Does anyone have any advice on Paritech DIY Super Funds and DIY super in general? Apparently they advocate setting up a SMSF if you have more than $40,000 to invest; costs are $1000 to set up and $1000 to run. Most of the advice I have read/heard suggests that you need at least $100, 000 which I don’t have yet; however I am looking for the most tax effective structure for the longer term. The reasons I want to set up a SMSF are; control of investment decisions, getting tax benefit of salary sacrifice, paying less tax on interest or dividend. My strategy is to invest mainly in residential property but also in shares and property trusts.
Also what if I set up a SMSF which purchases a property together with me as tenants in common with SMSF contributing its holding in cash (let’s say equating to a deposit of 20%). I know that I can salary sacrifice and pay a monthly contribution into the SMSF for the SMSF to invest. However, can the SMSF then invest the contribution into the property thereby increasing its percentage holding of the property? What are the tax, legal and administrative implications? I know many would say why put more equity in? Use the additional cash to put a deposit on the next IP. However, it may be the best option at the time for the cash sitting in the Fund.
Thanks
Ant
Also what if I set up a SMSF which purchases a property together with me as tenants in common with SMSF contributing its holding in cash (let’s say equating to a deposit of 20%). I know that I can salary sacrifice and pay a monthly contribution into the SMSF for the SMSF to invest. However, can the SMSF then invest the contribution into the property thereby increasing its percentage holding of the property? What are the tax, legal and administrative implications? I know many would say why put more equity in? Use the additional cash to put a deposit on the next IP. However, it may be the best option at the time for the cash sitting in the Fund.
Thanks
Ant