Why DIY Super?

There are no guarantees to a secure future. Life often moves in unexpected directions which are out of your control. People take different measures to prevent themselves from any uncertainty that would arise in future.

DIY self-managed superannuation is one of the popular measure people are going towards. It is different from other investment schemes which often turn up giving you no benefit on your investment.  DIY self-managed superannuation is recommended by many of the accountants and financial advisers. It gives you a secure future, giving an end to all you after retirement worries. DIY self-managed superannuation funds are a great way to invest your money.

Purpose of DIY super

The only purpose of DIY super is to secure your post retirement life; all you need to do is keep aside part of your income for future use and gain tax benefits given by Australian government of superannuation funds. There is a lot that DIY super provides you with. You can enjoy with options like, managed investments, direct shares and direct property.

Can you set up your own DIY super?

There are no restrictions or specific criteria regarding people who can set up their DIY super. Anyone, whether employed or not can join the scheme. There are flexibilities for everyone who wishes to set up their funds. If you are not employed or are just a house wife, your spouse can make a payment on your behalf until you reach the age of 65. It’s an additional benefit for people who are self-employed to just join a fund and make contributions in it. They can then claim a full tax deduction on their contributions.

Advantages of setting up a DIY super

The first and foremost benefit of setting up a DIY self-managed superannuation fund is to have complete control on your investments. You are the one deciding your investment strategies, planning how you want to manage your funds without any interference or restrictions from other members. Every member in DIY super is also a trustee. Other super funds charge a high tax rate on your investment, DIY super charges comparatively a low rate of 15% on your investments. After you cross 60 all your funds get free of tax. There is some fee charged on behalf of your funds, though if your transactions are at minimum levels you get to pay reduced amount of fee.

Disadvantages of setting up a DIY super

There are some limitations to DIY super. In fulfilling your role as a trustee you get a lot of responsibilities on your shoulders. Keeping a record of your transactions and checking them for accuracy every now and then gets burdensome. Time management is very important if you choose to set up a DIY super. Deciding relevant strategies and planning your investment is not easy, it requires time and skills. You are also required to get your accounts audited annually and maintain a statutory report.

Pros And Cons of DIY Super

DIY super is the perfect choice for those who have no issues with their time. If you can manage your time and render yourself with DIY super, then this is the right place for you. DIY super has become the choice of millions due to some common reasons. The current regulating financial bodies are charging a heavy amount of fees yet providing no satisfactory services in return. When you opt for Self-managed super funds you are able to set and apply your own strategies without any interference from anyone. DIY super is advised by many financial planners and accountants now.

Every investment plan has its advantages and disadvantages. Therefore, it is wise to consider all the pros and cons of your choice before you make the decision.

Advantages in your choice

·         Members of DIY super are also trustees, which bring on their shoulders more responsibility and let them control and manage their investment strategies.

·         If you keep your transactions at a minimum level, there is an escape from the continuous fees of the fund, it can be reduced.

·         Your funds are free from all tax charges once you cross the age of 60.

·         Before you cross 60, you can avail tax concessions in DIY super, which are below the marginal rate. The minimum rate you will be taxed on your investment is 15%.

·         DIY super lets you design your own benefits and plans.

Disadvantages in your choice

·         Investments do not come with any guarantees; you cannot ascertain your gains before hand. It is probable ending up with a loss.

·         Administration of DIY super restricts you from taking wrong decisions, regardless of whether r you took it heedlessly. You will then be charged with penalties and fines.

·         You are also required to audit your funds annually and maintain an annual statutory report.

·         You will be provided with a “trust deed” which is like a rulebook consisting of all the dos and don’ts you are strictly required to follow.

·         Finally, when deciding whether the DIY self-managed superannuation balance need is worthy, you should also reflect on establishing a fund. However, setting up a DIY super fund can be costly, sometimes up to $3500.

Spend some time over the pros and cons of DIY super, and if you think you are ready to meet all the demands, GRAB your OPPORTUNITY.

Overview of DIY Super

The popularity of DIY super funds has increased drastically in the recent years. People from different backgrounds are joining in to make investments and securing their future. DIY self-managed superannuation has introduced a different concept of investing your funds and gaining returns on your investments, which is interesting but also challenging at the same time. DIY super is of great attraction to people who are interested in setting up a secure life after their retirement.

Costs which you would come across

When you start with your DIY super funds, you need to have at least $200,000 in your super funds. Further incurring costs will be establishment cost without which you might end up making losses due to poor administration set up. The establishment will cost you around $1000 to $1,500. Financial estimation of DIY super will enable you to make right decisions in the establishment of your funds.

