Book Review > Guide to Self Managed Super Funds

My initial reaction to this book on arriving home and seeing the size of the package was amazement - I was expecting a much bigger tome. The book is only about 250 pages. As a contrast, CCH's Master Superannuation Guide is over 600 pages

The introduction to the book indicates that it is primarily written for professional advisers but that members and trustees should also find the book useful. However, as a person who has been involved with SMSF for sometime I thought that the book was written with an SMSF novice in mind. This view is constantly reinforced by reference to a SMSF adviser being able to do this correctly (with no actual instructions).

Abbott begins the book by conducting a "for and against" for various structures (eg company, trust and superannuation) given what the client wishes to achieve. However, as part of this process he completely ignores superannuation structures other than retail superannuation funds and SMSF. There is no mention of APRA regulated small funds nor funds available through wrap services. Both of these options offer considerable (but not necessarily the same) choice of investments but without the same level of compliance requirements.

The book is based around a case study which provides a useful point of reference for the discussion. However, a case study cannot cover every or even most scenarios. I thought there were inadequate examples of suggested scenarios given.

I thought that the book was lacking depth and that it glossed over some issues. For example pensions (of all types) are covered in just 18 pages. I was surprised at this as other CCH books provide quite a lot of detail and/or references to legislation, rulings, etc.

I also found constant references to the need to engage an experienced SMSF adviser or "licensed SMSF specialist" misleading. There is no requirement under the law for a person to have a separate or different licence to advise on SMSF (the requirement is for training that meets the NFITAB SMSF Adviser competencies). In addition the book is supposed to have been written for SMSF advisers and is incidentally used by his group to train them! On several occasions he poses questions and does not answer them but refers one to a SMSF adviser. He also advocates only dealing with advisers who are members of certain groups, one of which relates to his company (The Strategist Group) and the other which is new and has no track record (SMSF Professionals Association).

Overall I found the book disappointing. I don't think that I will find it very useful as a reference book as there are inadequate references to legislation, ATO Rulings, etc and explanations thereof.

Jenni Eason is an AIA member.