What is KiwiSaver? A Simple Guide with Generate

What is KiwiSaver? Uncover the key features, benefits, and the role KiwiSaver plays in shaping your retirement journey

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If you've ever wondered what KiwiSaver is all about, you're not alone. It’s a popular topic, and for a good reason—set up wisely, your KiwiSaver account could play a big role in helping you secure your financial future. Let's dive into the basics of what KiwiSaver is and see how the Generate KiwiSaver Scheme could help you make the most of it.


What is KiwiSaver?


KiwiSaver is a voluntary savings scheme designed to help you save for retirement. It’s pretty straightforward: you contribute a small percentage of your income, and your employer and the government add a bit too. Your KiwiSaver provider invests the money and over time, these contributions can grow into a tidy sum, giving you a solid nest egg for your retirement years.


Why should I join a KiwiSaver scheme?


There are a few key reasons why KiwiSaver is a great idea:

1. Easy Saving

If you’re employed, your KiwiSaver contributions come straight out of your pay before you even see it. It’s a bit like setting up an automatic savings account—your money grows without you having to think about it. You can choose to set up a contribution of 3%, 4%, 6%, 8% or 10%.


If you’re self-employed or unemployed, you can set up a direct debit or make voluntary lump-sum deposits into your account.


2. Government contributions

Each year, the Government adds up to $521.43* to your KiwiSaver account if you contribute at least $1,042.86. It’s like getting bonus money for your retirement! *Eligibility criteria apply, details here.


3. Employer contributions

If you're employed, your employer is required to contribute at least 3% of your gross salary to your KiwiSaver account. This instantly boosts your investment without any extra effort from you.


4. First-home Withdrawal

KiwiSaver isn’t just for retirement. If you’re buying your first home, you might be able to withdraw most of your savings to help with the purchase.



What is a KiwiSaver adviser and how can Generate help?


Generate's purpose is to empower Kiwis to make informed decisions about their KiwiSaver account so that they’re in the right fund for their goals and can maximise the benefits. Whether you’re just starting out or nearing retirement, Generate offers a range of funds to suit different life stages and risk levels. 

But we know choosing a fund can be difficult – especially if you’ve never got expert KiwiSaver advice before. That’s why we have a team of expert KiwiSaver advisers nationwide, ready to help. 


When you join the Generate KiwiSaver Scheme, you’re not just signing up for an account—you’re gaining access to expert advice and guidance. 


Our advisers are available nationwide to meet with you and your family, explaining how KiwiSaver works using our clever KiwiSaver calculator and tools to show you projections of how much you’re on track to have at retirement. Having a plan is about setting a goal and knowing what you’re on track to save. Let the Generate team help you make the most of your
KiwiSaver account.




Ready to Get Started?


If you haven’t got a KiwiSaver account yet, or if you’re still wondering what KiwiSaver is or which fund is right for you, now’s a great time to get KiwiSaver advice from a Generate adviser. They’re here to help you navigate your KiwiSaver journey and ensure you’re set up for a comfortable future.


Remember, KiwiSaver is about more than just putting money away. It’s about making sure your money works for you, helping you achieve your long-term savings goals—whether that’s buying your first home or setting yourself up to enjoy a worry-free retirement.


If you’ve never got KiwiSaver advice before, get in touch with our team – we’re here to help.


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