SMSF Association clocks up policy wins in 2018

The SMSF Association has enjoyed a successful year with its advocacy work, benefiting both its members and the broader self-managed super fund community, says Association CEO John Maroney.

“There’s no better example of what the Association has achieved this year than the simplified work test exemption regulations that were introduced by the Government on 7 December.

“Our recommendation that individuals should be allowed to use the exemption in the year they turn 65 to access bring-forward arrangements rather than being excluded by complex legislation was accepted.
“By removing this complexity, it now allows individuals to access all their existing superannuation contribution limits as is the practice now.”

Maroney says the Association has made 50 submissions to Government and regulatory bodies this year, including major submissions to the Financial Services Royal Commission, the Productivity Commission and the Financial Adviser Standards and Ethics Authority (FASEA).

Submissions that have achieved positive changes for this superannuation sector this year include:

  • Encouraging the implementation of digital rollovers with a carve out for SMSFs that only have non-concessional contributions;
  • Ensuring limited recourse borrowing arrangements (LRBAs) total superannuation balance changes were targeted;
  • Means testing of retirement income stream improvements;
  • Ensuring reversionary TRISs can continue to spouses;
  • Tightening of early-release policies;
  • Technical fixes to market-linked pensions and death benefit rollovers;
  • Encouraging the Productivity Commission’s to review its position on inefficient SMSF balances;
  • The exclusion of SMSFs from the design and distribution obligations and the Financial Services Royal Commission;
  • Increasing the maximum number of members in an SMSF from 4 to 6.

Maroney says the Association has also made significant recommendations to the standards being implemented by FASEA.

“Our advocacy has seen a reduction in CPD hours, Professional Year hours, examination requirements and more appropriate education standards. We hope our final round of submissions will provide further results for limited licence advisers, relevant degrees and the recognition of the Specialist SMSF Adviser designation,” he says.