As the end of the year approaches, every working Australian will receive their yearly superannuation statement in the mail.

While most of us will skim over it and file it away, it’s important to understand many things on your statement, including the fees you pay, your level of insurance cover and how well your super is performing.

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The New Daily speaks to the super funds about what you’ll see on the document, what it means and how to tell if your fund is doing well.

Contributions

Your super statement will show your recent transaction history with contributions from your employer going in to your account.

CBUS CEO David Atkin stresses the importance of carefully looking at the transaction history to make sure contributions are properly going in.

“People need to check that they’re actually receiving the payments that are being declared on their pay slip,” Mr Atkin says.

“It’s an important statement from the perspective that people can actually see that they are receiving the contributions that they’re supposed to be receiving.”

If you are making co-contributions on top of the 9.5 per cent super guarantee, make sure they’re going in too.

Fees

Review the amount of fees that you have paid over the year, which may include investment charges and administrative fees, and consider shopping around for a better deal.

According to comparison site SuperRatings, the average fee for an industry super fund is around 1.02 per cent, while retail funds charge an average is 1.79 per cent.

The website also compares the top 10 super accounts with the lowest fees.

AustralianSuper head of external relations Stephen McMahon says low fees don’t always mean that your fund is performing well, so consider returns too.

“The most important figure is actually the net return to members – this is the money earned by members after the subtraction of fees and charges. Low fees do not always mean strong returns,” Mr McMahon sys.

Account balance

Your yearly super statement will show how well your fund has performed over the last year, or several years, in terms of percentage of growth. It will also show you what type of investment profile you have, which you can change based on the amount of risk you want to take with your super.

It’s important to check that your super is growing at an adequate rate, with the end of the year a great time to use ASIC’s MoneySmart superannuation calculator to make sure you’re on track for retirement.

HESTA chief Anne-Marie Corboy suggests making extra contributions to help boost your superannuation balance.

“While SG [super guarantee] contributions are an important starting point, most people will need to contribute extra to their super to achieve the retirement they want,” Ms Corboy says.

“This is especially important for women who, on average, retire with half as much super as men.”

If you’re unhappy with how your fund is performing, use a site like SuperRatings or Canstar to compare different superannuation funds.

Insurance cover

Included in your superannuation is insurance cover in case you are permanently disabled or pass away suddenly.

Mr McMahon says it’s important to review your level of cover and make sure it is adequate when you receive your statement.

“Typically members have life insurance, total and permanent disability (TPD) and income insurance,” Mr McMahon says.

“Ask yourself a few key questions to assess the appropriateness of your cover: Is there enough to cover all my debts? Is this the level I was expecting?”

“A phone call to your fund to double check can save a lot of heartache for yourself and your family at a later stage,” he says.

Personal details

Make sure all of your personal details are up to date, including the beneficiaries in the instance of your death, and whether or not you have provided your tax file number.

Without providing your TFN to your super fund, you’re likely to be paying a lot more tax on your super, robbing you of extra funds in retirement.

“Without providing your tax file number, you’re missing out on those tax concessions on super,” Mr Atkin says.