Adviser’s multiple issues solved

Background

Anthony, an adviser, approached Super Plus in December 2011 regarding the administration for his 28 SMSF clients. He was using an SMSF administrator and had been told his funds would be processed on a regular basis and that he would be able to get up to date information.

He became frustrated at the lack of service and also concerned as to the quality of the work being performed. He was also needing to do work that should have been the role of the administrator.

All the clients where being charged the same fee, so his smaller clients where being over charged and effectively compensating the fee of larger clients. There was no accountability with the charges based on the client’s actual work.

We outlined our services and what a quality administrator should be doing. The adviser engaged Super Plus to take on the outstanding and future administration work for his SMSF clients.

Super Plus Review

We reviewed the funds and quickly identified that the work was not being performed on a regular basis. Even though the fund records were being forwarded to the administrator on a regular basis, they weren’t processing it until after the end of the year.

The adviser had been collecting all the fund records, and in conjunction with the clients had been preparing the BAS/IAS statements. He also needed to track the investment values as he couldn’t get up to date figures from the administrator.

We also identified that none of the SMSFs had pension documentation for their pensions. When questioned, the administrator said they hadn’t received any records from the previous administrator and they hadn’t bothered to fix the problem.

Super Plus Actions

  1. We obtained from the previous administrator the records they had for each SMSF.
  2. We obtained all the SMSF investment information and brought the funds up to date for the 2010-11 year.
  3. We worked with the adviser to identify the start date and pension commencement balance for each client’s pension.
  4. We prepared minutes and records to correctly document the pensions for each SMSF.
  5. We brought the fund records completely up to date and now reconcile transactions to each month’s bank statement.
  6. We provided the adviser with up-to-date valuation reports for each client.
  7. We have now also completed the 2011-12 years financials and lodgments and processed all funds up to the last months bank statement.

Results

The adviser was thrilled that we corrected the pension compliance issues and he also no longer needs to complete activity statements for clients, as Super Plus deals with this as part of our standard service.

The adviser can now concentrate on advising clients rather than spend time on time consuming paperwork.

He can also access up to date valuation reports and member component information, which enables him to accurately advise and prepare strategies for his clients.

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