Ah, ok, you are already setup as a company trustee. Technically I think you can do it either way, as the money can sit anywhere you like because you are managing it. But if I was you I'd pay into the SMSF bank account and do nothing through the Pty Ltd, it's just a shell company that manages the SMSF. I don't even see the need to have bank accounts with the Pty Ltd if it does nothing else but manage the SMSF.
I've had mine with esuperfund for over a year now and haven't heard a peep from the government. Zero maintenance.
Better than that, and appropriate to this forum, they automatically set up an online metals trading account for you too. Use all your super money to play with the shiny stuff if you want.
eSuperfund is good, I'm with them. Contact is primarily through email, I've tried to call them a few times it's always hard on the phone it's clear they outsource part/all of their service. With the levy rises and trust deed changes it's clear the government likes to tinker with SMSF's - be prepared to expect more changes in the future. I think it's freaking them out at the moment the rapid uptake in SMSF's over the past few years.
No doubt. SMSF's used to be the party trick of the rich with highly payed accountants. Now it just takes a few mouse clicks by Joe Average and it's done.
I have also joined with esuperfund. No problems so far - all is good. And as you say, I can invest the whole amount in the shiny stuff if desired, although I think I'll go with a mix of metals, property, shares and bank interest. I have a feeling the share market bubble is about to burst however, with the property bubble not far behind. The price of PM at the moment is too high for my liking. Doesn't leave too many options does it?
How are you into property with the super? borrow to invest, or some fund or index etc? I've yet to go with property in my SMSF, and would have to borrow to get anything real, and that's a bit messy having to set up extra companies etc so I haven't bothered yet.
No, it doesn't and with the likely drops to interest rates in the next few months the bubble is likely to get more inflated. Spend some time to ensure you have a specific, well documented investment strategy - don't use the generic one they give you. Then make sure you review regularly and update as necessary.
No I wouldn't borrow to invest. Just pay cash for a property that has good capital growth potential and/or good rental yield in regional/rural Australia. The cities are way overpriced for my budget! Places like Broken Hill have a median house price of 87.5K for a two bedroom house and a rental yield of 11.9% (http://www.realestate.com.au/invest). By the time you borrow and pay interest on the loan your sums are going to look pretty underwhelming!
Just an example, I'm a Westie and only really know the Riverina due to my business. Wagga could work too. Both are larger than any rural town in the west afaik and have the services people need (banks, hospitals etc). Better to be near a rural hub with fertile lands and local produce than a mining town on the decline with contaminated soils. My Ma live in Broken Hill for a while, and I was not impressed when I visited. In contrast, I enjoy my trips to Griffith, Leeton, Temora, and the surround. Never lived there so can't speak as a local though. In the west, anywhere coastal west of Albany is good. I've been looking at Bremer Bay myself for the future, they are currently developing and I think it's a well kept secret, though it is further east and 2 hours from Albany (the largest nearby southwest town). Local council seems to promote and support renewable power / green tech etc which also appeals to me.
Bremer Bay is east of Albany..... Sorry.... re-read your post. Interesting looking place though. Lots of hectares for not much money!
A follow up question to the above. When purchasing PM from a bullion supplier for a SMSF, should the name of the purchaser (company) be:- 1. ABC PTY LTD 2. THE TRUSTEE FOR ABC SUPERFUND 3. ABC PTY LTD as trustee for ABC SUPERFUND Sorry, still trying to get my head around what these actual entities are... AFAIK, 1 and 2 above are the same entity are they not? If so, why the different wording? ABC PTY LTD has an ACN whereas THE TRUSTEE FOR ABC SUPERFUND has an ABN and a TFN. I'm confused.
Corporate Trustee the way to go: http://supergroup.com.au/why-should-all-smsfs-have-a-corporate-trustee/ Or here: "choose your trustee" http://www.evolvemysuper.com.au/smsf-resources/setup-upgrade/how-to-set-up-a-smsf-the-right-way/
Don't get too concerned, my fund has received correspondence from the ATO addressed in name of method 2 and 3 as you've written it. Any account with a bank, broker, bullion dealer etc needs to be in the name method of 'ABC PTY LTD as trustee for ABC SUPERFUND' or "ABC PTY LTD as trustee for ABC Super Trust' but nothing is ever owned by the company trustee per se, they just hold it in trust on behalf of the members in the fund. Operating the company as a superannuation trustee only means you have a limited ASIC fee to reflect the limited duties of the company. If you start taking in assets to ABC PTY LTD the ASIC fee is higher and I believe complicates your annual audit - resulting in a higher audit fee. Keep the company purely as a super fund trustee. Don't own any assets through that company. If you want to hold personal assets or run a business in a corporate structure, just start another company. Another question above was the length of bank account name. Our fund has numerous words in its' name reflecting the family name, 'superannuation' and 'trust'. When required we shorten bank account operating names to 'XYZ Trust' and haven't experienced any problems.
Looking to set up a SMSF through Esuper. Plan is to purchase a rental using the st george loan they offer, as this has a 100% offest account. Question is, Esuper states that all monies need to go through the account they set up (Rent, SG). Can I transfer the monies that come into this account and deposit it into the offset account, this will minamise the intrest.
