Unit of competency Outline
Date retreived
23/07/2026 12:14 AM AWST
23/07/2026 12:14 AM AWST
Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.
Establish and manage agency trust accounts
Establish and manage agency trust accounts
Unit of competency
National Code
CPPDSM4006A
CPPDSM4006A
State Code
D1251
D1251
TGA Status
Replaced
Replaced
DTWD Status
Replaced
Replaced
State Implementation and Classification
Approved Date
15/09/2014
Field of Education
081105 - Investment And Securities
Original Release Date
15/09/2014
Nominal Hours
60
Description
This unit of competency specifies the outcomes required to establish and manage trust accounts in an agency context. It includes reviewing agency accounts for compliance with trust account requirements, establishing and managing trust accounts, maintaining records of trust transactions, and monitoring and reviewing trust accounts.The unit may form part of the licensing requirements for persons engaged in real estate activities in those States and Territories where these are regulated activities.
Notes
Elements and Performance Criteria
1Review agency trust accounts for compliance with trust account requirements.
- 1.1 Agency trust account requirements are clearly identified, accurately recorded and continuously updated in line with relevant legislation and regulations.1.2 Policies and procedures for accurate trust account keeping are developed which comply with trust account requirements, key principles of accounting and financial management, agency practice and legislative requirements.
- 1.3 Criteria for evaluatingelectronic and manual trust accounting systems are identified and applied to ensure compliance with all trust account requirements.
2 Establish and maintain trust accounts.
- 2.1 Source documents for trust transactions are identified and accessed in line with legislative requirements.2.2 Documentation of trust records and transactions are produced to give an accurate record of agency transactions on behalf of clients.2.3 Transactions are supported by appropriate authorisation and documentation and are in line with agency practice and legislative requirements.2.4 Entries and transactions are promptly and accurately recorded in line with relevant trust account requirements and agency requirements, and can be provided on demand.2.5 Discrepancies in entries or documentation are promptly followed up to ensure clarification or resolution and are reported to relevant authorities where necessary.2.6 Audit and security arrangements are checked to ensure they provide adequate protection for client confidentiality and client funds held in trust.
3Manage and control trust accounts.
- 3.1 Disbursements to and from trust accounts are authorised and managed within agreed agency protocols and legislative requirements.3.2 Appropriate arrangements are made with third parties and other professionals to ensure that agency trust accounts comply with legislative requirements.3.3 Agency trust administration policies and procedures are disseminated or made readily available to relevant staff in line with agency practice and legislative requirements.3.4 Ongoing training of relevant agency staff is provided to ensure efficient operation of trust accounts and financial and IT systems, and compliance with agency practice and legislative requirements.
- 3.5 Procedures for monitoring records and ensuring the security of trust account records are developed and implemented.
4Monitor and review trust accounts.
- 4.1 Documentation and other reporting requirements are regularly reviewed for compliance with legislative requirements.4.2 Trust account entries and transactions are regularly checked and monitored to ensure compliance with agency practice and legislative requirements.4.3 Trust account transactions are monitored to ensure appropriate authorisation is obtained prior to any disbursements.
5Authorise and verify trust accounts.
- 5.1 Periodic reconciliation is verified by licensee in charge, in compliance with legislative requirements.5.2 Periodic financial reports are prepared and discussed with clients to ensure their continued accuracy.5.3 Records are maintained to enable them to be conveniently and properly audited.5.4 Legislative audit requirements are met.
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 in the performance criteria is detailed below. Add any 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.
Agency trust account requirements include:
audit and accounting requirements
client confidentiality
client instructions, expectations and needs
compliance of financial and IT systems and technology with relevant legislation and regulations
disclosure and reporting requirements
financial and IT systems and technology
relevant regulations and legislation regarding:
claiming commission
advertising reimbursement
administration fees
taxation and financial fees and charges.
Criteria for evaluating electronic and manual trust accounting systems must take into account the following factors:
administrative systems
Australian accounting standards and codes of practice
disclosure and reporting requirements
electronic funds management, including transfer, deposit and verification
ethical requirements
legislative and regulatory requirements:
at a minimum must provide monthly reconciliations
backup and off-site storage of hard copy available in English
must allow minimum monthly balance
office routines
security requirements
trust account procedures.
