Preparing Your Retirement Through Self-Managed Super Fund
Want to make your future after retirement bright? Then get Crypto super fund into your
pension pot and reap the tax benefit. You may think that we are joking; we are not. You can
make many fold benefits through Self-Managed Super Fund by following all the ATO rules
around managing SMSFs.
What is a crypto SMSF?
Self-Managed Super Fund (SMSF) is a way by which Australians can include a variety of
cryptocurrencies in their retirement portfolio. The big difference between an SMSF and other
superannuation funds is that the members are the trustees. They are solely responsible for
choosing the investments and complying with the various ATO laws. The next big question is
why you would select the SMSF over other funds. The answer lies below. Please read SMSFs
benefits:
Control Over Investment Decisions
The most obvious benefit of choosing your self-managed super fund is that you (and your
trustees) have full control and can decide where to invest. Most existing super funds do not
have options for you to invest in crypto, but the SMSF has. When you run a crypto self-
managed super fund, you can choose which coins you want to invest in and in what quantity.
Reduced Taxes
We are overburdened with the taxes, everywhere we must pay taxes, but with the crypto self-
managed super fund, you must pay around 15%. If you realise crypto gains in your account,
you might have to pay as high as 32-37% tax and as high as 45% if you are a high-income
earner. The 15% is half the amount of tax that you must pay, and that will save you a lot of
money in the long run.
Pay Lower Fees than Super Fund
Many people assume that the running cost of an SMSF is too high, and compliance is quite
tough to get with. The price has been drastically reduced due to the competition between
service providers. One thing to note here is that you need to have a large super balance
because your fees are fixed and not charged as a percentage of your total balance. If you have
a lower super balance, you might end up paying huge fees.
Control Over Your Funds
The other big benefit of having a trustee is having bigger control over your funds. The trustee
can decide where they want to invest their money, which is impossible with a regular super
fund. If the crypto market changes, you can instantly switch to a better-performing currency
and make a profit.
Protection from creditors
Another big benefit when investing in an SMSF is getting protection from creditors if you
owe money to a bank or other financial institution. The cryptocurrency you have in your
SMSF cannot be taken from you. Under many conditions, creditors cannot touch your super.
You can also sell your crypto to pay your debt in special situations.
Note this is not financial advice but produced for information purposes.
Thinking of investing in a crypto based SMSF or need help with the tax, audit and compliance of your SMSF. Feel free to contact us
SMSF specialists – Making SMSF set up, accounting an auditing easy
