Your own superfund? It’s a super big decision (September 2009)

Self managed super funds, or SMSFs as they are regularly called, are big business. There is approximately $330 billion invested in SMSFs in Australia, representing close to 32% of all investments by the superannuation industry. So is a self managed super fund a good option for you?

First of all, it’s a good idea to point out that a SMSF is different from other superannuation schemes because it is a superannuation trust that can be established specifically for you (or up to four people) to provide benefits in retirement. Almost anyone can establish a self managed super fund but it takes time, experience, diligence in record keeping and management skills to do it right. So why bother?

Cost

Depending on a number of variables, having your own superannuation fund can be cheaper to maintain than belonging to an industry or retail superannuation fund. Therefore, it’s vital before you establish a SMSF to do your research and get expert advice to determine if you could save money through a self managed super fund.

Control

With a SMSF, the performance of your investment is in your hands. What you invest, when, and where is in your control. This can be scary for some, but for others they feel more comfortable being able to control their own superannuation investments.

Having your own SMSF can be rewarding, challenging and enjoyable… for some people. Whether you are that type of person is up to you to decide, however, Davenports is here to help you make that decision. In fact, we can help you through the entire process – from making the initial decision to setting up and then managing an SMSF.

Phone Davenports on (03) 9510 7600 or email info@davenports.biz to begin the process today.

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