Can You Access Part Of Your Super for Short Term Business Cashflow?

The answer to that is: Yes.

You need to document the loan, and you need to make sure that it doesn’t go above 5% of your fund balance at any one day.

Let’s say we’re back in February 2020 (before things hit the fan) and you had a million dollar super fund balance, and you lent $50,000 to a family member or a company or trust. Then you’re right on that 5% line, right?

Then let’s say in March/April (when the stock market shat itself) you lost 30% of your fund balance, so your million dollars went down to $700,000. At that time, you’ve got that loan that’s above 5% of your fund.

So there goes the alarm bells and the warning sirens of non-compliance.

So do it with caution, please. It needs documentation. We don’t love them, but in the right circumstances, we can document them and work them out.