Whether it is legislated or not, the primary purpose of superannuation is to pay a benefit, preferably via a pension, to the members of a fund once they retire or obtain a certain age (65). Paying a pension can be as simple or as complex as you want to make it within an SMSF, it all comes down to the client’s needs and subsequent strategy. The key issue is whether their strategy has contemplated all there is to contemplate at both establishment and on an ongoing basis. With the Government extending the 50% discount on minimum pensions for a further 12 months and new contribution rules from 1 July 2022 expanding the capacity to contribute well into retirement, there is no better time to review the key issues associated with paying a pension from an SMSF.
This webinar will work through the strategic advantages and disadvantages of the following concepts attributable to account based pensions, including transition to retirement income streams:
Multiple pensions v commute and repurchase
Lump sum withdrawals v excessive pension payments
Discretionary pensions v reversionary pensions
It will also provide a friendly reminder of the impacts that certain actions taken by members and trustees may have on any social security benefits they may receive.
At the end of this webinar, participants will understand:
there is no one size fits all model for SMSF pensions
that poor decisions can have taxation and/or social security implications for members and beneficiaries
the importance of pension documentation and investment strategy
the factors that distinguish reversionary from non-reversionary pensions
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Accredited CPD Education
SuperGuardian’s education activities are assessed against the SMSF Association’s professional education standards. Being recognised as an SMSF Association Accredited Educator enables us to work closely with the Association in lifting the standards of professional SMSF advice and services through quality SMSF education.
Tim Miller is one of Australia’s leading SMSF educators and presenters with over 23 years’ experience in the Superannuation industry. His experience has been gained through providing legislative and compliance support to thousands of Trustees, Accountants and Financial Planners since joining the SMSF sector in 1999. In addition to servicing the needs of SMSF clients, his practical and personable approach to compliance has made him a much sought after presenter.
Tim regularly presents at the major SMSF conferences and events, contributes to various trade and general publications and is the author of one of the subjects of the SMSF Association Graduate Certificate delivered through the University of Adelaide and Kaplan, which has also been adopted as part of the CA ANZ SMSF specialist program.
Tim is an SMSF Association Specialist Adviser.