Elements and Performance Criteria

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.


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

early stages of family formation, with significant housing costs

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

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

retirees seeking to maximise income and, potentially, preserving capital


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


regulated contributions as a percentage of earnings (currently 9%) paid by employers as the superannuation guarantee

'salary sacrificing' and 'topping up' contributions

contributions made on behalf of a spouse

tax arrangements for superannuation schemes

role and responsibilities of scheme trustees

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

the reasonable benefits limit

ages at which people may access their superannuation savings


Australian Securities and Investment Commission (ASIC)

Australian Prudential Regulation Authority (APRA)

Australian Taxation Office (ATO)


accumulation funds

defined benefit funds


employer or corporate funds

industry funds

retail funds

self managed funds


growth

balanced

capital stable

capital guaranteed


fund management fees (usually a percentage of funds under management)

trustee levy

adviser service fees

deposit fees

early termination fees

switching fees

commissions

entry costs

exit costs

additional contributions costs

insurance premiums


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

benefit details


annuities

superannuation pensions

lump sum payment for further personal investment

a combination of the above

superannuation funds may also be accessed early, under strict criteria, on 'compassionate grounds' which may include medical grounds, funeral and burial expenses or the forced sale of a home by a mortgagee


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'

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

To achieve competency in this unit, a person must be able to demonstrate:

ability to analyse and clearly explain the role of superannuation and other longer term investment vehicles used within the community
ability to analyse and critically evaluate varying types of investment vehicles
ability to understand and apply the skills necessary to actively manage his or her superannuation investment

Evidence required for demonstration of consistent performance:
Competence in this unit must be assessed over a period of time in order to ensure consistency of performance over the Range Statement and contexts which are applicable to the individual learner and the learning environment.

Delivery/assessment relationship to other units:
This unit may be assessed on its own or it may be assessed with other units that cover related skills and knowledge.
Evidence is most relevant when provided through an integrated activity which combines the elements of competency for the unit, or a cluster of units of competency.

Method of assessment:
For valid and reliable assessment of this unit, evidence should be gathered through a range of methods to indicate consistent performance.
Assessment of this unit of competence will usually include observation of processes and procedures, oral and/or written questioning on underpinning knowledge and skills and other methods as required.

Context of assessment:
This unit may be assessed in a formal learning environment, in the workplace or within the environment of a related service provider such as counselling or advisory services.

Resources required for assessment:
Assessment of this unit of competency requires 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 resources relevant to the unit of competency.