To complete the unit requirements safely and effectively, the individual must:
explain debt management including:
responsible use of credit
advantages of debit cards
consequences of debt default
attitude towards credit and spending
options for debt repayment
describe employee entitlements under:
Fair Work Act
equal opportunity legislation
Superannuation Act
Income Tax Assessment Act
Taxation Administration Regulations
describe how to find out about pay rates
explain how to establish and maintain a good credit history
explain the importance of saving money as a concept to assist and improve a life situation
outline insurance matters:
value of insurance
disclosure obligations
suitable insurance cover for personal income, trade tools, house, car and health
describe personal implications of taxation matters including:
role of the Australian Taxation Office and why tax is paid on income
personal tax liabilities and allowable deductions
tax rates
lodgement dates
awareness of goods and services tax (GST), pay as you go tax (PAYG), Australian business number (ABN), tax file number (TFN) and business activity statements (BAS)
explain principles of budgeting, cash flow and saving including:
role of credit and savings in establishing personal wealth
understanding of financial institutions and their savings, investment and credit products
describe personal financial aspects of:
bank accounts including savings, credit and investment
insurance cover for health, car, phone, warranty, tools, household and income protection
contracts including phones, data, tenancy and finance
explain superannuation matters including:
types of funds – retail versus industry
fund options – death or total and permanent disability (TPD) insurance
planning for the future
power of compound interest
superannuation guarantee
co-contributions
personal contributions
fees and charges
value of consolidating super funds
locating lost super.