Should you use extra cash to reduce your mortgage or top up your KiwiSaver?
– Bonus Bonds work well as on-call account …
– … But not so well as a gift for grand-daughter. Other options for her
– Means-testing NZ Super may cost more than it saves
– Lower-income retirees already get more
– Take care with charity donations in wills
– Tell charities how you want to be treated …
– … Here’s what to do if they ignore your requests
Why are people not in KiwiSaver? – Part 2
Emails and texts from listeners:
– No income of her own
– Self employed
– Employer talked worker out of it
– Worries about investment
– Ethical investing
– Too little money
– Too old
– Control of investments
– Don’t trust govt
– Lack of govt guarantee
– Family tree doesn’t explain why women are worse off in retirement
– Should we give more NZ Super to those in need?
– Reader seeks ideas on giving to charity
– Offset mortgage one way parents can help children buy a home — but not a tax break
– Look beyond bank adviser
– Investors in KiwiSaver and other funds pay slightly less tax
If you can learn to handle risk, you’ll get more out of your KiwiSaver fund.
Ask someone which KiwiSaver fund they are in, and most will name their provider — a bank or other financial institution. But the provider doesn’t matter nearly as much as which type of fund you’re in.
Why are people not in KiwiSaver?
Analysis by Commission for Financial Capability of negative comments on social media and internet discussion boards, plus emails from listeners:
– Lack of security
– Government policies
– Other “better” investments
– Earning too little to bother
– Couple should make children their priority while the kids are young
– KiwiSaver gives children a good start, despite the lack of incentives
– Don’t blame bank for getting son’s KiwiSaver tax rate wrong
– Expanding the “cut back on gifts” idea to birthdays, Christmas and Mother’s Day
– Inflation tougher on superannuitants, but reader still has options
– I’m doing two talks in Tauranga on November 3