Self-Managed Super Funds


The Decision Making Process

Comparing SMSF and other super funds

 

SMSF

Other Super Funds

Estate planning

May have greater flexibility to implement strategies that create estate planning or family advantages.

Easier to access some tax opportunities upon death but depends on features offered in the fund.

Complaints

Only recourse for unresolved disputes is through the courts.

Free access to the Australian Financial Complaints Authority (AFCA) to help resolve disputes over trustee decisions and actions.

Borrowing

May be able to borrow funds via Limited Recourse Borrowing Arrangements (LBRAs) to leverage into property and share investments.

No borrowing available.

Beneficiaries are discussed later in this module, however the trustee may have the ultimate discretion as to who to pay any death benefits to. This can be important implication for an SMSF compared to other funds.