Portfolio Administration Services

What happens when you can’t manage your SMSF?

Members of SMSFs tend to be older than the population as a whole. While we are living longer and healthier lives, many people will reach the stage where they are no longer able to properly look after their financial affairs. Due to the high regulatory requirements controlling SMSFs, the penalties for not managing your fund correctly may be substantial. So what are the options?

A qualified financial adviser with the appropriate systems in place can help you manage your SMSF. In the event that you lose the ability to make decisions about your fund, an adviser can also assist other trustees or your appointed attorney. Depending on the size of the fund, the overall cost of using an adviser can be less than the total fees charged by managed super funds, while ultimate responsibility for fund compliance remains with the trustees.

It can be difficult to decide when the time is right to hand over the reins of your super to someone else. It’s important to make plans, discuss them with your fellow trustees or your attorney, and to seek professional advice as to the best way to ensure your super will be well managed if you can no longer ‘do it yourself’.