Gearing being available as it is to them, SMSFs find it easy to lap up residential properties. This fact did not find favour with former Prime Minister Paul Keating. If his wishes were to be kept in mind, we would have had SMSFs barred from investing in residential real estate.
Category: Feature Archives
Must-Know ATO Rulings
There are more than a few tax determinations issued by the ATO over the last half year or so. Each one of them deals with some crucial aspect of SMSF taxation. Let us talk about some of them.
Back to Basics: Superannuation Terms You Need to Know
Any industry comes with its fair share of jargon. Some of them are interesting and others outright weird. Yet, once deciphered, they all come out straight and meaningful. Let us take up a few Superannuation terms within the ambit of this write-up.
Practical Tips on Setting Up SMSF
A short name suits a Self-managed Super Fund much more than a long one and there is a good reason why it is so. If the names are long, it is likely that the bank accounts and the asset registers will cough up incomplete names. I can personally vouch knowing computer systems in banks which categorically deny registering long names.
Looking into Cross-Insurance Policy Within SMSF
In the world of Self-managed Super fund, a cross-insurance policy is one wherein an SMSF trustee takes out a policy over a member’s life with the clause to deduct premium from the account of another member. In being so, the cross-insurance policy benefits the member who has paid for the insurance in case of an insurance event arising.
How to Make Your Money Work for You?
We give cash and shares the kind of recognition they deserve as an investment and only perhaps more at times. This said, the bonds often get overlooked and this is a cardinal mistake keeping in mind that bonds are the intermediary asset class, right between cash and shares. Bonds are closer to term deposits than shares, and there is a legal debt obligation related to bonds which make it difficult for companies to go volte-face on their ‘interest’ or ‘capital’ promise.
