Time to close your SMSF

If you're sick of the ever-increasing cost of running and owning a self-managed super fund, here are five simple steps for closing your fund before the end of the financial year, which is just 30 days away.

1. Start today. The end of the financial year is just 30 days away and it is surprising how long it can take to wind up a self-managed super fund, even with the best intentions by all parties.
2. Send your accountant written instructions that you want your self-managed super fund wound up as quickly as possible and that you will not pay for any additional costs if it is not wound up by June 30.
3. Find a quality retail superannuation fund. Shop around for a new fund you are happy with including an assessment of all the fees it will charge and the investment options it will offer you. With the exception of direct property investments, there are now retail funds that will allow you to control every cent you have invested in much the same way as you can with a self-managed super fund.
4. Review your existing investments. If you have a direct property investment, unless you are using it to run your business from, start the process of selling it as soon as possible. Direct property investments tend to generate a relatively low return and can be extremely time consuming to maintain. Once you reach retirement age, these types of investments are best sold.
5. Look for a new retail super fund that will accept 'in species' contributions. These are contributions where you can move the asset, typically shares, into a new super fund without having to sell them. This will save you money into terms of brokerage incurred in the normal buying and selling process.

Depending on your overall financial position, closing down your self-managed super fund in preference of a standard retail super fund should mean that once you move into retirement you should never have to file a tax return again or pay another accounting bill.

The reality is that it is only going to get more expensive to own your own self-managed super fund. Unless you have a clear reason for owning one, a reason that can't be replicated in a retail super fund, then you should think about closing it down.

This will leave you with more time and more cash to really enjoy retirement years.