Sorted Money Month 2024
Sorted Money Month is back for 2024! Here are some tips to help you sort your KiwiSaver this Money Month.
From 1 to 31 August, Money Month’s awareness and engagement campaigns are coordinated by Te Ara Ahunga Ora Retirement Commission, in partnership with the financial capability community. It aims to raise New Zealander’s financial capability by helping them understand money better and improving their financial wellbeing.
Money Month and KiwiSaver
Unsure if you are in KiwiSaver? Unsure about the type of KiwiSaver investment option you're invested in? Unsure about how much you have in your KiwiSaver account?
If this sounds familiar, don’t worry. It's quite common to be in this situation. Many of us are automatically enrolled in KiwiSaver when we begin working and tend to overlook it over time.
KiwiSaver is a voluntary savings scheme set up by the government to help New Zealanders to save for their retirement. It’s an easy way to invest for our retirement years.
With KiwiSaver, your savings are invested on your behalf by the KiwiSaver provider of your choice. If you didn’t choose a provider, Inland Revenue would have assigned you to a default KiwiSaver provider and a default investment option when you first got your job.
Here are some tips to help you sort your KiwiSaver this Money Month:
1. Find out your KiwiSaver provider
To identify your KiwiSaver provider, you can easily obtain this information by reaching out to Inland Revenue. If you are a member, they will have your details on record. You can contact them at 0800 KIWISAVER or log in to you MyIR account to retrieve the information you need.
2. Choose the right KiwiSaver investment option
You have the option to select the KiwiSaver investment option in which your savings are invested. These investment options are managed by providers such as banks and investment companies, and they usually offer a variety of investment options to choose from. To determine the most suitable investment option for you with Mercer, use Mercer’s Fund Selector Tool.
3. Figure out how much to contribute
Contributions to your KiwiSaver account can come from you, your employer and the Government. You can choose to make contributions of 3%, 4%, 6%, 8% or 10% from your before-tax salary or wages. Your employer is required to contribute a minimum of 3% of your before-tax salary or wages, but they may contribute at higher rates. However, there are certain conditions where your employer is not obligated to contribute, such as if you are under 18 years old, eligible for a retirement withdrawal, or not contributing at least 3% from your pay. You can also make voluntary contributions directly to your KiwiSaver account. The Government may also contribute up to $521.43 annually to your KiwiSaver account if you meet the eligibility criteria.
Check out Sorted's website for more tips this Money Month!
Additional resources:
- Use the Mercer Retirement Income Simulator to see what your future retirement savings could look like.
- Unsure if you’re in the right investment option? Take Mercer’s Fund Selector Tool to see which investment option suits your situation and risk tolerance.
- Not sure where to start or need some help with your Mercer KiwiSaver scheme or investments? Mercer’s financial advice team can help guide you through these decisions. Call us today on 0508 637 237 to arrange a call back from one of the team or click here to request a call back from the financial advice team.
The information contained on this page is intended for general guidance only and is not personalised to you. It does not take into account your particular financial situation or goals. Before making any investment decision, you should refer to the product disclosure statement or consult an appropriately authorised adviser.
