smsfs

More cranes signal greater construction activity and point to a sound economic outlook. Property lender Thinktank examines the current skyline and what it means for the market.

The test allows investors who can certify that they earn $250,000 a year or have more than $2.5 million in net assets to access higher-risk securities normally off-limits to individuals. But many say the test is confusing and outdated, and an independent statutory body has called for an update.

While the move to tax superannuation balances above $3 million at a higher rate would affect only a handful of people at first, if the threshold is not indexed to inflation, future generations may be turned off from investing in their super, industry leaders say.

The Treasurer’s plan to limit concessional tax treatment within super at $3M comes without a lot of the details required for effective retirement planning. Making bold changes now could be costly, says Wattle Partners principal Drew Meredith.

Peter Burgess told the SMSF Association’s National Conference the industry group has pushed for some of the developments, while it continues to oppose others, such as a high-balance cap. The government now plans instead to double the tax rate for funds with very high balances.

The success and popularity of SMSFs has also given several hundred thousand people direct access to their retirement savings. More concerning, the ATO believes, is that fraudsters are starting to take notice.

Speaking at the SMSF Association’s National Conference, the assistant treasurer called out “modern-day Edmund Hillarys” seeking to raid Australia’s “Mount Everest of superannuation” as he pressed the need for an objective for super that prioritises preservation.

Despite a growth hiccup in 2022 the SMSF sector is trending in the right direction, with more younger people opting for choice in the way they manage their retirement savings.

The shift to healthy longer term deposits has begun, and while Australian equities still dominate SMSF portfolios the way they access them is changing.

The SMSF adviser took an unusual path to joining the profession, one that involved almost a decade playing rugby on the hot sand and gravel of Saudi Arabia.