Managing DIY super Funds

Managing the DIY super funds may sound interesting; it requires your time and the right skills. If you have enough time to look after your funds and spend time on managing them, DIY super is the right choice for you. There are many options and flexibilities coming up to provide you with the right service.

Your decision is important

You are given full control to manage your funds according to the strategies that suit you best however, the responsibility of setting up and running your own DIY super fund can be burdensome. Maintaining records, and keeping a check on them for accuracy requires time. Everything should be considered wisely before taking any decision.

Steps to follow once the decision has been made

There are some easy steps, which should be followed once you have decided to set up your own DIY self-managed superannuation fund. These steps are laid by the Australian taxation office.

·         The first and the foremost step towards anything is trust, so trust DIY super. We will use our expertise and experience to satisfy your needs.

·         Out of all the options available while filling in the details, you need to choose the option of regulated fund.

·          There will be a tax file number and an Australian business number that should be received as soon as you set up for your DIY super fund. Enjoy investing!

Steps completed?

Congratulations, once you have completed the above steps you are ready to manage your DIY super funds.

DIY - Is It The Right Choice?

Whenever you plan to start something new, you always consider all the pros and cons related to your choice. Looking up for all the possible outcomes related to any choice you are making will enable you to estimate the end result. Similarly, when you decide to open up a DIY super fund, make sure it will bring you some benefit.

In last twelve years there has been an immense increase in the number of people willing to manage their funds using the self-managed super fund. According to a report nearly 360,000 funds with almost 690,000 members held over 25% of total super assets in June 2007, which is definitely a great number.

Sometimes opting for DIY super to manage your funds isn’t the right choice for you to make. If your financial advisor or accountant suggests you to set up a self-managed super fund, make sure you are not investing less than $40,000. Anything less  as an investment is clearly not cost-effective.

DIY super funds under $50,000

The minister for superannuation and the Australian Taxation Office (ATO) has doubts on the statistics of people not suitable for a self-managed super fund set up.  If you are running a self-managed super fund with minor balances, they would turn out to be very expensive. High costs diminish the investment returns. According to ATO the percentage of operating expenses for DIY Super funds less than $50,000 is 10.5% of assets.

DIY super funds between $50,000 and $200,000

On the other hand, if you are starting your investment from balances between $50,000 and $200,000 they will cost you 2.63% to 3.55%. DIY super funds above $200,000 incur an average cost of 2.3%. This is the point where you need to take the right decision as to what amount you start your investment with.

Other costs

DIY super also comes with some maintenance fees to manage your funds. Usually the fee ranges from $1,500 to $4,000 to be paid annually. If you are taking efficient decisions regarding your selling and buying, you will be making fewer transactions which will in return cut down your ongoing fees. DIY super funds are also taxed. The tax rate of 15% is less than the marginal rate of tax being charged. Investors do not feel reluctant in paying these fees as these are relatively less amounts in order to manage their own money.

Should you or should you not?

In the end, it is the individual investor who decides whether DIY super funds are worthwhile for him. Total control and flexibility in making your own strategies attracts people. If you have time and the right skills to manage your investment, a DIY super fund is the way to go.

DIY Super - Your Choice

In this large-scale economy, life takes uncertain turns. People feel powerless when it comes to their investments turning upside down. In situations where the economy can collapse anytime, people are now turning to much safer ways to invest their money. One scheme that some have turned to is setting up their own DIY super funds. The success of this type of self-managed superannuation is solely dependent on the individual.

Well turned-out, up to date investment is obviously vital. Practicing some trading before plunging headlong into the stock market is a good way to go. Starters shouldn’t be advised against DIY super funds on the whole; instead they should be suggested to do some research before they begin. It is often thought as people new to this scheme tend to invest conservatively. They falter to take risks and choose to trade in a low risk environment to control their money.

One of the most interesting elements to consider in a self-managed super fund is to have power over your investment. The investor has absolute and final say on investments. Every person involved in self-managed superannuation is a trustee. Fulfilling your role as a trustee gets burdensome since you have to maintain records and relevant books personally which obviously takes a lot of time. Every now and then you have to keep a check on your records for accuracy and the need of keeping them up to date. Researching about different stock systems also gets hectic. Any person aiming to set up a DIY super should possess good time management skills.

When it comes to prudent and profitable investments, the key is to find out all details of the stocks’ history and past figures. Experience required in the stock is to take appropriate decisions when the stock market fluctuates. Inexperienced people instead of taking the right measure panic, which in the end turns out to be bad for their investment. It will also help you in sorting out figures and taxes. It gets difficult to manage such records with any proper experience once the trading begins. Keeping things straight also requires a lot of your time.

