In today’s dynamic world of accounting, outsourcing has evolved from being just a buzzword to a practical necessity. The primary driving force behind this shift is the ever-increasing burden of regulatory compliance, demanding accurate and frequent reporting. Recent changes, such as the introduction of the transfer balance cap and Event-Based Reporting (TBAR), have significantly amplified compliance demands for entities. A substantial portion of this compliance involves straightforward data gathering and reporting, making it ideal for cost-effective and efficient outsourcing.
When it comes to self-managed super funds (SMSFs), outsourcing proves to be particularly advantageous, surpassing even cloud-based bookkeeping. This success is attributed to the structured nature of SMSF accounting and compliance, especially in the context of preparing for an audit. The meticulous requirements of audit processes, including SMSFs, ensure that workpapers and preparatory work are standardized, setting it apart from tax work or general accounting and bookkeeping.
There are numerous benefits to embracing the outsourcing model for SMSF compliance, but it’s crucial to make informed choices among the available providers.
Here are key considerations when outsourcing your SMSF compliance:
1. Quality Assurance: Prioritize high-quality service by assessing the provider’s software capabilities, such as CLASS, BGL, SuperMate, or Desktop Super, and the expertise of their staff in handling various funds and structures. Seek testimonials to verify the quality of their processes.
2. Outcome-Based Pricing: Opt for a provider offering a fixed fee per super fund, providing your accounting practice with pricing certainty and margin control.
3. Turnaround Times: Ensure the provider can meet your turnaround time requirements. The capacity and size of the outsourcing provider play a crucial role in delivering timely results.
4. Process Compatibility: Check if the provider can adapt to your specific audit software and prepare working papers tailored to suit your requirements.
5. Local Account Management: Having local contacts and account management can offer peace of mind. Knowing that you can reach out to someone locally helps maintain strong communication and trust with your clients and staff.
6. Security and Compliance: Verify that the provider adheres to Australian privacy laws and maintains rigorous security protocols to protect your data.
In summary, when considering outsourcing for your accounting firm, focus on:
- Quality
- Capacity and turnaround times
- Process adaptability
- Local account management
- Stringent security protocols
Outsourcing for accounting firms can streamline your SMSF compliance and audit offerings, ensuring efficiency, accuracy, and peace of mind. Trusting a reliable provider with the right expertise and capabilities can free up your resources, allowing you to concentrate on delivering exceptional service to your clients.