You will find fees within all super funds, even where you operate your own self-managed super fund, including:

• Administration fees. These maybe a fixed amount or a percentage of your investment in the fund, used to pay for the ongoing operational costs and administration of your fund. 
• Investment fees. These are the fees charged by the fund investment manager for the management of your superannuation investments or to buy investments. 
• Advice fees. You may be paying an adviser fee through your super fund for the advice you receive.

In addition, most superannuation funds offer members life, total and permanent disability (TPD) and income protection insurance, and the cost of the insurance premiums will be an additional charge against a member’s account balance.

Please note: From 1 July 2019, trustees are prevented from:

• charging certain fees and costs exceeding 3% of the balance of a MySuper or choice product annually, where a member’s account balance is <$6,000 at the end of the financial year. Particularly administration fees, investment fees, and associated costs – fees incurred by members simply by virtue of holding a product.
  • If a trustee has charged more than the amount allowed the excess above the cap must be refunded to a member, generally within 3 months of the end of the fund’s income year.

• charging exit fees (other than a buy-sell spread) on a superannuation product, where a member disposes of all or part of their interest in a superannuation entity, regardless of a member’s account balance.
• a switching fee may still be charged where a member switches all or part of their interest in a superannuation entity from one class of beneficial interest in the entity to another.

Your Superannuation Fund

When you look at your annual Superannuation Statement, can you determine the fees you pay? You may like to split these into administration fees, investment fees and adviser fees.