Unit of competency Outline

Date retreived
22/07/2026 4:58 PM AWST

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Establish and manage a trust account

Establish and manage a trust account

Unit of competency
National Code
BSBCNV506
State Code
AUL19
TGA Status
Replaced
DTWD Status
Transition (Replaced)
Current Release Number
1.00
Current Release Date
25/03/2015
View on TGA
State Implementation and Classification
Approved Date
15/09/2015
Field of Education
081105 - Investment And Securities
Original Release Date
15/09/2015
Nominal Hours
40
Description
This unit describes the skills and knowledge required to establish, manage and administer a trust or controlled money account in a conveyancing practice. It encompasses reviewing for compliance with trust account requirements, establishing and managing trust accounts, maintaining trust transaction records, and monitoring and reviewing trust accounts.It applies to individuals who use specialised knowledge and systematic approaches to analyse and manage financial information against specified criteria and compliance requirements.Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. Refer to the BSB Implementation Guide Companion Volume or the relevant regulator for specific guidance on requirements.
Notes
Elements and Performance Criteria
1 Review trust account for compliance with trust account requirements
  • 1.1 Clearly identify, accurately record and continuously update practice trust account requirements in line with relevant legislation and regulations
  • 1.2 Develop policies and procedures for accurate trust account-keeping which comply with trust account requirements, key principles of accounting and financial management, and legislative requirements
  • 1.3 Identify and apply criteria for evaluating electronic and manual trust accounting systems to ensure compliance with all trust account requirements
2 Establish and manage trust accounts
  • 2.1 Identify and access source documents for trust transactions in line with legislative requirements
  • 2.2 Produce documentation of trust records and transactions to give an accurate record of practice transactions on behalf of clients
  • 2.3 Ensure transactions are supported by appropriate authorisation and documentation and are in line with practice and legislative requirements
  • 2.4 Promptly and accurately record entries and transactions in line with relevant trust account requirements, and provide on demand as required
  • 2.5 Promptly follow up discrepancies in entries or documentation to ensure clarification or resolution and report to relevant authorities where necessary
  • 2.6 Check audit and security arrangements to ensure they provide adequate protection for client confidentiality and client funds held in trust
3 Manage and control trust accounts
  • 3.1 Authorise and manage disbursements between trust and office accounts within agreed practice protocols and legislative requirements
  • 3.2 Make appropriate arrangements with third parties and other professionals to ensure that practice trust accounts comply with legislative requirements
  • 3.3 Disseminate or make readily available practice trust administration policies and procedures to relevant staff in line with practice and legislative requirements
  • 3.4 Provide ongoing training for relevant practice staff to ensure efficient operation of trust accounts and financial and IT systems, and compliance with practice and legislative requirements
  • 3.5 Develop and implement procedures for monitoring records and ensuring the security of trust account records
4 Monitor and review trust accounts
  • 4.1 Regularly review documentation and other reporting requirements for compliance with legislative requirements
  • 4.2 Regularly check and monitor trust account entries and transactions to ensure compliance with practice and legislative requirements
  • 4.3 Monitor trust account transactions to ensure appropriate authorisation is obtained prior to any disbursements
5 Authorise and verify trust accounts
  • 5.1 Verify periodic reconciliation in compliance with legislative requirements
  • 5.2 Prepare and discuss periodic financial reports with clients to ensure continued accuracy
  • 5.3 Maintain records for convenience and proper auditing
  • 5.4 Meet legislative audit requirements
No information
No information
Replaces
State Code National Code Title Type
D4079 FNSCNV506A Establish and manage a trust account Unit of competency
Replaced By
State Code National Code Title Type
OCG34 BSBCNV614 Apply principles of trust accounting Unit of competency