A SMSF gives DIY investors total control over their superannuation investments.
Setting up a self managed super fund allows you to directly control and manage your superannuation – you make the investment decisions. You will also need to ensure the rules are followed.
SMSF is great for some people but it is not suitable for everyone. Below are some points that may help you to make your decision:
Is SMSF right for me
Before you decide to set up a SMSF you should think about whether it is suitable for your personal needs, objectives and financial circumstances.
Will your objectives be best met by a SMSF?
You will need to determine whether you have enough in superannuation for a SMSF to be cost-effective and achieve investment diversification. Opinions vary as to how much superannuation money you need to make a SMSF effective. As your fund balance increases, it reduces the relative costs. It can be the sum of superannuation from up to 4 members.
Generally, you will need to have some financial knowledge and experience or engage a financial adviser to assist you in making investment decisions for your SMSF.
You will need to dedicate some time to making sure your SMSF is properly managed and records are kept in order. We assist by maintaining records and attend to the annual reporting for your SMSF.