What are in-house assets?

What are in-house assets?


Self-managed super fund members must follow a large amount of investment rules when selecting investments for their SMSF.

One of the rules is the in-house asset rule. An in-house asset is a loan to, or an investment in, a related party of your fund, an investment in a related trust of your fund or an asset of your fund that is leased to a related party.

There are some exceptions, including:
– business real property that is leased between your fund and a related party of your fund
– some investments in related non-geared trusts or companies
– most investments and loans entered into before 11 August 1999.

In-house assets can’t be more than 5 per cent of your fund’s total assets. Certain events will affect the percentage of in-house assets held. You need to continually monitor the value of in-house assets, so you do not break the rules.

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If you believe the matters discussed above are relevant to your business, please contact Darren Smith of our office to discuss further.


Darren is a Chartered Accountant with extensive experience, including working in the big 4 and medium sized firms before becoming a partner of a city based firm in 2000.

He has gained much experience and has extensive knowledge in providing business and taxation advice, superannuation planning, negotiation of sales and acquisitions of businesses and property development. His client base covers a wide range of industry groups.

Darren works with business owners to grow their businesses and create personal wealth within and outside of their business.


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