There are a few things you should know before you go and try out self employed superannuation otherwise known as SMSF (self managed super fund). Before you go out and do anything you should inform yourself and decide whether it is the right thing for you. Maybe your not sure of all the statistics, maybe you don’t have all the information you need. You should be certain that you have the right skills and the right legal requirements before you decide anything. A lot of people rush into setting up a self employed superannuation but are unaware if they have enough money that would make it cost effective. Below we’ll go over all the essential facts you should know about a self managed super fund and any other benefits that an SMSF can provide.
There are a lot of professionals you can turn to and ask whether an SMSF is your best option and whether you should consider finding someone else to run your superannuation for you. Some of these people you can go to and get a piece of advice, guidance and help for running your SMSF include a registered tax agent who can tell you which tax implications would apply to you, keep your tax records, and give you advice on taxation. A fund administrator will help you look after all the daily things you need to do to run your self employed superannuation. You must also appoint an auditor who will need to sign off on your self managed superannuation at the end of every year. You will need a financial advisor to help you with your investment strategy as well as help you prepare for your SMSF. You will also need to find a lawyer that will go over the trust deed with you and explain the governing rules to you properly. These are all people you should find when you are planning on setting up your own self employed superannuation.
There are many benefits to a self employed superannuation that you may not be aware of. Some of these might include greater flexibility when it comes to planning an estate, which is not something you always get with superannuation. You can also save money on taxes once you are over 60 and with an SMSF you also have the option to pay your taxes in lump sum amounts. You are allowed to borrow money to make larger investments which you cannot do with a regular super fund. Your investment choices are also greater because they include both residential and business properties as well as collectibles, this also includes all listed and unlisted sales.
These are just a few of the benefits that make starting your own self employed superannuation so appealing. It has become quite popular over the last few years with more and more people wanted to manage their own funds and it’s not very hard to see why. Never before have the people had more control over their own money and it is a great option for those who are eligible. If you are interested in starting your own SMSF there are many people out there that are willing to help you, you can do a quick search online to find where to start a self managed super fund near you.