Accurium provides defined benefit adequacy actuarial certificates to accountants and SMSF practitioners to assess the solvency of their clients’ SMSF, and provide an opinion on whether the assets are adequate to meet the high probability test. The report includes a Section 295-390 certificate of income tax exemption for the previous financial year.

To request a defined benefit pension actuarial certificate from Accurium please download the excel application form, complete the inputs and email the completed application to [email protected]

The cost of a defined benefit actuarial certificate is $390 + GST and the current response time is 1 business day.

Legislative requirements

The trustee of an SMSF with a defined benefit pension paid to at least one member is required to perform an annual actuarial investigation under SIS Regulation 9.29A. The SIS Regulation 9.30 requires the actuarial valuation to be performed within 12 months of the valuation date.

Additional requirements for Asset Test exempt defined benefit pensions

Centrelink requires all actuarial certificates for SMSFs with complying defined benefit pensions that are Asset Test Exempt to be completed and signed by an actuary on or before 29 December each year and submitted to Centrelink on or before 19 January each year. Missing the deadlines may lead to members losing their Asset Test exemption on their defined benefit pension assets that may reduce their Centrelink benefits.

Why defined benefit pensions are not 100% tax exempt

Unlike most pensions in a self-managed superannuation fund (SMSF), the income earned on assets supporting a defined benefit pension is not necessarily 100% exempt from income tax.
10 min read