Whilst superannuation can be a very effective form of saving for Australians, the considerations that an expatriate needs to take are very different to that of an average superannuation investor in Australia. This is one of the main reasons why you need to deal with a expatriate specialist when it comes to managing your superannuation when you are offshore.
The Australian superannuation system provides a very effective form of retirement planning and, used correctly, can ensure that when it comes time to slow down you have a portfolio that provides for you and your family well into your later years. It is important to have the peace of mind knowing that what you are achieving now will assist you in obtaining a self sufficient retirement in the future.
Listed below are the top 5 tips for managing your superannuation whilst you are an expat.
- You cannot have a Self Managed Superannuation Fund (SMSF) if you are a non-resident expat – under the residency rules, control of a Self Managed Superannuation Fund must be in Australia. Whether you are an individual trustee or a director of a company that is a trustee, because you are based overseas you are deemed to not be controlling the fund in Australia. Generally speaking the trustees of the superannuation fund must be the same people as the superannuation funds members. This is also applicable with corporate trustees where the directors of the company must be the same as the superannuation funds members.
- Take control of your superannuation – just because you are an expat overseas does not mean you should forget about your superannuation back home. As it is a very effective tool to provide for your retirement by taking an interest and getting involved in the management of your superannuation you may find that the extra effort may translate into better returns which will certainly assist you in the later years. Contact Atlas Wealth Management to talk to adviser about taking control of your superannuation.
- Investigate consolidating your superannuation funds – most expats have worked in a number of different jobs and positions before they move overseas and quite often each employer would recommend a different superannuation fund. Atlas Wealth Management can assist you in consolidating your superannuation into one account and give you the ability to view your portfolio online 24 hours a day rather having to wait for the quarterly report to come in the mail which provides you with very little transparency.
- Don’t forget any pensions and provident funds that you may have accumulated overseas - when you decide to return to Australia, and all depending on the jurisdiction where you have accumulated the pension in, you maybe able to transfer that pension straight into into your Australian superannuation fund. Contact Atlas Wealth Management to fund out which countries are suitable for this type of transaction.
- Consider adding to your superannuation before your return – in conjunction with your accountant and your financial adviser, consider topping up your superannuation before you return. A Superannuation fund is a tax advantaged investment when you return to Australia and by using savings that you have accumulated overseas in low tax jurisdiction you are able to give your retirement nest an extra lift.
General Advice Disclaimer
The information provided on this website has been provided as general advice only. We have not considered your financial circumstances, needs or objectives and you should seek the assistance of your Atlas Wealth Management Authorised Representative before you make any decision regarding any products mentioned in this communication. Whilst all care has been taken in the preparation of this material, no warranty is given in respect of the information provided and accordingly neither Atlas Wealth Management nor its related entities, employees or agents shall be liable on any ground whatsoever with respect to decisions or actions taken as a result of you acting upon such information.