Your DIY super fund will incur some maintenance fees to be paid annually. It usually costs between $1,500 and $4,000 to maintain your funds. Once your start taking wise decisions regarding your buying and selling, you tend to reduce enduring fees, also reducing the number of transactions you make. The investment you make is subject to tax concessions. Earnings are taxed at a maximum of 15%, which is lower than the marginal tax rate.

Again, it is the choice of the individual investor to decide if DIY super funds are a right choice for him.

DIY Super - Provides You Lucrative Services

DIY super funds aim to satisfy you with their services. You will find widespread services to serve your interests. DIY super comes up with exciting and cost-effective facilities every now and then, which give you the flexibility to switch to any offer of your choice.

We provide you with assistance and counseling to make it is easy for you to set up pension and income streams. Deciding your investment schemes will become easy for you with our adjustable consultancy. DIY super lets you set up self-managed super fund and helps you manage your self managed super funds.

DIY super believes in giving you exactly what you want, nothing more or less than it. Counseling sessions will be according to your need. DIY super will not provide you with something irrelevant for you. We believe in quality not quantity, we give you the substance as per your requirements.

The projects you attempt to invest in will have fixed costs. DIY super will provide you with estimates to help you assess the future performance of your investment and the likely costs you would be incurring. There would be no additional costs coming up in the middle to worry you. DIY super charges no hidden fees.

Our experts are just a phone call away from you, whenever you need any assistance regarding financial issues, planning or business management queries, our experts will be more than happy to assist you.

DIY super has made the borrowing process easy for you, however, there are some guidelines accompanying it. DIY super also helps you deal with any changes occurring in the legislation. To be up to date about these changes you have to give some of your time and research the new changes.

DIY super provides tax benefits to its members. If your DIY super funds are in complete pension mode then you are free from any tax charges.

You can have maximum 4 members who will also be the trustees of the fund. These trustees have responsibility towards the funds making sure all requirements are fulfilled. Trustees have to prepare a written investment strategy incorporating all the concerned risks of the investment, returns and dividends to be received and any liquidity the funds are liable to. They also have to maintain the financial records of funds and taxes they pay. It’s their duty to keep a regular check on the accounts to keep them up to date and ensure accuracy.

DIY Super - Is The Choice Worth It?

You are provided with so many options when you go ahead in investing your money. There are so many investing schemes institutions around. This makes it very difficult for you to decide which one is the best. Trusting the right place for your funds is very important. Your future benefits and advantages completely rely upon your decision. Before you take a step forward towards investing you money, make sure you know all the relevant and necessary things needed for a successful investment.

DIY super has become very famous in recent years. Accountants and financial advisers are advising there clients to set up their own DIY super. DIY super offers you with variety of options to suit your taste and need. It comes with no limitations on who can join or who cannot. you are employed or not, you can set up your DIY super.  Even if your income is low, DIY super can change your life.

The most attracting feature of DIY super is, to have complete authority on your investments. When you become the member, you also become the trustee. As a trustee you have responsibility to make your own strategies, plan your funds according to your feasibility. You have to keep record of all the transactions which you make. Annually you need to get your accounts audited and prepare a statutory report. People who like to manage their funds without any interruptions from anyone; DIY super is the perfect place for them to invest in.

Managing a fund requires time and skills. Before setting up a DIY super you should gather all the relevant information about managing funds, so that later it is convenient for you to sort out financial data and make your strategies. You can only gain benefits from your strategy when you have skills and idea about different schemes and information about how they work.

DIY super charges some tax on your funds. The tax rate is 15%, which is comparatively lower than the marginal rate. However, there are some concessions available for the contributors. Once you cross the age of 60, you are free from all the trouble of paying taxes. Further costs are establishment costs, which you will come across after getting your own DIY super. This will cost you around $1,000 to $1,500. You should do a cost and benefit analysis before you set up your DIY super, it will let you estimate your future benefits and losses if some happen to incur.

If you are good at time management, DIY super is the absolute choice for you invest your funds. DIY super will be more then happy to benefit you with their experience and services.

DIY - Your Money Is Important

DIY Super

If you have taken a step on the road of planning your retirement and are unsure where you have to stop, then DIY super is your final destination of an untroubled post-retirement life. We understand the value of your money and will use our expertise and experience in letting you gain the maximum returns on your investment.

A short look on when we started

DIY super started its mission of serving you in 1999 in Sherwood in Brisbane’s western suburbs. From that time till now we are fulfilling the requirements of many SMSF managers far and near Queensland.

