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Establishing a new SMSF

Managing your own superannuation is a big responsibility, so it’s important you make sure it is the best option for you.  You’ll also need to choose the best way to structure your fund so it complies with the law and suits you and the other SMSF members’ circumstances.

At Baggetta & Co, we support our clients through every stage of the process and will provide you with the full documentation necessary for the establishment of a complying SMSF, according to legislative requirements whilst being flexible enough to suit your individual needs.

Our establishment services include:
• arranging for the establishment of a complying trust deed for your super fund
• registration of a Tax File Number and Australian Business Number
• lodgement to become a regulated super fund
• notice of consent to act as a Trustee
• resolution to establish the fund
• binding death nomination
• establishment of a bank account
• establishment of insurance cover under your SMSF
• arranging for the establishment of a new company to act as Trustee for your SMSF, if required, instead of individual Trustees.

Requirements for establishing a SMSF

To establish a Self Managed Super Fund, the fund must meet the following conditions:

• have no more than 4 members
• each individual Trustee of the fund must also be a member of the fund
• each member of the fund must be a trustee of the fund
• no fund member can be an employee of another fund member, unless they are related, and
• no trustee of the fund can receive remuneration for their services as a trustee.

A Self Managed Super Fund can, alternatively, have a company trustee (known as a corporate trustee).  Each director of the trustee company must be a fund member, and each fund member must be a director of the company.

There are some exceptions involving single member funds and minors.


Responsibilities of SMSF Trustees

As a Trustee of a SMSF, complying with the superannuation and taxation laws is your responsibility.  So it’s important that you understand superannuation and taxation legislation and keep up with the ongoing changes.

Here at Baggetta & Co, we take a partnership approach with our SMSF Trustees to help them with their decision making, investment strategies & advice, retirement and pension phase, and providing high level advice so that their SMSF remains a complying fund that is eligible to receive favourable tax treatment.

As a Trustee of a SMSF you must:

• always act honestly
• exercise the same degree of care, skill and diligence as an ordinary prudent person in managing your SMSF
• act in the best interests of all your SMSF beneficiaries
• keep the SMSF’s assets and money separate from other money and assets, such as business and personal money and assets
• retain control over your SMSF
• develop and implement your SMSF’s investment strategy
• not enter into contracts or behave in a way that hinders trustees from properly performing their duties or powers, and
• allow beneficiaries access to certain information about the SMSF.

What happens if you fail in your Trustee duties?

If you fail to act in accordance with the superannuation and taxation laws, you risk:
• your SMSF becoming non-complying and losing its tax concessions
• disqualification, removal or suspension as a trustee of the SMSF
• civil or criminal prosecution, and/or
• financial penalties.

If you fail to act in accordance with your SMSF trust deed, other affected members of your fund may take legal action against you.


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Establised 1989. Over 25 years. Advice you can rely on.

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For more information about the services we provide, or to find out if you are eligible for a free no-obligation consultation, call us now on 9317 7300.

The information provided on this website, including the material and contents provided in the website publications, are informative in nature only and you should not act specifically on the basis of this information alone. It should not be used as a substitute for legal, business, accounting, tax, financial planning or other professional advice. If expert assistance is required, professional advice should be obtained. Liability limited by a scheme approved under Professional Standards Legislation

Paul Baggetta is the Founder & Principal of Baggetta & Co (ABN 68 786 233 813).

Paul Baggetta has been a Taxation Accountant since 1981, a Financial Planner since 1998, and in 1993 qualified as a Real Estate Licensee, holding a Triennial Certificate (currently not trading) and operated his own Real Estate business for property investment clients for over 5 years as a second business.

Financial planning services are provided by Paul Baggetta as an Authorised Representative (No. 261469) of Capstone Financial Planning Pty Ltd. ABN 24 093 733 969. Australian Financial Services License No. 223135.


Taxation & Accounting services are provided by Paul Baggetta as a Registered Tax Agent (No.61487008) and is a Member of SMSF Association, FIPA & NTAA.