Labour's KiwiSaver plan welcomed

Under a Labour Government, all employees who are not already KiwiSaver members would be enrolled next October.

A year later, their minimum contribution, and that of their employers, would increase from the current 3% at a rate of a quarter of a percentage point every year, to a combined 9% over time.

Students, beneficiaries, self-employed people and those on very low incomes would be exempt.

The FSC said a contribution rate of 9% would be sufficient to achieve a comfortable retirement for someone who was saving for 40 years, even on the minimum wage.