Some of the features as to why you might establish a SMSF include:
- You have control over the fund’s assets, including making investment decisions within the fund.
- Having an SMSF gives you a wider range of investment options, such as direct shares and certain business property options (including limited recourse borrowings).
The fund may allow you to better manage tax, for example, offsetting contributions tax with franking credits from shares or timing the sale of shares with capital gains.
- In some cases, SMSF with higher balances may be cheaper to run than using a retail or other type of super fund.
- An SMSF can be used to assist with your estate planning objectives.
- An SMSF can be used as a vehicle to accumulate super benefits or pay an income in retirement and can continue for future generations by including children within the fund.