We work with our clients to determine their requirements for planning their retirement, advise on tax effective strategies for superannuation contributions and pensions. Together with our financial planning arm, Allworths Wealth Management Pty Limited AFSL 457155 , we work to maximise your retirement savings held in superannuation.
Superannuation is a way of saving for your retirement. Both you and your employer can make contributions that accumulate over time and this money is then invested in shares, government bonds, property, or other appropriate investments.
On retirement, or after disability or death you or your estate can then draw down these funds as regular periodic payments (ie, a pension), a lump sum payment, or a combination of both.
How much will you need for retirement?
How much money you will need depends on the level of income you want during your retirement, and the number of years that you will be relying on your own funds. The higher the income you want, and the longer you need it, the more money you will have to save before retirement. We can assist you in calculating your requirements and advise on steps in achieving these goals.
Self Managed Superannuation Funds – SMSF
Self Managed Superannuation is available to everyone. However given the compliance and administration costs involved generally it is not recommend for account balances of below $200,000.
Benefits of SMSF
- Freedom of investment choice – you decide how and where to invest your superannuation funds for the best returns. This can unlock the door to investment options not currently available in managed funds, such as property, fixed interest, direct shares, wholesale managed funds, and alternative investments.
- Maximum tax payable on contributions and earnings is 15%.
- Imputation credits on dividends received can reduce the overall tax to be paid, and excess credits are refundable.
- SMSF can invest up to 100% in business real property (family business premises owned by members).
- Earnings in the pension phase are not taxable
- On retirement, assets can be rolled over into the pension phase and any capital gains on these assets will have no tax payable.
How can we assist?
Through our wealth Management Company Growth Plus Wealth Management we can work with you to determine your retirement requirements and how a SMSF can benefit you in achieving these requirements tax effectively and help you manage the compliance requirements. Additionally, our financial planning arm works with us closely so it can help you manage your investments in the fund. We also can arrange for the audit of the SMSF as required by legislation.
Frequently asked questions
- Can I transfer my existing superannuation fund balances to a self managed superannuation fund. Yes – this is called a rollover. Once your self managed fund has been established you can request your existing Superannuation provider to transfer your balance to your new SMSF.
- Can I loan my fund balance back to myself – No – while superannuation funds can invest in a wide variety of investments they can not loan funds back to members. There are serious tax consequences for doing so.
- Can my SMSF borrow to invest in property – Yes – through the use of Instalment Warrants it is possible for your superannuation fund to gear into property. We can assist you in setting this up.
- Can I access my superannuation before retirement age – Yes from age 55 you can commence a Transition to Retirement Pension based on 10% of your account balance. There are taxation consequences of this which we can explain to you.
We can assist you set up your self managed fund quickly and easily.
Contact us today to discuss your superannuation requirements.