Over 1 million Australians use a SMSF superannuation fund.

That’s 1/20th of our entire population – some big numbers. A lot of people ask me, what is the attraction to an SMSF? Are they just a fashionable term for superannuation? What are the real benefits of SMSF, and most importantly, are they worth it?

Today you’re going to find out. Here are 4 reasons why you should consider an SMSF for property investment.

1. Greater control of your assets

   Forget about relying on the government for an age pension. You can self-fund your own retirement, so you know exactly what you’re going to have once you retire. Your future is in your own hands.

2. More investment choices with SMSF

   An SMSF provides more flexibility in investment choices than any other superannuation fund. As a trustee, you can invest in anything from property (residential or commercial), shares (public or private), derivatives, and collectibles – or just about anything you can think of investing in. Use your superannuation as a deposit to purchase property, because your superannuation income is assessed separately. Now that’s flexibility.

3. Greater flexibility

   You get to choose how and when to you’d like to draw your benefits at retirement. You have the ability to make lump sum payments as an asset transfer. There are lots of other cool things you can do with an SMSF.

4. Attractive tax structure

   Ah, tax! It’s inevitable. But what’s not is the ability to control your tax. With an SMSF you can take ownership over the timing of tax matters on your retirement assets – to potentially save you thousands for your retirement ‘nest egg’.

In a traditional (industry/retail) super membership it’s the fund manager’s role to maximise the investment returns for its members, having little regard for the timing of sales, distributions and other tax affected matters. In an SMSF you, as the trustee, are in control of this.

There are many more benefits – including transferring assets into an SMSF, including family members on your SMSF, and leveraging your superannuation through gearing. The list goes on…but have no fear, we have more answers for you here!

So there you have it – some of the reasons why an SMSF might be right for you if you’re investing in property. Still not crystal clear? No worries! Speak to the team at Rise High before deciding if you want to pursue this investment strategy. Make sure you get the right advice upfront – call us on (08) 7131 1149 or contact us below!