Source documents may include:
cheque butts
cheque register
contractor invoices
deposit slip duplicates
legal documentation - cooling off notification, early deposit release notification and settlement documentation
listing authorities
receipt duplicates
receipt registers
securities register
unclaimed moneys register.
Trust records may include:
account balance statements
account sales
bank reconciliation statements
rental statements
rescission statements
transfer journal
trust cash payments journal
trust cash receipts journal
trust ledger.
Transactions may include:
electronic, computerised or manual entries or processes
property management or property sales.
Discrepancies may include:
details of transactions, including insufficient or incorrect data on source documents
monetary, including:
claiming of entitlements
fraud
inadvertent bank charges
unclaimed moneys
timing, including:
audit reports
banking
claiming of entitlements
reconciling.
Relevant authorities may include:
agency principal
licensed real estate agent
office manager
regulatory authorities.
Security arrangements may include:
backup
physical and electronic storage of trust account records.
Disbursements may include:
account sales statements
agency entitlements, including:
advertising reimbursements
commission
contractor payments
letting fees
statement fees
fund remittances
rental or landlord statements.
Third parties and other professionals may include:
auditors
bookkeepers and accountants
industry associations
IT professionals
solicitors.
Periodic reconciliations may include:
as required by legislation
daily or monthly
quarterly.
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 in the performance criteria is detailed below. Add any 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.
Agency trust account requirements include:
audit and accounting requirements
client confidentiality
client instructions, expectations and needs
compliance of financial and IT systems and technology with relevant legislation and regulations
disclosure and reporting requirements
financial and IT systems and technology
relevant regulations and legislation regarding:
claiming commission
advertising reimbursement
administration fees
taxation and financial fees and charges.
Criteria for evaluating electronic and manual trust accounting systems must take into account the following factors:
administrative systems
Australian accounting standards and codes of practice
disclosure and reporting requirements
electronic funds management, including transfer, deposit and verification
ethical requirements
legislative and regulatory requirements:
at a minimum must provide monthly reconciliations
backup and off-site storage of hard copy available in English
must allow minimum monthly balance
office routines
security requirements
trust account procedures.
Source documents may include:
cheque butts
cheque register
contractor invoices
deposit slip duplicates
legal documentation - cooling off notification, early deposit release notification and settlement documentation
listing authorities
receipt duplicates
receipt registers
securities register
unclaimed moneys register.
Trust records may include:
account balance statements
account sales
bank reconciliation statements
rental statements
rescission statements
transfer journal
trust cash payments journal
trust cash receipts journal
trust ledger.
Transactions may include:
electronic, computerised or manual entries or processes
property management or property sales.
Discrepancies may include:
details of transactions, including insufficient or incorrect data on source documents
monetary, including:
claiming of entitlements
fraud
inadvertent bank charges
unclaimed moneys
timing, including:
audit reports
banking
claiming of entitlements
reconciling.
Relevant authorities may include:
agency principal
licensed real estate agent
office manager
regulatory authorities.
Security arrangements may include:
backup
physical and electronic storage of trust account records.
Disbursements may include:
account sales statements
agency entitlements, including:
advertising reimbursements
commission
contractor payments
letting fees
statement fees
fund remittances
rental or landlord statements.
Third parties and other professionals may include:
auditors
bookkeepers and accountants
industry associations
IT professionals
solicitors.
Periodic reconciliations may include:
as required by legislation
daily or monthly
quarterly.
EVIDENCE GUIDE
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, the range statement and the Assessment Guidelines for this Training Package.
Overview of assessment
This unit of competency could be assessed through practical demonstration of administering and managing agency trust accounts. Targeted written (including alternative formats where necessary) or verbal questioning to assess the candidate's underpinning knowledge would provide additional supporting evidence of competence. The demonstration and questioning would include collecting evidence of the candidate's knowledge and application of ethical standards and relevant federal, and state or territory legislation and regulations. This assessment may be carried out in a simulated or workplace environment.
Critical aspects for assessment and evidence required to demonstrate competency in this unit
A person who demonstrates competency in this unit must be able to provide evidence of:
application and knowledge of agency policies and procedures associated with trust accounts
application of financial management and accounting principles and knowledge
commitment to client service and maintenance of client confidentiality
establishing and managing agency trust accounts
knowledge of agency practice, ethical standards and legislative requirements for the operation of agency trust accounts
complying with legislative requirements for the operation and auditing of agency trust accounts
maintaining records of trust transactions
monitoring and reviewing agency trust accounts
reviewing agency trust accounts for compliance with legislative requirements.
