Trust Accounting

For all trust accounting and trust form enquiries please contact John Zuleta at the Society at john.zuleta@lst.org.au.

Members: You can access the trust account forms by heading to the Members Homepage, or to My Member Dashboard and under Forms and Applications.

For all trust accounting and trust form enquiries please contact John Zuleta at the Society at john.zuleta@lst.org.au.

Members: You can access the trust account forms by heading to the Members Homepage, or to My Member Dashboard and under Forms and Applications.

January 29:

  • Complete trust account reconciliations
  • Calculate Designated deposit (for Solicitors’ Trust)
  • Change passwords*
  • Law Practice Report to be forwarded to BDO
  • Forward unclaimed money register to Solicitors’ Trust

February 19:

  • Complete trust account reconciliations
  • Update Register of Powers and Estates

March 19:

  • Complete trust account reconciliations

March 31:

  • Review Trust Ledger and investment register for older balances and unclaimed monies*

April 21:

  • Complete trust account reconciliations
  • Calculate Designated deposit (for Solicitors’ Trust)
  • Change passwords*

May 21:

  • Complete trust account reconciliations
  • Update Register of Powers and Estates

June 21:

  • Complete trust account reconciliations

June 30:

  • Forward statements to clients after June 30 as required by Reg 48(7)

July 21:

  • Complete trust account reconciliations
  • Calculate Designated deposit (for Solicitors’ Trust)
  • Change passwords*

July 30:

  • Confirm authorised trust account signatories to Society (Reg 40(3)(b))

August 20:

  • Complete trust account reconciliations
  • Update Register of Powers and Estates

September 21:

  • Complete trust account reconciliations

September 30:

  • Review trust ledger and investment register for older balances and unclaimed monies*

October 21:

  • Complete trust account reconciliations
  • Calculate Designated deposit (for Solicitors’ Trust)
  • Change passwords*

November 21:

  • Complete trust account reconciliations
  • Update Register of Powers and Estates

December 21:

  • Complete trust account reconciliations
  • Prepare to send Unclaimed Money Register to Solicitors’ Trust before 29 January 2021
  • Commence completion of Law Practice Report (Firm Report) to be forwarded to your trust account examiner by 29 January 2021

Notes **

Trust Reconciliations.

  • Regulation 38 of the Legal Professions Regulations 2018 applies. Reconciliations to be completed within 15 working days of the end of each month.

Designated deposit (for Solicitors’ Trust)

  • S. 352 of the Legal Profession Act 2007 applies. Rebalance deposit to 2/3rds of prescribed deposit (lowest daily balance plus funds already held in designated trust deposit account on last day of quarter) within 21 days of end of the quarter. See also Trust Form 10 with notes.

Stale Cheques

  • Cheques are deemed “stale” after 15 months. Good practice is to follow up by letter or phone call any cheque not presented after 3 months.

Old Balances

  • Follow up six monthly, suggest March and September.

Unclaimed Money

  • S. 257, 258 and 259 of the Legal Profession Act 2007. Funds become unclaimed money two years from date entitlement accrued.

Computer Backup

  • Offsite backup at least end of month (best practice – weekly) and retained until after inspection. It is recommended that you have 2 disks or hard drives and alternate their use for backups.

Passwords

  • Change passwords regularly – suggest quarterly when reconciling deposit.

* Recommended

** Accurate at time of printing

Online Trust Account Course

Council recently endorsed a new online trust accounting course offered by the Legal Bookkeepers Institute (legalbookkeepersinstitute.com.au). The online course was developed with the assistance of the Society and in particular the Solicitors Accounts Rules Committee. Council recently resolved that all practitioners who are granted a principal practising certificate for the first time will be required to complete the online course. The course covers all of the basics of trust accounting. It provides a good refresher for those who may be familiar with trust accounting requirements and a solid foundation to those who are dealing with trust accounting for the first time. It is suitable for professional and administrative staff to undertake

For all trust accounting and trust form enquiries please contact John Zuleta at the Society at john.zuleta@lst.org.au.

Forms and Applications