SMSF Setup Info

Setting up a SMSF
From here, we are assuming you have reviewed all the material under the SMSF Basics menu button, such that you understand what it means to have your own SMSF, that you understand and are comfortable with the requirements and responsibilities of being a trustee, and most importantly that you are entirely satisfied that a SMSF is right for you and is a viable proposition.

DO NOT PROCEED with setting up a new SMSF unless this is correct.


If it is, then the next step is to establish your own DIY / Self Managed Superannuation Fund. The reality (as we explore further on the next page) is that most people will use the services of either an accountant, or aquire some other establishment package from a SMSF supplier. Either way, the process will be much the same. Go to our Important items on setup page for more info on your SMSF setup choices.



The process for establishing your SMSF is broadly as follows:

 - Determine who is going to be included in your SMSF, making sure each member is allowable under the definition of a SMSF, as discussed on the What is an SMSF page.


 - Obtain and execute a SMSF trust deed, which is also known as the 'governing rules' of the fund. This is the main document of a SMSF setup package, with the following items also included as forms which the trustees need to complete and execute.


 - Each trustee consents in writing to act as trustee of the fund and makes a declaration that they are not a "disqualified person".


 - Each trustee must make a declaration that they understand their duties as the trustee of a SMSF (since 30 June 2007).


 - Each member applies for membership to the Fund, including supplying all member details and tax file numbers.


 - The first meeting of the trustees is held and minuted.


 - The Fund elects to be a regulated superannuation fund under the SIS Act, and applies for a tax file number (TFN) and Austraian Business Number (ABN). This is done simultaneously by completing the ABN registration for superannuation entities (NAT 2944) form, but can also be done online via the Australian Business Register. The ATO will send you back a notification of your TFN, ABN, and will place some of your fund’s details on the Australian Business Register.
Funds with an ABN are also included on the Super Fund Look-up website at This is then used by other super funds to check whether your fund is a complying fund for transferring super benefits.


 - Open a bank account for the Fund. This will be in the name of the trustees, ATF (as trustee for) the name of your super fund. e.g.John Smith ATF Smith Super Fund.


 - Make a contribution to the Fund (via its bank account if in cash) or via an in-specie transfer of assets such as shares, or enable a rollover of the members superannuation monies from a previous super fund. You'll need to supply the previous super fund with your notice stating that the Fund is a regulated superannuation fund.


- Create and execute the written Investment Strategy for the Fund, and if required, the Derivatives Risk Statement. See the right hand menu for more info on this, and access to sample templates.


Once this is all done, your pretty much finished with the establishment of the Fund, and your now into the ongoing mangement of the Fund.


The ATO also has an excellent guide to step you through the SMSF establishment process, and we highly recommend for all trustees to order a hardcopy of this from the ATO and have it on hand. Just go to their website and follow the menu for ordering publications.


For those that want it in softcopy (and you can print it out if you like) : Click Here - Setting up a Self Managed Super Fund


Now whilst this booklet and the info above will give you an excellent grasp of the basics of what is required and the setup process to follow, there are a number of other issues that you need to consider fairly carefully at the setup stage of your SMSF.


These are explained on the next page, Important items to note on setup.


It's FREE, but the benefits
are huge. Stay up to date
with all the latest strategies,
get access to all of our
resources, and much more.
Click the button below to find out more.