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Why an independent auditor is best for SMSF

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Why an independent auditor is best for SMSF

Looking to outsource your SMSF auditing? Read this first!

As tempting as it may be, a cheap audit is no longer a viable option. Strict government regulations mean that an SMSF auditor’s role is now scrutinised more closely than ever.

As an auditor financial advisor, it is critical that you are independent and free from conflict of interest.

Outsourced SMSF Services: Why Quality Matters

Since the SMSF auditor registration was introduced in 2013, the Australian Tax Office (ATO), Australian Securities and Investments Commission (ASIC) have been more closely monitoring auditor practices. This means the services offering bundled packages and cut-price services must leave no figure unchecked.

In fact, several instances of poor-quality results from cheap audits have resulted in major court cases.

The Importance of an Independent Auditor
Avoiding conflict of interest is crucial. SMSF administrators and trustees must be independent, authorised and efficient.

An independent auditor should also deliver a return on investment (ROI) that improves a client’s business as a whole. A qualified superannuation fund auditor should also have an in-depth knowledge of ATO compliance. They must be able to:

  • Test identified issues against auditor/actuary contravention report (ACR) criteria.
  • Record judgments within an auditor’s report and file them appropriately
  • Notify any SMSF trustees in writing about potential legal contraventions and report findings to the ATO through the ACR.

Quality reporting and fund insight
An independent audit with advanced reporting software will ensure the validity and accuracy of an SMSF’s financial records. It will also provide insight into fund compliance with the superannuation rules.

Automation and specialist guidance

Enhanced auditing services add value to SMSF accounting. Rather than simple data analysis processes, clients should expect to gain the benefit of a dedicated fund partner.

Good auditing practises can help with both technological improvement and personal guidance.

Technological improvement
Less time spent on data entry, queries and downloading reports means more time for administration tasks. Auditors are handed all data needed to provide value-added insights into your SMSF’s performance instantly.

Robust systems

Good auditors build processes around their clients. The best advisors will tailor a unique plan of action according to a business’ unique needs. A generic service, on the other hand, means a carbon copy solution presented to each SMSF administrator.

Connect Outsourcing provide quality, independent SMSF auditing

Connect Outsourcing combines financial technology and specialist advice to provide high-quality SMSF auditing.

While other SMSF audit services operate on a generic ‘one size fits all’ approach, Connect cater to your business’ specific requirements.

We review all our SMSF audits with our Sydney-based partner practice, Davidson Audit & Advisory Pty Ltd. Sole Director Tim Davidson is a registered company auditor with over 30 years of experience in all aspects of accounting and tax for SMSFs.

Your clients need guidance on super changes and optimal performance of their fund. They want expert advice rather than numbers.

With more and more people turning to self-managed super funds, you need to convince your clients that you will provide a first-rate service.

Connect take the headache out of SMSF. Our SMSF processing services will help your firm retain your profit margins efficiently and accurately. We offer white-label self-managed super fund (SMSF) administration and audits for financial advisers and accountants.

We act as your in-house SMSF specialists, helping your clients prepare their end-of-financial-year accounts and assisting with audits and administration.

With over 800 fully trained accountants on our team and more than 10 years of experience, we are one of Australia’s largest and most experienced outsourced SMSF and accounting service providers.

Whether you need an extra pair of hands or require a sounding board for complex technical queries, we’re here to help. Best of all, your clients will never even know we exist!