Esuperfund SMSF brokers

[mick59wests]

Re: Esuperfunds SMSF brokers

Hi anyone who is still looking at this thread.

What I am concerned with is how much do I need to know about all the super laws, ATO lodgements and super changes? I am comfortable with the investment side but I was expecting ESuperfund to look after all of the administration with me supplying them what is required.

For anyone who is using ESuperfund, how much do you need to know?

thanks

Mick

 

[awg]

Re: Esuperfunds SMSF brokers

Hi anyone who is still looking at this thread.

What I am concerned with is how much do I need to know about all the super laws, ATO lodgements and super changes? I am comfortable with the investment side but I was expecting ESuperfund to look after all of the administration with me supplying them what is required.

For anyone who is using ESuperfund, how much do you need to know?

thanks

Mick

My experience is they are very helpul and answer any question put to them, BUT you have to ask, they do not provide ongoing advice on super regs, changes etc. (so far as I know)

This can be an issue, as things can be complicated..simple super my ass.

Its the things you dont even know you dont know that can get you

I get around this by occasionally consulting my own accountant re super.

He is excellent but charges much more for SMSF. I only rarely need clarification.

 

[Julia]

Re: Esuperfunds SMSF brokers

Mick, you can subscribe to the ATO's SMSF updates which advise you of any changes in regulations/requirements.
However, these would presume that you already have a comprehensive knowledge of the basic rules involved in running a SMSF.

This is just one of the reasons I use my own accountant. I know he will keep me up with whatever I need to know.

 

[titl4]

Re: Esuperfunds SMSF brokers

Hi anyone who is still looking at this thread.

What I am concerned with is how much do I need to know about all the super laws, ATO lodgements and super changes? I am comfortable with the investment side but I was expecting ESuperfund to look after all of the administration with me supplying them what is required.

For anyone who is using ESuperfund, how much do you need to know?

thanks

Mick

I used eSuperfund for a few years. Have since changed providers but only because I wanted more flexible options than are permitted in their very low cost system. I was very happy that they provided exactly what they said they would.

They do handle the administration with the client providing the required information.

However, as I understand it, the trustees (you) are responsible for operation of the SELF MANAGED superannuation fund in accordance with the law - and maintaining the records required both legally and to be able to provide eSuperfund (or other administration provider) with the necessary information.

Esuperfund and most administration providers will answer questions but not many are in a position to provide detailed & ongoing education unless at a cost. The ATO website is a good information source and there are quite a few books available.

 

[avago]

Re: Esuperfunds SMSF brokers

having read this thread, i feel i have been thoroughly ripped off having paid >$4000 for smsf admin/audit to my accountant and he wants to raise that by $1000 for next year! i even provide him with all the spreadsheets with all share and bank transactions and all dividend statements etc.
it's a basic smsf with 2 trustees both receiving a pension, ~40 investments (shares) and <15 buy/sell transactions p.a.

1. does that warrant the fee?

2. anyone paying anywhere near that or do i hold the record for rip offs?

3. any reason why esuperfund would not be able to provide the service?

4. i noticed on their site that "ESUPERFUND no longer accepts Existing SMSF's. Clients with an Existing SMSF who wish ESUPERFUND to act for them are required to establish a New SMSF." does that mean that i get them to establish a new smsf, transfer my assets to that and wind up my existing smsf?

5. would it be a big deal going through the process in 4. (or what other process that is required)? what sort of time frame are we talking about for this process?

thanks in advance. i'm really hoping it's feasible to get it all set up for the 2010 tax year.

 

[freddy2]

Re: Esuperfunds SMSF brokers

having read this thread, i feel i have been thoroughly ripped off having paid >$4000 for smsf admin/audit to my accountant and he wants to raise that by $1000 for next year! i even provide him with all the spreadsheets with all share and bank transactions and all dividend statements etc.
it's a basic smsf with 2 trustees both receiving a pension, ~40 investments (shares) and <15 buy/sell transactions p.a.

1. does that warrant the fee?

2. anyone paying anywhere near that or do i hold the record for rip offs?

3. any reason why esuperfund would not be able to provide the service?

4. i noticed on their site that "ESUPERFUND no longer accepts Existing SMSF's. Clients with an Existing SMSF who wish ESUPERFUND to act for them are required to establish a New SMSF." does that mean that i get them to establish a new smsf, transfer my assets to that and wind up my existing smsf?

5. would it be a big deal going through the process in 4. (or what other process that is required)? what sort of time frame are we talking about for this process?

thanks in advance. i'm really hoping it's feasible to get it all set up for the 2010 tax year.

1 IMO, no

2 Many people are in your situation and you would only being "ripped off" an average amount. A lot of accountants/financial planners are fleecing their financially uneducated clients with fees upon fees upon commisions.

