Closing the gap – helping Kiwis reach their savings goals

Tuesday, 18 November 2014, 4:12 pm
Press Release: ANZ Bank

Closing the gap – helping Kiwis reach their retirement savings goals

KiwiSaver members are watching their balances grow but almost half of them have never checked to see whether their savings are on track to meet their retirement goals, according to a new study released today by ANZ.

ANZ released the study findings as it launched a new online calculator which helps New Zealanders work out whether they are on track to meet their retirement savings goals.

The new calculator takes some personal information and works out the projected amount someone would have when they retire, the amount they will need and whether they are headed for a gap in their savings. The online tool then proposes and calculates the effect of steps people can take to close that gap, such as making a lump sum contribution, upping their regular contributions or moving their money to a different type of KiwiSaver fund.

“Over 2 million New Zealanders are investors through their membership of KiwiSaver schemes,” said ANZ Wealth managing director John Body.

The ANZ survey of KiwiSaver members last month found that 63% of members had checked their KiwiSaver balance in the past month, with a further 26% checking their balance in the last year.

However, 46% of members had never checked to see whether their KiwiSaver was on track to meet their retirement goals, with a further 3% checking five years ago. Despite this, 71% of members believed they should check every year to ensure their KiwiSaver investment was on track.

“Research tells us that people who know their KiwiSaver balance are more confident of reaching their retirement savings goals than those people who do not know how much they have saved. (ANZ Retirement Savings Barometer)

“It’s great to see more KiwiSaver members are checking their balances regularly. In recent times, we have put a lot of energy into making it easier for people to track their KiwiSaver which they can now do through their ANZ internet banking or our go Money app,” said Mr Body.

“We are now focused on getting people to think long term about their KiwiSaver investment and ensure it is on track. The online calculator is a great tool to help members identify whether they have a potential gap in their savings and what they can do about it.”

Mr Body said that people should check they are on track once a year and whenever there was a change in their financial circumstances – for example, starting a new job or buying a house: “It’s all part of taking control of your life and your investments.”

ends

© Scoop Media

ANZ Bank New Zealand Limited

Get on top of your money

ANZ has been helping New Zealanders get on top of their money ever since we opened for business in 1840. We were New Zealand's first bank and today we have a large network of full-service branches and ATMs, and talented people across the country.

We're passionate about helping our customers make their money work harder and equipping them to make better financial decisions. Whether it's travelling the world, buying a home, building a business, investing for the future or protecting their family's future, we use our financial strength and expertise to help make it happen.

Through our sponsorships, our Staff Foundation and thousands of staff volunteer hours each year, we support causes that make a difference to New Zealanders.

Contact ANZ Bank New Zealand Limited

• Phone - 0800 269 296
• Website - www.anz.co.nz/personal/
• Join Us - Switch to ANZ
• More about - Home Loans
• More about - Credit Cards
• More about - Personal Loans
• More about - Business Banking
• Work it out - Mortgage Calculators