Key Financial Information (KFI) reports have been compulsory since November 2016.
My opinion is they are almost completely useless!
Almost every line item is merely a repeated figure from the financials or serves no real purpose.
Administrative Fund
Balance carried forward - Already reported as one item on the balance sheet
Total income received - Includes total interest...
Total interest earned - At most, this is usually the sum of investment & main a/c interest
Total contributions paid - Already reported in Levy Positions and with far more detail
Total unpaid contributions payable - Already reported in Balance Sheet as arrears
Total expenditure for maintenance - Perhaps this is the only figure that's useful
Total expenditure for administration costs - Aren't all costs of the Admin fund admin costs?
Balance at end of reporting period - Is not the sum total of the above! Is on balance sheet
Capital Works Fund
Balance carried forward - Already reported as one item on the balance sheet
Total income received - Includes total interest
Total interest earned - At most, this is usually the sum of investment & main a/c interest
Total contributions paid - Already reported in Levy Positions and with far more detail
Total unpaid contributions payable - Already reported in Balance Sheet as arrears
Total expenditure for maintenance - Maintenance is usually an Admin expense
Total expenditure for administration costs - The CWF has no admin expenses
Balance at end of reporting period - Is not the sum total of the above! Is on balance sheet
It would have been good if each line were summarising lots of data but its usually just repeating a figure that appears as one item in the financials.
In addition to the above, the report is supposed to list planned future maintenance. However, without the AGM having happened this is almost an impossible task.
There you go, not a fan! Thankfully it doesn't get audited. Hindsight is indeed wonderful and it was an attempt to assist readers of strata financial reports but its time to ditch it or start a new version. Compulsory 'Notes to the Financials' would be a good replacement.
