Superannuation Industry (Supervision) Act 1993
PART 2C
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MYSUPER
Division 5
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Fees rules for MySuper products
SECTION 29VB
ADMINISTRATION FEE EXEMPTION FOR EMPLOYEES OF AN EMPLOYER-SPONSOR
29VB(1)
An administration fee charged to members of a regulated superannuation fund who hold a MySuper product is charged in accordance with the administration fee exemption for employees of an employer-sponsor if:
(aa) although the trustee, or the trustees, of the fund are authorised to offer the MySuper product, it is not on the basis that section 29TB was satisfied in relation to that class of beneficial interest in the fund; and
(a) the fee is charged in relation to all members of the fund who hold the MySuper product; and
(b) an employer-sponsor contributes to the fund or would, apart from a temporary cessation of contributions, contribute to the fund for the benefit of those members of the fund (the employee members ) who hold the MySuper product and who are:
(c) the trustee, or the trustees, of the fund have entered into an arrangement with the employer-sponsor that secures lower administration fees for the employee members; and
(d) the fee is in accordance with subsection (2), (3), (4) or (4A); and
(e) the fee is in accordance with subsection (5).
All employees charged same flat fee
29VB(2)
The amount of the administration fee is the same for each of the employee members.
All employees charged same percentage of account balance
29VB(3)
Each of the following is satisfied:
(a) the amount of the administration fee charged in relation to one of the employee members is a percentage of so much of the member ' s account balance with the fund that relates to the MySuper product;
(b) the amount of the administration fee charged in relation to each of the other employee members is the same percentage of so much of that member ' s account balance with the fund that relates to the MySuper product.
All employees charged combination of same flat fee and same percentage of account balance
29VB(4)
Each of the following is satisfied:
(a) the amount of the administration fee charged in relation to one of the employee members is the sum of a fixed amount (the flat fee ) and another amount that is a percentage of so much of the member ' s account balance with the fund that relates to the MySuper product;
(b) the amount of the administration fee charged in relation to each of the other employee members is the sum of the flat fee and the same percentage of so much of that member ' s account balance with that fund that relates to the MySuper product.
Reduced fees for employees with low balances
29VB(4A)
Each of the following is satisfied:
(a) the administration fee is charged at a reduced amount, in accordance with section 99G , in relation to one or more employee members of the fund;
(b) in relation to the remaining employee members of the fund, the administration fee would be in accordance with subsection (2), (3) or (4) if those were the only employee members of the fund.
29VB(5)
The total amount of the administration fee charged in relation to the employee members is at least equal to an amount that reasonably relates to costs that:
(a) are incurred by the trustee, or the trustees, of the fund in the administration and operation of the fund in relation to those members; and
(b) are not otherwise charged as an investment fee, a buy-sell spread, a switching fee, an activity fee, an advice fee or an insurance fee.
View history note
Hide history noteAn administration fee charged to members of a regulated superannuation fund who hold a MySuper product is charged in accordance with the administration fee exemption for employees of an employer-sponsor if:
(aa) although the trustee, or the trustees, of the fund are authorised to offer the MySuper product, it is not on the basis that section 29TB was satisfied in relation to that class of beneficial interest in the fund; and
(a) the fee is charged in relation to all members of the fund who hold the MySuper product; and
(b) an employer-sponsor contributes to the fund or would, apart from a temporary cessation of contributions, contribute to the fund for the benefit of those members of the fund (the employee members ) who hold the MySuper product and who are:
(i) employees of the employer-sponsor, or an associate of the employer-sponsor; or
(ii) the relatives or dependants of those employees; and
(c) the trustee, or the trustees, of the fund have entered into an arrangement with the employer-sponsor that secures lower administration fees for the employee members; and
(d) the fee is in accordance with subsection (2), (3), (4) or (4A); and
(e) the fee is in accordance with subsection (5).
All employees charged same flat fee
29VB(2)
The amount of the administration fee is the same for each of the employee members.
All employees charged same percentage of account balance
29VB(3)
Each of the following is satisfied:
(a) the amount of the administration fee charged in relation to one of the employee members is a percentage of so much of the member ' s account balance with the fund that relates to the MySuper product;
(b) the amount of the administration fee charged in relation to each of the other employee members is the same percentage of so much of that member ' s account balance with the fund that relates to the MySuper product.
All employees charged combination of same flat fee and same percentage of account balance
29VB(4)
Each of the following is satisfied:
(a) the amount of the administration fee charged in relation to one of the employee members is the sum of a fixed amount (the flat fee ) and another amount that is a percentage of so much of the member ' s account balance with the fund that relates to the MySuper product;
(b) the amount of the administration fee charged in relation to each of the other employee members is the sum of the flat fee and the same percentage of so much of that member ' s account balance with that fund that relates to the MySuper product.
Reduced fees for employees with low balances
29VB(4A)
Each of the following is satisfied:
(a) the administration fee is charged at a reduced amount, in accordance with section 99G , in relation to one or more employee members of the fund;
(b) in relation to the remaining employee members of the fund, the administration fee would be in accordance with subsection (2), (3) or (4) if those were the only employee members of the fund.
29VB(5)
The total amount of the administration fee charged in relation to the employee members is at least equal to an amount that reasonably relates to costs that:
(a) are incurred by the trustee, or the trustees, of the fund in the administration and operation of the fund in relation to those members; and
(b) are not otherwise charged as an investment fee, a buy-sell spread, a switching fee, an activity fee, an advice fee or an insurance fee.
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