The positive turnout of self-managed super funds in Australia asserts its value for Australian business owners.
We have highlighted below some of the reasons why you should give SMSF a try.
Reports from the Association of Superannuation Funds of Australia (ASFA) shows that there is a 14.3% increase in superannuation assets this year. This satisfactory turnout validates the positive perception of Australians on self-managed super funds. True enough, putting their super savings in this retirement nest egg, opens doors to a lot of possibilities for small business owners. Here are some of the best reasons why you should also give SMSF a try:
1. Increase your super balance
One of the major benefits of putting your super fund in an SMSF is that you can purchase your building premises with it. And by doing so, you can also get to increase your super balance. However, prior to this property investment, you still need to make final arrangements with the members of the fund.
2. Avail discounts in stamp duty taxes on commercial property
It is possible to transfer your commercial property into an SMSF in Victoria. Subject to certain rules, one being there is no change in beneficial ownership.
3. Avail discounted in capital gains tax
An SMSF also offers reduced capital gains tax. Effectively meaning you will pay either 10% or 0% capital gains tax.
4. Maximise provisions for non-concessional contributions
You can lend money to your super fund. Later on, this debt can be made into a non-concessional contribution over time. Do note, though, that there is a non-concessional contribution cap amounting to $180,000 per annum.
5. Earn money from the business premises you purchased through SMSF
If you have previously purchased your business premises through your SMSF, you can then use it as an income stream once you have decided to sell your business.
SMSF offers a lot of exciting possibilities for Australian business owners. Seeing how it can bring your retirement income to the next level, should you be putting your super savings in an SMSF by now?
HTA offers professional SMSF services to both private individuals and business owners. For more enquiries, you may get in touch with our qualified advisers here.
