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Evidence Guide: FNSFLT204A - Develop understanding of superannuation

Student: __________________________________________________

Signature: _________________________________________________

Tips for gathering evidence to demonstrate your skills

The important thing to remember when gathering evidence is that the more evidence the better - that is, the more evidence you gather to demonstrate your skills, the more confident an assessor can be that you have learned the skills not just at one point in time, but are continuing to apply and develop those skills (as opposed to just learning for the test!). Furthermore, one piece of evidence that you collect will not usualy demonstrate all the required criteria for a unit of competency, whereas multiple overlapping pieces of evidence will usually do the trick!

From the Wiki University

 

FNSFLT204A - Develop understanding of superannuation

What evidence can you provide to prove your understanding of each of the following citeria?

Identify and discuss the role of long term versus short term investments

  1. The role of savings and investments at different points of people's life cycle are explored and discussed
  2. The savings and investment patterns of Australia, population growth, ageing and other countries, are analysed, compared and discussed
  3. The purpose and characteristics of a range of savings and investment vehicles used for short and long term savings and investment are analysed, compared and discussed
The role of savings and investments at different points of people's life cycle are explored and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

The savings and investment patterns of Australia, population growth, ageing and other countries, are analysed, compared and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

The purpose and characteristics of a range of savings and investment vehicles used for short and long term savings and investment are analysed, compared and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and discuss the contemporary superannuation environment in Australia

  1. The purposes and benefits of superannuation as part of a long term investment strategy to support people in retirement are identified, analysed and discussed
  2. Basic terminology used for clients of the superannuation industry and the characteristics of superannuation in Australia are analysed and discussed
  3. The role of regulators and trustees in the management of the Australian superannuation industry are identified and discussed
  4. Sources for ongoing information about superannuation in Australia are identified, accessed and their uses discussed
The purposes and benefits of superannuation as part of a long term investment strategy to support people in retirement are identified, analysed and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Basic terminology used for clients of the superannuation industry and the characteristics of superannuation in Australia are analysed and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

The role of regulators and trustees in the management of the Australian superannuation industry are identified and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Sources for ongoing information about superannuation in Australia are identified, accessed and their uses discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Analyse the characteristics and structures of superannuation funds

  1. Types of superannuation schemes and fund managers are identified and compared
  2. Common investment objectives and the role of death benefits within superannuation schemes and their related strategies are identified and discussed
  3. The role and nature of preserved and non-preserved components of superannuation funds are identified and discussed
  4. The common costs of administering and managing superannuation funds are identified and discussed
  5. A cross-section of superannuation funds' performance over time is analysed, compared and the variables that contributed to performance are analysed and discussed
Types of superannuation schemes and fund managers are identified and compared

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Common investment objectives and the role of death benefits within superannuation schemes and their related strategies are identified and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

The role and nature of preserved and non-preserved components of superannuation funds are identified and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

The common costs of administering and managing superannuation funds are identified and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

A cross-section of superannuation funds' performance over time is analysed, compared and the variables that contributed to performance are analysed and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Foster the active management of superannuation funds

  1. The importance and means of checking superannuation Statements for accuracy are identified and discussed
  2. Techniques for analysing the performance, rate of return, government taxes and other costs are identified, practised and discussed
  3. The government regulated minimum age when superannuation benefits can be accessed, and the regulation's impact, are identified and discussed
  4. The range of structures and techniques for the utilisation of superannuation funds on retirement are identified, analysed and discussed
  5. Mechanisms to gain information about a superannuation fund, track lost superannuation contributions or to lodge complaints if concerns or discrepancies arise about an individual's superannuation fund are identified and discussed
  6. Questions on superannuation issues that may be put to employers and fund providers are developed
The importance and means of checking superannuation Statements for accuracy are identified and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Techniques for analysing the performance, rate of return, government taxes and other costs are identified, practised and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

The government regulated minimum age when superannuation benefits can be accessed, and the regulation's impact, are identified and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

The range of structures and techniques for the utilisation of superannuation funds on retirement are identified, analysed and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Mechanisms to gain information about a superannuation fund, track lost superannuation contributions or to lodge complaints if concerns or discrepancies arise about an individual's superannuation fund are identified and discussed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Questions on superannuation issues that may be put to employers and fund providers are developed

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the ability to:

analyse and clearly explain the role of superannuation and other longer term investment vehicles used within the community at different points of the life cycle

analyse and critically evaluate varying types of investment vehicles

understand and apply the skills necessary to actively manage a superannuation investment.

