Leading Member Toolkit

Upgrade of SMSF Deed and Corporate Trustee to Leading Member control

About the Product

The Leading Member SMSF is an SMSF that focuses on the succession of an SMSF to lineal descendants of the Leading member and the passing of superannuation benefits to lineal descendants via pensions or lump sum distributions.

Before we proceed, we suggest a review to determine that the existing Trust Deed allows the trustee to vary the deed (as defined in the Substituted Governing Rules of an existing fund). We always make sure that improvements can be made without tax complications.

Prior to proceeding, you should determine that the existing Trust Deed allows the trustee to vary the deed (as defined in the Substituted Governing Rules of an existing fund). The rule under which this is noted will be referenced in the assembled documentation.

General Information

The Leading Member controls the Trusteeship of the Fund as well as who the members of the Fund are (generally lineal) and what happens in the event of divorce, dementia or bankruptcy. The Leading Member has the power to deem a person, such as their spouse, as lineal.

One of the most important things for a high-net-worth client with sizable SMSF member balances is to provide asset protection and pass their wealth to their lineal descendants.

Benefits of LightYear Docs Leading Member SMSF Deed

Keeping the Family SMSF Wealth within the lineal descendants just as the English Royal Family does;

Easy to read and understand;

Only 28 pages long but filled to the brim with strategies;

Written by Australia’s foremost legal, technical and strategic expert, Grant Abbott;

Newly-authored and covering 2017 super changes, all ATO Rulings and guidelines and possible 2019 election changes;

Not a bandaid, legacy product dating 20 years or more;

Signed off by Abbott & Mourly;

Younger members can access older members’ imputation credits to ensure they are not lost; and

Has a wide range of up-to-the-minute SMSF Estate Planning strategies.

Benefits of LightYear Docs Leading Member Special Purpose SMSF Corporate Trustee

Flexible and matches the requirements of the Corporations Act 2001 for a special purpose corporate trustee;

The Leading Member of the Fund is automatically appointed as chair;

One Director – one vote rule with Leading Member veto power;

The Leading Member can appoint or remove Directors;

Only ordinary class of shares offered;

On death of a member, the Board of Directors must appoint the deceased member’s LPR as a Director or lose its trusteeship;

On death, only the deceased member’s LPR as a Director has a vote in relation to the payment of the deceased member’s death benefits; and

All of the shares of the company are held by the Leading Member. On the death of the Leading Member, these shares are cancelled and new shares issued to the incoming Leading Member.

We ensure the protection of control over the assets in all your companies and your trusts which have trustees companies.

Great partnerships start with a conversation call us on 1300 844 678 or

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