Overview

The Statutory Deposit function allows Australian law firms to manage funds that must be held in a separate Statutory Deposit Account in accordance with regulatory requirements.

Unlike the firm's day-to-day Trust Cash Account, the Statutory Deposit Account records money that has been transferred to a regulator-controlled statutory account.

Efimis keeps these balances separate to provide a clear audit trail and ensure compliance with Australian trust accounting requirements.

Navigate to

Banking → Trust Cash Account → Statutory Deposit

The Statutory Deposit feature is available for Australian (AU) jurisdictions only.

Understanding Statutory Deposits

The Statutory Deposit area maintains two separate balances.

Money can be transferred between these two balances as required.

Every movement is recorded as an auditable transaction.

Available Actions

The Statutory Deposit screen supports two transaction types.

Both transaction types post against the Trust Journal and update the Statutory Deposit Control Ledger, ensuring a complete audit trail is maintained.

Pay to Statutory Deposit

Use this option when funds must be lodged into the Statutory Deposit Account.

Navigate to

Banking → Trust Cash Account → Statutory Deposit

Result

• The Trust Cash Account Balance decreases.
• The Statutory Deposit Balance increases.
• The transaction is recorded in the audit trail.
• The transfer is recorded in the Statutory Deposit Control Ledger.

Receive from Statutory Deposit

Use this option when funds are returned from the Statutory Deposit Account.

Navigate to

Banking → Trust Cash Account → Statutory Deposit

• The Trust Cash Account Balance increases.
• The Statutory Deposit Balance decreases.
• The movement is recorded as an auditable transaction.

You cannot withdraw more than your current Statutory Deposit Balance. Efimis prevents withdrawals that exceed the available balance, so you cannot overdraw your Statutory Deposit Account.

Statutory Deposit Control Ledger

All statutory deposit transactions are recorded in the Statutory Deposit Control Ledger within the General Ledger. From this ledger, you can:

• View all Statutory Deposit transactions.
• Export transaction details.
• Print transaction records.
• Email transaction records directly from Efimis.

Statutory deposit transactions cannot be reversed. Please ensure all transactions are correct before they are processed. 

Statutory Deposit Reporting

To report on Statutory Deposit activity, navigate to:

Reports → Trust Compliance → Statutory Deposit Report

The Statutory Deposit Report provides a complete history of all Statutory Deposit transactions, including transfers to and from the Statutory Deposit Account. It can be used for reconciliation, auditing and compliance reporting. 

Audit and Compliance

All Statutory Deposit transactions are fully auditable.

Each movement records:

• Transaction date
• Transaction type
• Amount
• Running balance
• User who performed the transaction (where applicable)

This provides a complete audit trail to help firms demonstrate compliance with Australian statutory deposit requirements. 

Compliance Requirements

Statutory Deposit requirements vary between Australian states and territories. As legislation and compliance obligations differ by jurisdiction, your firm should ensure it follows the statutory deposit requirements applicable to its state or territory.

Unlike standard trust deposit accounts, a Statutory Deposit Account is not associated with an individual matter. Instead, it is maintained as a General Ledger Control Account, meaning it is not visible within matters and cannot be managed from a matter.

All Statutory Deposit transactions are processed through the General Ledger and can be reviewed in the Statutory Deposit Control Ledger or reported on using the Statutory Deposit Report.

Best Practices

• Verify the amount before posting a Statutory Deposit transaction.
• Use meaningful narrations to simplify future audits.
• Review the Statutory Deposit Control Ledger and the Statutory Deposit Report regularly to confirm balances and support compliance.
• Ensure statutory deposits reconcile with external regulatory records.
• Only transfer funds using the Pay to Stat Deposit and Receive from Stat Deposit functions.
• Remember that Statutory Deposit balances are separate from the operating Trust Cash Account and should not be treated as available trust funds.