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 Investment Options

Disadvantages of a Self-Managed Super Fund

It's not all sunshine with an SMSF, and it's important to know the weaknesses before your make up your mind in opting for an SMSF.

Complexities of the Law

There is a lot of legislation in a self-managed super fund. So people who specialize in self-managed super fund courses have to take a course on laws about SMSF. That's how much law is involved here. In the last few years, these rules have changed. It is changing all the time, and it is complicated legislation. It is, therefore, wise to get advice not just on where to invest your money, but also tips on how to run your super fund. You need to make sure that you run with the legislation.

You have a lot of administrative duties as a Trustee of a Self-Managed Super Fund

In managing an SMSF, you are required to quote minutes. You must make minutes of all the investments you've made and all the decisions you make as a trustee. You must keep those minutes for ten years, which is different to a lot of things that you don't do in five years or ten years. The self-managed super fund requires the recording of minutes for ten years.

You Must Have a Trustee

You must consent to the trustee and have accounts paid every year for your fund even if you do nothing, and you must have those accounts audited. It's so strange that you need to have all accounts audited in a fund where you do nothing but the main focus of that order is to ensure that your fund is complying with the law. So even if you do nothing you could still be breaching the law.

It can be more expensive

You may be at a fund now where your fees are quite small, and you can move into a self-managed super fund and pay more on fees. Let's say for example that you are going to put a $100,000 into self-managed super fund, and your accountant says to you that it's going to cost $2,000 a year for your accounting, and then when you set up your self-managed super fund, you are going to invest in retail managed funds that have fees at around 1.8% per annum to run those funds.

For more information on SMSF, visit our site at www.australiansuperfinder.com.au

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