💼 Why the Smart Super is in Self-Managed Super Funds By The SMSF Strategist — in the spirit and logic of Grant Abbott

When it comes to building wealth for retirement, the numbers don't lie — and they tell us one thing loud and clear: the smart super is in Self-Managed Super Funds (SMSFs). The question is no longer why an SMSF? — it’s why haven’t you taken control yet?

Let’s break it down with hard facts, strategic thinking, and a call to action for Australia’s family wealth builders.

🔢 The Numbers: SMSFs Leave Industry Funds Behind

According to the March 2025 ASFA statistics:

The average member balance in industry super funds is approximately $105,000 (derived from $1,488 billion across 14.2 million accounts).

In comparison, from the ATO’s December 2024 SMSF Quarterly Report:

The average member balance in SMSFs is $835,265.

The median balance is $497,608 — still nearly 4x higher than the industry average.

👉 That’s over $700,000 more per member in SMSFs compared to the average industry fund.

So why are SMSFs home to the highest balances in the superannuation sector?

🧠 Five Strategic Reasons Smart Money Chooses SMSFs

1. Control Equals Performance

SMSF trustees control asset selection, timing of buying and selling, and retirement strategies. No one cares more about your money than you — and the performance gap proves it.

2. Tailored Investment Strategies

SMSFs offer direct property, business real property, private equity, and even crypto (if allowed by the deed). Industry funds can’t match this strategic freedom.

Example: A business owner can use their SMSF to buy their premises through a limited recourse borrowing arrangement (LRBA), paying rent back into their fund.

3. Tax Efficiency in Your Hands

SMSFs provide unparalleled tax planning. Strategic contributions, pension phase timing, and investment segregation give trustees the power to reduce tax legally and effectively.

Refer to TR 2013/5 for the income stream commencement and cessation rules that SMSF advisers use every year to reduce taxable income by 0% on exempt current pension income (ECPI).

4. Intergenerational Wealth Transfer

With a leading member SMSF deed, control and benefits stay in the bloodline. Industry and retail funds collapse on the death of a member. An SMSF, with a modern deed, lives on — protecting family wealth for generations.

Refer to “Family Wealth Protection” (Abbott, 2024) for case studies.

5. Cost Benefits at Scale

Yes, SMSFs have fixed costs — but as balances grow, those costs become trivial. An SMSF with $1 million in assets may have an effective fee of less than 0.3% — half what many industry funds charge.

📞 Take Action Now — Before Retirement Takes You

If you’re still in an industry fund and you’re serious about growing and protecting your retirement savings, now is the time to act.

🎯 For a free consultation on whether an SMSF suits your situation — particularly around tax and structuring — contact:

Grant Abbott

📧 grant@lylegal.com.au

📍 LY Legal — SMSF Strategy Specialists

Speak to the team at Legal Back Office to explore if SMSF is right for you.

Start planning for family succession and wealth transfer.

Join the growing movement of Australia’s smart super elite.

🚀 The future belongs to those who take control. The past belongs to those who outsourced it. Which side will you be on?