The Administration Manager will deduct a monthly management fee from your balance. This fee will be based on the number of BCF Scheme members from time to time, reducing as numbers increase (see page 13 of the Investment Statement) and is currently $4.17 per member per month (subject to an overall minimum fee of $30,000 per calendar year). The fee will increase each year in line with CPI.
The Administration Manager can also be reimbursed for expenses reasonably incurred in providing its services to the BCF Scheme (and may be paid on a time cost basis for producing any special purpose information or giving consulting advice).
The Trustee does not charge any fees for its services, but seeks reimbursement from BCF Scheme assets for the expenses (such as legal and audit fees and investment costs) and liabilities which it incurs from time to time in acting as Trustee. The Trustee is also gradually recovering from BCF Scheme assets, by instalments over time, certain costs incurred in connection with the formation of the BCF Scheme. All KiwiSaver scheme fees are subject to “reasonable fees” restrictions prescribed in the KiwiSaver legislation.