The following story from Superfund Partners director and SMSF specialist Mark Beveridge is unfortunately all too common. He has been contacted by someone who tried to save a few hundred dollars a year, but it ending up costing this guy more. A lot more. $108,000 more in fact.
A recent West Australian case (Ioppolo & Hesford V Conti 2013 WASC 389 has highlighted the importance of having a valid SMSF estate plan to ensure benefits held in an SMSF go to the intended beneficiaries.
I cannot recall setting up an SMSF in the last couple of years without a corporate trustee. However, historically many SMSFs have been established with individuals as trustees. While this is allowable under the SMSF rules, the majority of superannuation professionals would agree that a corporate trustee is the most preferred trustee for an SMSF.
As part of the Government’s goal to improve the efficiency of the superannuation system and the timeliness of processing rollovers and contributions, the way in which SMSFs can receive rollovers and contributions will change from 1 July 2014. A new standard is being introduced which basically requires all contributions and rollovers to be paid electronically,
There are a number of reasons why you should make the decision to appoint a special purpose company as a trustee of your SMSF, but what exactly needs to happen?
There are two main areas that need to be addressed as part of the change:
As an investor, you need to ensure that you are seeking advice on safe income-producing investments, even if it is just a relatively small portion of your portfolio to boost your overall returns.
The following article examines the safe investment options that you can embark on in a troubled marketplace.