Self-Managed Super Funds (SMSFs) – SMSF Administration Services

If you want to have more control in how your retirement savings are invested, SMSFs provide the most flexible and cost-effective superannuation platform that is available in Australia. Running your own SMSF has huge taxation implications many of which can be used to deliver major tax benefits that enable you to do “more with less”. You need the right tax planning for an enormously comfortable retirement or to provide a substantial legacy for future generations.

However, superannuation and taxation laws are complex and constantly changing. You need to make sure that your retirement vehicle is structured in the most optimal way, pro-actively managed, and regularly reviewed. This makes it important for the fund administration of an SMSF to be carried out by an organization that can provide a premium comprehensive service ensuring your peace of mind.

SMSFs must comply with Australian superannuation legislation to be eligible for various tax concessions. The sole purpose of superfund is to provide retirement benefits to members (or their beneficiaries after death). This objective should be outlined in the fund’s trust deed. Fund trustees are responsible for ensuring that their fund passes the sole purpose test and that it complies with other superannuation legislative obligations, such as:

• residency requirements,
• developing an investment strategy and ensuring that all investment decisions are consistent with it,
• considering member insurance needs,
• only accepting contributions from fund members,
• only making super benefit payments to members who have met a condition of release, monitoring total super balance and transfer caps,
• administration, reporting, and record-keeping requirements,
• appointing a registered auditor, and
• lodging the fund’s annual return to the Australian Taxation Office (ATO) and paying tax.

The ATO can impose a range of penalties on SMSF trustees who fail to meet their compliance obligations, depending on the severity of the non-compliance. It may be worthwhile for some trustees to obtain professional advice to help ensure their legal compliance.