Unit of Competency Mapping – Information for Teachers/Assessors – Information for Learners

FNSSMS603 Mapping and Delivery Guide
Apply legislative and operational requirements to advising in self-managed superannuation funds

Version 1.0
Issue Date: May 2024


Qualification -
Unit of Competency FNSSMS603 - Apply legislative and operational requirements to advising in self-managed superannuation funds
Description
Employability Skills
Learning Outcomes and Application This unit covers the skills and knowledge required to advise clients on the legislative and operational requirements of a self-managed superannuation fund and the responsibilities of a client (trustee).It applies to individuals who maintain current legislative and specialised industry knowledge to respond to enquiries and assist clients with complex needs and requirements.Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. Refer to the FNS Implementation Guide Companion Volume or the relevant regulator for specific guidance on requirements.
Duration and Setting X weeks, nominally xx hours, delivered in a classroom/online/blended learning setting.

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the self-managed superannuation field of work and include access to:

organisation financial records

organisational policy and procedures

common office equipment, technology, industry software packages and consumables.

Assessors must satisfy NVR/AQTF assessor requirements.
Prerequisites/co-requisites
Competency Field
Development and validation strategy and guide for assessors and learners Student Learning Resources Handouts
Activities 		Slides
PPT 		Assessment 1 Assessment 2 Assessment 3 Assessment 4
Elements of Competency Performance Criteria              
Element: Establish knowledge of client regarding self-managed superannuation funds
  • Advise client on features, structures and operations of self-managed superannuation fund
  • Inform client of roles played by trustee, specialist advisers and regulators
  • Inform client of process to appoint trustees and explain trustee duties, responsibilities and liabilities
  • Advise client of key issues and associated risks to be considered when evaluating self-managed superannuation fund applications
  • Advise client of steps required to establish self-managed superannuation fund
  • Explain to client process of winding up self-managed superannuation fund
       
Element: Advise client on relevant legislative requirements
  • Identify sources of legislative information appropriate to self-managed superannuation funds
  • Advise client on legislative requirements that apply to self-managed superannuation fund
  • Advise client of role of principal regulator in managing self-managed superannuation funds
  • Inform client of ongoing legislative requirements to maintain compliant self-managed superannuation fund
  • Inform client of consequences of self-managed superannuation fund becoming non-compliant
       
Element: Advise client on relevant operational requirements
  • Identify sources of operational information appropriate to self-managed superannuation funds
  • Advise on operational requirements that apply to client
  • Inform client regarding operation of trust deeds and ongoing deed amendment
  • Advise client of requirements for establishing investment strategy, considering investment restrictions for self-managed superannuation fund
  • Advise client of application of Superannuation Industry (Supervision) (SIS) Act preservation rules on fund monies
       
Element: Identify and explain implications for contributions to client
  • Advise client on regulations regarding eligibility to contribute to self-managed superannuation fund
  • Advise client on contribution rules, including in specie contributions of business real property
  • Advise client on allocation of contributions to individual member accounts
  • Advise client to seek advice for higher level, specialist and/or comprehensive advice if required
       
Element: Identify and explain implications for benefits to client
  • Explain requirements for accessing assets in self-managed superannuation funds for payments of benefits to client
  • Explain key features, characteristics and risks of different types of self-managed superannuation fund income streams to client
  • Explain process of setting up income stream from self-managed superannuation fund to client
  • Explain calculation and operation of member accounts in both accumulation and pension phases to client
  • Inform client of treatment of death benefits, including lump sum and pension issues
       


Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Establish knowledge of client regarding self-managed superannuation funds

1.1 Advise client on features, structures and operations of self-managed superannuation fund

1.2 Inform client of roles played by trustee, specialist advisers and regulators

1.3 Inform client of process to appoint trustees and explain trustee duties, responsibilities and liabilities

1.4 Advise client of key issues and associated risks to be considered when evaluating self-managed superannuation fund applications

