How much does SMSF Australia charge for annual SMSF accounting?

SMSF Australia offers three fixed-fee annual packages: Basic Fund at $1,300+GST (listed shares, managed funds, ETFs, term deposits), Complex Fund at $1,600+GST (adds direct property up to 2, cryptocurrency, precious metals), and Very Complex Fund from $2,000+GST (unlisted assets, private loans, derivatives, NFTs, 3+ properties). All packages include the independent SMSF audit at no additional cost.

Is the SMSF audit included in the annual fee?

Yes. The independent SMSF audit is included in all three annual fee packages — Basic, Complex, and Very Complex. It is not charged as a separate add-on.

Can SMSF Australia service my fund if I am not in the same state?

Yes. SMSF Australia operates nationally across all Australian states and territories. All client meetings and services are conducted via Zoom — there is no requirement to be near a physical office.

How much does it cost to set up an SMSF with SMSF Australia?

The SMSF setup fee is $2,000+GST, which covers corporate trustee establishment (ASIC fee $636), SMSF trust deed ($400), Class Super first-year licence ($250), ABN and TFN applications, investment strategy preparation, and rollover coordination.

Does SMSF Australia provide financial advice?

No. SMSF Australia does not provide financial planning or investment advice. Services are limited to SMSF accounting, tax, audit, compliance, and legal matters.

Does an SMSF Need an LEI to Trade Overseas?

Most SMSFs do not require a Legal Entity Identifier (LEI). SMSFs with investments in Australian listed shares, direct property and cash do not require an LEI. An SMSF may require an LEI when trading in foreign non-exchange-traded transactions, using Does an SMSF Need an LEI to Trade Overseas offshore brokers, trading on a foreign regulated market, engaging in certain foreign exchange trading, or engaging in financial transactions linked to offshore reporting obligations.

However, from 21 October 2024, ASIC requires all counterparties in reportable over the counter (OTC) derivative transactions, including SMSFs, to have an LEI. OTC derivative transactions include contracts for difference (CFDs), which are financial transactions not listed on a stock exchange. There is no requirement to supply an LEI when trading exchange-traded derivatives on an Australian stock exchange.

What is an LEI?

An LEI is a unique 20-character alphanumeric code used worldwide, providing a standardised way to identify legal entities for both the entity entering into the financial transaction and the counterparty. Both parties in the reportable trade must have an LEI. The same LEI is reported to Australian and foreign regulatory bodies, linking the identities of the parties involved in the transaction. Failing to comply can mean the trade does not proceed, or non-compliance action may be taken, depending on the circumstances. A fund’s LEI must be active and is renewed annually (or, if allowed, can be renewed automatically for longer periods, usually up to 5 years).

How does my SMSF acquire an LEI?

An SMSF can obtain its LEI from a Local Operating Unit (LOU) accredited by the Global Legal Entity Identifier Foundation (GLEIF), such as LEI International Private Limited (TNV LEI), GS1
AISBL (GS1), EQS Group GmbH (EQS), Ubisecure Oy (Ubisecure Rapid LEI) and many more. Registration agents facilitate the acquisition and maintenance of a fund’s LEI; examples include:

A LOU issues and renews LEIs, validates data for legal entities, and ensures data quality and compliance with GLEIF rules.

Generally, you apply through a registration agent, who will help you identify the correct details to include in the application. Identifying the correct legal entity is important. The following details and documentation are required:

Entity details of the SMSF’s corporate trustee- legal name, registered address, ABN or ACN
SMSF trust deed
The SMSF legal name, registered address and status
Contact details of authorised signatory – usually one of the directors of the SMSF corporate trustee
Matching registry details – company search in relation to a corporate trustee and Super Fund Lookup printout showing the fund’s ABN, name and complying status
Select a registration term
Authorise the application and complete the payment
Validation is issued – usually within one to two business days unless further verification of details is required

Who applies for an LEI?

ASIC does not issue an LEI to an SMSF. However, ASIC requires all counterparties to reportable OTC derivative transactions to hold an LEI. An SMSF is not a legal entity because it is a trust. Therefore, the corporate trustee of your SMSF applies for an LEI, not the SMSF itself. The situation is a bit different when an SMSF has individual trustees. Individual SMSF trustees usually aren’t required to have an LEI. Using a registration agent is often useful when the trustee structure doesn’t align exactly with the rules.

What is an over the counter (OTC) reportable derivative?

A reportable OTC derivative is a privately negotiated, tailor-made financial contract between two parties and is not traded on the ASX or any other stock exchange. The contract’s value is based on the underlying assets, which may include interest rates, foreign currency, shares, an index, or a commodity. Neither party owns the underlying assets. Examples of OTC derivatives include currency forwards or swaps, commodity swaps, and interest rate swaps. The biggest risks include;

the counterparty may default
liquidity due to the specific details of the contract
the lack of a daily market, making valuation difficult

A report is made to a Trade Repository or Swap Data Repository, which centrally collects and maintains electronic records for OTC derivative transactions. Small Australian end users, such as SMSFs, are generally exempted from reporting. The large financial institutions that are the counterparties to the transactions typically report them.

Does my SMSF need to renew its LEI registration?

The fund generally keeps the same LEI for life, but it must renew the LEI registration annually. Some companies offer automatic renewal terms of up to 5 years.

How did LEIs come about?

After the global financial crisis (GFC), the G20 (including Australia, Europe and the European Union, North America, Asia-Pacific, South America, Africa and the Middle East) established the Financial Stability Board (FSB) to recommend and coordinate robust international regulatory and supervisory financial policies. The FSB founded the GLEIF, which developed LEIs to improve transparency in identifying counterparties to derivative transactions and to enhance investor protection.

When does your SMSF need an LEI?

Applying the rules for SMSFs that need an LEI is complex when trading in foreign markets and OTC derivatives. Each jurisdiction has its own rules, but they generally follow FSB guidelines.

An SMSF must have an LEI when trading overseas if the foreign jurisdiction requires one. The foreign broker or investment platform will request the LEI, and the trade may be delayed or not proceed without it, depending on that jurisdiction’s rules.

Typically, an SMSF needs an LEI when trading in:

OTC derivatives
CFDs
foreign exchange trading
offshore investment platforms or offshore brokers
foreign counterparties; for example, European markets require an LEI for both exchange-traded and OTC-traded transactions

Some Australian brokers may require clients to have LEIs as their parent is European-based and it is part of their compliance regime. For example, Interactive Brokers will often require an LEI depending on the investments you have decided to engage in.

What happens if my SMSF lets its LEI lapse?

The LEI doesn’t simply disappear if the fund’s LEI lapses. It isn’t deleted; it’s carried forward in the database. A trade may be blocked if the LEI lapses. To resolve this issue, renew the LEI as soon as possible. Once the details are confirmed, the status is updated to “Issued”, and the LEI can then be used to verify the entity’s details. Unfortunately, this process delays the financial transaction.