Direct holdings of derivative financial instruments
Report the net market value of derivatives exposure of the superannuation entity that is reported in SRF 310.2 Derivative Financial Instruments, where the net market value of the exposure represents a net loss to the superannuation entity.
Exclude
The aggregate net market value of derivatives where this represents a net gain to the superannuation entity. This is to be reported under ‘Assets’ in item 3.5. ‘Direct holdings of derivative financial instruments’; and
Derivative investments held through an external individually managed mandate/portfolio or discretely managed portfolio (i.e. for this item, the superannuation entity is not required to look through the portfolio to the underlying investments to ascertain the derivatives exposure).
Borrowings
Amounts to be reported in the item include but are not limited to the following:
Securities sold under agreements to repurchase.
Drawn down balance of overdraft facilities, standby lines or other forms of off- balance sheet funding.
Short-term loans or borrowings.
7.1. Total borrowings
Report the total value of all borrowings at this item.
7.1.1. Total borrowings secured against assets of the superannuation entity
Report the value of the portion of borrowings of the superannuation entity, where the borrowings are secured against assets of the superannuation entity. The value in this field will already form part of the total borrowings in item 7.1.
Current tax liabilities
Show the net of current tax assets (report as a negative) and current tax liabilities determined in accordance with the provisions of current Australian Accounting Standards and other mandatory professional reporting requirements.
Current tax asset means the amount of current tax recoverable as at the reporting date
Current tax liability means the amount of current tax payable as at the reporting date
Important!
No adjustments should be made to the tax account balances on the Statement of Financial Position when separating contributions tax from income tax expense. The only adjustments in relation to contributions tax which should be made are to SRF 300.0 Statement of Financial Performance item 17 ‘Tax expense on net income’
Deferred tax liabilities
Deferred tax liabilities means the amounts of income taxes to be settled in future reporting periods in respect of assessable temporary differences, determined in accordance with the provisions of current Australian Accounting Standards and other mandatory professional reporting requirements.
Sundry creditors
Report the total value of all other payables of the superannuation entity as at the end of the financial year, that are not separately reported in items 6 to 9. Includes (but is not limited to):
Benefits payable - The benefits payable value disclosed should be the benefits payable at year end to members exited during the year. It should not be reported as the accrued benefit liabilities of all members;
trade creditors and accruals (for example, insurance premiums, administration fees or GST payable);
payables relating to unsettled purchases (executed purchases of investments where the monies have not yet been paid);
unallocated contributions; and
amounts payable to the ATO for GST or superannuation surcharge.
Total liabilities
Represents the sum of the following:
6.0. Direct holdings of derivative financial instruments;
7.1. Total borrowings;
8.0. Current tax liabilities;
9.0. Deferred tax liabilities; and
10.0. Sundry creditors.
Net assets available to pay benefits
Represents SRF 310.0 Statement of Financial Position item 5 ‘Total Assets’ minus SRF 310.0 Statement of Financial Position item 11 ‘Total Liabilities’.
Important!
The total at item 12 must equal the total at item 16 ‘Total’.
Important!
If SRF 310.0 Statement of Financial Position item 12 is either $nil or a negative figure, then it is APRA’s expectation that the superannuation entity should have wound up. The wind-up of the superannuation entity should be disclosed in SRF 340.0 Superannuation Entity Profile item 4. In some cases, a superannuation entity providing risk only benefits may have zero assets.
Net assets available to pay benefits is represented by:
Liability for accrued benefits
Report value of members’ accrued benefits as at the reporting date. This is to be determined in accordance with the requirements of current Australian Accounting Standards.
The liability for accrued benefits for a defined contribution superannuation entity is the superannuation entity’s present obligation to pay benefits to members and beneficiaries in the future and is calculated as the difference between the carrying amounts of the assets and the carrying amounts of the liabilities as at the reporting date.
Defined benefit superannuation entities
Accrued benefits of a defined benefit superannuation entity shall be measured, using actuarial assumptions and valuations where appropriate, as the present value of expected future payments arising from membership of the plan up to the measurement date.
A formal actuarial review for defined benefit superannuation entities is completed at least every three years under SIS Regulation 9.29. APRA is not advocating that a superannuation entity must complete these on a more frequent basis than is required under SIS.
Accordingly, for financial years in between the formal actuarial valuations, this item should be filled out by reporting the difference between the carrying amounts of the assets and the carrying amounts of the liabilities as at the reporting date i.e. the value reported in item 12 ‘Net assets available to pay benefits’. In this event, $Nil figures should be entered at both item 14 ‘Reserves’ and item 15 ‘Excess/deficiency of assets’.
