While most Australians have their super paid to a specific fund, a growing number are choosing to have their super invested through a self-managed super fund (SMSF). SMSFs account for about 25% of total superannuation assets and, according to the latest ATO figures, this growth has increased significantly over the past two years, with its most recent data estimating SMSF assets are valued at more than A$900 billion.

Iggy Moro FCA, a CA-accredited SMSF specialist with more than 30 years’ experience in business advisory and public practice, is a passionate proponent of the sector.

“This specialisation can open many doors in a CA’s career,” he says, “through improved employment opportunities, higher salary expectations and better recognition of a member’s skills in the accounting and business community.”

He says it sets you apart from other practitioners and strengthens your professional reputation and relationships.

“It also provides a member with recognition of their specialist knowledge in SMSFs and assures others outside of the profession of their expertise. It helps members gain referrals from other practitioners, clients and strategic partners, and expands your network of like-minded practitioners.”

Moro predicts further growth in the sector.

“Recently I’ve seen a trend of more SMSF advisory businesses entering the market, both standalone businesses and as a part of a larger practice. Advisers are more cognisant to the fact that SMSF and superannuation advisory has become a specialist area. This can also form a part of estate and succession planning, not just planning for retirement.”

Although about 80% of SMSF members are aged 50 or above, Moro says there has been a spike of members aged 35-plus setting up SMSFs in recent years, which foretells future growth.

How to become a CA ANZ SMSF specialist

A CA looking to embark on the CA SMSF Specialist education program should have some working knowledge of SMSF legislation and administration, says Moro.

“The course requires a minimum of four years’ practical experience within the previous 10, where at least 40% of a member’s employment was related to SMSFs.”

The SMSF program lasts eight weeks and includes assessments and 40 hours of continuing professional development (CPD), which are delivered through text, video and interactive exercises. Case studies are used to support the application of knowledge and skills to contextualise problems and issues.

Assessments are held at the end of each module, as well as a final assessment task in the form of a team project and presentation.

“The program covers the major events of SMSFs, such as establishing an SMSF, and the regulation of contributions to and benefit payments from SMSFs,” says Moro.

“It focuses on the three events or transactions around which SMSF taxation is designed, being contributions taxation, investment taxation and benefit payment taxation.”

Anomalies, deficiencies and planning opportunities in the relevant legislation are also covered. The course tests the competency of candidates in applying their knowledge and the ability to apply the rules pertaining to the regulation and taxation of SMSFs.

CA ANZ members and affiliate members who complete the course can formally apply to be recognised as a CA SMSF Specialist (full members) or an SMSF Specialist (affiliate members).

The skills you’ll need as a CA SMSF Specialist

Accountants require a unique set of technical and communication skills to be successful SMSF specialists.

Technical skills

1. Regulatory knowledge

Familiarity with the Superannuation Industry (Supervision) Act 1993 (SIS) legislation, regulations, and ATO guidelines.

2. Tax law knowledge

Including legislation, tax rulings, and regulations, and case law on income tax, GST, CGT, and especially SMSF-specific legislation and guidance.

3. Investment strategies

A general understanding of requirements for investment strategies and objectives of the SMSF fund, diversification, and risk management. Specific advice in this area requires the appropriate Australian financial services licence.

4. Financial reporting

Skills in preparing and interpreting financial statements and compliance with accounting standards.

5. Audit and compliance

An understanding of audit processes and compliance, overseeing the annual audit, and ensuring the SMSF fund meets all regulatory obligations.

Soft skills

1.Communication skills

Clear communication helps build the relationship between client and adviser.

2. Time management

The ability to manage priorities is important to ensure efficiency in completing the compliance work and gaining an understanding of what the client requires.

3. An understanding of the investment environment

The ability to analyse the SMSF fund’s investments and ensure accurate reporting and provide proper advice based on this information.

4. Analytical thinking

An SMSF specialist deals with complex issues. They must have the ability to solve problems and compliance issues, and know when to seek advice from other professionals, such as lawyers and investment advisers.

5. Empathy

Emotional intelligence is required to understand the difficulty in estate planning for members of the SMSF fund and to ensure beneficiaries are taken care of, particularly with regard to death benefits.