SMSF essentials course - Changelog July 2021

The following changes have been made to modules within the SMSF essentials course to reflect various amendments to the superannuation laws:

Module 1

Section	Changes required
1.1 - Overview of Superannuation	Increase of SG rate to 10% from 1 July 2021
1.2 - Three pillars	Increase of SG rate to 10% from 1 July 2021
1.4 – Different types of super funds	Amendment made to reflect change to SMSF membership from 4 to 6 from 1 July 2021
1.6 – Definition of a SMSF	Updated definition to allow for up to 6 members from 1 July 2021. Tables 1 and 2 updated to reflect the change in allowable members from 4 to 6. Removed the proposed law change text now that laws have passed. Updated Activity 2 – scenario 3 as a result of the change to 6 members.
1.9 - Residency	New slide, new content in workbook and resources link to notify student about the proposed federal budget changes to the residency rules from 1 July 2022, including: Amendment to Central Management & Control (CM&C) test Removal of active member test

Module 2

No changes made to technical content within the module at this time.

Module 3

Section	Changes required
3.4 - Eligibility to make contributions	Update table to reflect changes in age limit for work test requirement (i.e. no work test 65-66 years) Footnote added regarding proposed budget changes to remove work test for voluntary contributions and salary sacrifice contributions from 1 July 2022.
Activity 1	Updated to reflect 10% SG rate from 1 July 2021
3.5 - TSB	Updated slides and workbook to reflect indexation of total super balance (TSB) threshold to $1.7m.
3.6 - Work test	Section added on ‘proposed’ budget measures to remove work test for voluntary contributions.
3.6.2 - WTE	Updated to reflect work test exemption apply from 67 years (not 65) from 1 July 2020.
3.8 - concessional contributions	Change to reflect increase from 1 July 2021 to $27,500, with updates to the examples for both the SG rate and concessional contribution cap.
3.8.1 - Unused CC cap	Updated the example with revised CC cap amounts.
3.9 - NCCs	Updated to reflect increase in non-concessional contribution (NCC) cap from 1 July 2021. Updated Appendix 1 & 2 charts for NCC rules. Updated total super balance (TSB) bring-forward thresholds within the table for both slides and workbook. Removed reference to transitional NCC arrangements for 2015-16 and 2016-17
3.9.1 - Additional NCCs during BF period	Updates made to examples to reflect NCC changes due to indexation.
Activity 3	Updated with current dates and reflect indexed NCC figures.
3.10 – Excess concessional contributions	Updated to reflect removal of excess concessional contribution charge (ECCC) from 1 July 2021
3.11 - other contribution types	Updated tables within slides and workbook as follows: Spouse contributions with increase in TSB threshold Downsizer contributions - include proposed budget measure from 1 July 2022. Added new COVID-19 recontribution available from 1 July 2021 to 30 June 2022.

Module 4

Section	Changes required
4.3.6 - Compassionate grounds	Updates made to the COVID-19 $10k early release text to reflect that the ability to access the lump sum closed on 31 December 2020. Added link to ATO website to reflect additional information that student may wish to read on the topic.
4.6.1 - minimum pension payment	Updated to reflect that the 50% temporary minimum pension has been extended for the 2021-22 year.
Activity 2	Updated questions and answers as a result of the extension to the 50% temporary minimum pension for 2021-22 year.
4.8 - Legacy pensions	Market Linked Pension – updated content to reflect that the 50% temporary minimum applies to this income stream type for the 2019-20, 2020-21 and 2021-22 income years. Included a reference to Federal Budget announcement that a legacy pension conversion is proposed, allowing for a 2-year amnesty to convert to an alternative retirement product (e.g. ABP)
4.9 - When a pension ceases	Added new slides and workbook information about minimum pension shortfall and Commissioner’s General Powers of Administration (GPA) concession Added a link to the Smarter SMSF sample document for the Minimum Pension Shortfall
4.10 - Transfer Balance Cap	Changes made to reflect indexation of the transfer balance cap (TBC) to $1.7 million Update Example 1 as a result of the TBC indexation Update Example 2 as a result of the TBC indexation

Module 5

Section	Changes required
5.15.4 - actuarial certificate requirements	Referenced Treasury exposure draft legislation on red tape ECPI measures to apply for 2021-22 year.
5.19 - tax on lump sums	Update to thresholds for 2021-22 income year

Module 6

Section	Changes required
6.1 – Financial Reporting	Updated table for number of parties to sign documents due to increase in membership from 4 to 6.
6.11 - SuperStream	Updated content to include rollovers and release authorities being captured by SuperStream from 1 October 2021.

Module 7

No changes made to technical content within the module at this time.