When people consider setting up a Self-Managed Super Fund (SMSF), they’re usually weighing up the benefits vs. complexity. Here are the top things people want to know that help them decide whether an SMSF is right for them.
🔑 1. Control Over Investments
People love the idea of having full control over where their super is invested — from shares to property, bullion, crypto, term deposits, and more.
Ask yourself: Can I choose investments that align with my values and understanding what is happening in the world?
🏠 2. Buying Property Through Super
This is a big drawcard. Many are interested in leveraging their SMSF to invest in residential or commercial property.
Ask yourself: Can I leverage my super to buy a property I rent to my business or someone else?
🪙 3. Investing in Bullion (Gold & Silver)
SMSFs can invest in physical assets like gold and silver bullion.
Ask yourself: What advantages are there to using my SMSF to invest in tangible assets like precious metals?
💸 4. Lower Fees (at scale)
For larger balances (often recommended $200k+), SMSFs can be more cost-effective than retail or industry super funds.
Ask yourself: Will I save on fees if I have an SMSF rather than an industry/retail super fund?
🧠 5. Flexibility in Strategy
SMSFs can allow for more tailored strategies — like gearing, tax planning, or estate planning options.
Ask yourself: Will I take advantage of the greater flexibility an SMSF offers with contributions, pensions, or passing wealth on?
👥 6. Family Fund Structure
SMSFs can have up to 6 members, often from the same family, allowing consolidated wealth building.
Ask yourself: How can I help my family build wealth by pooling resources in an SMSF?
⚖️ 7. Responsibility & Compliance
Running an SMSF means taking on legal responsibilities as a trustee — this is often the biggest hesitation.
Ask yourself: Am I prepared to follow the ATO ‘sole purpose’ and ‘arms-length’ rules and do three things: 1) make investment choices, 2) keep associated paperwork and 3) respond to my SMSF accountant when they need me to review and sign the annual statements?
Once you’ve got your answers to these seven questions, you’ll know whether an SMSF is right for you.