Join Julie Steed, Senior Technical Services Manager, MLC TechConnect, and your SA Local Community for this workshop opportunity.

Minimum mayhem: navigating the new rules for failed minimum pension payments

Since 1 July 2007, the requirement to pay a minimum annual pension has been a cornerstone of superannuation law. Yet every year, many SMSF trustees fall short – often unknowingly. In June 2024, the ATO significantly revised its interpretation of what happens when the minimum pension payment isn’t met. The consequences are no longer limited to a single financial year. Instead, a failed pension now permanently loses its ECPI status unless formally commuted and restarted.

In this workshop we will unpack the ATO’s updated position and work through practical case studies to help professionals understand the new landscape. Attendees will gain clarity on the steps required to restore pension compliance, how to guide clients through the complexities of commutations and re-starts including the tax implications of underpayments.

By the end of this session, participants will be able to:
• Describe the ATO’s revised position on minimum pension payment failures
• Identify the documentation and reporting obligations for trustees and members under the new rules
• Evaluate client options and strategies when a pension fails
• Calculate revised tax components and ECPI eligibility across various scenarios using practical case studies

After the session, please join us for some relaxed nibbles and drinks. It’s the perfect chance to build connections and share ideas. We look forward to seeing you there!