Getting the most out of your KiwiSaver 12 Jan 2016
You are knowledgeable enough to know that having KiwiSaver is a great idea to either save for your first home deposit or save for your retirement come the age of 65. But have you got the right plan in place and are you making the most of your KiwiSaver fund to reap the greatest benefits? Here are a few tips and ideas to make sure you are doing the right things for your investment.
Having a plan about your retirement is a really good place to start. Think about the kind of lifestyle you are likely to want. Will it be basic simplistic living or will it be a time in your life you want to live lavishly. How much will it cost you? What can you afford to save? Taking the time to make a plan and revisiting this plan to make amendments periodically is a good place to start.
Once you have a plan in place, you can then have a ball park figure that you need to save for your retirement. Are you saving enough in your KiwiSaver to reach your goal? Don’t forget that if you take a break from KiwiSaver you will have some catching up to do once you start contributing again. You can make lump sum contributions at any time.
Choosing the best fund to meet your goal is vital. Whether you choose to have a growth fund or a conservative fund, you need to make sure you have selected the best fund for your individual needs. You can change which type of fund you keep your savings in at any time. An online risk-profile questionnaire can help you work out the type of fund that best suits you. If you find this selection a little daunting you can choose a “Lifetimes” option which will automatically move your KiwiSaver into a fund that is appropriate for your age. Too easy!
It is imperative to get these things correct in order to get the most out of your investment. Anything that is left unanswered from above, get in touch – we are only too happy to offer advice.