ASB has generated a new KiwiSaver calculator projecting the savings Kiwis could have to draw on when they reach retirement.
Tuesday, February 2nd 2016, 9:05PM
ASB’s KiwiSaver calculator allows KiwiSaver members to take charge of their own KiwiSaver savings, demonstrating how slight adjustments to contributions and fund selection can impact total KiwiSaver savings available at retirement.
ASB’s quarterly ASB KiwiSaver Scheme survey reveals 61% of people believed they need to save more for retirement, with the largest proportion believing they will require $30,001 - $50,000 each year of retirement.
Three-quarters of respondents were not sure how long they will be retired for, but those that did estimate it would be around 22 years.
ASB general manager of wealth Jonathan Beale said while many New Zealanders were now enrolled in KiwiSaver, continuing to educate people about how it worked and whether they were on track to meet their retirement goals and sustain their lifestyle was essential.
“It’s easy to enrol in KiwiSaver and forget that it’s actually an investment that needs to be monitored and regularly reviewed, particularly as personal situations change. In many cases contribution amounts are circumstantial, and what was suitable at 25 is often vastly different at 45,” Beale said.
Making regular contributions and understanding the various investment options available were among the best ways to maximise the amount of money available at retirement.
In conjunction with the calculator, ASB will be releasing a series of communications, targeted at educating customers around making the most of their membership in KiwiSaver.
ASB’s KiwiSaver calculator is the latest addition to the suite of online ASB KiwiSaver Scheme tools that enable members to self-manage their retirement savings. These include fund-switching facilities, investor profiling and the ability to top up your ASB KiwiSaver Scheme account directly. Members can also convert True Rewards dollars earned on an ASB credit card into ASB KiwiSaver Scheme contributions.
“The great thing about our calculator is that it gives members ownership of their KiwiSaver savings, enabling users to look ahead and see how much income KiwiSaver could potentially deliver them in retirement,” Beale said.
“A few simple calculations will demonstrate the difference in the end-amount when the fund option is changed, the regular contribution rate is increased and one-off contributions are taken into account.”
All existing and new KiwiSaver members can use ASB’s KiwiSaver calculator.
