Understand if an SMSF is right for you

A self-managed super fund (SMSF) is a private super fund that you manage yourself. SMSFs are different to industry and retail super funds.

When you manage your own super, you put the money you would normally put in a retail or industry super fund into your own SMSF. You choose the investments and the insurance.

Your SMSF can have no more than six members. As a member, you are a trustee of the fund — or you can get a corporate trustee. In either case, you are responsible for the fund.

While having control over your own super can be appealing, it's a lot of work and comes with risks. 

Only set up your own super fund if you're 100% committed and understand what's involved.

All members of an SMSF are responsible for the fund's decisions and for complying with the law.

When a SMSF might be suitable for you

Some indicators that an SMSF might be suitable are:

• you have a good understanding of your role and responsibilities as an SMSF trustee

• setting up an SMSF will help you achieve your goals and objectives, and

• setting up an SMSF would be cost-effective for you.