Unit of competency Outline
Date retreived
22/07/2026 11:24 PM AWST
22/07/2026 11:24 PM AWST
Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.
Work within a defined benefit fund
Work within a defined benefit fund
Unit of competency
National Code
FNSSUP509A
FNSSUP509A
State Code
D4351
D4351
TGA Status
Replaced
Replaced
DTWD Status
Replaced
Replaced
State Implementation and Classification
Approved Date
29/07/2014
Field of Education
081105 - Investment And Securities
Original Release Date
29/07/2014
Nominal Hours
50
Description
This unit describes the performance outcomes, skills and knowledge required to explain the design features of a defined benefit fund, identify legislation and regulation relevant to a defined benefit fund, process contributions to defined benefit fund, maintain documentation and records according to defined benefit fund requirements and implement quality assurance procedures.This unit is applicable to individuals working within enterprises and job roles subject to licensing, legislative, regulatory or certification requirements including legislation administered by the Australian Securities and Investment Commission (ASIC).
Notes
Elements and Performance Criteria
1. Explain the design of defined benefit funds
- 1.1. The features, advantages and disadvantages of defined benefit funds are identified
- 1.2. Eligibility conditions affecting defined benefit funds are identified
- 1.3. Issues associated with pensions and lump sums are identified where relevant
- 1.4. Influences on fund and benefit design are identified
- 1.5. Funding options for defined benefit funds are identified
- 1.6. Requirements of legislation and regulations specific to defined benefit funds are identified and incorporated into activities
2. Process contributions to defined benefit funds
- 2.1. Rules guiding compulsory payments into defined benefit funds are identified and followed
- 2.2. Contributions are received and processed according to fund requirements
3. Process payment of benefits in a defined benefit fund
- 3.1. Options for benefit payment in defined benefit funds are investigated
- 3.2. Benefit is calculated to include additional fees, charges, taxes and other factors
- 3.3. Benefits and pensions are processed according to fund requirements
- 3.4. Beneficiaries are communicated with according to organisation guidelines
4. Process and maintain documentation and records according to defined benefit fund requirements
- 4.1. All transactions are correctly documented in member records
- 4.2. Statements and receipts are prepared and issued to members according to organisation guidelines
- 4.3. Member records are maintained to ensure currency and accuracy
- 4.4. Certificates, benefit information and taxation information are generated and provided according to legislative requirements
- 4.5. Fund information is generated and provided to the actuary for the preparation of necessary certificates
5. Implement quality assurance procedures
- 5.1. Organisation procedures are followed
- 5.2. Member details are established and maintained in accordance with organisation requirements
- 5.3. System and process checks are implemented and any irregularities identified
- 5.4. Any irregularities are corrected or communicated to appropriate personnel
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.
Influences on fund and benefit design may include:
contributory verses non-contributory
employee relations
employer cost
job mobility
market competition
member investment choice
retirement patterns
salary definitions
use of salary for calculation of benefits
variable contributions.
Funding options may include:
contributions based on liability
equal contributions per employee
Pay As You Go (PAYG)
single lump sum.
Legislation and regulations determining compliance may include, as amended:
anti-discrimination legislation
Corporations Act
Family Law Legislation Amendment Superannuation Act
Financial Services Reform Act (FSRA)
Income Tax Assessment Act
industrial legislation
Insurance Act
Privacy Act
Retirement Savings Account Act
stamp duty legislation
Superannuation (Resolution of Complaints) Act
Superannuation (Unclaimed Moneys and Lost Members) Act
Superannuation Contributions Tax (Assessment and Collection) Act (surcharge)
Superannuation Guarantee (Administration) Act (SGAA)
Superannuation Industry (Supervision) (SIS) Act
Superannuation Industry (Supervision) Regulations
Trade Practices legislation
Trustee Acts or Trust Acts in each State and Territory.
Beneficiaries may include:
beneficiaries as identified by State and Territory legislation
children who are minors
current or ex-spouse
custodial children
financial dependants
legal personal representative
non-custodial children.
Organisation procedures may include:
best practice standards
codes of practice
documentation and filing procedures
internal communications
regulatory requirements
system/computer procedures.
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.
Influences on fund and benefit design may include:
contributory verses non-contributory
employee relations
employer cost
job mobility
market competition
member investment choice
retirement patterns
salary definitions
use of salary for calculation of benefits
variable contributions.
Funding options may include:
contributions based on liability
equal contributions per employee
Pay As You Go (PAYG)
single lump sum.
Legislation and regulations determining compliance may include, as amended:
anti-discrimination legislation
Corporations Act
Family Law Legislation Amendment Superannuation Act
Financial Services Reform Act (FSRA)
Income Tax Assessment Act
industrial legislation
Insurance Act
Privacy Act
Retirement Savings Account Act
stamp duty legislation
Superannuation (Resolution of Complaints) Act
Superannuation (Unclaimed Moneys and Lost Members) Act
Superannuation Contributions Tax (Assessment and Collection) Act (surcharge)
Superannuation Guarantee (Administration) Act (SGAA)
Superannuation Industry (Supervision) (SIS) Act
Superannuation Industry (Supervision) Regulations
Trade Practices legislation
Trustee Acts or Trust Acts in each State and Territory.
Beneficiaries may include:
beneficiaries as identified by State and Territory legislation
children who are minors
current or ex-spouse
custodial children
financial dependants
legal personal representative
non-custodial children.
Organisation procedures may include:
best practice standards
codes of practice
documentation and filing procedures
internal communications
regulatory requirements
system/computer procedures.
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:
explain the design of defined benefit funds to members
process contributions and payment of benefits in a defined benefit fund, including additional fees, charges and taxes
source, interpret and test integrity of information required to process benefits
interpret trust deed conditions and establish special circumstances and make informed recommendations about benefit payments
identify, source and interpret required information to process benefits for lump sum payments, death claims and disablement claims
assess and determine benefit entitlements for eligible termination payments (ETP), death and disablement claims using computer programs
accurately process contributions and benefits and insurance claims according to organisation guidelines and relevant legislation
correctly identify consequences of incorrect processing of contributions and benefits.
Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to organisation financial records
access to organisation policies and procedures.
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
observing processes and procedures in workplaces
verbal or written questioning on underpinning knowledge and skills
evaluating samples of work
accessing and validating third party reports
setting and reviewing workplace business simulations or scenarios.
Guidance information for assessment
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:
explain the design of defined benefit funds to members
process contributions and payment of benefits in a defined benefit fund, including additional fees, charges and taxes
source, interpret and test integrity of information required to process benefits
interpret trust deed conditions and establish special circumstances and make informed recommendations about benefit payments
identify, source and interpret required information to process benefits for lump sum payments, death claims and disablement claims
assess and determine benefit entitlements for eligible termination payments (ETP), death and disablement claims using computer programs
accurately process contributions and benefits and insurance claims according to organisation guidelines and relevant legislation
correctly identify consequences of incorrect processing of contributions and benefits.
Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to organisation financial records
access to organisation policies and procedures.
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
observing processes and procedures in workplaces
verbal or written questioning on underpinning knowledge and skills
evaluating samples of work
accessing and validating third party reports
setting and reviewing workplace business simulations or scenarios.
Guidance information for assessment
Replaced By
| State Code | National Code | Title | Type |
|---|---|---|---|
| AUT35 | FNSSUP509 | Work within a defined benefit fund | Unit of competency |
| State Code | National Code | Title | Type |
|---|---|---|---|
| D720 | FNS50711 | Diploma of Superannuation | Qualification |