Running your own SMSF means you need to comply with annual tax and accounting requirements and be familiar with SMSF rules and regulations.
You want freedom and autonomy over where and how to invest your retirement savings, and that’s why you’re interested in a self-managed super fund (SMSF). But on the flipside, running your own SMSF comes with paperwork, admin, reports, lodgements and more, all falling under crucial compliance obligations.
Fortunately, there are ways to make your SMSF compliance obligations easy. ESUPERFUND can not only help you set up your fund the right way but can also take care of all your annual compliance requirements, saving you money and freeing you up to focus on the investment decisions for your nest egg.
What are compliance obligations?
SMSFs are a type of trust, and SMSF members are the trustees of the fund, which means they assume responsibility for complying with the often complex regulations of superannuation and tax laws. The ATO is the official regulator of these laws.
In fact, the buck stops with the trustees – or the corporate directors. They are obligated to keep accurate records, complete several annual duties and be personally liable for every decision made by the fund. Even if investment decisions are made by other fund members, or if you receive advice from finance professionals, you’re still accountable.
If your SMSF contravenes the super laws, serious penalties can be applied by the ATO. And these penalties range from education directives, to disqualification of trustees, fines for trustees, or even freezing or winding up an SMSF’s assets.
What an SMSF needs to do
Compliance begins by setting up your SMSF in the right way.
Each SMSF needs a trust deed, and to appoint individual trustees, or a corporate (company) trustee. Each fund needs to be registered with the ATO, and have an ABN and TFN. SMSFs also need to register for GST if they have an annual GST turnover of more than $75,000.
SMSFs are also obligated to:
Have an investment strategy that is regularly reviewed.
Hold fund money and assets separately from money and assets held by trustees personally or by a related employer.
Comply with the super laws.
Ensure all contributions received and all benefit payments made by the fund have been made in accordance with the super laws.
Check that proper and accurate records have been maintained for required timeframes.
SMSF annual obligations
The annual tax and accounting compliance obligations for your SMSF include preparing:
An annual balance sheet.
An annual profit and loss statement.
Annual member statements.
Annual trustee resolutions and minutes.
An annual income tax return – and lodging it.
An annual audit.
Help is available
As the buck stops with you, it’s important to know what options are available to help you get your SMSF compliance obligations right.
Rather than recruiting and paying for individual accountants and tax advisors, auditors and legal advisors, ESUPERFUND can help you set up your fund, and then administer all of the obligations listed above on behalf of your SMSF for the set annual fee.
It’s a simple and very cost-effective process: Each July an annual checklist provided online and via a secure login, detailing the information we have for your SMSF and outlining what, if any, additional information is required from you. The annual checklist will guide you step-by-step through the information you need to provide.
ESUPERFUND is licensed with both the ATO and ASIC and can administer an SMSF's compliance obligations, including the fund's financial statements, tax return and audit, for a low, set annual fee of – regardless of your fund’s balance or the number of members.
If you want to learn more about SMSFs, download an .
If you’re ready to establish an SMSF, you can apply now with ESUPERFUND.