It is very important to make an informed decision when
considering whether it is better to have individuals or a company
as the trustee of a self managed superannuation fund (SMSF).
ATO statistics show that a large majority of SMSFs opt for
individual trustees. This probably has a lot to do with people
opting for the quickest and what may seem to be the easiest and
cheapest option, however this decision could end up costing you
more in the long run.
There are practical issues to consider when deciding on a
preferred structure. Let's take a look at some important
considerations when deciding which option is right for you:
Cost and efficiency of processes
There are initial establishment costs for a new trustee company
(which preferably should be an ASIC special purpose company) and
also a small annual ASIC levy associated with the company.
