Fees as at 30 June 2008
Did you know?
Small differences in both investment performance and fees and costs can have a substantial impact on your long term returns. For example, total annual fees and costs of 2% of your fund balance rather than 1% could reduce your final return by up to 20% over a 30 year period (for example, reduce it from $100,000 to $80,000). You should consider whether features such as superior investment performance or the provision of better member services justify higher fees and costs.
To find out more
If you would like to find out more, or see the impact of the fees based on your own circumstances, the Australian Securities and Investments Commission (ASIC) website (www.fido.asic.gov.au) has a superannuation fee calculator to help you check out different fee options.
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This table shows fees and other costs that you may be charged. These fees and costs may be deducted from your superannuation account, from the returns on your investment or from the Fund’s assets as a whole. Taxes and insurance costs are set out in other parts of the website. You should read all the information about fees and costs because it is important to understand their impact on your investment.
Fees and costs for particular investment strategies are set out in Additional explanation of fees and costs.
| Type of Fee or Cost |
Amount |
How and when paid |
| Fees when your money moves in or out of the Fund |
Establishment fee
The fee to open your investment. |
Nil. |
Not applicable. |
Contribution fee
The fee on each amount contributed to your investment –- either by you or your employer. |
Nil. |
Not applicable. |
Withdrawal fee
The fee on each amount you take out of your investment. |
$30 |
Deducted from your account each time a benefit is paid (including any part payments and your final payment), for spouse contribution splits if your spouse's account is with another superannuation fund, and for payments made as a result of a release authority. If you are invested in a number of strategies, the fees are deducted on a pro-rata basis from each strategy before the withdrawal is made. |
Termination fee
The fee to close your investment. |
Nil. |
Not applicable.
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| Management Costs |
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The fees and costs for managing your investment.
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$52 per year
($1 per week)
Plus
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The dollar based fee is an administration fee and is deducted from your superannuation account (in arrears) at the end of each month (including the months you start and leave).
The amount deducted each month is $4.33 (equivalent to $1 each week).
If you are invested in a number of strategies, the fees are deducted on a pro-rata basis from each strategy.
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For the amount you pay for specific investment strategies, click here.
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Investment management expense
A percentage currently estimated to range, depending on the investment strategy selected, from:
0.05% pa
($25.00 per $50,000)
to 0.48% pa
($240.00 per $50,000).
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The percentage amounts are estimates of investment management expenses which reflect the actual expenses incurred, including the fees paid to asset consultants, investment managers, the custodian and other costs directly related to managing the investments of the Fund.
The investment management expenses are deducted before the unit price for an investment strategy is determined.
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| Service Fees* |
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Investment switching fee
The fee for changing investment strategies.
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Future contributions switch: Nil.
Current account balance switch:
First switch in financial year: Nil
Subsequent switches: $25 per switch.
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Deducted from your superannuation account at the time of the switch. If you are invested in a number of strategies, the fees are deducted on a pro-rata basis from each strategy before the switch is made. |
*Family law fees and 'No TFN' tax recovery fees may also apply. See additional explanation of fees and costs.
Example of annual fees and costs for a balanced investment option (the Diversified investment strategy)
This table gives an example of how the fees and costs in the Diversified investment strategy for this product can affect your superannuation investment over a one year period. You should use this table to compare this product with other superannuation products.
| EXAMPLE — the balanced investment option (the Diversified investment strategy)1 |
Balance of $50,000 with total
contributions of $5,000 during year |
| Contribution Fees2 |
Nil |
For every $5,000 you put in, you will be charged nil. |
PLUS
Management Costs3 |
0.30%3 + $52 |
And, for every $50,000 you have in the Fund you will be charged $150
each year plus $52 in administration fees regardless of your balance. |
EQUALS
Cost of the Fund |
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If you put in $5,000 during a year and your balance was $50,000, then for that year you will be charged fees of $2022
What it costs you will depend on the investment strategy you choose and the fees you negotiate with your fund or financial adviser.4
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1 The Fund’s investment strategy which meets the definition of a “balanced investment option” is the Diversified investment strategy
2 Additional fees may apply: Establishment fee – Nil
And, if you leave the Fund, you will be charged a withdrawal fee of $30.
3 This percentage amount is the investment management expense for the Diversified strategy for the period ended 30 June 2008.
See the page Additional explanation of fees and costs.
4 Management costs cannot be negotiated in First State Super.
Note: If you are age 56 or over when you join the Fund and you do not choose an investment strategy, you will be automatically invested in the Balanced strategy, not the Diversified strategy.
Note: The above example is illustrative only and is based on the factors indicated. It should not be taken to provide an estimate of the management costs that would be payable in respect of your superannuation account.
More about First State Super's fees and costs
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