Trustees of Self Managed Super Funds (SMSF) are ultimately responsible for the running of the SMSF. Each trustee must understand their duties, roles, responsibilities and obligations of being a trustee. A trustee is required to act honestly, with prudence and in the best interests of the members. Trustees need to operate the SMSF with the Sole Purpose of every decision they make, being in the best interest of the fund and the ability to pay pension benefits in the future. The Sole Purpose of every SMSF is to provide for the retirement of members or a deceased members dependants or estate. Trustees making decisions with this not being the case and / or contravening other rules can see the fund and trustees penalised.
As trustee, you can delegate certain responsibilities to a professional service provider; however the ultimate responsibility rests with you. You must also keep superannuation money and other assets separate. The super fund needs to be run at arm’s length to any other person or entity. It cannot give a benefit to a related party or entity (apart from approved benefits, like paying a pension) nor can it receive a benefit (apart from an approved contribution or rollover) from a related party.