Advivo Accountants and Advisors proudly provide expert advice about the tax advantages of superannuation and will assist you every step of the way with your Self-Managed Super Fund (SMSF).
We strongly recommend talking to an expert when it comes to your personal retirement goals. This information does not constitute financial advice. Any information in this article is general in nature and does NOT take into consideration your personal circumstances.
SMSF Minimum Balance
An SMSF can be an effective way to manage your retirement savings, the very first question we are asked almost every time is – “How much do I need to have in super to make an SMSF worthwhile?” There is no straightforward answer here, but the ATO has provided guidance advising that a minimum balance of $200,000 would generally be required to justify the costs of an SMSF. There is, however no minimum balance required by law.
SMSF Services Cost
Question two is usually – “What are the ongoing costs for an SMSF?”. There are several costs that SMSFs are required to incur to retain their status as complying funds. Firstly, SMSFs must pay an annual supervisory levy which is $259 at the time of writing. They also have a compulsory audit requirement which will generally cost between $350 and $800 depending on what’s required, and this can often be agreed upon as a fixed price. Finally, there is the cost of the ongoing SMSF administration which requires specialist knowledge of SMSFs. This includes the allocation of, and application of the correct treatment to, transactions as well as the financial statements and income tax returns as necessary.
The costs associated with administration will vary depending on the requirements of the SMSF but will rarely be calculated as a % of the fund balance as is the case with most public superannuation funds. Overall, the total ongoing costs for an SMSF will depend on how you choose to manage your SMSF and the investment strategy. The more complex this is, the higher the administration costs will be. Note, however, that SMSF administration costs normally won’t be set as a % of your balance, as is the case with most public funds. This means, in many cases, it can cost less per annum to maintain an SMSF than an individual would otherwise be required to pay in fees for the administration of their public superannuation funds.
Superannuation Specialist Support
Our hassle-free SMSF service manages all your SMSF needs monthly and offers real-time reporting and expert accounting advice to ensure tax minimisation and SMSF compliance.
Our dedicated team of accountants and superannuation specialists provide expert advice about the tax advantages of a managed superannuation solution. If you are considering an SMSF, we can provide through our SMSF services, the specialist advice that will help you effectively manage the compliance costs and move forward.
Get in touch with us and talk with one of our SMSF accountants in Brisbane today to find out and learn more about the pros and cons of having your own Self-Managed Super Fund.
At Advivo, we have an expert team of accountants and business advisors who will listen to you and take a hands-on approach to manage your business and individual financial needs.