A Complete Guide to SMSF Fees

Curious about what it really costs to run a Self-Managed Superannuation Fund (SMSF)? From setup to accounting, we've broken down the fees you might incur if you decide to switch to an SMSF.

What is an SMSF?

An SMSF, or self-managed superannuation fund, is a private super fund you manage yourself instead of letting a private fund manager do it for you. They can be useful for those who want greater control over where their retirement funds are invested, but can be more complicated and, as we'll get to, often more expensive.

SMSF fees

Those SMSF costs mentioned earlier aren't just a one-off fee you have to pay. SMSFs are a multi-faceted investment scheme, and like other products contain different types of fees. Generally, the average SMSF will pay the following fees:

SMSF setup costs

There are several upfront costs when you initially set up an SMSF. Since an SMSF is a type of trust, setting one up requires a trust deed, a formal document that sets out things like how the trust will be run, its responsibilities and the types of assets it will hold. This trust deed needs to be completed by a professional, which usually means a fee. Corporate trust SMSFs are also charged an establishment fee by ASIC to register.

To give you an idea how much all this might end up costing, as of June 2025 one provider (SMSF Australia) says it costs $2,000 plus GST to set up an SMSF.

Ongoing operating SMSF costs

Once you've got your SMSF up and running there are quite a few ongoing expenses you might need to pay regularly. These can include:

• Annual ASIC corporate fee & supervisory levy

• Audit fees

• Administration fees (for processing and preparing statements, lodging statements etc.)

• Fees for financial and tax advice

• Relevant legal fees

• Insurance fees

• Actuarial certificates if members are paid an income such as a pension

According to the ATO, in 2022/23 the average (mean) SMSF fund incurred just over $7,000 worth of operating expenses. The majority of this ($4,861) was in management and admin expenses.

Investment costs

You may also be charged investment fees on your SMSF - the cost of actually investing the money. This includes things like brokerage costs, fund management fees, financial advice fees or valuation costs.

In 2022/23, the average SMSF incurred more than $12,000 worth of investment expenses, while the median was $7,131.

Here's the breakdown by fund size:

Median investment expenses by fund size (2022/2023)

Source: ATO

Interest

Depending on your investment strategy you might also be paying off interest on SMSF loans. If for example you're looking to invest in residential or commercial property, your fund may be able to borrow money through what's known as a limited recourse borrowing arrangement (LRBA). This means the lender can't come after other assets in the SMSF if you default on the loan. As you can imagine, this typically means SMSF loans have higher rates than normal home loans, and some lenders don't even offer them. Nevertheless, if you're looking to leverage your fund to buy higher value assets, there are still plenty of lenders who might be willing to deal with you.

According to the ATO data, the median interest expense within Australia for SMSFs in 2022/23 was $15,605, while for interest expenses overseas it was $10,472.

Here was the breakdown by fund size:

Read more: SMSF home loans

Looking to take control of your retirement? This table below features SMSF loans with some of the most competitive interest rates on the market.

Loan purpose

SMSF

Loan amount

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Lender	Home Loan	Interest Rate	Comparison Rate*	Monthly Repayment	Repayment type	Rate Type	Offset	Redraw	Ongoing Fees	Upfront Fees	Max LVR	Lump Sum Repayment	Extra Repayments	Split Loan Option	Tags	Features	Link	Compare	Promoted Product	Disclosure
loans.com.au	loans.com.au Variable SMSF Loan P&I <70%	6.49% p.a.	6.51% p.a.	$3,157	Principal & Interest	Variable			$null	$230	70%				Investor Variable Principal & Interest 30% Min Deposit More details	Minimum 30% deposit needed to qualify Available for purchase or refinance No application, ongoing monthly or annual fees. Dedicated loan specialist throughout the loan application	More details	Compare	Promoted	Disclosure
Firstmac	Firstmac SMSF Loan P&I <70%	6.74% p.a.	6.79% p.a.	$3,240	Principal & Interest	Variable			$0	$220	70%				Investor Variable Principal & Interest 30% Min Deposit More details		More details	Compare		Disclosure
Liberty Financial	Liberty Financial Residential SMSF (LVR <80%)	6.75% p.a.	7.16% p.a.	$3,243	Principal & Interest	Variable			$30	$null	80%				Investor Variable Principal & Interest 20% Min Deposit Extra Repayments More details		More details	Compare
La Trobe Financial	La Trobe Financial SMSF Residential	6.59% p.a.	–	$3,190	Principal & Interest	Variable			$0	$995	80%				Investor Variable Principal & Interest 20% Min Deposit Extra Repayments More details		More details	Compare
loans.com.au	loans.com.au Variable SMSF Loan P&I <80%	6.99% p.a.	7.01% p.a.	$3,323	Principal & Interest	Variable			$0	$230	80%				Rate will drop 0.25% on 3rd of June Investor Variable Principal & Interest 20% Min Deposit More details	Minimum 20% deposit needed to qualify Available for purchase or refinance No application, ongoing monthly or annual fees. Dedicated SMSF loan specialist throughout the loan application	More details	Compare	Promoted	Disclosure

