The Fund Pension Policies screen allows you to request an Actuarial Certificate directly from Heffron and enter the non-deductible expense proportions for a fund.
Important Prerequisites to use the Actuarial Wizard
- All transactions for the financial year have been recorded.
- Member(s) have been converted to pension mode.
- Fund relationships for the Trustee have been entered.
- Fund Details have been entered (ABN,TFN etc).
- Ensure create entries have been processed for relevant periods.
|From the Main Toolbar, go to Member.||
|Select Fund pension policies from the list.||
Requesting an Actuarial Certificate from Heffron
- Select + New Actuarial Certificate.
- The fund's current financial year will pre-fill. Select Request Actuarial Certificate to open the Actuary Wizard.
- Select Heffron SMSF Solutions as the provider and click Next.
Complete and Review your contact details.
This section will pre-fill based on your current SF360 license details. However, they are editable if required. Also input any additional comments on your application, including any sections of the information that you may be uncertain of. This information will be transmitted to Heffron along with the application. Click Next to proceed.
Confirm Segregation Eligibility (This will only display for 2018 and later Financial years).
From 01 July 2017, the ATO has determined that for any portion of an income year where an SMSF's assets are held solely to meet super income stream liability benefits (i.e. any period that the SMSF is in 100% pension phase) the SMSF trustee is required to calculate its ECPI for that portion of the income year using the segregated method. This applies for even part of an income year, which will result in the year being part segregated and part unsegregated.
Furthermore, from 1 July 2017, a fund cannot have any assets classified as segregated at any time during a particular financial year if at the previous 30 June:
- any member had a total superannuation balance of more than $1.6 million (and remember, total superannuation balance includes not just the balance in the SMSF but all superannuation in every fund to which the member belongs), and
- any of those members with more than $1.6 million also had a retirement-phase pension from any fund (not necessarily this SMSF).
If a fund cannot be classified as segregated, it simply means it cannot claim its tax exemption on a segregated basis. The fund is still eligible for an exemption, but under the Unsegregated method.
The member's TSB as at 30 June of the previous Financial Year will display. You will need to confirm to Heffron whether or not the fund is eligible to use the segregated method or not. If no is selected the fund will automatically use the Unsegregated method for the entire Financial Year.
Click Submit to Actuary.
This will send the required data from BGL to the Heffron automatically
Select Click here to complete your application and Heffron’s website will open in a new tab for you to complete your application.
Heffron will not review any of the information sent until you confirm the application on their website.
Heffron - Reviewing certificate data and ordering
Logging in or Registering
If this is your first time accessing the Heffron portal, you will need to register your username and password.
Step 1: Overview
An overview of your application will be displayed. Click Continue >>.
Step 2: Certificate Confirmation
Select How many decimal points for your actuarial percentage?
Confirm that the payments made from all pension accounts have met the legal requirements for the year or the fund is eligible to ignore any under / over payments as a result of administrative concessions granted by the ATO.
Click Continue >>.
Step 3: Validate and Confirm Details
All the relevant fund details will pre-fill into Heffron's online application form. If there are any issues with the application, error messages will appear.
Carefully review the data and then select Validate Certificate >> to proceed to the Summary Screen.
Step 4: Payment Details
Enter your payment method and any additional details for the certificate application if necessary.
Click Order Certificate.
Receiving the Actuarial Certificate
After processing your payment, you will receive the actuarial certificate via email (sent to the nominated email address).
You will need to ensure that the Pension Policy in SF360 reflects the official tax exempt percentage issued by Heffron.
The Tax Exempt Percentage, Segregated and Unsegregated periods and the Certificate Status will all automatically be updated by Heffron.
See Fund Pension Policies for more information on non-deductible expenses.
Amending an Actuarial Certificate
How do I prepare amended actuarial certificates for Heffron?
If you need to prepare an amended certificate:
- Make any necessary changes to the fund information (transactions);
- Re-request an actuary certificate completing the steps from the above section Request an Actuarial Certificate from Heffron (above);
- You will receive an amended certificate via email. To update the amended percentage, review the steps above in Receiving the Actuarial Certificate.