Having an SMSF can be a lifetime or a lifestyle decision. But the time will arrive when you may decide to wind it up. Winding up may be due to a member’s death, loss of legal capacity or the fund has served its useful life and run out of money.
In some situations, one option could be to keep the fund going by appointing someone who has an enduring power of attorney or getting your legal personal representative to be trustee. This may come in handy if you are going overseas, have lost legal capacity or unable to be trustee of the fund for a number of reasons.
However, if you are bankrupt you won’t be able to have your legal personal representative be trustee in your place and may need to rollover your benefit to another fund.