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Spirit Super drops fees after merger

Tasplan and MTAA Super's $23 billion merged fund, Spirit Super, has reduced the weekly administration fees for members by 13.4%.

Effective today, the administration fees are reducing from $1.50 per week to $1.30 per week.

The merged fund has also reduced the total admin fee cap from $528 per year to $517.60 per year.

"The purpose of the merger is to provide better service, products and value to members, now and well into the future. I am proud to say we're off to a good start," said Spirit Super chief executive Leanne Turner.

"We're currently in a transition period as we move to a single administration system," Turner said.

"For members, this will mean some transactions will be limited or delayed for the next month. That said, our call centres are always on hand to help members with any queries they may have."

The combined fund has about $23 billion in total assets and 326,000 members.

In the lead up to the merger, Tasplan switched its MySuper product from lifecycle to single-strategy, and both funds raised their insurance premiums.

MTAA increased its group insurance premiums twice; and Tasplan increased its income protection premiums in September 2020 by 7% ahead of the merger.

MTAA attributed its February 2021 premium hike to COVID-19 and government reforms, and the February 2020 hike to Putting Members Interests First and Protecting Your Super. Tasplan attributed its 7% fee hike in September 2020 to PYSP and PMIF.

Read more: Spirit SuperTasplanMTAA SuperLeanne Turner