How much assets you need before it makes sense to create an SMSF

Hi Ethan,

I’ve heard similar things.

The answer will vary by person and what % of assets someone doesn’t mind spending on admin/fees.

I haven’t got one myself, though I may investigate it further past the point of say $200k. There’s also the time, energy, and mental space that needs to be accounted for vs sticking with a simple low cost super fund.

I have one wealthy friend who uses a SMSF to invest in property, while another wealthy friend just sticks with low cost industry super fund because he prefers shares.

Cheers, Dave

Hi Ethan, I started mine with $65K and have traded my way to a balance that is just under 5 times that amount in 8 years. If I had left it in my industry superfund I wouldn’t have no where near as much as I do now. I am at a stage that I am looking to diversify into property too. Be warned though, it does take a lot more effort and time to do it right. I am far from perfect and lost a bit with silly decisions too. I have learned a lot along the way. Do your research and make sure it is the right fit for you. My future plan is to have my first SMSF investment property and then the remaining balance of my account split between 70% EFTs – 20% Trading (my fun money because I like trading too) & 10% Cash. I will reevaluate this later after having the property and if I don’t need as much cash for maintanance etc, I will add more to the EFTs and may reduce my trading money.