I had no idea where my lost super was or the names of the funds. I just new it was scattered everywhere and I should definitely have more than $3,000 in my super. Australian Super Finder found all 7 of my funds and now my balance is almost $50,000. Thank you so much for getting my super back on track. ? Leonie, Thomastown VIC

Super Facts and Tips

Bringing your Family into Self-Managed Super Fund (SMSF)

Statistically speaking, about 70% of funds are effectively mom and dad funds. The children aren't inside the fund. That's going to get a bit dangerous because when mom and dad are you're going to end up with one member fund.

That could be very dangerous particularly if the remaining member ends up being in the position of losing their mental capacity. Who is going to run the fund then? When you go down this process, you have to understand that the self-managed super funds go into perpetuity. The rules against perpetuity which is usually applied to Trust don't apply to self-managed super funds.

Who to Bring in Your Super Fund

So you need to set them up to multi-generations. And if you've got this in mind then you start to think about which members of your family you want to bring in. You need also to bear in mind that you can only have four members, which means you have to be very focused on who's going to be coming into the fund.

The suggest expert that you don't include daughters-in-law or sons-in-law because if there's a divorce, then your sons-in-law or daughters in law can start to look at the inside of your super fund and devour them. Statistics show that 50% of relationships in Australia end up in divorce. Your sons-in-law and daughters-in-law will have their lawyers and experts to back them up. Thus, you want to avoid this kind of situation.

You can bring your children in, but you also need to be careful about which of your kids to bring in. Make sure that the people you bring in are capable of managing the super fund with you. Don't let your soft spot for the family get the better of you in making these financial decisions.

If you want to make the right decision in brining your family to your self-managed super fund, feel free to seek the advice of our experts by calling 1300 252 167

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