HESTA Super Review 2026 — Fees, Performance, and Insurance
This article provides general information only and does not constitute financial advice. For advice tailored to your situation, consult a licensed financial adviser. Learn more.
Contents
HESTA is the industry super fund for Australia’s health and community services sector, with approximately 1 million members and over $80 billion in funds under management. It is one of the country’s largest industry funds and is particularly focused on its predominantly female membership base.
This review provides general information only and is based on publicly available data. It is not a personal recommendation.
HESTA at a Glance
| Feature | Details |
|---|---|
| Fund type | Industry fund (profit-to-members) |
| Target industry | Health, aged care, community services, social welfare |
| Members | ~1 million |
| Funds under management | ~$80+ billion |
| Default option | Balanced Growth (MySuper) |
| Regulated by | APRA, ASIC |
Fees — HESTA Super
| Fee Type | Approximate Amount |
|---|---|
| Administration fee | $52/year flat + $1.50/week (~$130/year total) |
| Investment fee | 0.20–0.55% of balance |
| Indirect cost ratio | 0.10–0.20% |
| Total fee (example: $50k Balanced Growth) | ~$380–$520/year (~0.76–1.04%) |
Fees are comparable to other major industry funds at similar balance levels. Members with larger balances benefit from the flat administration fee component becoming proportionally smaller.
Investment Performance — Balanced Growth (MySuper Default)
HESTA’s Balanced Growth option has performed solidly over the medium term:
| Period | Approximate Annual Return |
|---|---|
| 1-year (FY2024–25) | ~8–10% (indicative) |
| 5-year average | ~6–8% per year |
| 10-year average | ~7–9% per year |
Past performance is not a reliable indicator of future performance. Verify current figures directly with HESTA.
Investment Options
| Option | Approx. Growth Assets | Risk Level |
|---|---|---|
| Shares Plus | ~100% | Very High |
| Diversified Growth | ~85% | High |
| Balanced Growth (default) | ~65% | Medium |
| Indexed Balanced | ~65% (indexed) | Medium |
| Defensive | ~30% | Low |
| Cash | ~0% | Very Low |
| Sustainable Growth | ~85% (ESG) | High |
HESTA offers a low-cost indexed balanced option — a good choice for fee-conscious members who want passive management.
Insurance — HESTA Super
| Cover Type | Default Cover |
|---|---|
| Life (death) cover | Yes — fixed or unit-based, age-scaled |
| Total and Permanent Disability (TPD) | Yes — “any occupation” definition |
| Income Protection | Yes — 2-year benefit period, 60-day waiting period |
HESTA’s insurance is generally suited to its workforce — nurses, aged care workers, social workers — who typically face moderate rather than high physical workplace hazard. TPD uses an “any occupation” definition, which may be less favourable for members in physically demanding roles.
Note: HESTA has historically focused on its predominantly female membership and has advocated for improvements to the super system to reduce the gender super gap (particularly around parental leave, part-time work, and low-income super balances).
Who Is HESTA Best Suited To?
HESTA suits:
- Health, aged care, social services, and community sector workers
- Members who prefer a fund with a strong social focus and advocacy on gender equity in super
- Members seeking a mid-tier indexed option at lower cost
- Workers in casual or part-time roles who may have lower balances and benefit from HESTA’s fee structure
Frequently Asked Questions
Can I join HESTA if I don’t work in health or community services? HESTA is open to all Australians as a choice member, not just health sector workers. Any employee can nominate HESTA as their fund using the standard super choice form. However, employer default super may differ from your chosen fund — you need to actively notify your employer to direct SG contributions to HESTA.
Does HESTA offer a low-cost index investment option? Yes — HESTA’s Indexed Balanced option provides passive index-based investing at lower investment fees than the actively managed default Balanced Growth option. The Indexed Balanced option tracks major market indices and is available to all members through the online portal. For fee-conscious members who prefer passive management, this is worth comparing against the default.
How has HESTA performed in APRA’s annual performance test? HESTA has passed APRA’s annual performance test in recent years. The test assesses each MySuper product’s 8-year net investment return against a benchmark. Check the current year’s results on the ATO’s YourSuper tool (ato.gov.au/yoursuper) for up-to-date data — the tool also shows 7-year returns and annual fees at representative balance levels.
What is HESTA’s focus on gender equity and why does it matter? HESTA’s membership is predominantly female — reflecting the workforce of the health, aged care, and community sectors. HESTA has been an active advocate for policies that address the gender super gap, including paying super on government-funded paid parental leave, extending SG to low-income earners, and addressing the impact of part-time work on super balances. This advocacy doesn’t directly affect member returns, but signals a fund culture aligned with its membership’s interests.
Is HESTA’s TPD cover “own occupation” or “any occupation”? HESTA’s default TPD uses an “any occupation” definition — you must be unable to work in any occupation for which you are reasonably suited by education, training, or experience. This is a stricter standard than “own occupation” (which only requires you to be unable to work in your specific profession). For members in specialised roles such as surgeons, nurses, or allied health professionals, “own occupation” cover — which may be available through separate personal insurance — provides stronger protection.
What happens to my HESTA insurance if I switch jobs or go on extended leave? Your HESTA insurance continues as long as your account remains active and premiums are paid from your balance. You don’t need to be employed in health or community services to maintain insurance. However, if your account becomes inactive (no contributions for 16 months) and your balance falls below $6,000, Protecting Your Super rules may require insurance to be cancelled unless you opt in. Contact HESTA before extended leave or career breaks to confirm your insurance arrangements.
For further comparisons: Best Super Funds Australia, AustralianSuper Review, Aware Super Review. For advice tailored to your situation, speak with a licensed financial adviser through MoneySmart.