Adding a new member to your self-managed superannuation fund (SMSF) involves a few important steps as follows:

1. Related - SMSFs are meant for family and related parties so think carefully before adding anyone to your SMSF. We recommend you talk to us before taking any further steps and we can advise you of the pros and cons (if any).
2. Fit and proper person - the new member will need to be a trustee of the fund, or as we recommend always putting a Corporate trustee in place, a Director of the trustee company. This means they cannot be undischarged bankrupt, in jail etc and need to be eligible to not only join but also to take part in running the fund.
3. Director Identity Number (DIN) - if the new member has previously been a company director in Australia they should have a DIN, which will need to be provided. In our recent update, read more on obtaining a director identity number - just click here.
4. Director appointed - the next step is to appoint them as a Director with the Australian Securities and Investments Commission (ASIC). We action this on behalf of our clients as we are the registered ASIC agent and use software to access the ASIC portal directly.
5. ATO notification - the next step is to prepare the form with the ATO to notify them and then we update this on the Australian Business Register (ABR) site.
6. Member letters - we then prepare letters for the new member to provide to their employers including a Notice of Complying Superannuation Fund (SCM) and Superannuation Member Details (SMD).
7. Contribution - now and only now the member can contribute to the fund.

Disclaimer: This information is general in nature, and this is a complex area of law, and you should scrutinize your eligibility for these concessions under the criteria set out in the legislation, so before acting it is important to seek professional advice related directly to you and your circumstances, contact your Primarius team leader or email us at info@primarius.net.au if you require assistance.

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