Cheapest way to start and manage a SMSF buying gold and silver

bellpepper

bellpepper

New Member
any help would be appreciated...

I am happy doing the legwork, I just don't want to pay for other people to manage my super.
 
Go to http://esuperfund.com.au/
Fill in the form.
They send you huge bunch of paperwork to sign to set up your SMSF, brank account, and online metals trading account with https://www.bullioncapital.com/
Sign it and send back.
A few weeks later you have all your accounts, a SMSF company and ABN, and you can start trading metal with your own super money.
Once a year you fill out an automated online form for your tax return and that's about it.
Super easy unless you do something complicated like borrow to buy property.
 
Dindor said:
can it be done through setting up a company and if so how much would that cost
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SMSF's must be operated by a company.
In eSuperfund for example, they will automatically register a company for you.
 
Not correct - SMSF's can be operated by individual trustees, or by a corporate trustee.
 
Dindor said:
can it be done through setting up a company and if so how much would that cost
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It can be done with the trustee as a company or individual/s. A company will cost more, but you should see your accountant about the cost and advantages.
 
Here is a hypothetical courtesy of my friend's neighbor, Cesil
Apparently he has sub 200k in a retail super fund
He had an idea of creating a SMSF, buy a good safe, keeping it on his own property, buy sub 200k of bullion, lock it in the safe and return when he retired

1) What would I tell Cesil about the Costs involved to create a SMSF?
2) What Running costs would he expect?

Apparently Cesil is a right tight arse so as per OP, what would be his cheapest options?
 
Cecil could not use Esuperfund to setup to buy bullion and self store. They now have a preferred supplier of theirs and require this company to store on their behalf. I think this change was brought about because as one of their clients I bought silver bullion in lunar coin form and held myself, which they had no control over
 
aussiesilver said:
Cecil could not use Esuperfund to setup to buy bullion and self store. They now have a preferred supplier of theirs and require this company to store on their behalf. I think this change was brought about because as one of their clients I bought silver bullion in lunar coin form and held myself, which they had no control over
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Incorrect. Esuperfund do allow you to store bullion yourself.
https://www.esuperfund.com.au/other-assets/metals/how-it-works
It's only is you by the metal through Bullion Capital can you not take possession yourself.
Absolutely nothing stopping you buying metal with your SMSF bank account from any dealer and storing it yourself, you just need to minute that. The SMSF laws allow this, and eSuperfund will just demand extra paperwork.
https://www.esuperfund.com.au/investments/allowed
 
If one was to store PM on their own premises, is it correct to assume it would have to be insured (e.g Corporate Trustee's due diligence)?
Can anyone direct me to an Australian insurer of either:
1) Contents of a safe
2) Precious metal bars
 
I am using eSuperfund. I have unallocated metals stored at a Dealers. I looked at the other options and I can confirm everything that SilverDJ has posted.

My Financial advisor wanted $4000 to set me up with a self managed superfund and all the other requirements, I already had eSuperfund and I am glad that I set it up earlier.

We did make life hard for ourselves by borrowing money to buy a property, having physical and unallocated gold and silver, performing GSR swaps etc.

The company will tell you what bits you need to provide and will tell you what you need when you get it wrong. They won't give you any advice or anything like that but over the past 10 years I have never regretted going with them.

We had to minute our decision not to have the metals in a bank vault and also not to have them insured, but the company sent through the proforma for us to complete and that was about as much work as we have ever had to put into it.
 
Why does esuper charge 1k a year? That would drain my super faster than I can fill it.
 
I think about $240 is an ATO charge for something or other, and I have to pay the ATO another $49 for some reason. Seems like all SMSF have to pay that regardless of who manages them.
 
I think the rest is about $800 a year to lodge the tax returns. No way I could get everything together and keep up with the ongoing changes to the laws without them.

The Financial advisors were looking to charge way more than that for the same service.
 
66rounds said:
Why does esuper charge 1k a year? That would drain my super faster than I can fill it.
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Because it costs money to run such a system, hire skilled accountants and handle all the auditing etc.
If you think you can do it cheaper then there is a huge market that will make you rich.
The rule of thumb is that SMSF are not suitable for anyone with less than $100k in super.
 
SilverDJ said:
Because it costs money to run such a system, hire skilled accountants and handle all the auditing etc.
If you think you can do it cheaper then there is a huge market that will make you rich.
The rule of thumb is that SMSF are not suitable for anyone with less than $100k in super.
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That's fair enough. Was thinking it would be best to start off with a SMSF but may need to have a decent balance elsewhere and then transfer over for it to be viable.
 
66rounds said:
That's fair enough. Was thinking it would be best to start off with a SMSF but may need to have a decent balance elsewhere and then transfer over for it to be viable.
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Yes, you can't start off with a SMSF as there is no economy of scale you get with a normal managed super fund that pools your money with a hundred thousand other people and they manage it as one big pot.
It's not cheap to run a SMSF regardless of how you go about it.
 
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