There are professionals who can help you set up and manage a Self-Managed Super Fund (SMSF) in Sydney, Australia and offer expert advice on a possible loan application of members to acquire a SMSF Property Sydney in the future. Home Loan Superannuation application is a complicated process and involves legal issues, so professional guidance is of paramount importance in these matters.
The steps in setting up a SMSF are as follows:
Hire professionals to guide you
Hire an accountant. He/she will be responsible for creating your fund’s financial system and will prepare for the fund its operating statements.
Hire an administrator. He/she can assist you in running your SMSF and with the daily administrative tasks.
Select the fund’s structure
There are two options for this:
- A structure with 2 to 4 trustees
- A structure that has a company functioning as a trustee (a business entity that acts as a trustee)
New funds are required to select new trustees that will operate together based on regulations stated in the trust deed.
Form the trust and trust deed
Input the following in creating your trust deed:
- A trust deed (governing rules)
- Assets (e.g., attach $10 to the trust deed as an initial nominal consideration to put legal effect to the trust)
- Identifiable beneficiaries
Check if your fund is compliant
It is required for SMSF fund to be Australian-compliant. If your fund fails to meet the residency requirements in Australia, its assets and income can be slapped with high tax fees.
Register and secure an Australian Business Number (ABN)
Schedule to register your fund. SMSF funds can be registered within 60 days from the day they were established. A registration effectively sets an address (ABN) for an SMSF fund.
Set up a bank account and secure an electronic service address
You will use a bank account to be used when paying the fund’s liabilities. You also need an electronic service address to be able to receive SuperStream data. SuperStream is a data and payment standard specifically applicable to super contributions.
Create strategies for exit
You also need to set up an exit strategy looking ahead. That is the time when the fund will end or wind up. Having an exit strategy prepares you for unexpected events when ending the fund is the only viable option. These events are:
- Death of a trustee
- Breakdown of relationship among members
- Any event that may leave a member incapacitated