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

 


Retirement Saving on Radar for More Young People

Retirement Saving on Radar for More Young People

More than half of young workers aged 15-24 years are already saving for their retirement, with the vast majority of those not already saving planning to do so in the future.

The latest ANZ Retirement Savings Barometer surveyed 850 New Zealanders in April and May and found that more young people are thinking about saving for their retirement.

Fifty-five per cent of young people (aged 15-24 years) indicated they were already saving for their retirement. And, 82% of those young people not already saving for their retirement indicated they planned to save in the future.

ANZ Wealth Managing Director John Body said it was great to see so many young people planning for their retirement.

“With KiwiSaver, the earlier you start saving, the better off you will be,” said Mr Body. “New Zealand’s KiwiSaver scheme turned seven on July 1 and it has had great success in getting kiwis saving for their retirement.

“Official records show that more than 2 million people are now in a KiwiSaver scheme which is a fantastic result.

“We know retirement seems a long way off for young people, but clearly many young people have got the message that they should start saving early.”

The ANZ survey found that only 31% of young people were confident of saving enough money to provide the weekly income they required when they retired.

“Obviously that’s a low level of confidence, but it is not surprising,” said Mr Body. “For a young person just starting their working life, it can seem very daunting to think about the lump sum you will need to provide a basic income when you retire.

“But young people have time on their side – a 45-year history of regular contributions to a KiwiSaver fund, with the right mix of investments, means they are very likely to achieve their goals.”

Mr Body said the past seven years had been all about getting people to join a KiwiSaver scheme. “In the future, the priority has to be to get people to really focus on their KiwiSaver investment and ensure their savings plans were on track to deliver the retirement lifestyle they want.

“It’s about connecting the dots between KiwiSaver and the realities of retirement – how long will you be retired for, what will you want to do in those years and how much income will you need?”

As the number one KiwiSaver provider in the market, Mr Body said ANZ was committed to helping customers make the right savings and investment choices. ANZ KiwiSaver funds offered customers a unique Lifetimes option which enabled them to ensure their retirement savings were invested in a Fund with levels of risk considered appropriate for an average person of that age.

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Scoop Business: Embrace Falling Home Affordability, Says NZIER

Despair over the inability to afford a house is misplaced and should be embraced as an opportunity to invest in more wealth-creating activity, says the principal economist at the New Zealand Institute of Economic Research, Shamubeel Eaqub. More>>

Productivity Commission: NZ Regulation Not Keeping Pace

New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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