Late 30s: Do I need a SMSF?

THE SITUATION

Mark and Rebecca are in their late 30’s with 3 children. They were one of those pre-‘Royal Commission’ days who were convinced rolling the retail superannuation into a SMSF and purchasing a residential unit in Gippsland. At this time, they only had combined superannuation balances of $100,000. The unit cost $198,000 with a debt of $165,000. Today this would not be permitted.

They came to us after the fact and had been trying to sell the property. Eventually it was sold for $120,000, further eroding their superannuation balance down to $50,000. They were considering whether they should close down their SMSF. They do have aspirations of purchasing the factory they currently rent, through their SMSF.

We were asked to assist them with retirement building strategies as we could not provide advice on their SMSF since it was under $200,000 member balance (legal/insurance requirement).

THE SOLUTION

We've set up a clear plan for superannuation contributions to assist them with building up their superannuation balances, whilst also ensuring they can meet their daily costs of a young family.

THE OUTCOME

Mark and Rebecca now have a plan to help them build up their superannuation balance.

General advice warning: The advice provided is general advice only as, in preparing it we did not take into account your investment objectives, financial situation or particular needs. Before making an investment decision on the basis of this advice, you should consider how appropriate the advice is to your particular investment needs, and objectives. You should also consider the relevant Product Disclosure Statement before making any decision relating to a financial product.