Superannuation was introduced as a retirement vehicle which allowed you to see yourself through (decently) your post-retirement life. Over the years, it has also ramified into an asset diversification strategy, but deep down it needs to pass the Sole Purpose Test which says that its only goal is to aid the retirement prospects.
Category: Feature Archives
New ATO Penalty Regime is No Pushover
SMSF can be a lucrative option if only you know the few traps that may present themselves along the way and have covered the range of penalties you may be exposed to. When the sun rose on 1st July this year, the tax man wanted the SMSF trustees to have a few things clearly figured out. Till this day, the ATO could mete out penalties to you but, there was no regime in place. Things changed on 1st of July.
Superannuation Reality: Is it Tough Out There For Women?
The hiatus between the Superannuation savings of men and women is becoming a cause for serious concern. Not that men are doing appreciably, but it is the women who are sending distress signals. The expected retirement nest egg for women is close to only about half that of men and some of them have even sparser means to negotiate the post-retirement stretch.
Risk of SMSF Borrowing Blown Out of Proportion
A lot is being made out of the SMSF’s risk of borrowing. Funnily, and it cannot be a coincidence, that most of the vitriolic attack is launched by the big funds which have suffered immeasurably due to the growth of the SMSF industry. Now, the only avenue left to them is to malign SMSF. So, they talk about SMSF’s borrowing risk, lack of prudential regulations, and tax evasion, among other things. Let’s go through some of the illogical claims made by the SMSF attackers.
Why Proper SMSF Asset Allocation is Important
What are your long-term investment goals? What is your risk profile? Answer these questions loudly to yourself because these would determine what mix of assets will see you performing through the roof in terms of your SMSF fund.
Why SMSF Trustees Should Seek Investment Advice
A lot has happened recently in the financial advice sector and it has resulted in SMSF trustees showing reluctance in seeking professional advice. Scandals atop scandals and this is what happens! The mind-space of SMSF trustees is laden with the worst of fears and they know that the adviser on the other side might be a guy not interested at all in their wellness and just out to earn a commission by duping them. Certainly not the best frame of mind when you are seeking professional investment advice.
