Recent shocks to our economy have shown that when it comes to knowing how to manage our money, New Zealand still has a long way to go. Having now moved on from my first illustrious job as a graduate tax accountant, a lot of what I learnt about tax in my early days has (for … Read more
‘Risk’ isn’t a popular concept in these uncertain times. But financial advisor Jas Gill says rather than running for the hills, we should think about our goals and assess the risks accordingly. In a global pandemic, fear is probably the only thing more contagious than the virus itself. Fear breeds panic and panic leads to … Read more
For the first time this year, your KiwiSaver statement will let you know how much money you can expect to have in retirement. Gillian Boyes from the FMA gives a glimpse into what that might look like, and how contributing just a few per cent more from your salary each week can make all the … Read more
In the third part of our series with Kiwibank answering your questions about Covid-19’s impact on New Zealanders’ finances, two readers at different ends of their saving journeys ask what to do with their KiwiSaver account. Melissa Vasta, Kiwi Wealth GM retail and product, responds. Hi Melissa, My KiwiSaver ‘growth’ fund has been pummeled in … Read more
Answering hundreds of calls a day from anxious KiwiSaver investors, Kiwi Wealth’s head of customer services Matt Beach paints a picture of how some New Zealanders are handling the Covid-19 downturn. For essential services everywhere, from supermarkets to gas stations to toilet paper manufacturers, the overriding message of the lockdown has always been the same: … Read more
What makes us save and invest the way we do? Jihee Junn explores how history and culture have shaped our approach to investing and why, despite our ‘rockstar economy’, many are feeling left out. A lot of great things happened in 1987: New Zealand officially went nuclear-free, Māori became recognised as an official language, and … Read more
Good morning and welcome to The Bulletin. In today’s edition: The latest on the coronavirus in NZ, political donations in the spotlight, and overhaul of fossil fuel investment in default Kiwisaver funds. To start today, an update to the story that has dominated conversations all weekend. At the time of writing, one person has been confirmed … Read more
Fossil fuels and illegal weapons get the boot as the government announces changes to default funds. What’s the news? KiwiSaver default funds are set for a major overhaul as the government rules out investments in fossil fuels and illegal weapons for future funds. It also announced it would be switching default fund settings from ‘conservative’ … Read more
Not paying NZ Super out to those on incomes of $100,000 or more would save taxpayers around $608 million. Is it time we shake up who gets paid and what? RNZ‘s Nita Blake-Persen reports. The number of New Zealand retirees getting their superannuation while earning more than $100,000 has topped 30,000, costing taxpayers more than … Read more
How to stop procrastinating and actually (finally) get on top of KiwiSaver. Because there’s a good chance that if you’re reading this, you don’t know a single thing about it. Read the full series here. As we learned in part two, being in the right fund can make all the difference: you could save thousands … Read more
How to stop procrastinating and actually (finally) get on top of KiwiSaver. Because there’s a good chance that if you’re reading this, you don’t know a single thing about it. Read the full series here. In a lot of ways, KiwiSaver is a bit of a misnomer. Sure you’re saving for your future retirement, but … Read more
You don’t want your retirement savings invested in nuclear bombs, sure. But what about conventional defence equipment that’s also used for essential civilian purposes? This month’s assassination of Iranian commander Qasem Soleimani and the Australian navy’s evacuation of people escaping bushfires are two very different events, but they highlight the dilemma faced by KiwiSavers wanting … Read more
From early beginnings as a boutique wealth management firm to being a major player in KiwiSaver, the journey of Kiwi Wealth has seen some things change and others stay the same. Alex Braae charts their history. A very simple sign once hung at Kiwi Wealth, the wealth management firm that emerged out of Gareth Morgan … Read more
Most of the coal reserves on corporates’ balance sheets will never be extracted meaning they are worthless. This has implications for people’s retirement savings, writes John Berry. Westland’s mayor Bruce Smith recently rallied against proposed restrictions on West Coast coal mining, telling Radio New Zealand “coal is a critical part of how we live every … Read more
