House Prices

Kiwis may be saving too much, says Treasury

The Government's expected workplace savings scheme will probably be promoted on the basis that New Zealanders do not save enough.

Thursday, May 19th 2005

But studies - including a Treasury report - have suggested some New Zealanders are saving enough - and in some cases too much - for retirement.

"If that is the case, there is zero ground for even thinking about the idea of a workplace savings scheme," savings expert Michael Littlewood says.

A New Zealand Institute report in February said the median household wealth was just $68,300, but 800,000 adults own less than $20,000.

It suggested a $4 billion government savings plan for everyone automatically at birth, but that was rejected by Finance Minister Michael Cullen last month.

A Treasury report by Grant Scobie and others has said, however, that there is "no evidence of widespread undersaving".

Many poorer pensioners lived on NZ Superannuation and little else, but often that was little different from their income while they were working.

Most richer people did save, according to the Treasury report, and, with their state pension as well, ended up better off in retirement than when they worked.

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Co-operative Bank - First Home Special 7.04
ICBC 7.05
China Construction Bank 7.09
BNZ - Classic 7.24
ASB Bank 7.24
ANZ Special 7.24
TSB Special 7.24
Unity First Home Buyer special 6.45
Heartland Bank - Online 6.55
SBS Bank Special 6.69
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Westpac Special 6.75
China Construction Bank 6.75
ICBC 6.75
AIA - Go Home Loans 6.75
ASB Bank 6.75
Unity 6.79
Co-operative Bank - Owner Occ 6.79
SBS Bank Special 6.19
ASB Bank 6.39
Westpac Special 6.39
AIA - Go Home Loans 6.39
China Construction Bank 6.40
ICBC 6.49
Kiwibank Special 6.55
BNZ - Classic 6.55
Co-operative Bank - Owner Occ 6.55
TSB Special 6.59
SBS Bank 6.79
SBS FirstHome Combo 6.19
AIA - Back My Build 6.19
ANZ Blueprint to Build 7.39
Credit Union Auckland 7.70
ICBC 7.85
Heartland Bank - Online 7.99
Pepper Money Essential 8.29
Co-operative Bank - Owner Occ 8.40
Co-operative Bank - Standard 8.40
First Credit Union Standard 8.50
Kiwibank 8.50

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