Costly self-managed super funds? Are they right for me?

From

It has been a heated month in self-managed super fund (SMSF) land. The Australian Securities and Investment Commission (ASIC) started the ball rolling with a fact sheet that stated SMSF Trustees spend on average 100 hours a year managing their SMSFs and that the average cost of running a SMSF is $13,900 per annum. The […]

continue reading

SMSFs and retirees should look at ‘all weather’ investing to avoid diabolical outcomes

From

Every time the markets collapse, there is a particular group of investors that is hit the hardest. The reason why is that this group of investors don’t just lose a big portion of the value of their accumulated investment – they lose doubly, because they don’t have the time to redress the fall. They are […]

continue reading

ATO concerns with SMSF property development

From

The ATO has issued SMSFRB 2020/1 (“SMSFR”) to highlight its main concerns in relation to SMSF property development.  It is comprehensive and traverses structuring, investment rules, NALI and the anti-avoidance provisions.  SMSF trustees that enter into property development projects must understand the complexity of such ventures and implement all the applicable rules from start to […]

continue reading

Plan B: SMSF pension strategies during the COVID-19 recession

From

Investment values have nosedived but an SMSF is still required to pay the minimum pension amount – Townsends Lawyers believe it’s time for Plan B. Retirement is supposed to be the time when a person enjoys their hard-earned savings, i.e. superannuation. However when the value of investments made by the SMSF in the financial markets […]

continue reading

SMSFs selling geared equities which the Fund borrowed to buy

From

If your SMSF can’t hold on any longer and must sell a parcel of shares or units which it borrowed to purchase, there are compliance issues which must be remembered, pandemic or no pandemic. The pandemic is threatening the health of people as well as the economy. The circumstances might provoke trustees to rush into […]

continue reading

What trustees need to consider in closing an SMSF

From

What do trustees need to consider when winding up an SMSF? Mary is the sole member and one of two individual trustees of her SMSF – the other being her daughter. Mary’s health is starting to deteriorate and she no longer wishes to run the fund in the future. She now wishes to wind up […]

continue reading

SMSFs driving non-bank lender raising

From

A slowdown in growth for the big four and regional banks is being offset by investor interest in the burgeoning growth of non-bank lenders. This is evident in the recent capital raising by Australasia’s leading non-bank lender Metrics Credit Partners (Metrics), for its ASX listed MCP Master Income Trust (ASX:MXT). Its current $638 million Entitlement […]

continue reading

Selling member’s business real estate into SMSF

From

Townsend Lawyers’ Jeff Song explains that this strategy, though perhaps not quite as attractive, is still viable. From 1 July 2018 new law provides that in certain circumstances the outstanding amount of a limited recourse borrowing arrangement (LRBA) will count towards the relevant member’s total superannuation balance (TSB). How will these new provisions affect the […]

continue reading

Substituting your SMSF when off-the-plan is off-the-rails

From

Bob and Susan can’t afford to complete their off-the-plan purchase unless they use their super. Bob and Susan signed a contract and placed a deposit in their personal capacity some time ago to acquire an off-the-plan apartment which is now nearing completion. The bank has valued the property lower than the original contract sale price […]

continue reading

ATO plays hard with late lodging SMSFs

From

It seems that the ATO will change the status of SMSFs which fail to lodge their SMSF annual returns by the due date (subject to a 2-week grace period) from “complying” to “regulation details removed”.  This will effectively be social exclusion for those SMSFs. Whilst this change does not alter the complying fund status of […]

continue reading