Image displays title KiwiSaver looksee and FMA logo

Have a looksee at your KiwiSaver statement and make sure you’re on track

Every year from April to June, New Zealanders receive their annual KiwiSaver statements by post or email.   This year, there’s something new in your statement.  For the first time, you can see how much money you’re projected to have at age 65, and what that means as a weekly payment spread out over 25 years. 

The figures are not a guarantee, but are an estimated projection to help you make important decisions about your KiwiSaver savings.  

What's your retirement look like?

Check out examples of how KiwiSaver retirement projections can look in these short case studies.

Shannon (23) is a primary school teacher in Auckland.  She earns $52,000 a year and has been contributing 3% of her salary to KiwiSaver for the past two years. Her statement shows that she currently has $6,500 in her KiwiSaver Growth fund.

The projection estimates that her KiwiSaver fund will be worth $309,784 by the time she’s 65. Combined with NZ Super, that will give Shannon about $743 a week in retirement – a bit less than she earns now (assuming she lives to 90 years).

Lucas (32) is an electrician, earning $67,000 a year.  He’s been contributing 3% of his wages to a Default Conservative KiwiSaver fund for the past 13 years. His statement shows he has $25,000 in his KiwiSaver fund.

The projection estimates that his KiwiSaver fund will be worth almost $200,000 when he’s 65 ($195,308).  Including NZ Super, that would amount to $584 a week (assuming Lucas lives to 90).

If Lucas moved his money to a Growth fund, he’d have almost $100,000 more when he retired - $283,915, or $717 a week.

Fiona (45) and Dave (46). Dave earns $160,000 as an HR manager, while his partner Fiona earns $95,000 working part-time as a GP.

Their KiwiSaver statements show that Dave has saved $72,000 and Fiona $32,000. Fiona took time out of the workforce to raise their children so she has quite a lot less than Dave, even though they both joined KiwiSaver at the same time and are both in Growth funds.

Combined, Fiona and Dave will have around $500,000 at 65 ($543,362) – around $1212 a week including NZ Super.

If Fiona and Dave both contributed 4% of their salaries to KiwiSaver, instead of their current 3%, they’d have more than $600,000 when they retire ($612,809).

Disclaimer:  The people, scenarios and existing balances presented in these case studies are fictitious and for illustrative purposes only.  Calculations are based on the government’s retirement projection assumptions.  For the purposes of illustration, we assumed NZ Super figures based on today's figures for singles and couples. Salaries are estimated based on available industry figures.

KiwiSaver and COVID-19

KiwiSaver statements are arriving at a time when your KiwiSaver balance may have dropped, because of a downturn in financial markets due to COVID-19.  While it’s natural to feel disappointed, KiwiSaver was always designed with this type of market volatility in mind. 

Sharemarkets typically move up and down but tend to outperform all other types of investments over the long term.  KiwiSaver is by nature a long term investment – where people contribute over 40 years or more towards their retirement. 

While KiwiSaver balances will move up and down in line with the markets, it’s the performance over the long term that counts.

However, don’t assume your balance is low because of COVID-19 and will just “come right”.  The retirement projection in all KiwiSaver statements is based on the same formula set by the Government.  The formula is deliberately conservative to ensure members form a realistic picture of how much money they will have at retirement age. 

Take a Looksee at your KiwiSaver statement

a visual reference to the KiwiSaver statements campaign

Ask yourself these questions: 

  • Am I happy with the amount of money I’ll have in my KiwiSaver at 65?
  • Can I afford to contribute more?
  • Am I getting good value from my KiwiSaver provider – do their fees seem reasonable?
  • Am I in the right KiwiSaver fund?

If you don’t think your projected balance will be enough to give you the kind of retirement you want, you could consider: 

  • Increasing your contributions, and/or switching to a more growth-oriented fund.
  • Increasing your contributions makes the most dramatic difference.
  • Changing to a higher growth fund can be a good option to improve your long-term projected retirement balance if you can’t afford to increase contributions right now (provided you are prepared to take on additional risk). This is particularly true if you’re younger.
  • Talk to your KiwiSaver provider or consider getting some financial advice from a qualified adviser.  There’s also lots of great tools out there to help you make the right decision.  Our ‘What’s your KiwiSaver flow?’ chart is a great place to start. 
Check your KiwiSaver settings in this handy flow chart

Useful resources to help you make good KiwiSaver choices

diagram that displays choices available to KiwiSavers

How do I find out my projection?

You can find it on your KiwiSaver statement, or use the Sorted calculator

KiwiSaver FAQs

Got questions about your projection? Find out what you need to know here.

What's your KiwiSaver Flow?

Give your KiwiSaver settings a quick review with this easy flow chart.

Want more detail on how projections are calculated?

Read more here.

How much do I need for retirement?

Check out the Massey retirement expenditure guidelines, or use Sorted's retirement planner.

Read more about how projections are calculated

In the news

Seven Sharp:  How flush will you be at 65? 
FMA Investor Capability Manager Gillian Boyes joined TVNZ's Seven Sharp on 2 June 2020, to discuss the KiwiSaver balance projections and what people can do now if they want more when they retire
Watch the clip here

NZ Herald: KiwiSaver secrets we need to know
For the first time, KiwiSaver statements now include an estimate of what members will have at age 65, and what that'll give them each week on top of NZ Super.
Read more

Newstalk ZB: New KiwiSaver scheme predicts your retirement fund
Our CEO Rob Everett told ZB's Heather du Plessis-Allan that they're designed to make people stop and think about retirement, and make any necessary changes to their KiwiSaver settings now.
Read more

Indian Newslink: KiwiSaver works out good in the long, long run
KiwiSaver investors will see how much money their KiwiSaver investments could provide at age 65 when they open their annual statements this year.
Read more

Financial Advice New Zealand: New resources a timely tool for KiwiSaver investors
Everyone should perform regular financial health checks, says Financial Advice New Zealand as it welcomes new resources by the FMA to help people do a health check on their KiwiSaver savings plan.
Read more

Bay of Plenty Times: Money, Jeremy Tauri: Question your Kiwisaver investment
A higher-growth fund is a good option if you have a few years until you need the money. If you are making this sort of move, though, remember that riskier funds move around more when markets wobble.
Read more

ZM: The simple answers to ZM listeners’ KiwiSaver questions answered with the FMA
We teamed up with ZM to answer some of your most asked questions about KiwiSaver! 
Listen here
 as Gillian Boyes and Georgia Burt discuss some of the common questions from listeners.  Read more on the ZM website.