KiwiSaver: Options when you reach 65

08 September 2016 / Published in Your Money

This year Money Week (5 – 11 September) is focused on helping New Zealanders make a plan for their future.

In the same way that trees fruit and blossom as they mature, so can your KiwiSaver savings that you have worked hard to grow over the years.  When you reach 65 and if you’ve been a KiwiSaver member for at least five years, you’ve now got some options when it comes to your KiwiSaver investment. 

Keep investing with KiwiSaver

Whether you’re retiring or continuing to work, keeping your savings invested with KiwiSaver could help you maximise your savings even further. Your ASB KiwiSaver Scheme account will continue to offer you low cost access to a range of professionally managed funds.

Keep contributing to KiwiSaver

If you want to keep growing your KiwiSaver savings, you can continue to contribute from your salary/wages, set up regular automatic payments or make one off lump sum payments. You may also choose to transfer other savings or investments into your KiwiSaver account to continue to take advantage of investing in KiwiSaver. 

Withdrawing your KiwiSaver savings at retirement

Top up your weekly income/superannuation payments, or withdraw a lump sum when you need it – for holidays, or one-off expenses. You can also set up a regular withdrawal facility that gives you regular access to your KiwiSaver savings while you’re still investing.

You can of course withdraw all your KiwiSaver savings in full at any time, but it’s important to note that your account will be closed and you cannot open a new KiwiSaver account if you are aged 65 or over.

What changes when you reach 65?

Now that you’re eligible for retirement withdrawals, you will no longer qualify for the annual Government contribution (member tax credit) and your employer no longer has to contribute. However, some employers do choose to keep contributing – so it’s well worth asking!

We’re here to help

If you’re close to retirement or want help with KiwiSaver, check out our online guide and the KiwiSaver in retirement tool.

You can also contact our team on 0800 ASB RETIRE (0800 272 738) or retire@asb.co.nz.

Interests in the ASB KiwiSaver Scheme (Scheme) are issued by ASB Group Investments Limited, a wholly owned subsidiary of ASB Bank Limited (ASB). ASB provides Scheme administration and distribution services. No person guarantees interests in the Scheme. Interests in the Scheme are not deposits or other liabilities of ASB. They are subject to investment risk, including possible loss of income and principal invested. For more information see the ASB KiwiSaver Scheme Product Disclosure Statement available from this website and the register of offers of financial products at www.business.govt.nz/disclose (search for ASB KiwiSaver Scheme).


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