Turning 65 opens up new options for your KiwiSaver account.
When you retire, your income can come from three sources.
Once you turn 65, you could be eligible for New Zealand Superannuation. The before-tax superannuation rate starts from around $17,000 per yeardisclaimer, depending on your situation.
You can usually begin withdrawing your KiwiSaver savings when you turn 65. Be aware that your savings will need to last you throughout your retirement – see below for your options.
This can be money from other assets like a house, investments or savings accounts.
The amount of time you have until you retire can have an influence on which of our funds you choose to invest in.
If you’re not planning to retire for at least a few years, you may want to consider a fund with a higher level of risk and potential reward. This is because you have more time for the ‘ups and downs’ that can happen with higher-risk funds to even out.
If you’re close to retirement, you may want to consider a lower risk fund which is more stable, giving you more certainty about how much money you’ll have when you retire.
The table below shows the minimum recommended investment timeframes for each of the funds in the OneAnswer KiwiSaver Schemes.
| Fund | Minimum recommended investment timeframe |
|---|---|
| Growth Fund | 7 years |
| Balanced Growth Fund | 6 years |
| Balanced Fund | 5 years |
| Conservative Balanced Fund | 5 years |
| Conservative Fund | 4 years |
| Fund | Minimum recommended investment timeframe |
|---|---|
| Cash Fund | No minimum |
| New Zealand Fixed Interest Fund | 5 years |
| International Fixed Interest Fund | 5 years |
| Australasian Property Fund | 10 years |
| International Property Fund | 10 years |
| Australasian Share Fund | 10 years |
| International Share Fund | 10 years |
| Sustainable International Share Fund | 10 years |
Depending on your retirement timeframe, you may want to check whether the Lifetimes option is still right for you.
You can usually begin withdrawing your KiwiSaver savings once you turn 65disclaimer – but you don’t have to.
It’s important to consider how you’ll use your KiwiSaver savings to meet your financial needs throughout your retirement – especially as Kiwis are working and living longerdisclaimer. That’s why KiwiSaver has a range of options, depending on your situation.
There’s a misconception that you need to withdraw your savings as soon as you turn 65 – but that’s not the case. You can leave your money in your KiwiSaver account until you decide to withdraw some or all of it. If you’re working, you can keep making regular contributions from your salary or wages if you choose to. You can also continue to make lump sum contributions at any time. In fact, having the ability to contribute and withdraw at any time after 65 makes KiwiSaver a very flexible investment option.
You can set up a regular withdrawal to give you a regular income stream, while still keeping the rest of your savings invested and working for you.
You can choose to make a partial or full withdrawal once you turn 65disclaimer.
Use our easy online calculator to find out:
If you need help choosing the right investment option for you, or putting together a plan to achieve your financial goals, talk to your financial adviser. If you don’t have a financial adviser, we can put you in touch with one.
ANZ New Zealand Investments Limited ('ANZ Investments') is the issuer and manager of the OneAnswer KiwiSaver Scheme. Important information is available under terms & conditions. Download the guide and product disclosure statement.
Based on Work and Income NZ Super and Veteran’s Pension payment rates information. Rates may change, check here for more details.
Back to topIf you first joined KiwiSaver (or a complying superannuation fund) before 1 July 2019, a five-year membership requirement also usually applies before you can begin withdrawing your KiwiSaver savings.
You can opt out of the five-year membership requirement by making a retirement withdrawal. If you opt out, you’ll no longer be eligible to receive any Government contributions and your employer can stop their contributions.
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