Not The Farm. — The Farm & SMSF Calculator

Does it even qualify?

Chapters 1 to 3. If this section fails, nothing else on this page matters.

Total land area hectares

House, garden, private area hectares

A genuine primary production business ABN, records, real revenue, intent to profit — not a hobby or a lifestyle block. Tested against TR 97/11.

A member will live in the farmhouse Only permitted if the property qualifies, at market rent, under a proper lease.

The deal

Combined super balance all members

Purchase price

LVR % — rural runs 50–70

Rate %

Term years

Extra a year

Stamp duty $0 if exempt — ch.10

Legal, bare trust, valuation

The two rents

Land lease, a year to the farming entity

Farmhouse, a year at market

Fund running costs a year

Does it stack up?

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Cover ratio — rent divided by the repayment

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Farm your balance could buy

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Out of the fund

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Buffer left

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Loan gone in

Loan down to zero

Grey is the minimum repayment. Orange is with your extra each year.

The bad season test

Chapter 14. Rent cut in half for two years while the loan keeps running.

Rent reduced to % of normal

For how many years

Cover ratio by LVR

Chapter 5. Farmland yields less than commercial, so the ratios are tighter. Most farm deals get done between 45% and 55%.

What each LVR does

LVR	Loan	Repayment	Cover

Paying it down

Extra a year	Cleared in	Interest saved

Twenty-five years, honestly

Chapter 8. Against simply leaving the money in a large fund. Farmland growth is the variable that decides it.

Assumptions

Contributions a year

Idle cash earns %

Large fund returns % before fees

Large fund fee %

Fund after 25 years

Farmland growth	Your fund	Verdict

Before you offer on anything. This is arithmetic, not advice. It cannot tell you whether the property is business real property under section 66 — only a solicitor can, in writing, and if it isn't then none of these numbers exist. It also can't see your titles, your water entitlements, the duty position in your state, or whether the small business CGT concessions apply to the seller. Take the questions in Appendix B to an SMSF-specialist accountant and a rural solicitor.