The Benefits of a Self-Managed Superannuation Fund for Retirement Planning


Self-managed superannuation funds, or SMSFs, are relatively self-explanatory–they’re private superfunds overseen by you and up to six other trustee members. Each member invests in the fund to build a secure retirement savings pot. 

If you want better control over your retirement savings, keep reading. We’ll outline an SMSF’s core benefits and highlight what’s involved. 

5 SMSF Benefits For Future Retirees

It’s often easy to put retirement plans at the bottom of your to-do list, especially if you’re early into your career. While many can account for the speed at which these years slip by, it’s harder to build secure savings the longer you wait.

SMSFs put you in the driver’s seat, enabling you to build enough finances to let you retire comfortably. Check our top benefits of using this saving strategy:

Greater Control Over Retirement Funds

You’re entirely responsible for making super fund contributions as an SMSF trustee. While this entails huge accountability, it does let you exceed the standard 11% salary rate, maximising your saving opportunities. 

Similarly, your finances remain protected against creditors. They cannot use this money to repay debts unless they act upon clawback laws. 

Productive Use of Assets

Although people usually contribute money, you can also enter the value of assets, such as artwork or properties. Note that in-house assets are limited to 5% of the total fund. 

Better Alignment with Tax Strategies

Capital gains on self-managed super funds are charged at the low rate of 10%, making them a financially beneficial investment strategy. You can also access a new spectrum of deductions for costs, such as operational, investment, and legal expenses.

Improved Visibility Over Finances

Autonomy over what goes into the fund naturally improves your understanding of how much you’ve lodged. Better visibility over investments enables you to make other impactful investment decisions, such as developing your property portfolio or embarking on other long-term assets. 

Collaborative Opportunities with Family

A single account can hold up to six trustees–each of which can go to a different family member. SMSFs are a great way to build familial wealth, ensuring generations of retirees remain catered to. 

What You Should Know About SMSFs

Broaden your understanding with the following considerations: 

  • Access: It’s illegal to access your super fund early or invest in personal benefits like buying a holiday home using the money. 
  • Fraud: SMSFs aren’t protected from theft or fraudulent activity, meaning you could lose finances if improperly secured.
  • Time: SMSFs demand considerable time and attention. If you’re already busy tending to personal and professional commitments, you might struggle to give the funds the focus they require.
  • Complex: Intricate terms and conditions are tied to SMSfs, which led to confusion and non-compliance. Overcome this hurdle by working with a certified accountant

Your SMSF with Accounting Tax Solutions

SMSFs reap long-term benefits that directly impact our later years. If the prospect tempts you, but you’re worried about the time, organisation, and commitment involved, speak to one of our accountants

We have extensive experience helping clients understand, and navigate SMSFs with ease.