Request a Callback
Twitter
Facebook
LinkedIn
YouTube
Get our app

Want to know more?

Leave your details below and we'll get in touch! Alternatively you can also make a written enquiry via our Contact form.

×

Admin, BDBN errors flagged for SMSFs this year

SMSF practitioners and their clients have been cautioned on some of the ongoing mistakes that continue to be made with documentation and some of the newer traps that have cropped up with the changes to superannuation.

 

 

Speaking to SMSF Adviser, SuperConcepts executive manager of SMSF technical and private wealth Graeme Colley said there continues to be a number of administration problems that catch out SMSF trustees.

One of these is property being settled in the wrong name which will often attract the attention of auditors, said Mr Colley.

“Limited recourse borrowing arrangements can sometimes be settled the name of the superannuation fund, rather than the underlying holding trust,” said Mr Colley.

Binding death benefit nominations are another key problem area, he warned.

“Binding death benefit nominations may not have been correctly executed because the witnesses will be parties to the binding death benefit nominations itself, sometimes it won't be dated, other times, a bit like the Narumon case, parties that were not a dependant were mentioned as recipient of that binding death nomination,” Mr Colley explained.

“We've spoken to our clients to try and get them to understand that if they get it wrong, then the money may go to someone else rather than who they think it will go to if they happen to die.”

SMSF professionals with high-net-wealth clients also need to be sure that the client has considered both the accumulation and pension components of their SMSF in their estate planning.

“They've got a pension in the fund but they've now also got an accumulation account which some of them may not have had for up to 10 years when the 2007 changes came in,” said Mr Colley.

“So, they may have covered the allocation of the pension, the death benefit pension, but they may not have covered the amount that's now being transferred over to accumulation phase.”

Advisers should encourage clients to review their binding death benefit nominations, he said, to make sure the member’s total benefit is covered not just the amount that's in pension phase.

There can also be issues with powers of attorney, he said, as clients believe that because they’ve got an enduring power of attorney, that it allows them to be trustee or the fund.

“Sometimes paperwork needs to be done, merely because they're an enduring power of attorney doesn't mean that they'll be a trustee of the fund. Other members or other trustees may need to appoint a new trustee so the trust deed itself is important in terms of working out how that person holding an enduring power of attorney will be appointed as trustee or director of the trustee company,” he said.

“From an administration point of view, you will need to notify ASIC if it’s a company and also the ATO about the change of trustee or director of the trustee company.”

 

Miranda Brownlee
04 January 2019
smsfadviser.com


Sam El Shammaa

Sam El Shammaa

Director/Financial Planner

For more than 20 years, Sam has been a financial planner helping individuals and families achieve their financial planning goals, by providing advice on Investment Planning; Insurance Planning; Tax Planning; Retirement Planning; and Estate Planning. Working with a network of highly skilled professionals in Sydney he is dedicated to providing high-quality advice and integrated wealth management solutions that simplify and enhance the quality of his clients' lives.

Sam established his own firm in 1997 and has overseen its steady development and growth. Attention to detail, good listening skills and great empathy are symbols of his appreciation by his clients. He has built long-term relationships with his growing client base and aims to provide excellent customer service.

Sam began his financial planning career in 1993 after completing a Bachelor of Science degree in 1991. Since this time he has accumulated many professional qualifications such as:

Sam has volunteered with the Cancer Council of NSW and can be seen almost every year volunteering or participating in the 7 bridges walk.

Away from the business, he enjoys spending weekends with his son. He is also a football (soccer) tragic and is a massive Chelsea FC fan.



George Pereira

George Pereira

Financial Planner

Having worked for national financial planning companies in the past, George has extensive experience in the provision of advice in risk insurance, investments and retirement planning and is focused on forming long-term relationships with his clients.

George has been awarded a Masters of Commerce (Financial Planning) and a Bachelor of Commerce through University of Western Sydney as well as having the Diploma of Financial Services (Financial Planning).


Jane Lim

Jane Lim

Financial Planner

Jane Lim is a friendly character with a bubbly personality. She has the unique ability of making complex information sound simple and easy to digest.

Jane entered the financial services industry in 2006, and worked with big blue-chip financial companies such as Count Financial Limited and AMP Financial Planning Pty Ltd.

She holds a Master's degree in Applied Finance through Macquarie University, and she is a member of the Million Dollar Round Table.

Being a self-confessed "tennis nut", Jane spends many weeknights in the tennis court, and is a frequent member of Sydney's Eastern Suburbs Tennis Competition.

Being a highly motivated professional, Jane is always eager to help her clients on a wide range of financial planning needs.

Paul Jayashekar

Paul Jayashekar

Financial Planner

Paul has been a financial planner for over 15 years helping individuals and families successfully achieve their financial planning goals. He is very focused on building successful long-term harmonious relationships with his clients.

He provides a holistic approach on various aspects of financial advice encompassing areas such as Investment Planning; Insurance Planning; Tax Planning; Retirement Planning and has extensive experience and knowledge in these fields.

Paul's professional qualifications are:

Away from his professional life, he enjoys spending his time with his family doing various activities such as coaching his son and taking him to games. He is a very avid sports fan and a cricket enthusiast.

Christian Tanadinata

Christian Tanadinata

Client Services Manager

Christian joined Capitalwise as Client Services Manager, with backgrounds in both customer service and administration.

Christian is passionate in providing excellent customer service by being attentive to client’s need as well as being able to circumnavigate challenges.

He holds a Master's degree in Commerce specialising in Marketing through the University of New South Wales.

Volunteering is one of his delights in life, where he had spent time being involved with the Centre for Volunteering, St Vincent de Paul's Society, and Sculpture by the Sea in a variety of positions.

In order to better serve you, please select the appropriate contact details for the department you are looking for below.

Department Phone Email
Financial Planning (02) 8599 0835 (Option 1) info@capitalwise.com.au
Accounting (02) 8599 0835 (Option 2) accounting@capitalwise.com.au
Conveyancing (02) 8599 0835 (Option 3) conveyancing@capitalwise.com.au