WHERE they were at – Rob and Glen were related by family but that was not of the unfriendly kind – far from it! They were mates in many ways, and since they only had moderate amounts in their super, talking with the advisor raised the desire to combine in a Self-Managed Super Fund (SMSF). They also liked that since they had been helped in the past and could continue to benefit from our advisor, Jim Brownlee’s many years’ experience with Centrelink (especially with some of Rob’s particular issues) employing our service was a sure thing.
Our advisor, Jim Brownlee, went through a fact-find to understand their financial situation better and Jim explained how self-managed super worked and what was involved. He emphasised the compliance responsibilities, but that most would be managed for them by the SuperBenefit service, so they didn’t need to worry.
What they WANTED to have – Rob and Glen both had worked hard, but super only arrived late in their working life, so they needed to look to invest but also have access with emergencies, or to help the family.
They didn’t plan on big trips, just a local trip or 2 occasionally, but health would determine what could be possible. They had paid off their houses.
What it will COST – The planner explained that they should live on the Centrelink payments, and the SMSF would be a bonus and a back-up. They lived comfortably currently but not extravagantly and dinner out was rare. A local trip would be a maybe. They would just run the 1 car, estimated at annual running costs of $4-5,000 each per year, as they expected running around with grandchildren on occasions!
What they would NEED – To live on Centrelink and only use the super when and if needed. Jim and the stock broker would aim to grow their money to cover the minimum pension they could draw to supplement the government pension.
What to do NOW – I came and met Rob & Glen and explained the administration and compliance requirements relating to SMSF. I explained how SMSF was set up and what we would do – obtain the Trust Deed, AND, TFN and bank account set up ready for them to sign as owners and members. They also liked that we would support them with any questions, and that other investment ideas could be discussed with the CPA and their auditor – but they knew that was unlikely! They just wanted a simple but reasonable return. Another part of the service they liked was that although workshops and one-on-one mentoring was available, they just need a simple life and to continue to be under the wing of Jim as had been the case for many decades!
They now had the components in place –
Strategy – To take control and their pool super, and contribute extra, and learn more when they had time
Structure – To set up an SMSF together,
Support – With resources and all compliances taken care of by SuperBenefit, and other professionals, they could learn more about investment in property & shares as time allowed later. They now felt in control and it felt very manageable to them. They could see a well-planned future and had a team to support them.
Note – This is a simplified summary of one client – we recommend asking for a FREE consultation and/or seeking further professional advice with our or your advisor.
Interested to know what self-managed super (SMSF) is all about, and if it is for you? Come to a FREE seminar with bonuses every month – Self Managed Super Fund Roadmap (all you need to know) for the next monthly event, see 1 SMSF – FREE Seminars or call us 0407 361 596