transfering super to aus from overseas into smsf?

We're just in the process of transfering pensions from o/s into super here. I'm going to discuss smsf with accountant as a possible option for us but would we be able to access these transferred funds for an investment property purchase? Apologies, I have no idea if this is possible or nonsense.
 
Thanks Terry, was not so secretly hoping you would answer!

I'd like to get some specific advice as transfer people have a particular fund they want to transfer to in the interim. I havent seriously looked at smsf previously and have some specific questions not sure if you can assist further?
 
Actuallly when I said 'outside' I meant that if they brought the money over as a lump sum. There may or may not be a requiremennt to keep the money in super depending on the source country.
 
Very few counties recognise Australian super funds as a retirement savings vehicle. The UK is one of the few. They have VERY STRICT rules for allow UK retirement pension benefits to be transferred to any type of super fund incl a SMSF. Important to act VERY quickly as time runs out the deal shuts.

The issue that needs to be addressed is "is it worth the effort"?
- SMSF can invest in property but strict rules limit gearing which may limit a small fund to non-property;
- Complexity in admin and managing a SMSF v's costs. Will it be a futile exercise ?
- Preservation
- Strategies based on tax position, age, residency and many other issues.

The funds transferred will be preserved and cant be released until a condition of release occurs. Going back o/seas isnt a condition !! This might be a poor choice as your $$ can be trapped. The whole aspect of establishing a SMSF should really be supported by personal financial advice as a SMSF is a financial product decison. Only a AFSL licensed adviser should give such advice that considers your needs, cirumstances, costs and benefits. Many accountants are not qualified to give financial advice (They need an AFSL) - Australian Financial Services License, and are actually prohibited from recommending a SMSF. Also be wary of spruikers seeking to do a SMSF and sell property !
 
Very few counties recognise Australian super funds as a retirement savings vehicle. The UK is one of the few. They have VERY STRICT rules for allow UK retirement pension benefits to be transferred to any type of super fund incl a SMSF. Important to act VERY quickly as time runs out the deal shuts.

The issue that needs to be addressed is "is it worth the effort"?
- SMSF can invest in property but strict rules limit gearing which may limit a small fund to non-property;
- Complexity in admin and managing a SMSF v's costs. Will it be a futile exercise ?
- Preservation
- Strategies based on tax position, age, residency and many other issues.

The funds transferred will be preserved and cant be released until a condition of release occurs. Going back o/seas isnt a condition !! This might be a poor choice as your $$ can be trapped. The whole aspect of establishing a SMSF should really be supported by personal financial advice as a SMSF is a financial product decison. Only a AFSL licensed adviser should give such advice that considers your needs, cirumstances, costs and benefits. Many accountants are not qualified to give financial advice (They need an AFSL) - Australian Financial Services License, and are actually prohibited from recommending a SMSF. Also be wary of spruikers seeking to do a SMSF and sell property !

Thanks Paul
I'd probably have just under $200k in my super after the transfer. The transfer company have nominated a qorps to transfer it to initially. I've asked them about any costs for me to move it from there to my usual superfund or to an smsf and how easy a process or not that would be. I'm using Pension Transfers Direct for the transfer. I'm not sure if setting up an SMSF is worth it or not financially and that's what I'm trying to find out. If I was going to buy a property I'd only be looking to spend $250k or a bit higher. Strategy would be to sell the property in 15years or so to add to retirement fund. I guess I could release the money at my preservation age? I wouldn't expect to transfer the money overseas at any point. Possibly smsf is for bigger investors and it would be easier for me to just buy as normal.

Thanks for your advice I'm going to have a chat to an accountant/FP.
 
Back
Top