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.

What is an LRBA?

What is an LRBA

Historically, self-managed super funds (SMSFs) had limited borrowing options. It wasn’t until 2007 that instalment warrants and borrowing arrangements became available to SMSFs. Now, limited recourse borrowing arrangements (LRBAs) are a common feature, giving trustees the ability to borrow money under strict regulations.

According to the latest ATO statistics for September 2025, SMSFs have invested $75 billion in assets with associated debt totalling $28.9 billion. Mortgaged investments account for just 7% of SMSFs’ estimated total assets, which exceed $1 trillion.

Although these figures may seem significant, they actually represent only a small portion of the overall lending market within Australia.

What is a Limited Recourse Borrowing Arrangement (LRBA)?

An LRBA, or Limited Recourse Borrowing Arrangement, is a type of borrowing permitted for SMSFs under superannuation laws (SIS) under strict SMSF Loan rules.

When an SMSF takes out a loan, it must be used to purchase a “single acquirable asset,” which is then held in a separate trust, commonly called a bare or holding trust. The borrower’s recourse must be limited to the underlying property or asset in case of a loan default by the SMSF.

LRBAs are frequently used by funds to purchase SMSF residential or commercial property investments.

Who will lend to an SMSF?

Banks and Second-tier lenders

Many major banks have stopped offering LRBAs to super funds due to perceived risks, but non-bank specialists and second-tier lenders now provide competitive interest rates and high LVRs, up to 90% for residential and up to 80% for commercial properties. We have an article that provides a list of lenders that provide SMSF loans.

The growing use of online SMSF loan applications, featuring digital ID verification and compliance checks, has accelerated the lending process by enabling documentation to be delivered electronically. This allows SMSF trustees to respond swiftly when new opportunities arise.

Hint –Lenders generally require the bare or holding trust to have a corporate trustee which cannot be the same as the SMSF corporate trustee. This Bare Trust may also be subject to Stamping Requirements depending on the state you are purchasing in.

Related Party Loans

Loans from related parties, unlike those from independent banks, often lack clear evidence of commercial terms. If the loan arrangement does not meet arm’s length standards, it may breach non-arm’s length income (NALI) rules under the Tax Act, potentially resulting in 45% tax on rental income and capital gains upon sale.

Hint – it is crucial to obtain advice from a superannuation specialist to ensure the lending process aligns with SIS.

What is a safe harbour?

The ATO offers “safe harbour” for SMSF trustees borrowing from related parties.

An SMSF is not required to adopt the safe harbour guidelines but it is much smoother sailing from an audit perspective if they do. SMSFs that implement related party loans following the terms and conditions set out in these safe harbour guidelines will not breach non-arm’s length income (NALI) rules, provided all terms and conditions are met.

These guidelines are applicable solely to the acquisition of property and stock exchange listed shares or units; single assets such as private shares or units are excluded from safe harbour provisions.

The safe harbour rules stipulate what interest rate to be used, the term of the loan, repayment terms and the loan-to-value ratio (LVR) as well as security and formal executed loan documentation.

What evidence does the ATO require for a related party loan?

When dealing with related parties the ATO expects clear documentation showing the terms and conditions used in a loan agreement. The ATO has previously rejected quotes from lending institutions as evidence, because they were not actual offers.

Ideally, you should provide a copy of a real offer from a third-party lender for the purchase of the property or asset your SMSF intends to buy and make sure your loan agreement replicates those terms and conditions.

If this is not possible, consider requesting an SMSF-specific ruling using the documents you do have to check if they meet the ATO’s requirements.

Contact us about LRBA Options

For more information about how LRBAs work feel free to reach out to one of our friendly team or for some more technical reading checkout the SMSF Association’s Go to Guide.