Question 1

What is a self-managed super fund?

Accepted Answer

It is a super fund you run yourself. Instead of a retail or industry fund choosing where your money goes, you and up to five other members act as trustees and make the investment, insurance and reporting decisions. The fund has its own bank account, its own assets and its own annual accounts.

Question 2

How is an SMSF different from an industry or retail fund?

Accepted Answer

In a big fund you pick from a menu of investment options. In an SMSF you choose the actual assets — shares, ETFs, property, term deposits and more — and you carry the responsibility for the paperwork, the audit and the strategy behind those choices.

Question 3

How many people can be in one fund?

Accepted Answer

Up to six members. Most funds are one or two people — often a couple pooling their balances so the running costs are shared across a bigger pot.

Question 4

Do I have to be an investing expert?

Accepted Answer

No, but you do need to be willing to learn and to ask for help. Our free course walks you through structure, strategy, asset classes, records and pensions in plain English, and shapes the lessons around what you already know.

Question 5

How much super do I need before an SMSF makes sense?

Accepted Answer

There is no legal minimum, but fixed annual costs hurt small balances. Most people find the numbers start to work from a couple of hundred thousand dollars, especially when two members pool their balances. Our readiness quiz gives you a quick read on where you sit.

Question 6

What does it cost to run each year?

Accepted Answer

Expect an annual audit, the ATO supervisory levy, accounting or administration, and whatever you pay for advice or investment platforms. Costs are largely fixed, so they matter far more as a percentage on a small balance than a large one.

Question 7

Can I keep contributing while I run my own fund?

Accepted Answer

Yes. Employer contributions, personal contributions and salary sacrifice all still work — your employer simply pays into your fund instead of a retail one. Contribution caps still apply.

Question 8

Can I roll my existing super into a new SMSF?

Accepted Answer

Yes, once the fund is registered and has a bank account, existing balances can be rolled in. Check any insurance you hold in the old fund before you close it — cover can be lost on rollover.

Question 9

What are the steps to start an SMSF?

Accepted Answer

In short: decide on individual trustees or a corporate trustee, have a trust deed prepared, sign the trustee declarations, register the fund for an ABN and TFN, open the fund bank account, write your investment strategy, then roll in your balances and start investing.

Question 10

How long does it take?

Accepted Answer

Typically a few weeks. The deed and registrations can happen quickly; the wait is usually on registration confirmation, the bank account, and rollovers landing from your old funds.

Question 11

Individual trustees or a corporate trustee?

Accepted Answer

A corporate trustee costs a little more to set up but makes member changes, record-keeping and asset ownership simpler over the life of the fund. Individual trustees are cheaper up front. We talk you through the trade-off for your situation.

Question 12

What paperwork do I have to keep?

Accepted Answer

Your deed, trustee declarations, the investment strategy and its annual review, minutes of trustee decisions, bank and investment records, and the annual accounts, audit and return. Keep them organised as you go and audit season is painless.

Question 13

What can my fund invest in?

Accepted Answer

Listed shares, ETFs, managed funds, cash and term deposits, bonds, direct property, gold and — with clear rules and good records — crypto. Everything must fit your written investment strategy and be held in the fund's name.

Question 14

Can my fund buy a property?

Accepted Answer

Yes, funds commonly hold residential or commercial property. The catch is that it is a single, large, illiquid asset, so cash flow, diversification and the rules on who can use the property all need thinking through first.

Question 15

Can I use my super to buy my own home or pay bills?

Accepted Answer

Super is for retirement, so it is not a personal cash reserve. There are specific, limited grounds on which super can be released early. If you are under real financial pressure, talk to us — we will tell you plainly where you stand.

Question 16

What about insurance?

Accepted Answer

Trustees must consider insurance for members. Life, TPD and income protection can all be held inside the fund, and premiums are paid from fund money. Do not cancel cover in an old fund before new cover is in place.

Starting a self-managed super fund, answered

The basics

Money and costs

Setting one up

Investing and property

Still have a question about your own super?