A journey of a thousand miles begins with a single step. Start creating wealth now by contributing to super monthly or weekly. Here are the simple steps to start creating wealth by establishing your own SMSF!
8 Easy Steps to Start Your SMSF
Want to start your own SMSF and not sure how to go about it? Here are the simple steps to start your own SMSF.
1. Establish a trust deed.
Possibly the most important document as without one you don't have a SMSF. The trust deed sets out the rules and objectives in relation to your fund.
2. Appoint a trustee.
At the same time as establishing the trust Deed, a trustee must also be appointed. The trustee can be either individuals or a company... preferably not a trading company. This deed must be signed and dated and the trustee must consent to their appointment in writing.
3. Trustee Declaration.
The ATO have regulated that trustees or directors of a corporate trustee of a SMSF must sign a trustee declaration form within 21 days of their appointment acknowledging their responsibilities.
4. Determine an investment strategy.
This should be determined at the commencement of the fund and reviewed at least annually. Investments must be made in accordance with this strategy.
5. Register the fund with the ATO.
Every SMSF must elect to be regulated by the ATO within 60 days of being established. Practically this will be done immediately the set up paperwork is signed.
6. Set up a bank account.
Every SMSF needs a bank account to be able to accept contributions. This account must be in the trustee and super funds names. Do not bank super fund money into a personal account. Until the bank account is opened the fund does not exist.
7. Accept member applications.
The members must also advise their tax file numbers in order for a fund to accept super contributions.
8. Roll over existing benefits.
This cannot be done until the fund is recognized as established by the ATO.
A bonus point
Consider the needs of members and review their life insurance requirements.
If you would like further information please contact Terry Dewing on 9526 1211.