Preparation of documents establishing a pension for an SMSF - either TRIS or Account Based
Important information:
Account Based Pensions
Account Based Pensions are very popular for SMSF members as they are simple to understand.
There is a requirement to withdraw a minimum amount that is calculated based on the age of the member and their account balance each
year. However, there are no restrictions on the maximum that can be withdrawn or the timing of the payments. Members are able to
dictate how much they receive from the fund and how often.
Transition to retirement pensions
Transition to retirement pensions are suitable for members that have reached preservation age but are not yet able to satisfy a condition of
release. These members are able to commence a transition to retirement account based pension also commonly known as a transition to
retirement income stream (TRIS). These pensions are essentially an account based pension. They have a minimum requirement and no
restrictions on the timing of payments. However, there is a restriction that members can onlywithdraw up to 10% of their member balance
each year.
For more information on SMSF's, download our free guide. Guide to limited recourse borrowing.
Your electronic file will include the following:
Account based pension
- Resolutions of the trustees
- Payment of an Account Based Pension
- Resolutions of the trustees
- Review of Accrued Benefits
- Resolutions of the trustees
- Cash Flow Statement and Investment Strategy Review
- Resolutions of the trustees
- Segregation of Account based pension Assets
-
Resolutions of the trustees
- Payment of an Account based pension
- Letter to trustees establishing the pension
TRIS based pension
- Minutes of trustees's meetings
- Resolutions of the trustees
- Payment of a transition to retirement income stream
- Resolutions of the trustees
- Review of Accrued Benefits
- Resolutions of the trustees
- Cash Flow Statement and Investment Strategy Review
- Resolutions of the trustees
- Payment of a transition to retirement income stream
- Letter to trustees establishing the TRIS based pension