Received this email from Qantas - unsure if it’s targetted.
Thanks to an exciting new partnership between Qantas and AustralianSuper, new members can now earn points with their Super Fund.
Simply join AustralianSuper, contribute a minimum of $350 within 6 months and you’ll earn 20,000 bonus Qantas Points*. Offer ends 5 May 2019.
Redeem them for flights, upgrades, hotels, wine and more, and be rewarded today while you plan for tomorrow
Did you at least cancel the insurance?
I did. Took maybe a few weeks to do so as well
The advertising, the sponsorships and the frequent flyer points aren’t free, they come from the money you put into the fund. Think about it.
It’s like the energy company which gives you points on one plan but not the other. Your paying for the points as part of the contract.
If they pay within 2-3 months as indicated in their T&Cs and you roll into your primary super then, you should only be hit with ~$60 worth of fees for ~$200 benefit. Assuming you can transfer the money out in a timely manner…
The problem with this is you’re also incurring buy-sell spread on top of admin fees.
Chuck it in cash, would be no spread
I switched my super to Australian Super 2 weeks ago and just asked them whether I could still get the QFF points - answer was a resounding no.
Was a member in 2011 but moved to another. Tried to login with old details and denied. Will put some money in to get points and compare fees.
It says on the offer page "This offer is available only to Qantas Frequent Flyer members who join AustralianSuper for the first time"
Time will tell. I have 2 jobs so just switched to AS for one of them.
if contribute for my wife, can I get tax deduction?
Govt will match your voluntary contribution x50% in your tax return up to $1000/$500
Depends on your income.youll get a full $500 co contribution if you earn less than 37,697. But it reduces if you earn more and reduces to $0 if you earn over $52,697
It depends on how the contribution is classified.
- Spouse contribution
- Personal contribution after tax
- Personal contribution with a tax deduction
To claim a personal tax deduction, you need to complete a tax deduction notice with Australian Super.
$200 sounds about right
so, if I got $350 deposited, need to wait 6 months till they give you 20'000 Qantas FF points, how much of those $350 will be gone in fees before I can transfer them to another super account ?
T&Cs say 2-3 months: "Bonus Qantas Points will be provided as a one-off allocation approximately 2–3 months after the $350 contribution threshold is met".
You will pay an exit fee of $35 and an admin fee of $6.50 for Feb, another $6.50 for March and $9.75 for April if required. So roughly $48-58 by my calculations.
Also a 0.66% investment fee but you'd probably be paying something similar in your other super account anyway.
Is there a simple way to simply redirect $350 worth of contributions from an existing employer to this fund? Will employers do this?
Will employers do this?
Employers typically wont let you split your super contribution across two funds (because their payroll software doesn't let them do it easily).
Here's a a few approaches:
I assume the last two methods will qualify for the bonus (although not clear from the t&c).
Update your fund choice with your employer for 1 pay cycle
Employers only need to accept 1 superannuation change request per year.
Would also like to know!!
Also need to consider how often your employer pays your super … some only pay quarterly … in which case you need to re-direct the whole quarter to that fund.
i can see them backing out of this. have signed up anyway. should be fun!
I cannot determine from the terms and conditions of a rollover of funds from another super fund is classified as part of the $350 minimum deposit required? Or do I have to get my future employer super payments deposited into this fund?
I would hope that a $350 rollover qualifies. A new contribution of $350 will be subject to tax, so it's less funds under management for them to chip away at in fees. But the marketing people who come up with these promotions aren't always logical.
As stated previously, the Australian Super 'Balanced' option is far from that, when comparing the asset allocation to most other 'Balanced' options. This isn't necessarily a bad thing, particularly for younger accumulators, however you will get a fairer comparison when comparing performance against a typical high growth fund.
Australian Super aren't transparent when providing their performance, typically only reporting each financial year (however you can get an up to date snapshot through morningstar.com.au) and using a benchmark return which is totally different to the asset allocation of the fund (a benchmark which would be expected to underperform over the long-term). Since 30 June 2018 the performance of Australian Super has been lagging like-for-like funds.
The issue of industry funds vs retail funds should really be about low cost funds vs high cost funds. For super balances of $50,000+ a low-cost retail fund that provides access to an index fund/ETF should be more cost-effective as industry funds typically charge a high percentage based investment fee (which becomes a bigger issue for larger balances).
I personally think this offer is worth considering for individuals who can't get a credit card with the bonus points (e.g. poor credit rating) and who really wants the points, otherwise the time and effort to set up a fund and rollover to an alternative would be quite burdensome with a fund like Australian Super (just my two cents).
And if they are still one of the better performing funds consistently, then how bad will be others whose performance isn't rated well as it is?
There’s going to be a lot of QFF points for sale on Ozbargain classifieds in a few months.
No way it is worth giving them your super for a couple of points. They will drain more than the points value in fees in the first year.
Wow alot of people on here have NFI.
The best Super Funds are Industry Super Funds. AusSuper is well entrenched within the top three and a very consistent performed.
If you are currently with a Retail Fund then take the 20,000 QFF points as a bonus for making a smart financial decision and switching.