1.5 Advise client of steps required to establish self-managed superannuation fund

1.6 Explain to client process of winding up self-managed superannuation fund

2. Advise client on relevant legislative requirements

2.1 Identify sources of legislative information appropriate to self-managed superannuation funds

2.2 Advise client on legislative requirements that apply to self-managed superannuation fund

2.3 Advise client of role of principal regulator in managing self-managed superannuation funds

2.4 Inform client of ongoing legislative requirements to maintain compliant self-managed superannuation fund

2.5 Inform client of consequences of self-managed superannuation fund becoming non-compliant

3. Advise client on relevant operational requirements

3.1 Identify sources of operational information appropriate to self-managed superannuation funds

3.2 Advise on operational requirements that apply to client

3.3 Inform client regarding operation of trust deeds and ongoing deed amendment

3.4 Advise client of requirements for establishing investment strategy, considering investment restrictions for self-managed superannuation fund

3.5 Advise client of application of Superannuation Industry (Supervision) (SIS) Act preservation rules on fund monies

4. Identify and explain implications for contributions to client

4.1 Advise client on regulations regarding eligibility to contribute to self-managed superannuation fund

4.2 Advise client on contribution rules, including in specie contributions of business real property

4.3 Advise client on allocation of contributions to individual member accounts

4.4 Advise client to seek advice for higher level, specialist and/or comprehensive advice if required

5. Identify and explain implications for benefits to client

5.1 Explain requirements for accessing assets in self-managed superannuation funds for payments of benefits to client

5.2 Explain key features, characteristics and risks of different types of self-managed superannuation fund income streams to client

5.3 Explain process of setting up income stream from self-managed superannuation fund to client

5.4 Explain calculation and operation of member accounts in both accumulation and pension phases to client

5.5 Inform client of treatment of death benefits, including lump sum and pension issues

Evidence of the ability to:

use effective communication and interpersonal skills to advise clients on the legislative and operational requirements to be considered for their self-managed superannuation funds including:

establishment and winding up

role and responsibilities of trustee.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

To complete the unit requirements safely and effectively, the individual must:

interpret and describe the application of Superannuation Industry (Supervision) (SIS) preservation rules and Australian Taxation Office (ATO) guidelines

outline the features, structure and operation of self-managed superannuation funds

establish the investment strategy for a self-managed superannuation fund

analyse and discuss the key issues to consider when evaluating self-managed superannuation funds

identify and interpret the legislative requirements to maintain a self-managed superannuation fund

describe the operations of trust deed and ongoing deed amendments

evaluate special self-managed superannuation fund investment strategies, including borrowing and lending restrictions

analyse the sole purpose test relating to appropriate and inappropriate self-managed superannuation fund investments

describe the steps required to establish a self-managed superannuation fund

discuss the winding up of a self-managed superannuation fund and transfer of benefits.

Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assignment, checklist) and due date here

Assessment task 1: [title]      Due date:

(add new lines for each of the assessment tasks)

Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Establish knowledge of client regarding self-managed superannuation funds

1.1 Advise client on features, structures and operations of self-managed superannuation fund

1.2 Inform client of roles played by trustee, specialist advisers and regulators

1.3 Inform client of process to appoint trustees and explain trustee duties, responsibilities and liabilities

1.4 Advise client of key issues and associated risks to be considered when evaluating self-managed superannuation fund applications

1.5 Advise client of steps required to establish self-managed superannuation fund

1.6 Explain to client process of winding up self-managed superannuation fund

2. Advise client on relevant legislative requirements

2.1 Identify sources of legislative information appropriate to self-managed superannuation funds

2.2 Advise client on legislative requirements that apply to self-managed superannuation fund

2.3 Advise client of role of principal regulator in managing self-managed superannuation funds

2.4 Inform client of ongoing legislative requirements to maintain compliant self-managed superannuation fund

2.5 Inform client of consequences of self-managed superannuation fund becoming non-compliant

3. Advise client on relevant operational requirements

3.1 Identify sources of operational information appropriate to self-managed superannuation funds

3.2 Advise on operational requirements that apply to client

3.3 Inform client regarding operation of trust deeds and ongoing deed amendment

3.4 Advise client of requirements for establishing investment strategy, considering investment restrictions for self-managed superannuation fund

