What is the minimum balance for an SMSF?

There's no legal minimum, but the ATO and financial advisers generally recommend at least $200,000-$500,000. Below this, the fixed costs of running an SMSF (accounting, audit, compliance) typically exceed what you'd pay in a regular super fund.

Can I buy property in my SMSF?

Yes, SMSFs can buy residential or commercial property, including borrowing through a Limited Recourse Borrowing Arrangement (LRBA). However, you cannot live in or rent the property to related parties (residential). Commercial property CAN be leased to your business at market rates.

What happens if I don't comply with SMSF rules?

The ATO can impose administrative penalties starting at $4,440 per contravention. In serious cases, the fund can be made non-complying, meaning ALL assets are taxed at 45%. SMSF trustees have a legal duty to act in members' best financial interests.

SMSF Setup Cost Calculator

AI + Live Data

Calculate the costs of setting up and running a Self-Managed Super Fund and whether it makes financial sense for you.

Free to useNo data storedReal-time dataAI insightsUpdated: February 2026

A Self-Managed Super Fund (SMSF) gives you complete control over your retirement investments — but it comes with significant responsibilities and costs. Before making the leap, you need to understand setup fees, ongoing compliance costs, and whether the savings outweigh the expenses. Generally, SMSFs become cost-effective once your balance exceeds $250,000-$500,000. This calculator helps you run the numbers.

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Real-World Examples

High Balance Couple

Mark and Julie have a combined $800,000 in super. Their current fund charges 0.9% ($7,200/year). They're considering a simple shares-only SMSF.

An SMSF with online admin and basic audit would cost ~$3,500/year. At 0.44% effective rate vs 0.9%, they'd save $3,700/year. Over 15 years, that's ~$55,000+ saved.

Small Balance Warning

Greg has $150,000 and wants an SMSF to buy shares directly.

SMSF running costs of ~$3,500/year = 2.3% of his balance — far higher than a typical industry fund's 0.6%. Greg would be better off staying with a low-cost fund until his balance grows.

Frequently Asked Questions

Glossary

SMSF

A Self-Managed Super Fund where you (the member) are also the trustee or director of the corporate trustee, giving you full control over investment decisions.

Corporate Trustee

A company set up specifically to act as trustee of the SMSF. Provides better legal protection than individual trustees and simplifies member changes.

LRBA

Limited Recourse Borrowing Arrangement. Allows an SMSF to borrow to buy a single acquirable asset (like property) with the lender's recourse limited to that asset only.

Investment Strategy

A documented strategy that SMSF trustees must prepare and regularly review. It outlines the fund's investment objectives, risk profile, and asset allocation.

Related Tools

Super Fee Calculator

Compare your current fund fees to see if SMSF could save you money.

Super Fund Comparison

If SMSF isn't right, compare industry and retail funds instead.

Super Balance Projector

Project how fee savings compound in your retirement balance.

How to Use

1Enter your total super balance (combine all members if starting with a partner).
2Select how many members the SMSF will have.
3Choose your planned investment strategy (simpler strategies cost less to administer).
4Select how you plan to handle administration — full service, online platform, or hybrid.
5Our AI will estimate setup costs, annual running costs, and compare against your current fund.

Key Information

SMSF setup costs typically range from $1,000-$3,000 (trust deed, corporate trustee, registrations).
Annual running costs range from $2,000-$10,000+ depending on complexity.
ATO charges a $259/year supervisory levy per SMSF.
You MUST have your SMSF audited annually by an approved auditor (typically $500-$1,500).
SMSFs with property investments have significantly higher admin and compliance costs.

Pro Tips

The ATO recommends a minimum balance of $200,000 before considering an SMSF — otherwise fees eat your returns.
Online SMSF admin platforms (like SuperConcepts, Class Super) can reduce annual costs to $1,500-$3,000.
Consider a corporate trustee ($500-$1,200 setup) for better legal protection and easier member changes.
If you mainly want low fees and index fund investing, a low-cost industry fund may be better than an SMSF.

Avoid These Mistakes

Setting up an SMSF with a balance under $200,000 — the fixed costs make it uneconomical.
Underestimating the time commitment — SMSF trustees spend an average of 100+ hours per year on administration.
Not maintaining proper records and compliance — fines for non-compliance start at $4,440 per contravention.
Borrowing to invest in property through an SMSF (LRBA) without understanding the restrictions and costs.

Disclaimer: This calculator provides estimates only and should not be relied upon for financial decisions. Interest rates, fees, and policies change frequently. Always verify information with lenders directly. This is general information, not personal financial advice. Consider seeking advice from a licensed mortgage broker or financial advisor.

Last updated: February 2026