3 IMO, there is no reason why uSuperfund couldn't provide this service.

4 IMO, you shouldn't have any trouble setting up a new SMSF with eSuperfund and transferring your investments. Shoot them an e-mail with your questions, they seem to be very helpful and you are a potential new client.

5 It takes a bit of time, say 2-6 months to get everything running and investments transferred, but it feels really good to not have any ticket clippers skimming one's retirement savings.

 

[Julia]

Re: Esuperfunds SMSF brokers

>$4000 seems high for the transactions you quote. I would have considerably more transactions, plus I phone and email my accountant multiple times during the year, and my bill is around $2000.

Yes, Esuperfund is cheaper. I just like having the personal contact.

One thing I learned fairly early was to ask for a quote for doing the work, and get it in writing.

 

[avago]

Re: Esuperfunds SMSF brokers

freddy2
thanks for your considered response and encouragement. i emailed esuperfund and was pleasantly surprised to get a (positive) response within a couple of hours.

julia
thanks for your view on full service vs execution only. i also had that view but realise now that i don't need much service and on the odd occassion i did i would pay for it.

on balance i think i'll give esuperfund a go and if that didn't work out then i would try to find an account like julia's.

 

[gooner]

Re: Esuperfunds SMSF brokers

freddy2
thanks for your considered response and encouragement. i emailed esuperfund and was pleasantly surprised to get a (positive) response within a couple of hours.

julia
thanks for your view on full service vs execution only. i also had that view but realise now that i don't need much service and on the odd occassion i did i would pay for it.

on balance i think i'll give esuperfund a go and if that didn't work out then i would try to find an account like julia's.

Avago

You will find the esuperfund site answers most questions you have about super rules, tax etc. And if it does not, then you can ask them. They won't give financial advice, as we "we advise you to do this", but it you have a question about pensions, or tax etc, they will answer on a factual basis. I set my fund up last year with them and they have been great so far. No tax returns done yet, so can't comment on that part of the cycle.

 

[avago]

Re: Esuperfunds SMSF brokers

Avago

I set my fund up last year with them and they have been great so far. No tax returns done yet, so can't comment on that part of the cycle.

thanks gooner. more positives than negatives from what i've read. time to give them a go i think.

 

[avago]

Re: Esuperfunds SMSF brokers

anyone know if it is still commsec only with esuperfund or can you use other brokers additionally like IB or even a full service broker? thanks.

 

[avago]

Re: Esuperfunds SMSF brokers

anyone know if it is still commsec only with esuperfund or can you use other brokers additionally like IB or even a full service broker? thanks.

i rang them and got a return call quite quickly. sadly it's commsec or nothing.

 

[gooner]

Re: Esuperfunds SMSF brokers

i rang them and got a return call quite quickly. sadly it's commsec or nothing.

I tend to buy and hold in my SMSF (as against my personal holdings), so my SMSF transactions are few and far between. So I have no issues with using Comsec

 

[The Muffin Man]

Re: Esuperfunds SMSF brokers

having read this thread, i feel i have been thoroughly ripped off having paid >$4000 for smsf admin/audit to my accountant and he wants to raise that by $1000 for next year! i even provide him with all the spreadsheets with all share and bank transactions and all dividend statements etc.
it's a basic smsf with 2 trustees both receiving a pension, ~40 investments (shares) and <15 buy/sell transactions p.a.

1. does that warrant the fee?

2. anyone paying anywhere near that or do i hold the record for rip offs?

3. any reason why esuperfund would not be able to provide the service?

4. i noticed on their site that "ESUPERFUND no longer accepts Existing SMSF's. Clients with an Existing SMSF who wish ESUPERFUND to act for them are required to establish a New SMSF." does that mean that i get them to establish a new smsf, transfer my assets to that and wind up my existing smsf?

5. would it be a big deal going through the process in 4. (or what other process that is required)? what sort of time frame are we talking about for this process?

thanks in advance. i'm really hoping it's feasible to get it all set up for the 2010 tax year.

avago, what I'll point out firstly is that I'm an accountant.

Secondly, manually entering data into superannuation software from bank statements, spreadsheets, and dividend statements is awfully time consuming and really shouldn't be done anymore if it can be helped. I would suggest that this practice would make up the bulk of your fees. There are a number of data collection programs in the market place now such as Banklink, whereby all of your bank transactions are sent to your accountant monthly who can code them within a few minutes, and at the end of the year with the click of a button, transfer the coded information into superannuation software. Doing it this way saves so much time, and therefore money. Banklink is accountant side software, meaning you don't have to pay anything for it. Personally, I would see whether your accountant has access to this software.

Thirdly, it can often be a good idea for you to ensure that your accountant receives duplicates of dividend statements and annual tax summaries when they are sent. This also speeds up the process at the end of the year when the work is being done. It's all about working with your accountant to get an efficient system in place.