Reserves (unallocated benefits)
Report the balance of all reserves as at the end of the year. This relates to unallocated reserves of the superannuation entity (i.e. income that has not been specifically allocated to member accounts). Reserves can be used for such things as smoothing investment earnings, topping up member benefits, offsetting fees.
Defined contribution:
Amounts in defined contribution/accumulation superannuation entities that are unallocated to members but do not form part of a formal reserve should also be reported at this item. This includes, for example, unallocated balances which are held overnight in a bank account while the member paperwork is being processed.
Defined benefit:
Amounts in defined benefit superannuation entities that are unallocated to members but do not form part of a formal reserve will be included at item 15.0 ‘Excess/deficiency of assets over liabilities’.
For defined benefit superannuation entities, where a formal actuarial valuation has not been conducted as at the reporting date, a $Nil balance should be entered at this item.
Note that if all investment earnings and superannuation entity expenses are put through reserves and the members receive earnings and pay fees and contributions tax, these should not be netted together to reflect net movement to or from reserves. Instead they should be reported in line with the entity’s accounting practices with details of movements in reserves during the reporting period as follows:
14.1. Opening balance
Report the opening balance of this reserve carried forward from the last reporting period. Where the reserve is only created this current reporting period, report zero.
14.2. Transfer to reserve from current year earnings
Report the cumulative value of funds that have been transferred from current year’s earnings to this reserve during the current financial year of the superannuation entity.
14.3. Transfer from reserve to members vested benefits
Report the cumulative value of funds that have been transferred from this reserve to members’ benefits during the current financial year of the superannuation entity.
14.4. Closing balance
Represents the sum of items 14.1 and 14.2 less item 14.3.
Excess/deficiency of assets over liabilities
This item relates to defined benefit superannuation entities. The excess/deficiency of assets available for use for a defined benefit superannuation entity will generally be determined by an actuary when a formal valuation is conducted. Accordingly for a defined benefit superannuation entity, only complete this item where this is applicable and is determined by an actuarial review. Where a formal actuarial valuation has not been conducted as at the reporting date, a $Nil balance should be entered at this item.
For item 15, record an excess as a positive number and a deficiency as a negative number.
Total
Consists of the sum of:
13.0. ‘Liability for accrued benefits’;
14.4. ‘Closing balance of unallocated reserves’; and
15.0. ‘Excess/deficiency of assets over liabilities’.
Important!
The total at item 16 must equal the total at item 12.
Important!
If SRF 310.0 Statement of Financial Position item 16 is either $nil or a negative figure, then it is APRA’s expectation that the superannuation entity should have wound up. The wind-up of the superannuation entity should be disclosed in SRF 340.0 Superannuation Entity Profile item 4.
Entity balance
Amounts reported for the superannuation entity’s balance will be used by APRA to calculate the amount of levy payable by the registered superannuation entity.
17.1. Net balance of entity
Report the net balance of the superannuation entity at the end of the financial year. The amount should be determined from the audited accounts of the registered superannuation entity and, to the extent necessary, from the reports from life insurance companies.
Important!
SRF 310.0 Statement of Financial Position item 17.1 ‘Net balance of entity’ should be equal to SRF 310.0 Statement of Financial Position item 13 ‘Liability for accrued benefits’.
For accumulation entities, SRF 310.0 Statement of Financial Position item 17.1 ‘Net balance of entity’ should be equal to SRF 310.0 Statement of Financial Position item 12 ‘Net assets available to pay benefits’.
17.2. Notional balance
If the assets of the superannuation entity consist entirely of “individual policies” and the insurer does not know the net balance of the superannuation entity, leave item 17.1 blank and report the Notional Balance of the superannuation entity. This figure is arrived at by multiplying $20,000 by the number of members of the superannuation entity.
Otherwise leave item 17.2 blank.
An “individual policy” is a single policy of life insurance over the life of one person, or a sub policy of life insurance over the life of one person which forms part of a blanket policy of life insurance.
17.3. Estimated Balance as at 30th June
If a registered superannuation entity has a balance date other than 30 June, report in item 17.3 an estimate of the superannuation entity’s net balance at 30 June, as follows:
For early balancing superannuation entities (for example, an APRA-regulated superannuation entity which has a year of income ending before 30 June 2004, and which is lodging its annual return for the 2003-2004 year), report the estimated net balance as at the 30 June 2004 i.e. the 30 June immediately following year end.
For late balancing superannuation entities (that is, an APRA-regulated superannuation entity which has a year of income ending after 30 June 2004 and is lodging its annual return for the 2003-2004 year), report the estimated net balance as at the 30 June 2004 i.e. the 30 June immediately preceding year end.
Year End Estimated Balance Year End
(Early Balancers) at 30 June 2004 (Late Balancers)