SMSF Q and As

If you’re considering setting up a self-managed super fund (SMSF), or you already run your own SMSF, then this section provides easy-to-understand answers to the most popular questions we receive on SMSFs (also known as DIY super funds).

Set out below are all SuperGuide articles explaining SMSF Q and As.

SMSFs: How much does a DIY super fund cost? (updated figures)

Note: Article updated in January 2016, and includes an extra table outlining fees for small and large SMSF account balances. This article includes the latest SMSF cost data released in December 2015 by the ATO, and selected cost data released by ASIC in September 2013. The next SMSF cost update is … [Read more...]

Are SMSF audits too expensive?

Note: Every year, the ATO publishes the average audit fees incurred by SMSFs. This article contains data for financial year ending 30 June 2014 (latest available as at January 2016). We have retained all comments from earlier versions of article. The next update, for compliance data up to 30 June … [Read more...]

Do I pay tax on a super account in the last year of accumulation phase?

Q: On 1 May 2016 I am transferring from accumulation phase to pension phase (I turn 65 on 30 April 2016). Is my super fund subject to tax (for 2015/2016 year) on income earned up until the date of conversion, or is no tax payable because the fund has been converted to pension phase?Earnings are … [Read more...]

SMSF basics: Can I run two super funds? (2 questions)

1. Running two DIY super funds Q: My wife is 58 and retired and she has her own self-managed super fund, where she has rolled over her super funds from various employers. She plans to start her SMSF pension soon. After starting her pension, could she also start another SMSF fund?A person can … [Read more...]

SMSF pension: After making super contributions, when can I convert to another pension?

Q: I am 67 and work part time, so I qualify to make concessional contributions to our SMSF. I am already receiving an account based pension from my SMSF. The new contributions I make will have to go into an accumulation account. How long do I have to wait before our SMSF can pay another account … [Read more...]

SMSF pension: Stick with original tax-free and taxable components

Q: I recently read your book on DIY Super for Dummies and picked up a number of useful hints. Thanks for writing it. My wife and I have only recently established a SMSF and are on a steep learning curve. We are in the pension phase. Both of us have a large tax-free component and a smaller taxable … [Read more...]

SMSFs: What is the proportioning rule?

Q: I have come across a statement which refers to a proportioning rule. Could you please explain to me exactly what the proportioning rule is, who it applies to and when it applies, and how you do the calculations for a SMSF?The short answer is: the proportioning rule is a mechanism to calculate … [Read more...]

Higher concessional contributions cap applies to over-50s

Q: Do you need to be aged 50 at July 1, 2015, or could you turn 50 any time in the 2015/2016 year to take advantage of the $35,000 concessional cap?A: For the benefit of other readers, we will first explain the background to the over-50s cap.On 5 April 2013, the federal government announced … [Read more...]