Click on images to expand in a new tab
Overview
The Super Contributions strategy in AdviserLogic’s Digital Advice module helps you guide clients through making additional contributions to their superannuation. Using this strategy, you can model and recommend various contribution types, such as concessional (including salary sacrifice), non-concessional, spouse or downsizer contributions, and draft tailored advice aligned with client objectives.
Super Contributions Strategy
Please follow the step-by-step instructions below to prepare advice for the Super Contributions strategy.
📌Note
You may want to model a Super Contributions Strategy in the Cashflow Module before completing this advice. The modelling can be added to the advice to support your recommendation.
From the Digital Advice - Scenarios Screen, select the Add Scenario icon.
Select the client the advice is for, or select Joint to create advice for your client and partner. Select the type of advice (SoA or RoA), then Proceed To Scope.
Select the Super Contributions strategy from the Strategy screen and Proceed.
Choose the client to whom the contribution will be applied.
Select the contribution type on the contribution selection screen. You may choose from:
Non-Concessional
Personal Deductible
Spouse
Salary Sacrifice
Notwithstanding the contribution type chosen, the following page instructions will be identical. For this article, we have focused on a Concessional Contribution, however, you will find the flow is identical regardless of contribution type.
When creating a contribution, first select the superfund from the client's existing funds, this is the fund the contribution will be going to. If the client doesn't have an existing fund, a dropdown will show, and you may select a new one.
The Contribution can be added in three ways from the Investment Types tile:
Lumpsum
Regular
Both
To enter a Lump Sum, enter the dollar value in the editable Amount to Contribute field below the Investment Types.
You can select the Maximum amount by checking the Tickbox
To increase the amount of Non-Concessional contribution permissible, toggle the Bring Forward 3-year rule to Yes. This will increase the amount from $110000 to $130000.
To enter a regular contribution, select this option from the Investment Type tile.
Choose the Frequency, Start and End dates, and Amount for the regular contribution from the drop-down menu and pop-up calendars in the Regular Contribution tile.
Selecting the Both option will allow a combination of the above two options
Add the Lump Sum Amount, the Regular Amount, the Frequency, and Start and End dates. The overall amount will automatically update in the Amount to Contribute field.
On the right hand of the window, a tile will update as changes are made to show the Before and After Contribution results.
Once the contribution Details have been entered, you may proceed to the next page to select the source of the funds.
Exceeding the maximum amount limit will result in an error message. However, if necessary, you can override this by selecting Proceed, which will take you to the next page.
Select the source from which the funds will be utilised to create the contribution from the client's existing funds.
In case you need to add a source of funds that is not currently listed within the client's current assets, kindly select the option marked as Other.
It is important to ensure that the funds being contributed are sufficient. You can make changes to the editable fields on the right side of the screen.
Once you are done with the previous step, move on to the asset allocation screen. Here, you will be able to see the remaining balance and the amount that needs to be allocated.
You can either add new assets or distribute the amount amongst the existing ones. Additionally, you can also choose to reallocate the entire balance of your super fund at this stage.
Proceed to the Comparison Screen. From there, you can search and select other funds to compare with the fund your contribution has gone to.
To Add a new fund search or scroll and select from the drop-down after clicking on the New Fund Heading.
In the following section, compare the fees by looking at two sections: the green header for existing fees and the blue header for changes after contribution in the Fees section. Select Proceed to Review.
On the review page, you will find a summary of the Non-Concessional contribution. If you need to make any changes, you can select the Pencil edit icon that appears when you hover over the tile. Furthermore, there is a field where you can enter a summary of the strategy.
Select the Proceed to Disclosure Fees button located at the bottom right of the screen. From there, you can add your fees and complete your advice.
After completing the advice, you may add any previously created cashflow modelling to the scenario by selecting the Link Cashflow option from the Scenario Tile. The cashflow tables will be drawn into the final advice document.
