KiwiSaver. 

I was thinking about this at the weekend. I get why the government is doing the old switcharoo. I get it. Means test the government sweet we, halve it for everyone else… save some money. 

Then we workers… and our employers… will slowly put more into the scheme…

So that when it all comes out in the wash, we’re at least no worse off than before budget day. 

Except that we will be worse off, because it’s us and our employers paying for it.

We pay more up front. Our employers pay more up front. That’s added cost. Businesses recover cost by putting up prices, which we end up paying, or by lowering costs, like wages… which is how most of us make a living, right?

So the net effect is worse for us and better for the government.

Now again, I get why they need to slash spending but the irony with tinkering with KiwiSaver is this.

For your average kiwi working hard and saving and planning for retirement… that’s what we’re told to do…. These changes throw all your calculations out of whack.

You plan on a long-term, predictable set of circumstances.

When they’re changed without warning and at random, it punishes people who are trying to do the right thing. 

We need more of a heads up on changes to KiwiSaver… and more importantly… NZ Super.

It’s not a matter of if but when that also gets means-tested. Even if the when is post-Winston. 

Nicola Willis says she’s been giving this some thought. The future of superannuation.

I’d like to know, and other hard-working Kiwi-savers I’m sure would also like to know, sooner rather than later, what those thoughts are.