First-year SMSF costs: a comprehensive breakdown for new trustees

Starting an SMSF feels exciting… and slightly confusing. New trustees want to know one thing before they go any further: how much does it cost to start an SMSF in the first year? The numbers you hear online jump around so much that it’s hard to know what’s real. So let’s slow things down and walk through a clear, honest SMSF cost breakdown that reflects what most Australians actually pay.

These ranges come from SMSF service providers across Australia that openly publish their fees. Nothing dramatic. Nothing hidden. Just the common first-year SMSF costs you’re likely to face.

1. SMSF establishment cost (one-off)

This is where everything begins. Your setup cost depends on whether you choose individual trustees or a corporate trustee.

• Individual trustee setup
  $800 – $1,500
  Covers the trust deed, minutes, declarations, ABN, TFN and essential documents.
• Corporate trustee setup
  $1,200 – $2,500
  Includes ASIC registration, extra documentation, and more detailed structuring.

Professionals often prefer corporate trustees because admin becomes easier later, especially when trustees change.

2. First-year accounting and the SMSF annual return

Every SMSF must prepare financial statements and lodge an annual return. The cost depends on investment activity and how many moving parts the fund has.

• Simple fund with basic investments: $1,200 – $2,000
• Moderate activity or corporate trustee: $1,800 – $3,000
• Property or complex investments: $2,500 – $4,000

In the first year, some funds take a little longer to set up, especially when bank feeds, investment feeds, or historical statements need matching.

3. Independent SMSF audit

Every SMSF must be audited. It’s a yearly requirement.

• Standard audit: $400 – $600
• Property or LRBA audit: $600 – $900

Some firms package accounting + audit together, but the auditor always remains independent.

4. The ATO supervisory levy

This one catches many people off guard. The levy is $259 per year, but new funds must pay one year upfront.

So in year one: $518
Every year after: $259

This applies to all SMSFs, regardless of investment structure.

5. Extra administration tools and running costs

These aren’t compulsory, but many trustees prefer them.

• Reporting or admin platforms: $150 – $600 per year
• Digital signatures: $50 – $150 per year
• Bank fees: usually $0 – $10 per month
• Investment or broker fees: varies by activity

Some use these because they make compliance smoother. Others prefer a simpler setup.

6. Total first-year SMSF cost range

Most new SMSFs fall into these groups:

• Simple SMSF: $3,000 – $4,000
• Corporate trustee with moderate activity: $4,000 – $6,000
• SMSF with property or higher transaction volume: $5,000 – $8,000+

The first year will always feel slightly heavier because it includes setup work and the double ATO levy. From year two onwards, costs settle into a predictable pattern.

If you’re planning your first year, clear accounting support makes all the difference

When trustees know their numbers, the SMSF becomes easier to manage. The first year sets the foundation – clean records, timely reporting, smooth audits and organised administration. When that’s handled properly, everything after feels lighter.

If you already have an SMSF or plan to start one soon and want your first year handled correctly, we can help. Quick SMSF Accountants provides complete SMSF accounting, tax return preparation, audit coordination, and day-to-day administration support.

You get clear communication, predictable fees, and work delivered on time, every time.

If you want your SMSF managed by a team that keeps things simple, accurate and compliant, reach out to us. We’ll take care of the accounting side so you can focus on your investment decisions without worrying about paperwork.