About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds Other Sites:   depositrates.co.nz  |   landlords.co.nz
Last Article Uploaded: Friday, June 23rd, 5:24PM
Check out GoodReturns TV now! Dismiss
rss
Latest Headlines

Kiwis leaving retirement planning too late

New Zealanders are leaving their retirement planning too late, one KiwiSaver provider says.

Wednesday, May 17th 2017, 8:47PM

Kiwi Wealth offers a Future You retirement forecasting tool to help people determine whether they are on track for their savings.

But a third of its users so far have been aged over 44 and two-thirds are over 45.

Head of retail wealth and marketing Joe Bishop said that meant many people were not getting started early enough.

“Being engaged and active in your savings as you get closer to retirement is great, but to give yourself the best chance of making the finish line in good financial shape, decisions have to be made much, much sooner,” he said.

“That’s why we think of retirement saving as a marathon. For many Kiwis retirement is a long way off, just as the finish line is a long way off when you start out in a marathon. But to give yourself the best chance of finishing a marathon you have to make a series of strategic decisions that keep you in the race.  The most important of which is knowing what your race or retirement goals are.”

Kiwi Wealth’s Future You tool shows that a 30-year-old male earning an income of $50,000 and contributing 3% into the Kiwi Wealth KiwiSaver Scheme Balanced Fund could have $175,600 at 65, potentially giving him an estimated income of $8700 a year.

If he only started investing in his KiwiSaver account when he turned 50, he could have $57,900 available at age 65 – or $2900 a year.

“Saving smaller amounts over a longer period is less risky, delivers better investment returns and is much less stressful for people," Bishop said.

“For most Kiwis that means engaging with their KiwiSaver investment earlier in life.  That’s hard for people to do when you’re dealing with an investment horizon of around 30 years.  People just can’t see, or plan, that far ahead into the future.

“KiwiSaver providers therefore have a moral imperative to help their customers better understand their future wealth and how small decisions now can have a huge impact on their future.”

Tags: KiwiSaver

« ANZ, FMA work on changing behaviourTime for sinking cap on KiwiSaver fees: Glass »

Special Offers

Comments from our readers

No comments yet

Sign In to add your comment

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
  • QROPS adviser breached code: FADC
    “@murrayweatherston NZ-based AFAs who make out that they are UK pensions specialists surely wouldn't arrange a UK transfer...”
    4 hours ago by Denis
  • QROPS adviser breached code: FADC
    “@Denis You must have a different decision than me. In my copy 1. XYZ said the UK end was out of scope. That is, the answer...”
    6 hours ago by Murray Weatherston
  • Time to rebrand trauma: IFSO
    “Actually I disagree because there are a number of conditions that do not relate to "illness", e.g. paralysis, loss of sight,...”
    7 hours ago by Referee
  • Time to rebrand trauma: IFSO
    “Agree, policies/benefits should be named and marketed based on how they perform. There are some so called trauma covers...”
    11 hours ago by HumbleAFA
  • QROPS adviser breached code: FADC
    “@murrayweatherston - my issue is not with the process. It's that the position with the "UK end" part of the transfer (i.e....”
    11 hours ago by Denis
Subscribe Now

News and information about KiwiSaver

Previous News
Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
ANZ 5.79 4.99 5.35 5.59
ANZ Special - 4.49 4.85 -
ASB Bank 5.80 4.85 5.14 5.49
ASB Bank Special - 4.45 4.74 5.09
BankDirect 5.80 4.85 5.14 5.49
BankDirect Special - 4.45 4.74 5.09
BNZ - Mortgage One 6.50 - - -
BNZ - Rapid Repay 5.95 - - -
BNZ - Special - 4.59 4.74 5.09
BNZ - Std, FlyBuys 5.90 4.99 5.29 5.59
BNZ - TotalMoney 5.90 - - -
Lender Flt 1yr 2yr 3yr
Credit Union Auckland 6.70 - - -
Credit Union Baywide 5.95 5.45 5.50 -
Credit Union North 6.45 - - -
Credit Union South 6.45 - - -
Finance Direct - - - -
First Credit Union 5.85 - - -
Heartland 6.70 7.00 7.25 7.85
Heartland Bank - Online - - - -
Heretaunga Building Society 5.75 5.00 5.20 -
Housing NZ Corp 5.79 4.85 5.14 5.49
HSBC Premier 5.79 4.09 4.29 4.89
Lender Flt 1yr 2yr 3yr
HSBC Premier LVR > 80% - - - -
HSBC Special - - - -
ICBC 5.70 4.59 4.69 5.09
Kiwibank 5.70 5.09 5.19 5.65
Kiwibank - Capped - - - -
Kiwibank - Offset 5.70 - - -
Kiwibank Special - 4.69 4.79 5.25
Liberty 5.69 - - -
Napier Building Society - - - -
Nelson Building Society 6.10 5.10 5.45 -
Resimac 5.00 4.86 4.75 5.30
Lender Flt 1yr 2yr 3yr
SBS Bank 5.79 4.99 5.29 5.59
SBS Bank Special - 4.59 4.85 5.25
Sovereign 5.90 4.85 5.14 5.49
Sovereign Special - 4.45 4.74 5.09
The Co-operative Bank - Owner Occ 5.75 4.59 4.85 5.25
The Co-operative Bank - Standard 5.75 5.09 5.35 5.75
TSB Bank 5.80 4.80 5.15 5.45
TSB Special - 4.55 ▼4.49 5.15
Wairarapa Building Society 5.70 4.85 4.99 -
Westpac ▲5.95 4.99 5.29 5.59
Westpac - Capped rates - ▲5.26 ▲5.36 -
Lender Flt 1yr 2yr 3yr
Westpac - Offset ▲5.95 - - -
Westpac Special - 4.59 4.85 5.09
Median 5.80 4.85 5.14 5.38

Last updated: 19 June 2017 9:16am

News Quiz

The maximum remuneration model for Australian life insurance advisers is to be set at what?

Upfront 40% + trail 20%

Upfront 50% + trail 10%

Upfront 50% + trail 20%

Upfront 60% + trail 10%

Upfront 60% + trail 20%

MORE QUIZZES »

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
 
Site by Web Developer and eyelovedesign.com