On successful completion of the course, students should be able to:

• Identify the different types of superannuation funds that exist and list the advantages and disadvantages of SMSFs
• Explain the requirements to operate an SMSF, including the trustee structure, requirements of the trust deed and a trustee’s responsibilities.
• Outline the key requirements of trustees preparing and maintaining a fund’s investment strategy
• Explain the investment restrictions imposed on how a trustee can invest within a SMSF
• Explain the different types of contributions that can be made into superannuation and the limitation in making contributions.
• Outline the different types of pensions that can be paid from a SMSF and how benefits can generally be paid to a fund member.
• Describe the taxation issues specific to SMSFs, including the different tax rates and exemptions that apply within a fund
• Explain the different statutory requirements that a trustee must adhere to in running a SMSF.

This module covers:

• The regulation of Australia’s superannuation system
• The three pillars of superannuation in Australia
• The different types of super funds that exist in Australia
• The key features and regulation of self-managed super funds
• The definition of a self-managed super fund
• How a SMSF operates through the requirements of its trust deed and key super laws including the sole purpose test and residency rules

This module covers:

• What is an investment strategy?
• The requirements of an SMSF investment strategy
• How an SMSF can invest and acquire assets
• What investment restrictions exist within the super laws
• Some exceptions that exist to allow certain investments within a SMSF
• The arm’s length basis dealings requirements

This module covers:

• What is a contribution, the eligibility requirements and how contributions can be made into super
• The types of contributions that can be made
• How a member’s total superannuation balance impacts them making contributions
• Meeting the work test and work test exemption requirements for a member to make a contribution
• The timing of contributions be made into super
• The contribution caps, the operation of the bring-forward rule and the ability to split contributions with a spouse
• Dealing with excess contributions
• Other types of contributions that can be made into super

This module covers:

• The preservation rules, preservation age and conditions of release
• How benefits can be paid, including lump sums and super income streams
• The types of pensions that can be paid within a SMSF
• Account Based Pension requirements, including commutation rules
• Transition to Retirement Income Stream rules
• Understanding the legacy pensions that continue to be paid from SMSFs
• Understanding how a pension can cease
• The transfer balance cap, transfer balance account and exceeding the transfer balance cap

This module covers:

• What type of contributions are assessable and the tax treatment of concessional contributions
• Dealing with excess contributions, understanding contributions are assessable and how Division 293 tax applies for high income earners
• The capital gains tax rules that apply to super funds, including CGT transitional relief and trading stock exemption
• The types of income the fund might generate that are assessable
• Tax deductions, including when a fund can claim and the deductibility of expenses
• How the non-arm’s length income (NALI) provisions apply to a fund’s income and expenditure
• How tax exemption applies to income supporting pensions in the retirement phase, including the methods in calculating ECPI
• How the GST rules apply within SMSFs
• How the tax laws apply to member benefits paid as a lump sum, income stream or in the event of a member’s death

This module covers:

• The financial reporting requirements for SMSFs
• The appointment and role of the SMSF Auditor and lodgement of the SMSF Annual Return, inclusive of the supervisory levy
• The various record-keeping requirements and reporting obligations for SMSFs
• The obligations of Transfer Balance Cap Reporting of member events within a SMSF
• The responsibilities of reporting for activity statements, along with PAYG instalments and withholding
• How the SuperStream rules apply with SMSFs
• How the Regulator deals with non-compliance
• How to wind-up a SMSF

This module covers:

• Super does not form part of an estate
• Compulsory cashing rules on death
• Who can be paid a super death benefit?
• Who is a dependant?
• Death Benefit Nominations
• What happens if a Binding Death Benefit Nomination is invalid?
• How can a death benefit be paid?
• Governing rules – death benefit payments
• What happens when a member dies who is receiving an income stream?
• Death benefit rollovers
• Appointing a new trustee