New Praemium SMSF functionality to reduce fund breaches

Praemium’s new SMSF functionality will assist accountants and advisers to reduce instances of breaches by fund trustees. This is especially important now that the ATO has been given additional regulatory compliance powers.

Breaches of contribution caps or pension limits often occur when accountants and advisers work from different and incomplete information, meaning neither might have the complete picture and that each can struggle to get accurate and timely updates.

Praemium’s new SMSF functionality makes it easy for the administrator to maintain the fund and member transactions, and enables instantaneous calculation of daily member balances.

Praemium’s contribution monitoring suite gives users the whole picture, with both cap monitoring (including contributions made to other funds) and age-based contribution acceptance rules for each member. Minimum and maximum pensions are automatically calculated, and pension payments and lump sums are tracked to display any shortfall or excess. This means that advisers always have accurate and up-to-date information at their fingertips, minimising the risk of breaches.

Praemium CEO Michael Ohanessian said that adding SMSF functionality was a natural progression for Praemium, given so many funds relied upon our portfolio administration and SMA platform solutions: “Our adviser and accountant clients have told us they were looking to us to provide innovative tools to enable them to work together more efficiently. Feedback to date is very positive, and we are looking forward to updating the SMSF market at the upcoming SPAA Conference in Melbourne this week.”