Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


New Year Tip—Check Your Kiwisaver Balance

31 December 2013

New Year Tip—Check Your Kiwisaver Balance and Get Ready to Be Surprised

2013 New Year financial tip for young KiwiSavers: Check your account balance and get ready for a pleasant surprise, suggests Financial Service Council chief executive Peter Neilson.

“We’re hearing stories about young people in their early to mid-20s becoming advocates for KiwiSaver, after they’ve discovered their account balances are now running into the thousands or tens of thousands of dollars, without ever missing the money they have been saving,” Mr Neilson said.

“In April KiwiSaver will celebrate its fifth birthday and some tidy sums are being saved, which are turning previously disinterested young people into KiwiSaver advocates.

“A typical story comes from a Wellington mum who deliberately didn’t tell her son he could opt out of KiwiSaver at the start of his apprenticeship. Now, five years later and aged 23 years, the young man is a qualified builder with more than $15,000 in his KiwiSaver account,” Mr Neilson said.

“Mother and son are in absolute agreement that it would never have happened if the savings scheme had relied on his self-discipline and he’d known he could opt out of KiwiSaver.”

Mr Neilson gave another example of a young journalist doing a KiwiSaver story that triggered her to check her own KiwiSaver balance and got the same sort of pleasant surprise.

“She told me she’d never had the money, so she’d never missed it and that now she is telling her friends if they’re not in KiwiSaver they should be,” Mr Neilson said. “More and more of these stories will start to circulate among young people and help non KiwiSavers to think about joining.

“It’s never too late to start, but the big secret to success is compounding interest for young people who start early, which will balloon their retirement savings,” Mr Neilson said.

About the Financial Services Council

The Financial Services Council has 22 member companies and 17 associate members. Members are managing nearly $80 billion in savings and provide financial services to more than 2 million New Zealand investors and policyholders. If you have a life insurance policy or a KiwiSaver account then there is a more than 80 percent chance it is managed by a Financial Services Council member.

For further information visit www.fsc.org.nz

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Strike: Lyttelton Port Workers Vote To Escalate Dispute

Members of the Rail and Maritime Transport Union (RMTU) at Lyttelton Port today voted to escalate their industrial action. Around 200 RMTU members have been operating an overtime ban since 17 December and today they endorsed a series of full withdrawals of labour at the port. More>>

ALSO:

Scoop Business: NZ Dollar Falls To 3-Year Low As Investors Favour Greenback

The New Zealand dollar fell to its lowest in more than three years as investors sold euro and bought US dollars, weakening other currencies against the greenback. More>>

ALSO:

Scoop Business: NZ Govt Operating Deficit Smaller Than Expected

The New Zealand’s government’s operating deficit was smaller than expected in the first five months of the financial year as a clampdown on expenditure managed to offset a shortfall in the tax-take from last month’s forecast. More>>

ALSO:

0.8 Percent Annually:
NZ Inflation Falls Below RBNZ's Target

New Zealand's annual pace of inflation slowed to below the Reserve Bank's target band in the final three months of the year, giving governor Graeme Wheeler more room to keep the benchmark interest rate lower for longer.More>>

ALSO:

NASA, NOAA: Find 2014 Warmest Year In Modern Record

Since 1880, Earth’s average surface temperature has warmed by about 1.4 degrees Fahrenheit (0.8 degrees Celsius), a trend that is largely driven by the increase in carbon dioxide and other human emissions into the planet’s atmosphere. The majority of that warming has occurred in the past three decades. More>>

ALSO:

Scoop Business: New Zealand’s Reserve Bank Named Central Bank Of The Year

The Reserve Bank of New Zealand’s efforts to stifle house price inflation by using new policy tools has seen the institution named Central Bank of the year by Central Banking Publications, a publisher specialising in global central banking practice. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news