The ATO is being vested with a substantial amount of powers where it comes to dealing with non-compliance on the part of super fund owners. A piece on the website of Australian Taxation Office sheds light on them.
Super News
Tackling the SMSF Question in Estate Planning
Estate owners often assume death to be a third-party occurrence. Unfortunately then, when they cross the last bridge, they still have a poorly drafted will, no clear direction of passage of benefits and a beeline of relatives fighting for the pie.
How often do you think about how your SMSF investments should be passed on? Have you given this dimension of estate planning a serious thought?
Corporate trustees Are a Guard Against Stiff Penalties
Ask Meg Heffron, customer head at Heffron, and she will tell you how corporate trustees are the way ahead. While it is true that 9 out of 10 SMSFs have individual trustees on board, it is truer that the figures will change dramatically towards corporate trustees in a short while. ATO’s powers to impose penalties have been revised further and this only augurs well for the lobbyists of corporate trusteeship for SMSFs. Let us find out how.
BDBN Is Not the Last Word On Succession Planning
Is Binding Death Benefit Nomination (BDBN) the last word in terms of succession planning? Does the executors of the deceased become the trustee of his estate, too, by default? These are pertinent questions and may eventually decide who holds the largest pie in the succession battle and the money we talk about includes the amount placed in the deceased’s SMSF.
SMSF Members Ignorant About Insurance in Super
While surveys may be skewed to an extent, they almost effectively summarise consumer sentiment. It then comes as disturbing news that fund executives and superannuation trustees (acting as survey respondents) believe that less than 30% of the SMSF members actually understand the life insurance cover they are being sold with their super fund.
SMSF Investments Need Risk-benefit Analysis
SMSF is amongst the most sought-after routes of saving in the post-retirement nest. Its ability to diversify into cash funds, ETF and real estate have helped germinate quite a bit of trustee and member interest. It has also lapped up a few government initiatives in the way. This proves beyond doubt that the SMSF market will stay. But is it going to cost us dear in the long run?
