Effective from 1 July 2021, SMSFs can now have up to 6 members (previously 4). For larger families, this could mean no more having to choose the ‘favourites’ or potentially consolidating two (or more) family SMSFs into one. As the proverb goes (or doesn’t go): “The family that invests together via the same SMSF stays together.”

There are many pros and cons to extending the members (so to speak) of an SMSF and you should not make this decision lightly just because you now can. All members must generally also be trustees or directors of a SMSF trustee company and so wield a great deal of power and influence over the SMSF. There are also some administrative requirements involved in adding members.

If you’d like to know more about the changes and requirements, you know where to find us!