My initial reaction is that it sucks. Changes to KiwiSaver, WFF and student loans means that middle class NZers bear the brunt of the budget cuts once again.
With all this talk about WFF and benefits - guess who the government spends the most amount on in Social Assistance? Retired people and their super. And not by a small amount either. There is a HUGE gap between spending on Superannuation and the next social assistance benefits. The figures are only going to get larger as well as the Baby Boomers hit retirement age.
They have already stopped contributions to the Superannuation Fund in 2009. It is quite likely that by the time my age group reaches retirement age - the age will have jumped from 65 to at least 67 and I'm betting payments will have to have had a sort out before then as well as they are not currently means tested. After the Baby Boomers have all hit retirement - there won't be a hell of a lot left in the fund to draw from. Which means there will be a lot more borrowing in the future - aren't we trying to get the country out of debt?
Kiwisaver was going to be a great scheme to try and get NZers saving for their retirement and now they are messing with that as well.
IMO - it would be better for them to take money from the super fund and give it back to people through Kiwisaver. Give people MORE incentive to save not less!
Sorry if that doesn't make any sense - wriggly baby on my lap
Edited by Delli
Kiwisaver changes
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