Using a SMSF effectively

Using a SMSF to boost your retirement savings

Roger and Jeanette's story*


Small business owners and life partners, Roger and Jeanette, were about to retire when they came to see us about establishing a tax effective retirement plan. Both were 60 years of age and were planning to retire within the next two years. Their son Jake was going to take over the family business, and they had agreed on the sale price. Roger and Jeanette were happy for Jake to pay them a share of the profits until such time that the total amount had been handed over.

The business was run from two warehouses that were jointly owned by Roger and Jeanette. Jake could not afford to purchase these properties and so it was agreed that he would lease them from his parents at commercial rates.

One of the properties had been owned for over 20 years, and the other for 12 years. The properties had been recently valued at $375,000 and $295,000 respectively, and there was no mortgage on either property.

Roger and Jeanette had accumulated superannuation of $390,000 and $570,000 respectively. They also owned a few shares and had some money invested in bank accounts.


When we met with Roger and Jeanette, one of the more important objectives they had was to take control of their superannuation and investment assets. We talked about the benefits of self-managed superannuation funds (SMSF) and how this structure could be utilised to their significant advantage.

Ultimately, we advised Roger and Jeanette to establish their own SMSF. We also advised them to transfer the two properties into the SMSF, and they were able to achieve this without incurring any capital gains tax or stamp duty. They also transferred their respective superannuation account balances into the SMSF.

Roger and Jeanette now have control of their investment portfolio. The investments are held in a tax free environment (no capital gains tax or income tax), and Roger and Jeanette can draw tax-free income, potentially for the rest of their lives.


* Names have been changed to protect client privacy.

What to do next:

Call us today on 03 8394 0300 or email us at to organise an obligation free meeting with one of our SMSF Specialist AdvisersTM.

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