SMSF Cost Break-Even Calculator
Compare SMSF annual costs to retail/industry super fees. See when an SMSF becomes cost-effective based on your balance.
Disclaimer
This calculator provides estimates for general information purposes only. Results should not be relied upon as professional financial, tax, or legal advice. Tax rates and thresholds are based on publicly available ATO data and may change. Always consult a qualified tax agent or financial adviser for advice specific to your circumstances.
Frequently Asked Questions
At what balance does an SMSF become cost-effective?
What are the typical SMSF running costs?
What are the main downsides of an SMSF?
Should I use an individual or corporate trustee?
What is SMSF Cost Break-Even?
A break-even analysis comparing the annual cost of running a Self-Managed Super Fund (SMSF) to the percentage-based fees of a retail or industry super fund. Helps you decide whether your balance is large enough to make the fixed costs of an SMSF worth the control and flexibility.
How this calculator works
Enter your total super balance, current fund's annual fee percentage, and your estimated SMSF costs (fixed audit/admin/levy + variable platform fees). The calculator shows: annual fee in the retail/industry fund (balance × %), annual SMSF cost (fixed + balance × variable %), and the net difference. It also calculates the break-even balance — the size at which SMSF costs equal retail fees — and how long it takes to recoup the one-off setup cost.
What an SMSF Actually Costs
Fixed costs (don't scale with balance): annual audit ($300–$700), accounting/tax return ($1,500–$3,000), ASIC corporate trustee fee ($63–$329), ATO supervisory levy ($259), ASIC company review (if corporate trustee). Variable costs: investment platform fees (0.10–0.30% pa), brokerage (~$10/trade), advice fees if used. One-off setup: $1,000–$3,000 depending on whether you use a corporate trustee.
Where SMSFs Beat Retail/Industry Funds
When the dollar value of the percentage fee in your old fund exceeds the fixed dollars of SMSF costs. Example: at 1.0% fee, $300k balance = $3,000/yr — likely break-even with a basic SMSF. At $500k balance = $5,000/yr — clear SMSF win. ASIC and ATO data suggest the cross-over generally falls between $200k and $500k depending on investment style and whether you DIY or use a full-service admin.
What Drives People to SMSFs (Beyond Cost)
Direct property investment (buy a residential or commercial property in super), borrowing via Limited Recourse Borrowing Arrangement (LRBA), unlisted assets like private equity or crypto, individual stock-picking, family pooling (up to 6 members from 1 July 2021), control of insurance arrangements, and pension planning flexibility (account-based pensions, transition-to-retirement).
The Real Workload
Even with a full-service administrator, expect 50–100 hours per year of trustee duties: investment decisions, monitoring contributions vs caps ($30,000 concessional / $120,000 non-concessional for 2025-26), preparing/updating investment strategy, signing audit documents, managing related-party rules, and staying current on legislation. Trustees who breach rules face up to $18,780 per breach (per individual trustee, or once for corporate trustee — strong reason to use corporate).
Insurance Trade-off
Industry funds offer cheap group insurance with no medicals up to default amounts. SMSFs must arrange retail insurance — typically more expensive, often requires medicals. Many SMSF trustees keep a small balance in their old fund just to maintain their group insurance cover. Factor this into your decision if you have health conditions that would make individual insurance hard to obtain.
Updated for the 2025-26 financial year (1 July 2025 to 30 June 2026).
Official Sources
All calculations are performed in your browser — your data never leaves your device. Results are for general guidance only and should not be considered professional financial advice.
Built and maintained by Konstantin Iakovlev. Data sourced from the ATO and official Australian government sources.