Young Millennials and Gen-Zers are the first generation to have had KiwiSaver accounts for their entire working lives. Many aren’t worried about becoming homeowners, so why is it important they stick with the investment scheme? My first job was waitressing part-time at a Mexican restaurant with my best friend Mollie. She’s a lot smarter than … Read more
What is a managed fund and how does it work? We’re here to answer all your questions and more. Let’s start with the basics: what even is a managed fund? As the name suggests, a managed fund is an investment fund that’s taken care of by a team of experts. When you put money into … Read more
Life expectancy is increasing all the time, and now actuaries and retirement experts say young people need far more information on what they’ll need to do with their money if they live to 100. Don’t worry, we’re here to help. The message from the Retirement Income Interest Group of the New Zealand Society of Actuaries … Read more
How to stop procrastinating and actually (finally) get on top of KiwiSaver. Because there’s a good chance that if you’re reading this, you don’t know a single thing about it. Read the full series here. I don’t actually remember ever starting a KiwiSaver, and that’s because I didn’t – my parents started one for me. … Read more
After years of trying, The Spinoff today launches Money – its newest section, one aimed at demystifying and making accessible the world of money. For decades, the relationship between most New Zealanders and money was broadly stable, baked into a set of milestones it was assumed all aspired to and would achieve if they strived. … Read more
Think you’ve got your KiwiSaver sorted? Try Kōura’s ‘robo-advice’ questionnaire and you might be surprised. If a person who looks like they know about finance asks you whether your appetite for risk is low, medium or high, what do you say? The problem is most Kiwis don’t understand what the question means, or the consequences … Read more
The FMA’s annual sense check of KiwiSaver shows New Zealanders continue to embrace the scheme but the fees they’re being charged may not be doing them any favours. Who is the Financial Markets Authority (FMA) and what’s this report? The FMA is the government gatekeeper for our financial markets, and it is one of several … Read more
Simplicity has fired a shot across traditional mortgage providers’ bows – and says if you think home loan rates are as low as they can go, you ain’t seen nothing yet. Mortgage rates could be a whole lot lower, argues KiwiSaver provider Simplicity which has launched the cheapest home loan in the market. From November … Read more
Most KiwiSaver funds are managed by one of the big Australian banks, which create returns through investments in fossil fuels, human rights violations, tobacco and weaponry. With attitudes shifting towards sustainability, what can ordinary investors do? This month 16-year-old climate activist Greta Thunberg completed a journey across the Atlantic in a zero-emissions yacht to attend … Read more
It’s entirely possible to save a million dollars in your KiwiSaver account if you start early and follow a few basic rules, writes Martin Hawes. Over the coming years, we are going to have a new breed of millionaire: KiwiSaver millionaires. Who knows, you might be living next door to one. Currently, there are a … Read more
Good morning, and welcome to The Bulletin. In today’s edition: Second round of gun law changes announced, hundreds with conditions like Down syndrome get early Kiwisaver, and a major refusal to participate in March 15 inquiry. The second major phase of gun law reform has been announced by the government. Interest reports a gun register will be … Read more
Over 2.8 million New Zealanders are signed up for Kiwisaver, but not many are aware of where that money is going. Weaponry, fossil fuels and gambling services are all being invested in from some of the most popular funds, and a new charity tool is making it one step easier to change what you’re investing … Read more
Panicking and changing KiwiSaver funds when the market goes through a bad patch is precisely the wrong thing to do, writes Martin Hawes. Annual KiwiSaver statements are hitting people’s inboxes about now, and there may be a few gasps from those who don’t generally pay much attention to the business news. Thanks to turbulence on … Read more
Employee subsidies for public transport, less tax on KiwiSaver: There are some gems in the government’s latest tax report other than the capital gains distraction, writes tax expert Terry Baucher. For over 50 years a variety of tax working groups have pondered the greatest philosophical question in New Zealand tax: Should we tax all capital … Read more
In the fifth instalment of our Money Talks series, freelancers Tess Nichol and Alice Webb-Liddall talk about retirement, and having enough money squirrelled away to enjoy it comfortably. For two young writers only a few years into their careers, the thought of being on the other end of their working life seems almost unimaginably far … Read more