Do you know what you are entitled to?

It is the time of year where we begin to reminisce on the year that 2017 has been. A main feature for New Zealand has, as it does recurringly, been the election. As both major parties tried to win over the public, superannuation was one topic that was heavily debated. At the time this all got caught up in the election whirlwind but as the memory of the election starts to dissipate with a government now being formed, the logical question to ask is where will all your income come from once you retire?

For many, that income will be derived from a variety of sources including:

  • New Zealand Superannuation
  • Personally owned investments, e.g. share dividends or property rental
  • Private pensions
  • Government Super Fund (GSF)
  • Any ongoing salary or business income from your own efforts

Since superannuation has been the term thrown around the most in recent times it is important to understand exactly what it means.

It is a relatively simple system, isn’t income or asset tested. A millionaire couple living in a mansion in Herne Bay, Auckland will receive the same amount as a couple living in a cottage in Hokitika. It’s fair to say that retirees in New Zealand have it good!

However, it does require you to be over the age of 65 and must have lived in New Zealand for only 10 years cumulatively since the age of 20, and 5 of those years must have been since the age of 50. We know now this age will not be changing for the next three years at least!

There are some reciprocity rules which do consider time spent as residents in another country as residents, as residence in New Zealand. As of March 2016 these are the current payments that you would then be entitled to:

We said it was simple and it sounds simple. But there are a few things you need to be aware especially for those with only one partner being entitled to the payments, household arrangements, those who have worked overseas and done extended overseas travel.

If any of these circumstances apply to you it is important to discuss with a financial adviser and so you are aware and can be well prepared when you decide it is right to stop working.

The content from this blogpost is from our book ‘So You Think You Are Ready To Retire’ a self-guide book to prepare you for retirement.

For a made to measure advice around your retirement contact us.

Share this post:

Discover what Cambridge Partners can do for you

We offer a no obligation review of your situation, and can answer any of your questions.

More Posts


Schedule A Call

Please choose a date and time for your phone call.

We will call you on the number you provide.

Select service*
Select a date and time*
Phone Number*
To ensure we're prepared for your call, please provide any relevant details about your situation, and what you are looking for.

Have you got questions?

Want to know if we’re a good fit for you?

Or just want to know more about your options?

Book a free 15 minute call with one of our Advisers. 

Let them know a little about your situation, and they’ll be able to answer your questions and help guide you in the right direction. 

We’re here to help.

Download Our Info Pack

Please enter your details and we'll email the downloadable info pack to you.

If you do not receive an email in two minutes please email:

Send a message

We'll get back to you as soon as possible