Having your own SMSF gives you greater control over your investments. The fund can purchase commercial property and lease it to your business (provided it pays market-based rent), buy shares and other listed investments through your broker, or invest directly in specific shares and managed funds of your choice.

An SMSF can provide life and TPD insurance to its members, helping manage personal risk in line with the member's needs and requirements.

Generally speaking, the larger the fund balance, the higher the fund costs, as administrative fees are generally calculated as a percentage of the member's balance. An SMSF incurs costs for account preparation, audits, compliance and tax returns. However, it's worthwhile to compare these costs and make an informed decision, considering your fund balance will typically be maintained for 20 to 30 years.

An SMSF allows up to four members - typically family members - to join the fund. By pooling their savings into a single SMSF, they can reduce costs and access investment opportunities that may not be feasible individually.

Managing an SMSF requires a significant time commitment - from handling paperwork and compliance to selecting the right investments, monitoring performance, and staying up to date with superannuation changes that may affect your fund. If you have the right aptitude and experience, why not put it into practice and see how everything comes together?

At North Coast Accounting, we have the experience and expertise in SMSF tax strategies, compliance requirements, and administrative processes to support you every step of the way.