KiwiSaver fee reporting compulsory from 2018

Commerce and Consumer Affairs Minister Paul Goldsmith has announced all KiwiSaver annual statements will have to disclose total fees paid in dollar terms from 2018.

“Fund fees can have a considerable impact on an investor’s total retirement savings. Kiwis should have easy access to an accurate statement of the fees they are paying.

“Some providers have indicated they need to make IT system changes and will not be able to provide a dollar figure for fees by next year. The regulations will include a one-year transitional option for these providers.

“Providers not able to include a dollar figure for fees in 2017 annual statements will be required to disclose total fees as a percentage. All providers will be required to report dollar fees from 2018.

“I am still of the view KiwiSaver providers should be working toward providing their members with this information sooner than the regulatory deadline.”

The annual statement is a good opportunity for investors to take stock of the progress of their investment.

“Should KiwiSaver investors have questions about their fees, I encourage them to contact their provider directly. A number of providers are already disclosing total fees in annual statements. Alternatively consumers can use the KiwiSaver Fund Finder to compare their fund’s fees with other providers,” says Mr Goldsmith.

More information about the changes to KiwiSaver annual statement requirements can be found here.