When it comes to superannuation, you probably think “well, it seems it’s a more relevant topic for an older person. Why should I care about Super before reaching 30?” Actually you should care, because your Super is your own money and a big portion of your earnings (nearly 10%) is contributed to super. If you start planning early, you’ll have more time to manage your wealth and you’ll have the opportunity to save a lot more. In fact with a well-managed plan for your Super, you will have more chance of ending up on exotic beaches or spending a beautiful afternoon at a boutique café in Paris when you retire!
SMSF stands for Self Managed Superannuation Fund. It is your own personal Superannuation Fund that gives you total control over how your Super Benefit is invested. Contrary to the common misconception that SMSF’s are only for the rich, SMSF’s can be right for you as they offer the following benefits:
A SMSF can add thousands to your Final Super Payout.
Did you know that an average retail Superfund can charge up to 2% pa in fees and that you will pay around $500,000 in fees over your working life? With ESUPERFUND’s annual fee of $699 (even indexed for inflation) you can expect to pay closer to $60,000 in fees over your working life. That’s a fee saving and extra Super in Retirement of over $400,000! Click here to read more. Moreover, instead of each Member paying separate fees in their Fund (or in multiple Funds) you can Rollover and consolidate 4 peoples Super Benefits, which can then be managed under the one SMSF. Importantly, whether your SMSF has 1, 2, 3 or 4 Members our annual fee does not change!
A SMSF enables you to reap taxation benefits.
When you commence a Simple Account Based Pension or Transition to Retirement Pension, the SMSF tax rate falls to NIL on earnings and capital gains. This means that you can generate unlimited income and capital gains and will pay no tax. If your personal tax rate is higher than 15%, you can also benefit from salary sacrificing. Additionally, if life insurance is provided through a SMSF, contributions made to fund insurance premiums can be tax deductible.
A SMSF gives you total control of your Super by allowing you to choose where you invest your Super Benefit. 
If you think you can do a better job investing your Super Benefit yourself, a SMSF is just right for you! A SMSF puts you in TOTAL CONTROL of your financial future, where you decide how your Super Benefit is invested and not the so called professionals who seem to be more concerned with their bottom line than yours. Furthermore, in a SMSF you are the owner of all SMSF assets and you decide when you can access your own Super Benefit. It entirely eliminates the risk of “frozen super”, which occurred in the recent Global Financial Crisis and continues to happen today. Click here to read more.
SMSF’s certainly offer many more benefits than listed above and there are always new areas of interest in relation to SMSF’s so Join Esuperfund on Facebook and twitter to get real-time information on SMSF’s and to help you start planning for your dream retirement immediately!