Fourthly, your fees may seem high, but I've learnt never to judge the fees paid by someone until I know exactly what their accounting work involves. For people looking in on an accounting firm, they often don't understand that certain things take time to process and administer. Some funds can be quite complex, especially when the clients withdraw money first and then tell you about it later . Often accountants need to consult with their professional bodies, communicate with their client's financial planners, and this all takes time. I guess the point I am making is that some SMSF's might have $150k in them but be charged $2500 due to complexity issues, and other funds might have $2m in them but be an absolute breeze to administer and only be charged $2000.

It's all about how you set up the data handling process with your accountant, and how well you keep in contact.

What I will say is that a lot of our clients know that there are cheaper options out there, but they come to us because we know their situation intricately and they are often business clients of ours. We can plan contribution strategies, retirement strategies, inform them of all of the rules and regulations, and the list goes on.

 

[avago]

Re: Esuperfunds SMSF brokers

avago, what I'll point out firstly is that I'm an accountant.

mm, thanks for the accountant's perspective. maybe i might have too hard on accounting firms.. you are right they definitely have their place especially in business and high wealth clients. i guess accountants in the smsf space could be analogous to full service vs execution-only service (the likes of esuperfund) assuming a good accounting practice. i don't have a need for a lot of service hence the execution-only provides me with good value. btw i have a good relationship with my accountant and i think he understands my position.

 

[freddy2]

Re: Esuperfunds SMSF brokers

avago, what I'll point out firstly is that I'm an accountant.

Secondly, manually entering data into superannuation software from bank statements, spreadsheets, and dividend statements is awfully time consuming and really shouldn't be done anymore if it can be helped. I would suggest that this practice would make up the bulk of your fees. There are a number of data collection programs in the market place now such as Banklink, whereby all of your bank transactions are sent to your accountant monthly who can code them within a few minutes, and at the end of the year with the click of a button, transfer the coded information into superannuation software. Doing it this way saves so much time, and therefore money. Banklink is accountant side software, meaning you don't have to pay anything for it. Personally, I would see whether your accountant has access to this software.

If data entry makes up the bulk of the fees why is he paying a $200+ per accountant to do the job that can be done by a $25 per hour data entry clerk?

 

[The Muffin Man]

Re: Esuperfunds SMSF brokers

If data entry makes up the bulk of the fees why is he paying a $200+ per accountant to do the job that can be done by a $25 per hour data entry clerk?

I doubt the data entry would have been done by a $200 accountant to begin with, more than likely a younger accountant which would be a base rate of $80-$120 per hour. If you made the data entry process more efficient by using programs like Banklink instead of manually off bank statements and spreadsheets, you would save a lot of cost. I'd rather have an accountant handling my data rather than a data entry clerk, especially when handling property, managed investments, and trusts, but to each their own. You might pay a little extra with the data entry, but the main value is in the expertise you receive from the accountant.

 

[Julia]

Re: Esuperfunds SMSF brokers

I doubt the data entry would have been done by a $200 accountant to begin with, more than likely a younger accountant which would be a base rate of $80-$120 per hour. If you made the data entry process more efficient by using programs like Banklink instead of manually off bank statements and spreadsheets, you would save a lot of cost. I'd rather have an accountant handling my data rather than a data entry clerk, especially when handling property, managed investments, and trusts, but to each their own. You might pay a little extra with the data entry, but the main value is in the expertise you receive from the accountant.

Hah, I had an accountant who did the data entry herself and charged me accordingly. She made two huge mistakes which if I hadn't picked them up myself, would have cost me a great deal.
Expertise? Not in this case. (And she charged me double what she had quoted!)

 

[So_Cynical]

Re: Esuperfunds SMSF brokers

I doubt the data entry would have been done by a $200 accountant to begin with, more than likely a younger accountant which would be a base rate of $80-$120 per hour. If you made the data entry process more efficient by using programs like Banklink instead of manually off bank statements and spreadsheets, you would save a lot of cost. I'd rather have an accountant handling my data rather than a data entry clerk, especially when handling property, managed investments, and trusts, but to each their own. You might pay a little extra with the data entry, but the main value is in the expertise you receive from the accountant.

I think your missing the point...in that no younger accountant of any type is worth $80-$120 per hour...$30 or $40 an hour maybe...jezzz even a genius account would be struggling to be worth $100 an hour...IMO

 

[The Muffin Man]

Re: Esuperfunds SMSF brokers

Hah, I had an accountant who did the data entry herself and charged me accordingly. She made two huge mistakes which if I hadn't picked them up myself, would have cost me a great deal.
Expertise? Not in this case. (And she charged me double what she had quoted!)

You could analyse any profession on Earth and you would find people that make mistakes. On the whole, a greater level of expertise is offered by an accountant compared to a data entry clerk when considering the area of superannuation.