All super funds exit fees will be banned from 1 July 2019, announced in May 2018 Budget:
https://www.theguardian.com/australia-news/2018/may/08/super…
dont think ive ever got charged exit fees by switching funds in the past..
There is little chance of the government actually passing this legislation in the very few sitting days left before the end of the FY.
Just confirmed with AustralianSuper that from 30th March the exit and withdrawal fee will no longer be charged from accounts.
Don't worry, they've got it covered. I was just looking into this when I saw on their website -
"From 30 March 2019, the Administration fee will increase from $1.50 to $2.25 per week which is an additional $39 per year."
Talk about being sneaky. Substitute one fee for another.
There are so many complaints that people have posted here. I wish they had some official rep to handle these and answer related questions to gain the confidence of the new customers at least.
I have very little idea about super.All I know is I get around 7/8k every year in super. I am currently with commonwealth bank super and I like that I can see my super fund in my banking app. Will this be a good switch?
That might end up being a very expensive app!
I switched to Aus Super late last year after reviewing alot of FY history and fees - Aus Super at the time was extremely competitive.
Are they still competitive in 2019 - I don't know. There was discussion on page 1, that the weekly fees have gone up significantly.
If that's the case - I'd want to know why I wasn't advised in advance of these changes - as I will be doing another change.
Possible to self fund $350, gain points and then close it ?
I’m worried that while their profits are plowed back to members, they also spend a lot in sponsorships (AO for one) and lots of advertising (and god forbid, lobbying?) How much net profits actually remain for members to enjoy?
At least my retail fund is employer-grouped. I get admin fee and other fee rebates.
But your retail fund is outperformed by Australian Super. It's a bit like people who prefer to pay $50 for an item with free delivery rather than $40 plus $5 delivery.
Also, your first comment is incorrect as shown by the evidence from the Banking Royal Commission.
Actually, MY retail fund (personal asset allocation) outperformed Aust Super High Growth.
How do you know? Actually, MY retail fund (personal asset allocation) outperformed Aust Super High Growth.
While big platforms are dropping their admin fees Post RC, AusSuper goes the other way…
https://www.financialstandard.com.au/news/australiansuper-hi…
Anybody who thinks all retail funds are worse than all industry funds doesn't have the full picture. A quick comparison of the Vanguard High Growth Fund against the AustralianSuper Balanced Fund (given these two funds have similar asset allocations, despite the different naming convention) to 30 June 2018 (the most recent performance data provided by AustralianSuper) shows that Vanguard outperformed over the 1, 5 and 10 years AND has a lower fee structure…There will be periods when AustralianSuper outperforms and vice versa, but over the long-term I would bank on Vanguard outperforming 9 times out of 10.
AustralianSuper pays to be on comparison websites, sponsorship (as detailed previously), etc… A 'not-for-profit' fund doesn't mean a 'low-cost' fund. Vanguard is also a mutual fund (i.e. not run to profit shareholders) but doesn't spend anywhere near the amount AustralianSuper (and other industry funds) do on marketing. Vanguard also dwarfs all industry funds in Australia on a global scale, so their economies of scale make AustralianSuper and other such options look like backyard operations.
Do yourself a favour and look past comparison websites which only show a handful of funds which have paid to get a rating (and can actually pay different amounts depending on the rating they have been given).
Imagine not knowing the difference between a super fund and a fund manager
I can't tell if you seriously don't realise you can get access to low cost managed funds/ETFs through superannuation (I sincerely hope not) or you are agreeing with me…You can even access these investment options through some industry funds, so for your sake I hope that was sarcasm (i.e. not ignorance)!
Australia super high growth 10yr return to 31 dec 18 was 8.93% after tax. Vanguard high growth index fund return for the same period was 9.40% BEFORE tax. Remembering you pay 15% tax on earnings within super. I know where I'd rather be.
Vanguard is 90/10 growth to defensive assests. Australian super highgrowth fund is slightly more growthy at 93/7 but it is more diversified as it has property, infra, private eq and credit. Where Vanguard does not.
@Jdog88: 15% tax on income and 10% tax on discounted capital gains I'll think you'll find, and any franking credits also offset the tax payable… Besides, Vanguard specifically detail the after-tax superannuation return at the following page to allow a direct comparison:
https://www.vanguardinvestments.com.au/adviser/adv/investmen…
You will see the 10 year return through super is 9.35% after tax on distributions (certainly nowhere near the 9.40% x 85% = 7.99% which I think you were implying), which is what AustralianSuper reports…So you are saying you would rather generate 0.42% less after-tax per annum (and pay a similar amount extra in fees if your balance is $50k+)? Wow, I never heard of someone being happy with a lower return and a higher risk profile over a period of good performance…Side note, I personally have 100% exposure to growth assets through investing in specific growth assets, as opposed to a diversified fund (though I think the Vanguard High Growth Fund is more appropriate for most people).