Context of and specific resources for assessment

Assessment must ensure:

competency is demonstrated in the context of the range statement

access to and the use of a range of common office equipment, technology, software and consumables

access to information about the current structures of Australia's superannuation system, information about a wide range of superannuation schemes and products, software and other relevant resources.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:

evaluating an integrated activity which combines the elements of competency for the unit or a cluster of related units of competency

verbal or written questioning on underpinning knowledge and skills

setting and reviewing simulations or scenarios

group discussion to determine and confirm understanding.

Guidance information for assessment

Required Skills and Knowledge

Required skills

communication skills to:

clearly explain superannuation characteristics and benefits

use questioning to develop clear understanding

liaise with others, share information, listen and understand

use language and concepts appropriate to cultural differences

numeracy and IT skills to:

calculate superannuation costs, payments and accumulations over time

use a calculator

use internet information

literacy skills for interpreting relevant information

assessment and judgement skills to determine when to seek professional help

learning skills to maintain knowledge of superannuation and its management

Required knowledge

consumer issues relating to superannuation information

the impact of legislation relating to superannuation

roles and relationships between participants within the Australian financial services industry, including banks and other financial intermediaries

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, if used in the performance criteria, is detailed below. 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) may also be included.

Savings and investment patterns are influenced by people's stage in the life cycle such as:

dual income families or well established employment and reducing family responsibilities and costs

early stages of family formation, with significant housing costs

empty-nesters in pre-retirement with more significant savings opportunities

retirees seeking to maximise income and, potentially, preserving capital

students working part-time

young people, new to the workforce, with limited income, high purchasing demands, potential Higher Education Contribution Scheme (HECS) debt.

A range of savings and investment vehicles used for short and long term savings and investment includes:

longer term:

superannuation

property

personal share portfolios

bonds

shorter term:

cash on deposit

fixed term cash management

money market investment account

Christmas club or other special event savings.

The range of characteristics of superannuation in Australia includes:

'salary sacrificing' and 'topping up' contributions

ages at which people may access their superannuation savings

available tax concessions for self-employed people that take out superannuation

compulsory employer contributions as a percentage of earnings paid by employers as the superannuation guarantee

contributions made on behalf of a spouse

role and responsibilities of scheme trustees

tax arrangements for superannuation accounts.

The regulators within the superannuation industry are:

Australian Prudential Regulation Authority (APRA)

Australian Securities and Investments Commission (ASIC)

Australian Taxation Office (ATO).

Superannuation schemes include:

accumulation funds.

The types of superannuation fund managers include:

employer or corporate funds

industry funds

retail funds

self-managed funds.

Investment strategies and choices include:

balanced

capital guaranteed

capital stable

growth.

Common items that will be found when checking superannuation Statements may include:

benefit details

general details including:

fund name

member name and date of birth

date the member joined the fund

confirmation tax file number received

summary of account details including:

opening balance

list of contributions

deductions including fees and withdrawals by the member

investment earnings

rebates

closing balance.

Structures and techniques for the utilisation of superannuation funds on retirement include:

a combination of the above

annuities

lump sum payment for further personal investment

superannuation funds may also be accessed early, under strict criteria, on 'compassionate grounds' which may include:

medical grounds

funeral and burial expenses

the forced sale of a home by a mortgagee

superannuation pensions.

Lost superannuation contributions occur when:

an employee changes job and the superannuation fund may lose track of the individual member. The ATO holds funds on behalf of lost superannuation members. Funds may be searched through the 'Lost Members Register'.

NB superannuation accounts can be tracked using 'Superseeker' and similar on-line tools.

Questions on superannuation issues for employer and fund providers may include:

what are the different employment options impacting on superannuation:

wage and salary employee

self employed

contractor

full-time, part-time and casual

multiple employers.