Whether setting up a Self-Managed Super Fund (SMSF) is worthwhile depends on several factors, including your financial situation, investment goals, and ability to manage the fund effectively. Here are some key points to consider:Advantages of Setting Up an SMSFInvestment Control and Flexibility:SMSFs offer a wide range of investment options, including direct property, international shares, and … Continued
Buying an investment property through a self-managed superannuation fund (SMSF) offers potential tax benefits, including a concessional tax rate of 15%. At the same time, navigating the tax complexities attached to an SMSF can lead to errors on your income tax return.Many rental property owners are getting their returns wrong, which has attracted attention from … Continued
You have probably heard the recent Labour announcement earlier this week of significant changes to super that may impact you. On 28th February 2023, the government announced that from 1st July 2025 a 30% concessional tax rate will be applied to future earnings for superannuation balances above $3 million. As of yet, this cap has … Continued
A recent report by Rice Warner comprehensively evaluates the comparative costs of running a self-managed superannuation fund (SMSF) versus an Australian Prudential Regulation Authority fund (APRA). Firstly, let’s take a look at what each fund is and how they’re set up. A self-managed superannuation fund (SMSF) is a type of private super fund (a trust) … Continued
The Government has announced a second round of stimulus that is significantly larger than what was proposed two weeks ago, to assist businesses through the economic shocks of COVID-19. The measures currently in place are as follows: Boosting Cash Flow for Employers This stimulus measure has been enhanced with eligible businesses now able to receive … Continued
What you need to know for SMSFs’ new reporting obligations Self-managed super funds (SMSFs) have new reporting obligations. Commencing from 1 July 2018, SMSFs will be required to report events to the ATO which will have an impact on an individual’s transfer balance account (TBA). A transfer balance account report (TBAR) has been developed by … Continued
Are you sick and tired of paying your rent that makes your landlord rich and does nothing for your future? Thinking of buying your first home but you don’t have the money for a home deposit yet? We have good news for you! The Australian government has announced the First Home Super Saver Scheme in … Continued
Every year, it seems, they change the rules – the retirement age, the contributions cap, and so it goes on. The most recent changes to superannuation include; Introduction of $1.6m cap on income streams with tax penalties if higher amounts are rolled over The division 293 income threshold for high income earners will be cut from … Continued
Following on from proposed superannuation changes announced in the Federal Budget in May 2016, the Government has just announced the following amendments;The proposed $500,000 lifetime non-concessional cap will be replaced by a new measure to reduce the existing annual non-concessional contributions cap from $180,000 per year to $100,000 per year; Opportunity: This does not come into … Continued
The 2016 Budget was always going to be interesting. On one hand the Liberal Party wished to use this Budget as their policy platform for the coming election, and on the other hand, a budget deficit exists that needs to be eventually reduced. This Budget achieves its objectives of providing a few tax ‘perks’, whilst also increasing taxes … Continued
The Option of Pension or Lump Sum Withdrawals All amounts that you withdraw, no matter if it is pension or lump sum in form, would never be charged any taxes on the condition that you are in the age range of above 60. If you are in the age range of 55 to 59, there … Continued
Non-Concessional Contributions Non concessional contributions are those personal contributions that are deposited into your SMSF’s bank account which have been taken from your after tax income; i.e. you are not claiming a tax deduction for them. Rather than coming from your employer, these contributions are coming from your own personal bank account. Eligibility Anyone under … Continued