SMSF Entities (Self-Managed Super Funds)
SMSFs are retirement savings vehicles where members act as trustees and manage their own superannuation. StructureGram enforces ATO compliance rules automatically.
What Makes SMSFs Different?
Unlike regular trusts, SMSFs have specific regulatory requirements:
- Maximum 6 members per fund
- Trustee compliance rules (see below)
- Member balances can be tracked
- Status is always passive (SMSFs don't "actively trade")
- Separate entity type (not a trust subtype)
Required Fields
Every SMSF must have:
- Fund Name: The SMSF's registered name (up to 200 characters)
That's it! All other fields are optional.
Optional Fields
Basic Information
- ABN (Australian Business Number): 11 digits
- TFN (Tax File Number): 9 digits (stored securely, see Sensitive Data)
- Established Date: When the SMSF was created
- Purpose: Description of fund purpose (up to 1,000 characters)
- Notes: Additional information (up to 5,000 characters)
Group Management
- Group Join Date: When SMSF joined a particular group
- Group Exit Date: When SMSF left a group
Status
| Status | Description | When to Use |
|---|---|---|
| Passive | Normal SMSF state (default) | All operating SMSFs |
| Dormant | Minimal or no activity | Inactive funds |
| Vested | Fund has been wound up | Distributed to members |
| Proposed | Not yet established | Planning stage only |
Default: Passive
Important: SMSFs do NOT have an "Active" status. By nature, they're holding/investment vehicles, not trading entities. The default "Passive" status reflects their normal state.
Trustee Compliance (Critical)
The ATO requires SMSFs to have compliant trustee structures. StructureGram enforces these rules automatically:
Rule 1: Choose Individual OR Corporate Trustees
You must choose ONE of these structures:
Option A: Individual Trustees Only
- Minimum: 2 individual trustees
- Maximum: 6 individual trustees (one per member)
- All members must be trustees (or their legal personal representative)
Option B: Single Corporate Trustee
- Exactly 1 corporate trustee (a company)
- All members must be directors of the trustee company
Rule 2: Cannot Mix Structures
❌ Not Allowed: You cannot have both individual trustees AND a corporate trustee at the same time.
Compliance Warnings
If your SMSF doesn't meet these rules, you'll see warnings in:
- The SMSF detail page
- Diagram validation panels
- Relationship management screens
These are critical ATO requirements. Fix trustee compliance issues immediately.
Member Management
Member Limits
- Minimum: Typically 1 member (but check ATO rules)
- Maximum: 6 members per SMSF (enforced by system)
When you try to add a 7th member, you'll see:
"SMSF already has 6 members. Remove a member before adding another."
Member Relationships
Members must be Individuals only:
- Individual → (Member) → SMSF
- Reciprocal label: SMSF "(Has Member)" Individual
Member Balances (Optional)
You can optionally track each member's superannuation balance:
- Format: Whole dollar amounts only (no cents)
- Minimum: $0 (must be non-negative)
- Display: Shows in member list with currency formatting
- Default: Shows "-" if not entered
Example:
- John Smith: $450,000
- Sarah Smith: $320,000
- (Not entered): -
Relationship Capabilities
SMSFs can participate in these relationships:
Structure (Managing the SMSF)
- Trustee ← Individual(s) OR Company (subject to compliance rules above)
- Member ← Individual (maximum 6, with optional member balance)
As Owner/Holder
- Shareholder → Company (with percentage and share class)
- Unitholder → Unit Trust (with percentage)
- Partner → Partnership (with percentage interest)
- Ownership → Asset (with percentage and ownership method)
Note: SMSFs cannot be beneficiaries, appointors, or parents/children/spouses. They're strictly superannuation entities.
Examples
Standard SMSF with Individual Trustees
- Smith Family Super Fund
- ABN: 12 345 678 901
- Status: Passive
- Members (4):
- John Smith (balance: $520,000)
- Sarah Smith (balance: $480,000)
- David Smith (balance: $120,000)
- Emma Smith (balance: $95,000)
- Trustees (4 individual trustees):
- John Smith
- Sarah Smith
- David Smith
- Emma Smith
- Owns investment properties and listed shares
SMSF with Corporate Trustee
- Johnson Super Fund
- ABN: 98 765 432 109
- Status: Passive
- Members (2):
- Robert Johnson (balance: $1,250,000)
- Linda Johnson (balance: $890,000)
- Trustee (1 corporate trustee):
- Johnson Super Pty Ltd
- Directors of Johnson Super Pty Ltd:
- Robert Johnson (must be director)
- Linda Johnson (must be director)
- Owns business real property
Proposed SMSF (Planning Stage)
- New Venture Super Fund
- Status: Proposed
- Not yet registered
- Planning trustee structure
- No members yet assigned
Common Workflows
Setting Up a New SMSF
- Create SMSF entity with fund name
- Add members (individuals only, max 6)
- Choose trustee structure:
- Individual trustees: Add 2+ individuals as trustees (typically all members)
- Corporate trustee: Create/select company, make all members directors of that company
- Verify compliance - check for warnings
- Add assets owned by SMSF (properties, shares, etc.)
Converting from Individual to Corporate Trustee
- Remove all individual trustees
- Create new company (e.g., "Smith Super Pty Ltd")
- Add all members as directors of trustee company
- Add company as trustee of SMSF
- Update ASIC registration
Implementation Notes
Code vs Story Differences
- Status Enum: SMSFs have their own status enum (not the same as trusts) - "active" status removed as inappropriate for superannuation
- Trustee Compliance: Full ATO rule enforcement implemented with UI warnings (stories outlined concept but not full implementation)
- Member Capacity: Hard limit of 6 members enforced at API level (stories mentioned limit but not enforcement details)
- Member Balance Storage: Implemented as optional whole-dollar metadata field (not detailed in story 12.1)
- Separation from Trusts: Fully separate entity type with own pages and management (stories called this out as critical requirement)
Validation Rules
- ABN must be exactly 11 digits (digits only)
- TFN must be 8 or 9 digits (digits only, optional)
- Fund name is required (up to 200 characters)
- Maximum 6 members enforced at API and UI levels
- Trustee compliance rules enforced but don't block operations (warnings only)