Vanguard do not have exposure to large property and infrastructure assets directly, but to say it is not as diversified is once again shortsighted. Take a look at the list of shares Vanguard holds in companies like Westfield, Mirvac, Stockland, LendLease, etc, etc and it is clear that you are getting that exposure through the shares of the companies… In fact, you are getting exposure to all of the assets held by each company as opposed to specific property/infrastructure assets which AustralianSuper have a controlling interest in (this represents further issues such as how often the assets are revalued, which was a massive issue for CBUS in particular during the GFC). Within the share components of Vanguard you are also getting access to a much wider range of companies, so I would argue that Vanguard actually has greater diversification (Vanguard also has exposure to credit through the fixed interest component).
I'm not trying to be a (complete) dick, and I actually think AustralianSuper is better than the majority of super funds, however it is by no means a 'top 3 fund' as I read earlier…If you look at the best performing investment option over 5 years for the past 35 years, you will see that it has underperformed the index over the following 5 years on every single occassion (I don't have a link, but you may be able to find some confirmation on Google).
Hard to know if this is a good deal or not, so many negative comments :P
So self contributing the $350 is fine? It doesn't have to be an employer contribution of $350?
If you open up and account and don't fund it yet, do you still get charged any monthly or admin fees?
Or do you only start getting charged fees once you put the first funds in?
Just confirmed the fees do get backdated to the date you created the account though those will be deducted when the contribution is received.
For those looking for a short term superannuation deposit, read the article by Matt Graham on AFF website- https://www.australianfrequentflyer.com.au/qantas-points-aus…
Contribute $350, wait till credited points, roll over the $350 to your normal fund…?
minus any fees? is it worth it?
Just put $350 in and now it says my balance is $349 the day the funds arrived in the account. Anyone else?
Opened an account yesterday but been unable to initiate the transfer as everytime I click make a contribution >> BPAY details..i get this error -
Sorry, it seems like we are experiencing some difficulties
Anyone else experiencing this issue?
Does this deal constitutes hawking of superannuation products (which is proposed to be banned by Ken Hayne report)?
How do I funnel the contribution from a QFF earning CC?
absurdly stupid reason to choose a super fund
Timely deal as I was considering switching to Aus Super… I'm just looking at one of their "pre-mixed" investment options… Anyone already with Aus Super have any feedback regarding their Balanced v Growth options?
Anyone found out if transferring super from another account counts as a "contribution"?
I had a few K sitting in an old Rest Super account that I just transferred.
Spoke to chat and it does not have to be in there for 2-3 months. You can contribute then pop off straight away. Apparently we still get the points.
Hi. How can I help you today?
You at 19:38, Feb 28:
Hi I hope you are well. I have a question about the 350 dollar Qantas point offer. Let's say I roll over the funds before the points are credited but I did deposit money. Is this still ok? Cheers
Claire at 19:38, Feb 28:
Yes a rollover or contribution would qualify you for the points.
You at 19:39, Feb 28:
But does the money have to be on there until I get the points
You at 19:40, Feb 28:
Or will the contribution itself trigger it. Cheers
Claire at 19:41, Feb 28:
The $350 should trigger the eligibility.
You at 19:42, Feb 28:
Have an amazing day
Got my points today
Great..How come so quick? they said to me it will take 2-3 months when I joined 4 weeks ago.
I applied on 30/1 and got the points today 8/3
My points came through too; I had made a personal contribution of $500. I'm wondering if I try to consolidate my super from my main super fund, would it simply transfer the $500 out from Australian super and close the account or would they keep the account open and continue to charge me the admin fees?
Wait one more month… 1st April they won’t charge any exit fees
But yes good question if the account is closed if you do a rollover?
Yeah, I'll consolidate and see how I go :)
@JHoliday:
Wait one more month… 1st April they won’t charge any exit fees
You mean they're getting rid of the exit fee from the 1st Apr?
@Moo Deng: Awesome, thanks for the info. I couldn't find the details anywhere though. Do you have a link?
I know that from July 1st everyone has to do it. Didn't know that they do it in Apr.
@FirstWizard: This is what they messaged me on Facebook when I asked about the exit fees being stopped by Jul 1…
"That is correct. However it is actually from the 30th march that the exit and withdrawal fee will no longer be charged from accounts."
Points came through today. Thanks OP!
Points arrived!
Now how to close the account, and transfer the funds to my usual Superfund?
Just log in to your usual superfund website and do a rollover - it will automatically close the account
Thanks.
So simple!
The "Offer extended until 30 June 2019."
How to take advantage of this offer
This offer is available only to Qantas Frequent Flyer members who join AustralianSuper for the first time - simply follow the steps below.
To be eligible for this offer, you must join AustralianSuper via this page before 30 June 2019 and contribute at least $350 within the first six months. If you join through another channel you won’t be eligible for this offer. Your bonus Qantas Points will then be credited to your account approximately 2-3 months after meeting the join and contribution criteria.
Well they are asking for certified copy while my dad not in OZ I guess it won’t help to go to AFCA. He’s planning coming back Melbourne in October so I’ll just hope there will be a few dollars left in the account… I’ve not thought a big super company can be so nasty when trying to withdraw the money