The Government has already lifted the minimum contribution rate from 3.0% to 3.5%, which 99.5% of default rate savers went with – only 0.5% went back to 3.0%.
Luxon announced four big changes to KiwiSaver:
I love the idea of every baby getting a KiwiSaver account. The cost is quite small (under $100 million a year) but fostering a savings culture in kids is so important. We have KiwiSaver accounts for our kids (and I do a matching contribution for what they save). A culture of self reliance is a core National Party belief.
This also sets the stage for a more sustainable NZ Superannuation scheme in future. If every New Zealander, over time, has significant private savings, this allows public superannuation to be set at a more affordable level at some future stage.
David Farrar runs Curia Market Research, a specialist opinion polling and research agency, and the popular Kiwiblog where this article was sourced. He previously worked in the Parliament for eight years, serving two National Party Prime Ministers and three Opposition Leaders
- Making KiwiSaver compulsory from 1 July 2028 for employees
- A $1,500 KiwiSaver account for every baby born from 1 July 2027
- The Government to make employer contributions for parents on paid parental leave
- Extending matching employer contributions for KiwiSaver to those still working at age 65 and above.
I love the idea of every baby getting a KiwiSaver account. The cost is quite small (under $100 million a year) but fostering a savings culture in kids is so important. We have KiwiSaver accounts for our kids (and I do a matching contribution for what they save). A culture of self reliance is a core National Party belief.
This also sets the stage for a more sustainable NZ Superannuation scheme in future. If every New Zealander, over time, has significant private savings, this allows public superannuation to be set at a more affordable level at some future stage.
David Farrar runs Curia Market Research, a specialist opinion polling and research agency, and the popular Kiwiblog where this article was sourced. He previously worked in the Parliament for eight years, serving two National Party Prime Ministers and three Opposition Leaders
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