Elements and Performance Criteria

RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Trustee duties and responsibilities may include:
corporate duties as a director of a superannuation fund
managing assets of the trust
SIS compliance
SIS covenant duties and responsibilities
trust law duties and responsibilities
trustee liabilities.
Key issues in evaluating self-managed Superannuation applications, include:
adequacy of initial funds to set up self-managed superannuation fund
business acumen skills
estate planning
retirement planning
role of the adviser
taxation implications
trusteeship legal requirements.
Associated risks may include:
becoming non-compliant
investment risk
legislative risk.
Sources of information may include:
Australian Securities and Investments Commission (ASIC)
Australian Taxation Office (ATO)
courts
dealers
existing or proposed trust deeds
fund managers
industry bodies
legislation
licensees
professional associations
regulation
relevant Commonwealth, State and Territory government organisations
self-managed superannuation fund specialists.
Legislation may include, as amended:
anti-discrimination legislation
Corporations Act
Family Law Legislation Amendment Superannuation Act
Financial Services Reform Act (FSRA)
Income Tax Assessment Act
industrial legislation
Insurance Act
Privacy Act
Retirement Savings Account Act
stamp duty legislation
Superannuation (Resolution of Complaints) Act
Superannuation (Unclaimed Moneys and Lost Members) Act
Superannuation Contributions Tax (Assessment and Collection) Act (surcharge)
Superannuation Guarantee (Administration) Act (SGAA)
Superannuation Industry (Supervision) Act (SIS)
Superannuation Industry (Supervision) Regulations
Trade Practices legislation
Trustee Acts or Trust Acts in each State and Territory
other relevant State, Territory and Commonwealth legislation.
Regulator/s may include:
ASIC
ATO
Australian Prudential Regulatory Authority (APRA).
Consequences of becoming non-compliant may include:
criminal prosecution
loss of concessional taxation benefits
reduction of fund assets
SIS penalties.
Operational of trust deed may include:
categorisation of contributions
guidelines on empowering trustees to appoint services providers
guidelines on empowering trustees to invest in assets
guidelines on empowering trustees to make other payments
guidelines on how benefits are paid
guidelines on who can be members
rules regarding the appointment of trustees
rules to operate the trust.
Investment restrictions may include:
acquiring assets from 'related parties' of the fund
borrowing by superannuation funds
in-house assets
lending to members and their relatives
making and maintaining investment on an 'arms length' basis.
Allowable contributions may include:
age limitations on contributions
business real property
Capital Gains Tax (CGT) exempt contributions
child contributions
in specie contributions
mandated employer contributions
member contributions
member voluntary contributions
spouse contributions.
Deduction may include:
accountants' fees
auditors' fees
financial planning fees
insurance
investment manager fees
legal fees.
Credit may include:
foreign taxation credits
franking credits.
Income streams may include:
allocated pensions/allocated annuities
annuities
life expected/life time
non-complying income streams
pensions.

EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the ability to:
interpret and apply SIS preservation rules, ATO guidelines and legislation
determine client understating regarding self-managed superannuation funds
identify and explain relevant fund operational requirements and implication for contributions
identify and explain implications for fund income/assets and implications for benefits.

Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to organisation financial records
access to organisational policies and procedures.

Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:
evaluating an integrated activity, which combines the elements of competency for the unit, or a cluster of related units of competency
observing processes and procedures in workplaces
verbal or written questioning on underpinning knowledge and skills
evaluating samples of work
accessing and validating third party reports
setting and reviewing workplace business simulations or scenarios.

Guidance information for assessment