3.5 Advise client of application of Superannuation Industry (Supervision) (SIS) Act preservation rules on fund monies

4. Identify and explain implications for contributions to client

4.1 Advise client on regulations regarding eligibility to contribute to self-managed superannuation fund

4.2 Advise client on contribution rules, including in specie contributions of business real property

4.3 Advise client on allocation of contributions to individual member accounts

4.4 Advise client to seek advice for higher level, specialist and/or comprehensive advice if required

5. Identify and explain implications for benefits to client

5.1 Explain requirements for accessing assets in self-managed superannuation funds for payments of benefits to client

5.2 Explain key features, characteristics and risks of different types of self-managed superannuation fund income streams to client

5.3 Explain process of setting up income stream from self-managed superannuation fund to client

5.4 Explain calculation and operation of member accounts in both accumulation and pension phases to client

5.5 Inform client of treatment of death benefits, including lump sum and pension issues

Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.

Observation Checklist

Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice Yes No Comments/feedback
Advise client on features, structures and operations of self-managed superannuation fund 
Inform client of roles played by trustee, specialist advisers and regulators 
Inform client of process to appoint trustees and explain trustee duties, responsibilities and liabilities 
Advise client of key issues and associated risks to be considered when evaluating self-managed superannuation fund applications 
Advise client of steps required to establish self-managed superannuation fund 
Explain to client process of winding up self-managed superannuation fund 
Identify sources of legislative information appropriate to self-managed superannuation funds 
Advise client on legislative requirements that apply to self-managed superannuation fund 
Advise client of role of principal regulator in managing self-managed superannuation funds 
Inform client of ongoing legislative requirements to maintain compliant self-managed superannuation fund 
Inform client of consequences of self-managed superannuation fund becoming non-compliant 
Identify sources of operational information appropriate to self-managed superannuation funds 
Advise on operational requirements that apply to client 
Inform client regarding operation of trust deeds and ongoing deed amendment 
Advise client of requirements for establishing investment strategy, considering investment restrictions for self-managed superannuation fund 
Advise client of application of Superannuation Industry (Supervision) (SIS) Act preservation rules on fund monies 
Advise client on regulations regarding eligibility to contribute to self-managed superannuation fund 
Advise client on contribution rules, including in specie contributions of business real property 
Advise client on allocation of contributions to individual member accounts 
Advise client to seek advice for higher level, specialist and/or comprehensive advice if required 
Explain requirements for accessing assets in self-managed superannuation funds for payments of benefits to client 
Explain key features, characteristics and risks of different types of self-managed superannuation fund income streams to client 
Explain process of setting up income stream from self-managed superannuation fund to client 
Explain calculation and operation of member accounts in both accumulation and pension phases to client 
Inform client of treatment of death benefits, including lump sum and pension issues 

Forms

Assessment Cover Sheet

FNSSMS603 - Apply legislative and operational requirements to advising in self-managed superannuation funds
Assessment task 1: [title]

Student name:

Student ID:

I declare that the assessment tasks submitted for this unit are my own work.

Student signature:

Result: Competent Not yet competent

Feedback to student

 

 

 

 

 

 

 

 

Assessor name:

Signature:

Date:

Assessment Record Sheet

FNSSMS603 - Apply legislative and operational requirements to advising in self-managed superannuation funds

Student name:

Student ID:

Assessment task 1: [title] Result: Competent Not yet competent

(add lines for each task)

Feedback to student:

 

 

 

 

 

 

 

 

Overall assessment result: Competent Not yet competent

Assessor name:

Signature:

Date:

Student signature:

Date: