

SMSF Audit
An annual audit is a mandatory requirement for all Self-Managed Super Funds (SMSFs).
Trustees must appoint an independent auditor to examine their fund’s financial statements and compliance with superannuation laws.
At HelloLedger, we simplify the audit preparation process, ensuring your SMSF records are accurate, compliant, and ready for review.



Why Are SMSF Audits Required?
SMSF audits are designed to:
-
Ensure the fund complies with superannuation laws and meets the Sole Purpose Test.
-
Verify the accuracy of financial statements and record-keeping practices.
-
Identify any compliance breaches and help trustees address issues before penalties arise.
By conducting annual audits, the Australian Taxation Office (ATO) can monitor SMSFs to maintain integrity and compliance within the superannuation system.
What Does an SMSF Audit Involve?
-
Financial Audit
The auditor reviews your fund’s financial statements to ensure they accurately reflect the SMSF’s assets, liabilities, income, and expenses.
-
Compliance Audit
The auditor checks whether the SMSF complies with superannuation rules, including:- The Sole Purpose Test—ensuring the fund is maintained for retirement benefits only.
- Contribution caps and withdrawal rules.
- Asset ownership requirements—ensuring SMSF assets are kept separate from personal assets.



Preparing for an SMSF Audit
1. Organising Financial Records
Trustees must provide the auditor with:
-
Financial statements, including the balance sheet and income statement.
-
Bank statements and investment reports.
-
Details of contributions, rollovers, and withdrawals.
2. Ensuring Compliance Documentation
You’ll need to supply:
-
The SMSF trust deed and any amendments.
-
The investment strategy and evidence it has been reviewed.
-
Records of trustee meetings and decisions.
3. Asset Valuations
All SMSF assets must be valued at market value. This includes property, shares, collectibles, and cash holdings. Accurate valuations ensure compliance with ATO reporting requirements.
At HelloLedger, we assist with record-keeping, valuation support, and audit preparation, so your SMSF is audit-ready without the stress.
What Happens After the Audit?
Once the audit is complete, the auditor:
-
Provides an audit report that must be submitted as part of your SMSF annual return.
-
Reports any compliance breaches to the ATO, known as an Auditor Contravention Report (ACR), if issues are identified.
If breaches occur, HelloLedger works with trustees to rectify compliance issues and prepare the required documentation.


SMSF Audit FAQs
-
Is an annual audit mandatory for all SMSFs?
-
-
Yes, all SMSFs must undergo an independent audit every year, even if no contributions or payments were made during the financial year.
-
What happens if my SMSF fails an audit?
-
If your SMSF breaches superannuation laws, the auditor will lodge an Auditor Contravention Report (ACR) with the ATO. Penalties may include fines, loss of tax concessions, or even having the fund declared non-compliant. HelloLedger helps trustees address breaches and restore compliance.
How long does an SMSF audit take?
The length of the audit depends on the complexity of the fund and the availability of documents. Typically, audits take 1–2 weeks once all records are provided.
Can HelloLedger conduct my SMSF audit?
No, HelloLedger does not conduct audits directly. However, we assist in preparing financial statements and organising documentation for a qualified, independent auditor to ensure compliance.
-
Who can perform an SMSF audit?
-
-
SMSF audits must be conducted by a registered SMSF auditor who is independent and not involved in the fund’s management. HelloLedger works with qualified, independent auditors to ensure compliance.
What documents do I need to provide for an SMSF audit?
You’ll need:
-
Financial statements and bank records.
-
Investment reports and asset valuations.
-
Trust deeds, investment strategies, and trustee minutes.
-
Records of all income and expenses
HelloLedger prepares and organises these records to ensure a smooth audit process.
-
What if my SMSF is newly established—does it need an audit?
-
-
Yes, all SMSFs, including newly established funds, must complete an audit before their first annual return can be lodged with the ATO.
What is the cost of an SMSF audit?
Audit costs vary depending on the size and complexity of the SMSF. HelloLedger provides connects you with independent auditors to keep costs manageable.