In a nutshell, this is “do-it-yourself super”
Some people want the control that comes with managing their own super, but taking control means being responsible for managing your retirement funds which will involve significant time and effort. SMSFs can be suitable for people with a lot of super and extensive knowledge of financial and legal matters.
You must understand your legal responsibilities and the investments you make because even if you employ professionals to help you, at the end of the day you are still the one responsible.
An SMSF is a private superannuation fund, regulated by the Australian Taxation Office (ATO), that you manage yourself. SMSFs can have up to four members. All members must be trustees (or directors if there is a corporate trustee) and are responsible for decisions made about the fund and for complying with relevant laws.
SMSFs are a legal tax structure with the sole purpose of providing for your retirement. They operate under similar rules and restrictions as ordinary super funds. Set up costs and annual running expenses can be significant so you’ll need a large balance to make the fund cost effective.
When you run your own SMSF you must:
- Carry out the role of trustee or director, which imposes important legal obligations on you
- Set and follow an investment strategy that ensures the fund is likely to meet your retirement needs
- Have the financial experience and skills to make sound investment decisions
- Have enough time to research investments and manage the fund
- Budget for ongoing expenses such as professional accounting, tax, audit, legal and financial advice
- Keep comprehensive records and arrange an annual audit by an approved SMSF auditor
- Organise or consider insurance, including income protection and total and permanent disability cover
- Use the money only to provide retirement benefits
We offer traditional accounting and taxation services including administration and audit of Self-Managed Superannuation Funds as well as joint venture arrangements for financial advice and finance broking. With this total package we offer a complete SMSF service:
- Setting up of Super Funds
- Winding up of Super Funds
- Full administration of Funds including taxation and accounting
- Audit of SMSF’s
- Financial and Risk advice (from alliance partner FM Financial) for your Fund
- Limited Recourse Borrowing arrangements (usually done with alliance partner Finance Brokers of Tasmania or directly with financial institution)
Parker Accounting recently became users and proponents of industry-leading SMSF administration software Class Super. With Class and our team looking after your SMSF, you can rest assured that your Super Fund with not only be accurate, but will be almost up-to-date on a constant basis. This will enable trustees to make more informed strategic decisions whilst keeping on top of possible legislative and regulatory changes such as events-base reporting (EBR).
Our staff are well-trained and passionate about working with your Super Fund. Team members Noel Hodgetts and Roger Foot are registered SMSF auditors with the Australian Securities and Investments Commission (ASIC).
All our staff are continually upgrading their skills in this area and are enthusiastic about working on new Funds. For all your SMSF needs we welcome you to come in and seek advice.