Like anything else, a Self Managed Superannuation Fund (SMSF) needs a health check every once in a while to ensure it is up to date and compliant with the Australian Taxation Office (ATO).
Here are 5 tips to ensure you have a healthy SMSF;
1. Update SMSF deed
Not all SMSF Deed provisions are the same. Over time the deed may become outdated or include invalid clauses. A review will highlight potential updates required taking into account new government changes to SMSF regulations.
2. Review Investment Strategy
The investment strategy documents your plans regarding your SMSF investment objectives, retirement goals and specific circumstances. The ATO recommends an annual review. It’s an opportunity to check that you are on track with your plan.
3. Update ATO lodgments
Generally, the lodgment date for an SMSF is in May unless it is a new SMSF. When your SMSF lodgment is two weeks overdue, the ATO will change the status from ‘complying’ to ‘regulation details removed’. The change in status means employers may elect not to make super guarantee contribution (SGC) payments for the members into the SMSF, and APRA funds won’t rollover any member benefits to the SMSF. Keep in regular communication with your Accountant to ensure all SMSF lodgments and payments are current.
4. Organised filing system
Record keeping of an SMSF can be overwhelming. Create a central filing system that can easily access for tax time.
5. Engage a team of professionals
An SMSF requires regular attention from you (the Trustees) and your professional team. You may need to engage various professionals whilst managing your SMSF. These can include an SMSF Specialist Accountant, Auditor, Financial Planner, Property Advisor, Stock Broker, Mortgage Broker and Lawyer, to name a few. Regular contact with your professional team helps you make the most of your SMSF from an administration, compliance and tax perspective.
If you don’t know where to start, contact us at Concise Super to organise a complimentary chat, book 30 minute chat here.