Self Managed Super Funds FAQs
An SMSF is not for everyone. Trustees must understand what is required and have the time to fulfill these obligations. Also the fund must have enough assets to be viable.
No. There can be more than one member of a self managed super fund. Members must agree to the investment strategy but the benefits of multiple is a sharing of the costs.
Being a trustee means you are legally responsible for ensuring that the superannuation fund is run as a ‘complying fund’ when looked at by the ATO. This is important as only complying funds can access the generous tax benefits. A trustee must sign a legally binding declaration to ensure they are aware of their duties.
There is no statutary amount needed to set up a SNSF but probably a total of over $100,000 is ideal when looking at the annual cost of running the fund. Retail funds vary in what they charge but around 2.5% is likely as a comparison rate.
These may vary depending on who does the audit and how much advice is needed but on average the annual cost is around $2000 to $3000.
The Australian Tax Office is the regulator of self managed funds and so the ATO must receive an annual audit report from an auditor that it approves. The cost of this report is carried by the fund.