Family Law Online 08 9381 1147

Self-Managed Super Funds – Who Runs it if you Lose Capacity?

October 31, 2014

Self-Managed Super Funds – Who Runs it if you Lose Capacity?

The information in this fact sheet is intended for informational purposes only and should not be taken as legal advice. D'Angelo Legal does not offer financial advice.

The popularity of self-managed super funds (SMSFs) has been increasing of late. The ability to completely control one's assets appeals to many. However, this control raises an issue: who will manage the fund if you lose capacity?

The Superannuation Industry (Supervision) Act 1993 governs self-managed super funds. Section 17A(3)(b)(ii) of the Act permits a person who holds an Enduring Power of Attorney to be Trustee or a Director of the Corporate Trustee of the Superannuation Fund. This section also ensures that the fund still satisfies the definition of a SMSF.

However, the appointment of the legal personal representative must be in accordance with the trust deed and any other relevant legislation.

The legal personal representative will be acting in their personal capacity as a trustee and will thereby be liable for civil and criminal penalties for any breaches of duties.

If you do have a SMSF, it is important that you have an Enduring Power of Attorney drafted in the event that you lose capacity or reach the stage where you no longer wish to manage the SMSF yourself.

You should seek the advice of a qualified financial planner or accountant on the economic benefits of a SMSF. If you are in need of a Will or Enduring Power of Attorney, please contact D'Angelo Legal on 9381 1147 or to book an appointment.

Latest News

November 15, 2019
Positive Results From Legal Aid's Family Dispute Resolution

In The Australian newspaper today, mention was mad…

May 18, 2019
Who's In Control?

Does the thought of your ex managing your estate o…

November 13, 2018
We have exciting news to share!

It is with great pleasure to announce that D'Angel…

May 30, 2018
Employment Lawyer - Roger Lewis

Meet Roger Lewis, who heads up our litigation team…

May 17, 2018
“I didn’t know I agreed to that!?”

How often do you hear people exclaim how surprised…

December 13, 2017
40under40 Nomination

Paul D'Angelo, Legal Practitioner Director, has be…

February 23, 2015
Magistrates Court – Dividing Fences

The information in this fact sheet is intended for…

December 19, 2014
Challenging a Will

Challenging a Will If you are involved in a Will …

December 5, 2014
Are you a Shadow Director?

If you are involved in a commercial dispute, you s…

November 14, 2014
The Curse of Homemade Wills

The information in this fact sheet is intended for…