SMSF looking to cash out and recontribute funds to reduce the taxable component of their balance should use a second SMSF to park their tax-free savings.

The ability to put more money into a super fund is not the only advantage SMSF members can enjoy from using the downsizer contribution provisions.

A range of contribution rule changes has created an ideal situation for super fund members, but the correct implementation order needs to be followed to maximise the benefits.