Managing your investment with DIY Super

It is often questioned as to what amount of money should be invested initially. It completely depends on your investment strategies that you adopt for planning your retirement. Whatever amount you decide to start with in DIY super should at least have an economic value. Normally it is advised to start with a minimum average of $4000 to $5000. You will be only better off with your increasing rate of investments and you will gain better opportunities in the future if you save wisely in present.

Why choose DIY Super?

When your have control over your investment and instead of somebody else you are the one managing you own assets, this gives satisfaction as well as develops responsibility within you. You don’t need a professional to manage your taste and choices, it is something you are good at and nobody can do it better than you. There is no fuss of paying any extra fee in DIY super because you will not be requiring any consultation from financial brokers. We are here to make your life easier, you are not restrained from using your funds for your upcoming generation. You can now stop worrying for their future by the help of your Self-managed super fund. Once you enter the age of 60 DIY super will not be charging any tax on your investments which sounds like a good deal. DIY super protects your funds if you ever enter the phase of liquidation. DIY super provides you a great deal of flexible offers which lets you invest at your own feasibility. We let you explore through all your available options. You will be only a call away from alluring options available to you.

The Next Step

If you aim to spend an easeful time with your family after your retirement, DIY super is waiting for you, take control and get your own Self-managed super fund opened now.

Why Go For DIY Super?

An Australian DIY Super fund is a great way to save money for your retirement or create wealth for your family. The Self Managed Super Funds have become a hot trend over the last few years with the benefits of having your own fund luring more and more people into the mix. Managing your superannuation fund gives you complete authority and you can work it the way you want without interference from anyone. So, why go for a DIY Super fund when there are many companies and financial institutions willing to do so for you?

There are a number of compelling reasons to do so:

·    The investment you will make into the fund will be at your discretion without any influence from anyone else. You can choose whatever you want to do with your money.

·    There are no fees involved in Self Managed Super funds as you are not going to use the services of a financial broker or any other professional.

·    You can vary your investments around a number of options. There is tremendous flexibility available to you and no need to put all your eggs in one basket.

·    Once you cross the age of 60, all the money in your super fund will become tax free. You can enjoy a luxurious lifestyle when you retire!

·    Borrowing can be done against your superannuation fund. This has been recently introduced and considered to be a huge advantage of having a Self Managed Super fund.

·    Legal costs which occur at the commencement of pension can be saved by merging your pension fund with the superannuation fund.

·    Decisions regarding division of assets and property that you have in the event of your death can be made through the fund. It offers you the chance to do estate planning in advance.

·    One of the killer features of DIY Super funds is that all the assets that you have accumulated in your fund are protected in the case that you have to file for bankruptcy. This means that you can bank on the resources in your fund if you are in deep waters.

There is no restriction on the life span of the superannuation fund you are running. It can be passed on from generation to generation. You have the chance to provide your future generations with the opportunity to have a high standard of living and a lifestyle that perhaps you didn’t enjoy.

Issues to Consider When Setting Up A DIY Super Fund

The prospect of setting up a fund that will make your post-retirement life comfortable is an option chosen by many people. Having slugged your way through to the twilight of your life, it is a tempting opportunity. This is the reason why DIY Super funds are becoming so popular. However, what many people don’t take into consideration is that having a Self Managed Super fund is a big responsibility to shoulder and there are considerable risks involved as well.

Time

The first and foremost thing to take into account is that you need to have a lot of time to be able to keep up with the investments that you are going to make. Lucrative opportunities open up all the time but if you are not alert and ready to pounce, they will slip right through your fingers. If you are have a lifestyle where you hardly have any time to spare then it is not a wise decision for you to pursue the option of setting up a DIY Super fund.

Trustee

Another thing to give a thought to is the role of a trustee that you would have to fulfill when you are in charge of the fund. Trustees have certain responsibilities and liabilities under the law which they have to adhere to. You would be required to maintain records and accounts, vary investments so that they reap the maximum possible benefits and meet the standards for accounting that have been imposed by the state.

Cost

The costs of setting up a Self Managed Super fund are estimated to be a minimum of $4,000 to $5,000 on average. Then there are maintenance costs that you would have to incur to keep the fund afloat and making a superannuation which would set off the costs easily. Unless you are making money on your fund, it is insensible to persist with it.

Loss

There is always the chance present that you could end up losing all the investments that you have made through the DIY Super fund. There is no guarantee that an investment will pay off and nothing is certain when you have undertaken a speculative venture. However, this does not mean that you shouldn’t give it a shot because many people have been able to reap the benefits of shrewd investments and adequate management skills that they put into their funds.

Only if you feel that you can address all these issues, then you should think about setting up a Self Managed Super fund.