Looming end to SMSF Borrowings?

Limited recourse borrowing arrangements (LRBA) used to acquire assets within superannuation will be scrapped if the recommendations of the Financial System Inquiry (FSI) report are followed.

One of the recommendations is the elimination of LRBA use within super funds on the grounds that doing so would “prevent the unnecessary build-up of risk in the superannuation system and the financial system more broadly”.

The FSI consider that there should be greater focus on superannuation as being a vehicle for retirement savings rather than a means to achieve broader wealth management goals.  There are many contrary views.

In recent years, it has been common place for any negative impact legislative change to be forward dated.

So, anyone contemplating LRBA would be well advised to consider all the issues now, and well before the May Federal Budget.

AcctWeb 

Cristy Houghton

Embarketing, 48 Johnston Street, Wagga Wagga, NSW, 2650

Cristy's unique career has taken her from country NSW to the city lights of Clarendon Street South Melbourne and back again. With an early career in radio as a copywriter and creative strategist, she is now a Jill of all trades as a graphic designer, website builder, blog writer, video editor, social media manager, marketing strategist and more. 

In fact, give her any task and this chick will figure out how to do it! Go on, we dare you!

No, really, we DARE you!!

Cristy has won two Australian Commercial Radio Awards (ACRAs) for Best Ad and Best Sales Promotion, and even has an 'Employee of the Year' certificate with her name on it.

Cristy and her husband James have traveled extensively through Russia, China and South East Asia, and have two fur-babies, Sooty (cat) and Panda (puppy). Cristy loves drinking coffee, meeting people to drink coffee, coffee tasting and coffee flavoured cocktails. She also enjoys road trips, TED Talks and watching cat videos on youtube.