Benefits of Self

Benefits of Self-Managed Super Fund
When using a SMSF as an alternative to a managed super fund, you'll soon start to see a range of
benefits come to light as a result.
Taking Control
A self gives you the opportunity to make decisions about where your funds are invested. Whether it's
stocks, bonds, property or cash, you can choose exactly how much you invest in which option and
when you want to move the investments if the market changes. It really does allow you to make the
most of each and every situation that the finance market experiences.
Lower Payable Tax
Superannuation is charged a 15% tax on contributions, earnings and also at the final payment of the
fund. Many people choose to make additional payment to their self because the tax on this is far lower
than what is calculated on regular income. Over the life of the this can mean thousands of extra dollars
are accumulated.
Protection
All self managed super funds are protected from bankruptcy and other legal claims, so if anything
happens your retirement nest egg is safe.
Lower Fees
One of the greatest benefits of a SMSF is the lower fees it offers trustees. will charge their annual fees
based on the balance of your super, so the more you have in the account, the more they will take as
a result. These fees not only increase as your nest egg grows, but they are calculated on a percentage
sliding scale. On the other hand, a self fee will only be a flat fee that will never increase as your super
account grows.
Other Benefits
* Self managed super funds are allowed to control the timing and disposal of assets. This means if you
obtain an asset today and it appreciates by a certain percentage by the time you retire, you can
transfer it to your complying pension fund and you will pay no tax on the realised capital gain of the
asset.
* SMSF's allow for tax-deductible insurance premiums.
* There are no minimum contributions and no constraint on frequency of contributions to a self
managed super fund.
There's a huge range of benefits that accompany a self managed super fund, but it's important to
understand if they meet your requirements so you can get the most out of your super.