SMSF Setup in 2026

Setting up a Self-Managed Super Fund (SMSF) is more than establishing a trust and opening a bank account. Trustees are taking direct responsibility for managing their retirement savings, complying with superannuation law and keeping proper records.

There have been several important developments in 2026 that people considering an SMSF should understand.

New SMSF setup requirements are coming

On 19 August 2026, the Australian Government announced a package of measures aimed at strengthening consumer protection in the superannuation system. Several of the proposed changes specifically affect SMSFs and their establishment.

The proposed reforms include:

• basic knowledge requirements for new SMSF trustees
• stronger identification of SMSF bank accounts
• additional information about the financial adviser involved in establishing an SMSF
• a new ATO power to prevent certain rollovers into SMSFs where there is a well-founded concern about consumer harm
• aligning the first SMSF supervisory levy with the establishment of the fund.

The Government has also announced that the first SMSF ATO supervisory levy will increase from $259 to $295, representing the first increase since 2013.

The detailed implementation requirements and commencement dates should be considered before changing an SMSF establishment process.

SMSF establishment costs – an important ATO clarification

The ATO has recently clarified its position on who can pay SMSF establishment costs.

An individual can pay eligible SMSF establishment costs personally, and the SMSF can subsequently reimburse those costs. The ATO guidance also explains when the treatment may instead result in a contribution to the SMSF.

This is particularly relevant when establishing a new SMSF because costs may arise before the SMSF bank account is fully operational.

iCare Super has been applying this approach since 2012

For iCare Super, this is not a new concept.

Since 2012, we have allowed SMSF trustees to pay eligible establishment costs personally and have the SMSF reimburse those costs where appropriate.

We also published our understanding of the tax deductibility of SMSF establishment costs in 2013.

The recent ATO clarification provides further assurance around an approach that iCare Super has been researching and applying for more than a decade.

SMSF setup is not just about establishing the fund

Another important development is ASIC’s continued focus on SMSF establishment advice.

ASIC’s review of 100 SMSF establishment advice files found that, in 62 files, the adviser did not demonstrate compliance with best-interests obligations. ASIC also emphasised that SMSFs are suitable for some people, but not everyone.

This highlights the importance of distinguishing between SMSF establishment services and personal financial advice.

A provider helping establish an SMSF should have a clear understanding of the establishment process, trustee responsibilities, documentation, costs and compliance requirements. Where a client needs personal advice about whether an SMSF is suitable, including whether to transfer superannuation from another fund, appropriate financial advice should be obtained.

What should you consider when setting up an SMSF?

Before establishing an SMSF, trustees should understand:

1. Who will be the trustee?
   The SMSF can generally have individual trustees or a corporate trustee, subject to the applicable rules.
2. What will the SMSF cost?
   Consider establishment costs, ASIC fees where applicable, accounting, audit, administration and ongoing compliance costs.
3. How will establishment costs be paid?
   Establishment costs may be paid personally and reimbursed by the SMSF where the requirements are met. Proper documentation is important.
4. What are the trustee responsibilities?
   SMSF trustees are responsible for complying with superannuation legislation and managing the fund in the best interests of its members.
5. Is an SMSF appropriate for you?
   Establishing an SMSF is a significant decision. Personal financial advice may be appropriate where you need advice about whether an SMSF is suitable for your circumstances.

More than a decade of SMSF setup experience

iCare Super was established in 2012 by SMSF specialists and has provided SMSF setup, accounting, audit and administration services for more than a decade.

The recent ATO clarification on establishment costs is a good example of why experience and ongoing research matter when setting up an SMSF.

At iCare Super, SMSF setup is more than completing forms. We focus on getting the establishment process, documentation and costs right from the beginning.

If you are considering establishing an SMSF, contact iCare Super to discuss the SMSF setup process and the services we provide.