FASEA Superannuation and Retirement Planning 2

Question 1

When advising a client on a transition to retirement income stream (TRIS), which of the following statements is correct under current legislation?

Accepted Answer

A TRIS only enters retirement phase once the member satisfies a full condition of release

Answer

Investment earnings in a TRIS are tax-free regardless of commencement date

Answer

A TRIS is always in retirement phase and attracts a tax-free earnings rate

Answer

Minimum annual drawdown for a TRIS is 2% of the account balance

Question 2

What is the maximum non-concessional contributions cap for the 2024–25 financial year (standard annual limit)?

Accepted Answer

$120,000

Answer

$100,000

Answer

$110,000

Answer

$150,000

Question 3

Under the bring-forward rule for non-concessional contributions, what is the maximum amount a client under age 75 (with a total super balance below $1.66 million) can contribute in a three-year period in 2024–25?

Accepted Answer

$360,000

Answer

$300,000

Answer

$330,000

Answer

$400,000

Question 4

A client aged 67 earns no employment income but wishes to make personal superannuation contributions. Which rule allows them to do so?

Accepted Answer

The work test exemption for those aged 65 to 74 who met the work test in the prior year

Answer

The downsizer contribution rule requiring no work test

Answer

The voluntary contribution rule applicable to all Australians regardless of age

Answer

There is no mechanism — those aged 67 cannot make personal contributions

Question 5

Which of the following is an eligible 'condition of release' that allows unrestricted access to preserved superannuation benefits?

Accepted Answer

Permanent incapacity as defined under the SIS Act

Answer

Reaching age 55 while still employed

Answer

Severe financial hardship after 39 weeks on income support

Answer

Reaching preservation age and commencing a TRIS

Question 6

Under the FASEA Code of Ethics, when a financial adviser recommends superannuation products, they must give priority to which of the following?

Accepted Answer

The client's long-term best interests over any other consideration

Answer

Products offered by their licensee's approved product list

Answer

Compliance with the letter of the Corporations Act only

Answer

The advice that generates the highest adviser revenue

Question 7

What is the purpose of the 'sole purpose test' in the Superannuation Industry (Supervision) Act 1993?

Accepted Answer

To require that superannuation funds are maintained solely to provide retirement benefits to members

Answer

To ensure SMSFs maintain only one type of investment asset

Answer

To restrict superannuation funds to a single regulated trustee

Answer

To ensure all super fund members have a single super account