Camelot on KiwiSaver

What is KiwiSaver?

Most Kiwis believe it's important to save money for their long-term future. But, as many of us know, saving is often easier said than done.

KiwiSaver is a work-based savings scheme which is voluntary to join, but compulsory for employers to facilitate. The government created the framework for KiwiSaver to help New Zealanders financially prepare for retirement, with the management of KiwiSaver investments being supplied by professional managers.

It's an easy way to save, with your contributions being deducted directly from your gross salary or wages at a rate of either 2%, 4% or 8%. You can also make voluntary contributions if you are not receiving a salary (e.g. if you are a child or self-employed).

If you have been automatically enrolled in KiwiSaver you have eight weeks from starting your new job to decide if you want to remain a member of KiwiSaver or opt out.

You are also be entitled to a matching employer contribution of 2%.

As you are preparing for your retirement, your savings are generally "locked in." You can access your savings when you qualify for New Zealand Superannuation (currently 65) or after five years membership, whichever is later. You may be able to withdraw your money earlier in certain circumstances.

If you are an existing employee, self-employed, not working, a student, a child in other circumstances, and you are eligible, you can join KiwiSaver by opting in.

Starting KiwiSaver as early as you can could make a big difference to your quality of life later on. Joining KiwiSaver is easy, whether through automatic enrolment when starting a new job, or by choosing to join.

Seven Reasons to join KiwiSaver

Whether you are already saving or you are about to start, the government helps you save for your future by providing a number of benefits as a KiwiSaver member. It's designed to be hassle-free so it's easy to maintain a regular savings habit to provide the lifestyle that you desire in retirement.

Here are some of the key features and benefits:

A $1,000 kick start contribution will be credited to your account three months after you join.
The Government will match your contributions with up to $20 per week ($1,042.86 per year).
Minimum contribution of 2% if you are on PAYE or no minimums if you are self-employed, not working or a child.
Compulsory matching employer contributions of 2% of salary.
Employer contributions are tax free, up to 2% of salary. The tax exemption can significantly boost savings over time.
After contributing for 3 years, you could qualify for a first home withdrawal using both your own and your employer's contributions.
After three years, you may be eligible for a first home deposit subsidy from Housing NZ of up to $1,000 for each year of contribution to a maximum of $5,000.

With the significant benefits that the government has put in place for KiwiSaver members, 1.6 million New Zealanders are already benefiting from opting in. If you haven’t joined KiwiSaver, or wish to review your existing KiwiSaver savings, please contact us today.

Our preferred KiwiSaver provider – Grosvenor KiwiSaver Scheme

Why the Grosvenor KiwiSaver Scheme?

One of only a few New Zealand-owned and operated providers.
Grosvenor was named New Zealand’s Most Exciting Superannuation Company by National Business Review.
Very flexible scheme including no minimum contributions, no extra fees for regular contributions or switches between funds.
Strong investment management with an experienced team, robust and efficient systems and strong international associations (e.g. Rothschild, Vanguard, Platinum, Magellan, Berkshire Hathaway).
Innovative provider with excellent technology, including online access to KiwiSaver balances and transactions.
First KiwiSaver scheme to offer a leveraged investment option.
Socially Responsible Investment (SRI) option available, as well as SRI filters on all portfolios.
Recommended to Asteron KiwiSaver members on the closure of the Asteron KiwiSaver Scheme.
Free accidential death cover for qualifying members.

Grosvenor KiwiSaver Website www.nzkiwisaver.co.nz

Disclosure of Interests:

Michael Shears is an appointed member of the Grosvenor Adviser Investment Committee, which reviews the performance of Grosvenor’s investment management, provides feedback on reporting and new initiatives. Michael is also a minority shareholder in Grosvenor Financial Services Group.

Steve Benton is a Director and a minority shareholder of Grosvenor Financial Services Group Ltd.