POWERED BY MOMENTUM MEDIA
AustralianSuper defines the cost of PYS
The Government’s Protecting Your Super legislation appears to have come at a significant cost to some superannuation funds, with AustralianSuper estimating it at over $3.6 million.
AustralianSuper controversially introduced a levy to cover those costs and, answering questions on notice from the House of Representatives Standing Committee on Economics, the fund said those extra costs had totalled $3,674,932 on a cost-recovery basis alone.
What is more, the largest portion of those additional costs came in the form of administration.
Breaking down the costs, it said the non-insurance cost had been $944.496, with the insurance costs being $1,043,210 and the administration fee being $1,687,326.
AustralianSuper chief executive, Ian Silk had in November told the committee that the levy was designed as a cost-recovery exercise and would not provide any additional revenue to the trustee.
Recommended for you
In its pre-election policy document, the FSC highlighted 15 priority reforms, with superannuation featuring prominently, urging both major parties to avoid changing super taxes without a comprehensive tax review.
The Grattan Institute has labelled the Australian super system as “too complicated” and has proposed a three-pronged reform strategy to simplify superannuation in retirement.
Super funds delivered a strong 2024 result, with the median growth fund returning 11.4 per cent, driven by strong international sharemarket performance, new data has shown.
Australian Ethical has seen FUM growth of 27 per cent in the financial year to date.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
32.68 3 y p.a(%)
2
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.72 3 y p.a(%)
3
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
29.60 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
27.64 3 y p.a(%)
That's a drop in the bucket. AusSuper would be making $3.6m profit every fortnight, given their current FUM.
That's sure to drive Timmy Wilson bonkers!
Hey Steve - Aus Super is an industry fund - all " profit " goes back to members !