SuperConcepts welcomes the Productivity Commission’s revised minimum viability threshold of an SMSF to $500,000, but warns it is still misleadingly high as a cost-effective measurement.
“We’re concerned that the Productivity Commission report
has potentially confused the market in distinguishing between a fund balance and a member balance for the minimum viability of an SMSF,” says Natasha Fenech, CEO SuperConcepts.
“The vast majority of funds have more than one member and this needs to be absolutely clear when issuing guidance and potential accountability to professionals about how much money makes an SMSF worthwhile.
“By this measure the minimum member balance for would be $250,000, which is closer to guidance provided by the ATO
The average assets per SMSF member is $652,465, according to ATO figures.
“SuperConcepts further endorses the Productivity Commission’s recommendation to have recognised specialist qualifications for SMSF advice.
“This measure will enhance the compliance aspects of a fund and reduce inadvertent breaches due to lack of understanding around compliance issues,” says Ms Fenech.
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