SMSF is a private pension fund managed and regulated by the ATO. This fund can have up to four members, all of whom must be trustees or directors in the case of a corporate trustee. Members are responsible for all decisions affecting the fund.
Supervisors must always comply with the law to avoid violations and penalties. SMSF setup costs are high and operational costs are also high. For more details regarding SMSF tax return and audit, you can simply visit the site.
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What should you ask before setting up SMSF?
Have you considered other super DIY options? Some professionally managed super funds allow you to select specific assets, such as exchange-traded funds, stocks, and time deposits. They can give you control over your investments without the administrative and legal obligations that come with SMSF.
Have you considered super funds or other investment options?
Did you consider other funding or investment options before considering setting up SMSF?
Will SMSF outperform your existing super fund?
Do you think the investment you choose for your SMSF will provide a better return than a professionally managed super fund? Can you measure returns accurately? Given that APRA-regulated super funds have higher returns than SMSF, would you still start SMSF?
Have you ever thought about the cost of managing SMSF?
It is known that fund management is associated with high investment, accounting, and auditing costs. are you ready for him? SMSF is proven to pay more fees than the average APRA-regulated super fund.
SMSF members are not eligible for the compensation scheme or the Tribunal for Retirement Disputes Complaints if the funds are lost due to theft or fraud.