Tips to Ensure Your Self-Managed Super Funds Comply with Audit Regulations
Posted by Atlas Auditing on November 24th, 2020
Many companies offer their own pension plan, often known as Self-Managed Super Funds. Before we understand how these funds are audit-ready, let’s understand what exactly SMSFs are. Self-Managed Super Funds are basically a superannuation structure that is meant to benefit members of a trust, once they retire. With one to four members, SMSFs primarily differ from other funds in that its members itself are the trustees and have maximum control on the fund.
Similar to any other kind of fund, an SMSF must also be audited annually by a registered SMSF Auditor, and ensure the accounts are accurate and that they have been handled as per superannuation rules. Here are a few tips to ensure your SMSF accounts are audit-compliant:
1. Maintain all requisite audit papers
In preparation for a Self-managed super fund audit, make sure you do the following:
2. Keep all accounts books in order
While conducting an SMSF Audit in Australia, the bare minimum that auditors will verify, include values of investment and other financial assets, through share scripts, actuarial certificates and valuation reports. Ownership is also verified. So an SMSF Audit in Brisbane, for example, will want check property title deeds or dividend receipts while confirming that all assets are in the fund’s name or the trustees’ name.
3. The five compliance areas are adhered
Any registered body conducting and SMSF Audit in Gold Coast, just like in the rest of Australia, must be able to state that the fund satisfies five compliance areas:
4. Be aware of what happens when there is a compliance breach
It’s good to know what happens if a self-managed super fund audit reveals a breach in compliance. If a registered SMSF auditor identifies a compliance breach, it notifies all the SMSF trustee members of each non-compliance instance according to regulations of SMSF audit in Australia. It also notifies the Australian Taxation Office (ATO) of the same, with regard to any SMSF audits in Brisbane or any other part of Australia.
When you conduct an SMSF audit in Gold Coast, Perth, Brisbane or any Australian city for that matter, make sure you contact a registered SMSF auditor who could even guide you with self-managed super fund audit checklists. This will help you prepare all the necessary documents in advance so that there is lower chance of any compliance breach. Of course, apart from verifying compliance, the audit also ensures that the activities of the SMSF are being conducted effectively and to the benefit of its members.
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About the AuthorAtlas Auditing
Joined: November 24th, 2020
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