Context of and specific resources for assessment
Resource implications for assessment include:
access to suitable simulated or real opportunities and resources to demonstrate competence
assessment instruments that may include personal planner and assessment record book
access to a registered provider of assessment services.
Where applicable, physical resources should include equipment modified for people with disabilities.
Access must be provided to appropriate learning and/or assessment support when required.
Assessment processes and techniques must be culturally appropriate, and appropriate to the language and literacy capacity of the candidate and the work being performed.
Validity and sufficiency of evidence require that:
competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace
where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice with a decision of competence only taken at the point when the assessor has complete confidence in the person's competence
all assessment that is part of a structured learning experience must include a combination of direct, indirect and supplementary evidence
where assessment is for the purpose of recognition (RCC/RPL), the evidence provided will need to be current and show that it represents competency demonstrated over a period of time
assessment can be through simulated project-based activity and must include evidence relating to each of the elements in this unit.
In all cases where practical assessment is used it will be combined with targeted questioning to assess the underpinning knowledge. Questioning will be undertaken in such a manner as is appropriate to the language and literacy levels of the candidate and any cultural issues that may affect responses to the questions, and will reflect the requirements of the competency and the work being performed.
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, the range statement and the Assessment Guidelines for this Training Package.
Overview of assessment
This unit of competency could be assessed through practical demonstration of administering and managing agency trust accounts. Targeted written (including alternative formats where necessary) or verbal questioning to assess the candidate's underpinning knowledge would provide additional supporting evidence of competence. The demonstration and questioning would include collecting evidence of the candidate's knowledge and application of ethical standards and relevant federal, and state or territory legislation and regulations. This assessment may be carried out in a simulated or workplace environment.
Critical aspects for assessment and evidence required to demonstrate competency in this unit
A person who demonstrates competency in this unit must be able to provide evidence of:
application and knowledge of agency policies and procedures associated with trust accounts
application of financial management and accounting principles and knowledge
commitment to client service and maintenance of client confidentiality
establishing and managing agency trust accounts
knowledge of agency practice, ethical standards and legislative requirements for the operation of agency trust accounts
complying with legislative requirements for the operation and auditing of agency trust accounts
maintaining records of trust transactions
monitoring and reviewing agency trust accounts
reviewing agency trust accounts for compliance with legislative requirements.
Context of and specific resources for assessment
Resource implications for assessment include:
access to suitable simulated or real opportunities and resources to demonstrate competence
assessment instruments that may include personal planner and assessment record book
access to a registered provider of assessment services.
Where applicable, physical resources should include equipment modified for people with disabilities.
Access must be provided to appropriate learning and/or assessment support when required.
Assessment processes and techniques must be culturally appropriate, and appropriate to the language and literacy capacity of the candidate and the work being performed.
Validity and sufficiency of evidence require that:
competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace
where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice with a decision of competence only taken at the point when the assessor has complete confidence in the person's competence
all assessment that is part of a structured learning experience must include a combination of direct, indirect and supplementary evidence
where assessment is for the purpose of recognition (RCC/RPL), the evidence provided will need to be current and show that it represents competency demonstrated over a period of time
assessment can be through simulated project-based activity and must include evidence relating to each of the elements in this unit.
In all cases where practical assessment is used it will be combined with targeted questioning to assess the underpinning knowledge. Questioning will be undertaken in such a manner as is appropriate to the language and literacy levels of the candidate and any cultural issues that may affect responses to the questions, and will reflect the requirements of the competency and the work being performed.
Replaced By
| State Code | National Code | Title | Type |
|---|---|---|---|
| OAQ95 | CPPREP4005 | Prepare to work with real estate trust accounts | Unit of competency |
| State Code | National Code | Title | Type |
|---|---|---|---|
| D229 | CPP50307 | Diploma of Property Services (Agency Management) | Qualification |
| D224 | CPP40507 | Certificate IV in Property Services (Business Broking) | Qualification |
| W625 | CPP50409 | Diploma of Property Services (Business Broking) | Qualification |
| W975 | CPP40611 | Certificate IV in Property Services (Operations) | Qualification |
| D222 | CPP40307 | Certificate IV in Property Services (Real Estate) | Qualification |
| D223 | CPP40407 | Certificate IV in Property Services (Stock and Station Agency) | Qualification |