Your Online Portfolio Administration Solution
ATO SMSF 2011-2012 Statistical Overview

The ATO has released a new SMSF statistical analysis relating to the 2011-2012 financial year. The statistical overview is released once sufficient SMSF returns have been lodged. As a consequence there will continue to be a time lag with this data.

Interesting facts highlighted in the report are:
  • The SMSF sector remained the largest sector of the Australian superannuation industry, with 31% of the $1.6 trillion total super assets as at 30 June 2013. In the five years to 30 June 2013, SMSFs have been the fastest growing sector of the Australian superannuation industry. During this period total super assets grew by 37%, while SMSF assets grew by 53%.

  • Over the five year period to 30 June 2012, contributions to the SMSF sector averaged $26.3 billion a year (member contributions $17.5 billion, employer contributions $8.2 billion). This is 17% fall from previous five year averages and is due primarily to the reduction in the contribution caps. By contrast the overall rate of contributions for all super rose by 1%.

  • Member ages: 69% of members were over 50 years of age. Although generally SMSF members are ageing, the trend continued for members of new SMSFs to be from younger age groups. The 2012 year shows members below age 35 representing nearly 10% of the newly established funds, compared to just over 5% for the whole SMSF member population.

  • Trustee structure is still overwhelmingly individuals (76%) versus corporate (26%). Similar to the previous year 90% of all new SMSF’s established use individual trustees. This means that whenever a bank financed borrowing is done it will most certainly require a change of trustees as well.

  • Despite the higher average age demographics of SMSF’s only 35% were paying pensions to at least one member, while 65% of SMSF’s reported they were solely in the accumulation phase.

  • Form of benefits: 72% of all benefit payments now are pension payments , a significant increase from 64% in 2008.More interesting is that 19% relate to a transition to retirement pensions which is higher that the 11% for superannuation overall. Also as expected only 6.5% of SMSF pensioners are also receiving the age pension.

  • Average balances: to make this more meaningful apart from an arithmetic mean there is also a median mean figure calculated. This is to show the distortion created by the smaller number of mega-large funds into the mean. The mean per SMSF is $929,000 at 30 June 2012 compared with a median mean of $518,000. It was also reported that 21% of SMSF members still had entitlements in other superannuation funds.

  • Member size: The average member balance was $487,000 compared with a median of $292,000. This compares with the average non-SMSF member balance of $30,000. Most members (48%) have balances between $100k and $500k. Almost 22.1% of members have balances below $100k, while 12.1% of members have balances in excess of $1 million. The number of SMSF’s with more than $1 million of assets has grown from 25.7% in 2008 to 27.7% in 2012.

  • Investment allocation: the largest allocations are cash & term deposits (32.53%) and listed shares (28.61%), a reversal of the position from two years ago. In 2012, SMSFs in the pension phase had very similar assets to SMSFs in accumulation phase. The only obvious difference was that SMSFs in pension phase generally held less property but more listed share assets.

  • Operating costs: A significant part of costs are fixed irrespective of the fund size. The average operating cost has been relatively static over the last four years settling at 0.56% which reflects the impact of reductions in smaller funds and as well as the fixed nature of operating expenses for very large SMSFs. Estimates of average SMSF operating expenses in dollar terms however have increased as the average SMSF size has grown. In 2012 the average dollar cost was $5,600 compared to $5,000 and $5,300 in 2010 and 2011 respectively.

  • Auditors: In 2011, the number of auditors has fallen to 9,600, conducting an average of 40 audits each. However 36% of auditors still audited les than 5 funds. In relation to audit fees, a slight reduction occurred in the average audit fees with over 56% of SMSFs paying less than $500 to approved auditors for audit fees, while over 3% paid $2,000 or more for the June 2012 year. finally the number of SMSFs where the auditor is providing other services has fallen to 9%.

  • Tax agents and accountants had an average of 29 registered SMSF clients. The majority had only a small number, with 52% having 10 or less and 17% (or 2,175) a single SMSF client. In contrast, 6% or 785 tax agents and accountants registered more than 100 SMSFs.

  • The most commonly reported contraventions by SMSF auditors continued to be loans or financial assistance to members (almost 21%), while in–house assets and separation of assets constitute almost 18% and 13% respectively. However by value the in house assets (28.3%) and separation of assets (26%) are the breaches with higher values

What's New
SMSF Investment Patterns Survey - February 2016
Multiport regularly undertakes an analysis of our SMSFs investments. Read more...
Peter Burgess speaks on the SMSF minimum balance debate
Peter Burgess shares his view with SelfManagedSuper on the latest guidance on SMSF advice. Read more...
Finalist at the 2015 Smart Investor Blue Ribbon Awards
Multiport has been named as finalists in the ‘Best SMSF Administrator’ category. Read more...
Multiport launches online application
Multiport customers are now able to submit applications though a new online facility. Read more...
Multiport Highly Commended at SMSF Awards
Multiport has received a ‘highly commended’ recognition at the annual 2015 SMSF Awards. Read more...