ATO - Setting up a self-managed super fund (SMSF) Action plan

☐ Decide if a self-managed super fund (SMSF) is right for me

- Consider if I have the knowledge, time and skills to do it

☐ Choose an SMSF trustee structure

- Choose between individual trustees or a corporate trustee

- Register a company if I’m using a corporate trustee structure

- For corporate trustees structure, directors will need to have a director identification number before being appointed.

☐ Appoint trustees

- Make sure all trustees pass the eligibility criteria

- All trustees should understand their role and responsibilities

- All trustees must consent in writing to be a trustee

- Ensure all trustees have signed a trustee declaration within 21 days of consenting to becoming a trustee stating they understand their duties and responsibilities

- Record all trustee and member identification details

- Record corporate trustee details (legal name, ACN/ABN, TFN, address and date of registration

☐ Check my SMSF is an Australian super fund

- Ensure my fund meets the residency rules

- Consider how my fund will meet residency conditions if members are planning to go overseas for an extended period

☐ Create a trust deed

- Create a trust deed unique to my fund’s objectives

- All trustees must read and understand the deed

- Ensure all trustees sign and date the deed

- Regularly review and update the deed so that it continues to meet members’ needs

☐ Hold assets

- Assign and document the fund assets

- Ensure the fund has clear ownership of its assets

- Record each member’s benefit

☐ Register my SMSF

- Apply for an ABN and TFN within 60 days of my SMSF being legally established

- Register for GST (if needed)

☐ Set up my SMSF bank account

- Open a bank account in the fund’s name

- Update the fund’s bank details

☐ Get an electronic service address (ESA)

- Check the register of SMSF messaging providers or contact my SMSF administrator to get an ESA

- Check the ESA is able to provide rollover services

- Update the fund’s ESA details through the ABR

☐ Create an investment strategy

- Consider the right investment approach for my SMSF based on my members’ circumstances

- Create and document an investment strategy

☐ Plan for the future

- Consider arranging insurance to protect fund members

- Consider arranging insurance to protect fund assets

- Consider completing a death benefit nomination

☐ Prepare an exit plan

- Consider circumstances for winding up

- Check if there are rules in your fund’s trust deed about how to handle specific life events

- Consider members’ instructions to deal with their benefits upon their death

- Consider appointing an enduring power of attorney

- Estimate the costs of winding up

- Consider the liquidity of the fund’s assets

- Ensure all trustees can access the fund’s records and electronic transaction accounts

☐ Review the exit plan regularly.