managed super fund is going to be doing a lot of the leg work on this.
So it’s not something you physically have to do, but they’ll be creating the trust for you, they’ll register the trust then
they’ll give you an ABN for that trust and then once you’ve got all this the trust deed and the ABN.
Then you can go to your bank and open up an account that will funnel all the money into your self-managed super fund.
Read similar article>>>> SMSF account in Australia
Chating with ATO
Once you set up that, then you’ll have a chat with the ATO.
There’s only a brief sort of maybe 15 or 20 minutes sort of chat.
Then they want to know about:
Your investment strategy
What are you planning on doing with your self-managed super fund
How are you going to allocate the funds within that super
What sort of percentages are you going to put into property shares
and …. .
In brief, they want to know what you’re planning on doing with your SMSF.
Once you’ve done that, then you’ll be given the go-ahead to roll out of your traditional super that you’re with and then
into your new set up self-managed super fund account, which then you can also give to your employer.
For the cost of setting up an SMSF, we would recommend going to speak to an accountant or a self-managed super fund expert.
But the average cost was about a thousand dollars to two thousand dollars to establish the self-managed super fund.
Also you can contact us for more information about it.