Redwood Advisory SMSF
During July, the ALP and the Greens struck a deal which shocked many to close the limited recourse borrowing arrangement (LRBA) exemption for self-managed superannuation funds. This move shocked many as banning SMSF loans or SMSF Property was not on the agenda. The May budget and the negative gearing changes have changed the property landscape…
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SMSFs are beneficial for so many reasons including control, choice, flexibility and a concessional tax rate. I hope your SMSF is treating you well and you’re kicking goals and that you’re partnership with Redwood is also kicking goals. However, you may have received the fright of your life with a “threatening” letter from the ATO…
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It is always interesting to see far SMSF’s have come over the years. To help us, the ATO has given us insightful statistics to shed some light on SMSF’s in our current day – which has been shown below. Interesting topics worth noting are that the Majority of SMSFs (57%) have a Corporate Trustee. Furthermore,…
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Every SMSF must a functional bank account. It is just one of the many compliance RULES of running a SMSF. A bank accounts purpose is to receive rollovers, contributions, receive income, pay expenses and-at retirement-will eventually pay your pension. At Redwood, we have found that Macquarie offer a Cash Management Account (CMA) which is second…
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SMSFs have enjoyed the ability to borrow to buy residential and commercial property since 2007. Its been an extremely popular strategy for mum and dad investors and “millennials” looking to increase their exposure to property with the booming property market in major capital cities. LRBAs – The stats The statistics on LRBA’s are a…
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Today, the Government response to the “Financial Systems Inquiry Report” (“FSI”) was released and its good news for SMSFs. The Government responded to all FSI’s 44 recommendations and did not agree with the recommendation to ban SMSF Loans. While highlighting concerns around SMSF Loans – the Government did not consider current data sufficient to ban…
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Late 2014, the “Financial Systems Inquiry Report” (“FSI”), provided 44 recommendations, one of which was a proposed “Ban on limited recourse borrowing arrangements” or SMSF Loans. This caused significant uncertainly for SMSF professionals and investors. Last week, there has been a major development with Assistant Treasurer Mr Josh Frydenberg gave the biggest indication that SMSF…
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Redwood Home Loans and Redwood Advisory SMSF Specialists will guide you through the SMSF Loans process from SMSF Set-up to settlement to ensure there are no surprises. After all – SMSFs are supposed to be fun. Below we describe the steps taken to ensure a smooth SMSF Loan process. 1. Your SMSF must be established…
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An SMSF can refinance an existing SMSF loan. This is beneficial for Limited Recourse Borrowing Arrangements (“LRBA”) entered into many years ago where interest rates were higher with less SMSF lenders in the marketplace. Currently, SMSF lending is competitive with many if not all lenders offering a SMSF Loan product. After all, SMSFs is a…
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To the knowledgeable SMSF investor, an offset account is a ‘must-have’, both inside and outside of super. An offset account is a valuable feature of a SMSF loan. This is due to the fact that SMSFs generally hold a reasonable proportion of cash within the SMSF, either for a ‘rainy day’ or thinking about your next…
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