SMSF – Planning For The Unexpected (Relationship Breakdown, Incapacity, Death)

When setting up a Self Managed Super Fund (SMSF), it’s important to plan for the future, including what will happen in the event of a relationship breakdown or the incapacity, terminal illness, or death of a member. You should have a plan in place for what happens if a member leaves the fund, and ensure that the SMSF trust deed covers situations like incapacity, terminal illness, or death of a member, while also meeting tax and super laws. Additionally, it’s advisable to consider insurance needs, make a binding death benefit nomination, and appoint an enduring power of attorney. Finally, if relationships in an SMSF break down, it’s important to be prepared to sort out any issues that arise. Seeking advice from an SMSF professional can help with making these important plans.