KiwiSaver nearly 20 years old. Katie Bradford 2degrees wrap | Herald NOW Business

Added: 2026-05-27

[00:00:00]And in today's two degrees rap, it's nearly time to blow the candles on Kiwi Saver's 20th birthday. As the scheme has matured, so has people's perception and reliance on it. And as that milestone hits, the future of our savings scheme is shaping up to be a bit of a battleground this election. National has pledged to keep increasing contribution rates and New Zealand First has jumped in, vowing to make enrollment compulsory and providing incentives like a government contribution. But a range of data shows the the problems the country still has with that relatively young Kiwi Saver scheme. Hardship withdrawals are up. No surprise given the relentless cost of living crisis. People are often reluctant to change providers even if they aren't working as they should. And there is an ongoing and persistent gender savings gap. An increasingly an increasing number are simply leaving the country and taking the money with them.

[00:00:54]Fraser winner says the time is right for Kiwi Saver 2.0. A range of policy recommendations are being made, including directing employer contributions to continue during parental leave, a move that would help with that gender savings gap. Changes to contribution rates were a plank in last year's budget, so many we will be looking to see what changes may be confirmed come Thursday. And then it'll be it will be up to other parties to decide what ideas they will take to the public come campaign time as the country looks to save for its future.