Newsletter to
members
from the trustee
August 2016
Calculating the cost of retirement
How much income will you need in retirement?
The team at the Commission for Financial Capability has run a few numbers to help put it into perspective.
They’ve calculated that in retirement each of us will spend, on average, $2,920 on eggs and $6,328 on baked beans.
The commission says it’s about visualising the future – especially the cost of 30 years of life in retirement.
Money Week 2016
‘Show me the money’ is the theme for the commission’s Money Week this year – encouraging New Zealanders to
see their future and make a plan to get there. There are events planned up and down the country and resources
for adults and kids on the website. Money Week 2016 runs from 5 to 11 September. Find out what’s happening at
moneyweek.org.nz.
Retirement planner
As a general rule of thumb, you need two-thirds of your pre-retirement income each year to maintain a similar standard
of living in retirement. The commission’s new website includes a Retirement Planner you can use to work out what your
current level of saving is likely to add up to by the time you retire, how much money you’ll need to fund your income in
retirement and how much you’ll need to save to get there. You’ll find the Retirement Planner under the Tools tab
at sorted.org.nz.
Time to turbo boost your savings?
Remember, you can make regular voluntary contributions to UniSaver through payroll as deductions from your pay.
There’s no upper limit. Change your contribution rate using a Change of member details form.
Making changes
Head to our website if you need to make a change relating to your super. There are a number of changes you can make
online by signing into your account at unisaver.co.nz. You can change your investment choice, update your member
details and let us know whether you prefer to receive communications by post or email.
Other changes can be made by completing one of the member forms listed on the public part of the website. Choose
‘I’m a member’ on the homepage and look under ‘Resources’. You can post or fax the forms to Mercer or scan and email
them. There are forms you can use to apply for a first home withdrawal, start or alter voluntary contributions, let us know
you’ve changed employers and more.
UniSaver • Newsletter • August 2016
Changes to HomeStart
Every cent counts when it comes to pulling together a deposit
for your first home. The government has announced changes
to its HomeStart grant available to members of employer
schemes like UniSaver as well as to members of KiwiSaver.
The scheme offers first-home buyers a grant towards a deposit
of up to $5,000 for an existing house, and $10,000 for a new
house. You can double those figures for a couple if both
partners qualify.
The government has raised the income caps to $85,000 for a
single person and $130,000 for a couple. The caps on the price
of the property purchased have also been raised. They vary by
region and for the purchase of new and existing homes.
To qualify, you need to have been contributing to UniSaver (or
a KiwiSaver scheme or complying superannuation fund) for at
least three years.
The grant is administered by Housing New Zealand and does not come out of your UniSaver funds. You do not have to pay
back the grant in most circumstances.
Find out more at Housing New Zealand’s website hnzc.co.nz (look under ‘Ways we can help you own a home’).
You may be able to use your savings in UniSaver towards your deposit
You may be able to use the HomeStart grant in conjunction with a first home withdrawal from UniSaver. You can read
about this benefit on the website (follow the link on the homepage).
Benefit payments over the holidays
The last payment date for benefits for 2016 will be Friday 23 December. You need to factor this in if you're planning to
withdraw money over the holidays. This applies to all benefits including first-home withdrawals, leaving service payments
and withdrawals from deferred member accounts. For a pre-Christmas payment, Mercer needs to receive the completed
form from you (or Payroll in the case of leaving service payments) by Friday 16 December. Payments in the New Year will
be processed from Wednesday 4 January. If you want to change your investment choice over this period, please make your
change by Friday 16 December. Changes in the New Year will be processed from Wednesday 4 January.
Latest returns (after tax and expenses)
Interest rates are declared at the end of each scheme year based on investment returns and investment and operating
expenses. Estimated returns are used to calculate account balances and benefit payments throughout the year.
ESTIMATED RETURNS %
DECLARED RETURNS %
Option
July 2016
7 months to 31 July 2016
Year to 31 December 2015
Growth
3.99
4.48
7.29
Balanced
2.93
4.53
5.83
Conservative
1.34
3.69
4.54
Cash
0.16
1.08
2.42
unisaver.co.nz
Got a
question?
You’ll find lots of information to help you manage your savings
and answer your questions about UniSaver on our website.
0800 864 724
The helpline hours are 9am to 7pm, Monday to Friday
(except public holidays).