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Variable SMSF Loan P&I <70%

Product Features

• Minimum 30% deposit needed to qualify
• Available for purchase or refinance
• No application, ongoing monthly or annual fees.
• Dedicated loan specialist throughout the loan application

Monthly repayments: $2,526

6.49% Advertised Rate (p.a.)

6.51% Comparison Rate*

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How much do SMSFs cost?

Overall, SMSFs can be quite expensive to run, and usually require more funds in them to be a worthwhile investment (more on this later). According to the Australian Taxation Office's (ATO) statistical overview of SMSFs in 2022/23:

• It cost an average of $17,428 per year to run an SMSF

• The median total expenses of running an SMSF were $9,297

These include a range of deductible and non-deductible different expenses.

Total expenses - average and median

Source: ATO

It's worth noting that there is some dispute over whether these fee breakdowns are entirely accurate. An Australian Financial Review analysis in 2019 found these figures could be off by as much as 50% in some cases.

Are SMSFs more expensive than normal super funds?

SMSFs tend to be significantly more expensive than the average super fund. A 2019 Rainmaker report on super fees found on average, SMSF expenses were nearly six times as much as normal super funds.

Are SMSFs worth it?

Whether an SMSF is "worth the cost" or not will ultimately be up to you, and you might consider the extra expenses a fair price to pay for greater control.

Many SMSF fees are fixed expenses, and the higher the amount you have in your SMSF the better value it provides. For example, here is a breakdown of the SMSF average (not median) expense ratios by fund size, 2022-23:

Source: ATO

These figures suggest it isn't until your super fund is worth well over $1 million that SMSF expenses become less than 1% of what the fund is worth - a common benchmark for investment.

In late 2019, ASIC cited a Productivity Commission (PC) report stating that SMSFs with balances below $500,000 produce lower returns on average, after expenses and tax, when compared to industry and retail super funds. This might suggest that only SMSFs with balances above $500,000 are worth it.

"SMSFs may be an attractive option for investors wanting more control over their superannuation investment strategy, but it requires real skill, care and diligence to manage your own superannuation," ASIC Commissioner Danielle Press said at the time.

"SMSFs are not for everyone simply because not everyone can meet the significant time, costs, risks and obligations associated with establishing and running one."

ASIC said if your balance is below $500,000, ask your adviser why an SMSF is the best option for you.

"ASIC's research also found that SMSFs are not an appropriate investment option for people who want a simple superannuation solution, particularly if they have a low level of financial literacy or limited time to manage their own financial affairs," the report said.

"On average, SMSF trustees spend more than 100 hours a year managing their SMSF."

SMSF tax deductions

While SMSFs can be quite expensive at times, many of the costs associated with them are tax-deductible, as SMSFs are considered an investment. As a general rule of thumb, any SMSF expense directly related to generating taxable income is deductible. According to the ATO, such expenses include:

• Accountant and investment advisor fees

• Audit fees and actuarial fees

• Admin and investment costs

• The cost of updating the trust deed

• Insurance premiums through the SMSF

Meanwhile, fees that are NOT tax-deductible include things like upfront/establishment costs and any fees or penalties you might incur, such as late lodgement fees for documents.

These usually need to be claimed in the financial year the expenses were incurred and like most tax deductions you'll need proof in the form of receipts or statements. Tax can get quite tricky at the best of times and SMSFs can complicate everything, so you should check out the ATO's complete breakdown of SMSF tax deductions and contact a tax agent or financial advisor for more detailed information, as well as personal advice.

Savings.com.au's two cents

SMSFs are rarely straightforward, and as the numbers show, the numerous fees they charge can add up to quite a lot. The data suggests they're generally only worth the investment for higher investment amounts, so unless you're someone with a lot of money to invest (at least $500,000 according to ASIC) and a high understanding of the intricacies of taxation and investments, you might be better off just sticking with your regular super fund to stash your retirement savings in.

This may not always be the case though, so if you're considering opening an SMSF, consider speaking to a financial advisor or registered tax agent who can tell you more based on your own circumstances.