super fund $11k

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50mill
Participant
@50mill
Join Date: 2003
Post Count: 91
June 16, 2008 - 4:46 am
I have $11,000 in my superfund. What is the best use for this small amount. I am investigating setting up a 'self manged super fund' where i could use the capital for a deposit on a commercial property of some sort, perhaps.
What are some other strategies I could look at? or books/info I could read?
loanWolf
chase the dream
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
June 16, 2008 - 4:53 am
LW
Sorry dont ever want to burst your bubble but i think you maybe slightly short in the way of capital for setting up a SMSF.
Whilst there is no legal minimum amount we normally deal with clients with minimum $75K + due to the setup and annual compliance costs.
With regards to using the funds as deposit for a commercial property inside the SMSF this amount would be eaten up in Government charges such as stamp duty and establishment fees let alone the minimum 20% deposit requirement.
Richard Taylor | Australia's leading private lender
Richard Taylor
Participant
@qlds007
Join Date: 2003
Post Count: 12,024
June 16, 2008 - 5:00 am
LW
Sorry dont ever want to burst your bubble but i think you maybe slightly short in the way of capital for setting up a SMSF.
Whilst there is no legal minimum amount we normally deal with clients with minimum $75K + due to the setup and annual compliance costs.
With regards to using the funds as deposit for a commercial property inside the SMSF this amount would be eaten up in Government charges such as stamp duty and establishment fees let alone the minimum 20% deposit requirement.
Richard Taylor | Australia's leading private lender
craigsed
Participant
@craigsed
Join Date: 2004
Post Count: 37
June 16, 2008 - 1:13 pm
Yep, can confirm my SMSF is costing me around $2,000 a year in accountancy and associated running costs…….have around $150k in it, and I consider each year if it is worthwhile running as a SMSF at that size……
Craig.
Scott No Mates
Participant
@scott-no-mates
Join Date: 2005
Post Count: 3,856
June 16, 2008 - 1:28 pm
I'd back both of the other comments – however I'll add: join an industry fund (one open to public offers eg CBUS or check out superratings website), fees are minimal (these will eat away at your capital at a rapid rate). When you have a couple of hundred grand set aside, then go for your own fund in order to keep costs down to 1-2% of your balance.
god_of_money
Participant
@god_of_money
Join Date: 2008
Post Count: 970
June 16, 2008 - 2:08 pm
Yep, totally agree…
The cost is too much for 'little' amount of super
Not worth to consider at this stage… save more