SMSF Trustees – Individual Or Corporate

When setting up a Self-Managed Super Fund (SMSF), you must decide on the type of trustee for your fund – individual or corporate. With individual trustees, all members must be trustees, while with a corporate trustee, all members must be directors of the company. The ownership of fund assets must be recorded in the name of all trustees on behalf of the fund, and for individual trustees, every trustee’s name must be listed, which means you’ll have to change ownership documents if a member leaves or joins. However, with a corporate trustee, only the company name is listed, and changing ownership documents isn’t required even if there’s a change in SMSF members. While a corporate trustee may cost more to set up, it may be a small price to pay compared to the cost and effort involved in changing ownership documents. Before establishing your SMSF, it’s best to discuss the advantages and disadvantages of both types of trustee structures with your SMSF adviser.