SMSF 投资房以及pension distribution

jiaxipan

很多TX都讨论了如何建立SMSF以及costs.  但是没有多少人详细说明投资房的profit (net income)以及pension distribution该如何分配。

因为临近55了，又有一些闲钱，会计师建议买投资房买在super里， need to establish pension fund, 这样pension distribution to individual person will be tax free if you are 55 or over. then you can redraw the money when you reach 60.  

the beauty of having investment property in super fund not in person is net rental income will be tax free & there is no capital gain tax when property sold.

however pension distribution seems very complicated as there is only 4-10% contribution from your super entitlement if you're between 55 to 60. can any experts explain how it works?

i.e. bought a investment property in super fund in total value of 600,000.00 (two person are at the age of 55）
$100,000 from employer's super contribution & $500,000 from after tax money (non-taxable contribution), there isn't any taxable contribution.
just want to make it simply:  rental income: $23000.00, rental expensive: $2000.00, net rental income will be $21000.00 (no mortgage).  employer's contribution $7000.00 per year after 15% tax.  so how the pension distribution calculated? how much will be distributed to the individual & which portion will be taxed, which are tax free?  

ialienam

yes there is a danger when at pension, and all your money is tied up with property..

As you have no cash for distribution!!
If you 55, yes you can start pension, but as you mentioned.. Restrictions do apply.

How much it will tax...it depends on your component.. tax free bit, is tax free of course

Taxable bit will be add to your income at end of financial year, but get 15% offset.. Anyway your accountant should be able to work out for you.

Yes, it does sound a sound strategy, you have about $600k in cash..And you are 55, super is def the best place to park your money..

Investment wise - I personally don't like retirees or pre-retirees to put too much money toward property. Simply if you need cash, and all your money is tied you will have problem.

Again, from my guess $600k wouldn't be your only funds. You might have oth cash in hand if you do need cash urgently.

4-10% based on your super fund value ($600k correct me if wrong).. So if 4%, (but I think it's 3% this fy for 55) $600k x 4% = $24k pension payment.

You would also need to get an actuarial report since you are not 60 yet.  

jiaxipan

Thanks.

firstly, how is the 4-10% pension distribution determined? can I get higher % if I need more money or it's simply based on the age?

secondly, I'm not sure if 4% of 600,000 = $24,000.00 is correct or not, if yes, how about the net rental income distributed? also it's based on 4-10%?  if yes, based on what age, the whole of $24000+ whatever net rental income will be free of tax? (55 or 60).

the downside of investment property in Super is can't redraw if it's 60 or under,  however if it's fully paid off then it's going to be positive outcome.  we wouldn't sell the house until few years later (wait until the value increased) which we're about 60, then we can sell the property at fair bit of margin & gain tax free capital gain. so is that worth for us to investment property under Super?

so how is pension distributed between 55 to 60?  does rental income after deduction to be taxed at 15% regardless the age?  

ialienam

我個人會建議你可以問你accountant or找一個financial planner.

因為你聽起可能比較需要personal advice.. 這裡我們都不能亂給advice, 發生問題是很嚴重 (to us).

Rule of thumb 60歲以後pension的錢拿出來都是tax free.

Pension裡面的所有income and profit all tax free.

prior to 60, 要看一下你的personal income.. 因為會有15% offset when you draw money out.

那你說要不要用super買, 這還是一樣 it very depends on your personal situation.
因為不了解你的個人情況我也無法給你advice..  你可以問問你的accountant.. 不過就我上面說的, 老實講我對retiree買房子個人不是很完全贊成... cash flow issue, again I don't know your situation... can't comment on that.. 對accountant來說 他當然希望你開SMSF..

LENNY_DONG

我会考虑客户养老金钱多不多。一般如果借钱用养老金买投资房，银行收费太高