Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

Support for bill proposing longer residency to access Super

Support for bill proposing longer residency to access NZ Superannuation
The University of Auckland’s Retirement Policy and Research Centre (RPRC) welcomes the recent bill proposing that residency requirements increase from 10 years to 20 years.
NZ First Mark Patterson’s bill was drawn from the parliamentary ballot this week.

Associate Professor Susan St John, director of the RPRC, says that the Centre believes residency should be debated as part of an overhaul of the treatment of people who retire in New Zealand but have spent some of their lives in other countries.

Currently under section 70 of the Social Security Act, a retiree from another country has their entitlement to New Zealand Super offset by any overseas state pension they have. This means their Super is docked the amount of their overseas pension.

“In many cases this is fair,” she says. “For example, access to both NZ Super and the age pension from Australia would be wrong.

“But in other cases, the overseas pension is more like KiwiSaver – with contributions made by both the person and government - than a basic state pension, and it seems unfair to deduct it. It can also be unfair when people affected have spent most of their working lives in New Zealand. It is also highly anomalous that if there is anything left over after deduction from the person’s own NZ Super, currently the excess is deducted from their spouse’s NZ Super.

“People are generally incredulous that we still have such a draconian policy that particularly affects women, but increasingly men, who later in life remarry someone with a large overseas pension,” says Associate Professor St John.

“Raising the residency requirement substantially is a sound policy in its own right. But it also allows New Zealand the opportunity to simplify and improve how it treats people with overseas state pensions.”

In 2016, the RPRC was commissioned by the Retirement Commissioner to report to the 2016 Retirement Review on these issues. In that report it was suggested that if the residency was raised to 25 years, any entitlement to an overseas pension from a country without a reciprocal arrangement with New Zealand could be safely ignored.

Research Fellow in the RPRC Claire Dale says that the ageing of the population increases fiscal pressures in pensions and health.

“It is a long slow process to adopt policies that reduce these pressures while enhancing perceptions of fairness,” she says.

“The sooner we start acting on issues like residency and section 70 the better.”

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On How America’s Middle East Allies Are Poisoning The Ground Joe Biden Will Inherit

As even the US mainstream media has been reporting, the prime motive for the murder of Iran’s top nuclear scientist Dr. Mohsen Fakhrizadeh (by Israeli or Saudi operatives, or both) has been to poison the situation that the next US president will inherit. At best, there was only an outside chance that the incoming Biden administration and the outgoing liberal regime of Iranian PM Hassan Rouhani could have revived the Iran anti-nuclear deal that Rouhani had negotiated in 2015 with Barack Obama. Deliberately though, America’s allies have now made it impossible for Biden to pursue that option... More>>

 

Pill Testing: Govt Moves On Drug Checking To Keep Young New Zealanders Safer This Summer

The Government will pass time limited legislation to give legal certainty to drug checking services, so they can carry out their work to keep New Zealanders safer this summer at festivals without fear of prosecution, Health Minister Andrew Little ... More>>

ALSO:

WorkSafe: 13 Parties Charged Over Whakaari/White Island Tragedy

WorkSafe New Zealand today filed charges against 13 parties in relation to the Whakaari/White Island eruption in December last year. “22 people have lost their lives in this tragic event. WorkSafe is tasked with investigating workplace incidents to determine ... More>>

ALSO:

Pay Gap: Progress On Pay Equity For DHB Staff

Today’s initial agreement between DHBs and the PSA on pay equity for clerical and administration staff is an important step toward better, fairer pay for this crucial and largely female workforce, Health Minister Andrew Little says. More>>

ALSO:


Media: Stuff Holds Itself Accountable For Wrongs To Māori

Stuff has today published the results of an investigation into itself, and issued a public apology, for the way the media organisation has portrayed Māori, the indigenous people of Aotearoa New Zealand, from its first editions to now. Tā Mātou Pono | More>>

ALSO:

New Zealand Government: To Declare A Climate Emergency

The Government will declare a climate emergency next week, Climate Change Minister James Shaw said today. “We are in the midst of a climate crisis that will impact on nearly every aspect of our lives and the type of planet our children will inherit ... More>>

ALSO:

Economy: Crown Accounts Reflect Govt’s Careful Economic Management

The better-than-expected Crown accounts released today show the Government’s careful management of the COVID-19 health crisis was the right approach to support the economy. As expected, the Crown accounts for the year to June 2020 show the operating balance ... More>>

ALSO:


 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels