An SMSF is a type of superannuation fund that you manage yourself, allowing you to make decisions regarding your investment strategy and retirement savings. Individuals or groups of up to four members can establish an SMSF. Each member must also be a trustee, ensuring they have control over the fund’s management.

Benefits include greater control over investment choices, flexibility in managing retirement savings, and the ability to tailor your investment strategy to your personal goals. It allows its members to execute non-lapsing binding death benefit nomination to ensure that upon your death, your super is paid according to your wishes. It removes the SMSF trustee’s discretion.

Trustees are responsible for complying with legal obligations, ensuring the fund meets all requirements of the Australian Taxation Office (ATO), managing investments, and maintaining accurate records. Non-compliance may attract penalties including fines / imprisonment.

Yes, Australian law requires that every SMSF must have a documented investment strategy that outlines the fund’s investment goals and how it intends to achieve them.

SMSFs must lodge an annual return with the ATO, which includes financial statements, tax returns, and compliance reports. Additionally, an audit is required each year. Every SMSF must have ongoing taxation advice to remain compliant with all ATO’s requirements.

It is advisable to seek legal and taxation advice when establishing your SMSF, developing an investment strategy, navigating compliance requirements, or if you have questions about your trustee responsibilities.