Know what sort of retirement you’re on track for

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Peter Forster
General Manager Wealth
5 MIN

As of last year, KiwiSaver scheme providers were required to include retirement savings and income projections on their members’ Annual Statements. The aim is to help you get a better understanding of how much money you could have in your KiwiSaver account when you turn 65, and the weekly income in retirement this amount would provide.

The good news is that in May 2021, we’ll be sending these to you again.

We recognise it’s hard for anyone to make decisions, years in advance, about factors that could impact how much money you’ll have in retirement – without a way of being able to see what the outcome of those decisions might be. That’s why retirement savings and income projections are a good thing, because they’ll help you see whether you’re on track for the kind of retirement you want, or if you need to make changes to your savings habits now for a better outcome later.

What you can expect to see?

Your Annual Statement won’t be too different from last year’s. There’ll be heaps of information summarising the activity within your KiwiSaver account during the year, but the key information in relation to retirement savings and income projections can be found on the second page and will look like this:

There’s two important numbers. The first number is your expected KiwiSaver account balance at age 65, which is shown as a lump sum amount. The second takes that lump sum amount and turns it into a weekly income (we assume you’ll leave your money in your KiwiSaver account and make regular drawings from it).

The numbers you’ll see will be specific to your own KiwiSaver account. It’s worth bearing in mind the figures don’t consider any other investments you may have, or any NZ Super payments you may be entitled to once you reach retirement age.

Of course, the numbers are estimates, and are based on your activity during the year (more about that later). Think of the projections as a guide to what might happen. The important thing they’ll do is help you consider whether you need to do more to have the retirement income you think you may need.

Will everyone find the projections information on their statements?

Most of our KiwiSaver members will receive savings and income projections, but not everyone.

If you’re aged 18 to 64 and have been a member of the BNZ KiwiSaver Scheme for the whole year (from 1 April 2020 to 31 March 2021), then you’ll find the projections on the back of your Annual Statement.

However, if you’re under 18 or over 65, or haven’t been a member of the BNZ KiwiSaver Scheme for the whole year, you won’t receive them. Instead, you’ll receive information about some of the things you can do to change your retirement outcomes, and how to run your own projections using the tools we have available.

How are the savings and income projections calculated?

The projections use a standard formula and set of assumptions. All KiwiSaver providers use them.

The figures on your Annual Statement are estimates, and are based largely on the contributions you’ve made during the last year, your current choice of investment fund, and any money you may have received from your employer or the Government during this time. The projections numbers are simply there to guide you and help you recognise whether you need to make any changes.

If you’ve joined or transferred to the BNZ KiwiSaver Scheme during the course of this year, we won’t have all the information we need to calculate your future account balance, which is why you won’t receive savings and income projections on your statements this year.

Other tools available to help you with your KiwiSaver planning

At BNZ, we have an online tool to help you see how your KiwiSaver balance might grow between now and when you plan to retire. In fact, you can use it now if you don’t want to wait for your Annual Statement to arrive – or if you think you won’t be getting retirement savings and income projections this year. Check it out here.

Pop in your basic KiwiSaver account information – such as your current age, income, account balance, contributions rate, and fund choice – and our tool will work out how much you could have by age 65. What’s more, you can see what impact some simple changes could have on your future account balance – such as changing your fund choice or upping your contributions rate.

If you want to delve into this further, then be sure to call into one of our branches and ask to be taken through a ‘KiwiSaver Navigator’ session. This may be particularly helpful if you’re saving for a first home, or if you want to include NZ Super payments you may be entitled to in order to give you a more rounded picture of your retirement.

When can you expect to receive your Annual Statement this year?

As mentioned, we expect Annual Statements and Tax Certificates to be available to BNZ KiwiSaver members in May this year. If we have your email address, we’ll let you know when they’re available to view online. If we don’t, we’ll send you a copy of in the post.

Of course, if you missed last year’s statement, you’ll be able to find it online in BNZ internet banking. Just look under ‘Statements’ once you’ve selected your KiwiSaver account, or look in ‘Documents’ in the BNZ app.


The information in this article is provided for general purposes only, and is a summary based on selective information which may not be complete for your purpose.  To the extent that any information or recommendations in this article constitute financial advice, they do not take into account your financial situation or goals and is not intended as personalised financial advice. While BNZ has made every effort to ensure that the information provided is accurate, you should not rely on this information to make any financial decision without first having sought advice specific to your circumstances from an authorised financial adviser. Neither BNZ nor any person involved in this article accepts any liability for any loss or damage whatsoever which may directly or indirectly result from any advice, opinion, information, representation or omission, whether negligent or otherwise, contained in this article.

BNZ Investment Services Limited, a wholly owned subsidiary of Bank of New Zealand (‘BNZ’), is the issuer and manager of the BNZ KiwiSaver Scheme. Download a copy of the BNZ KiwiSaver Scheme Product Disclosure Statement PDF, or pick up a copy from a BNZ branch. Investments made in the BNZ KiwiSaver Scheme do not represent deposits or other liabilities of BNZ or any other member of the National Australia Bank Limited group, and are subject to investment risk, including possible delays in repayment and loss of income and principal invested. None of BNZ or any other member of the National Australia Bank Limited group, the Supervisor, and any other director of any of them, the Crown or any other person guarantees (either fully or in part) the performance or returns of the BNZ KiwiSaver Scheme or the repayment of capital.

Peter Forster
General Manager Wealth
Peter has nearly 20 years’ experience in financial services across Australia, New Zealand and Asia. He has led Bank of New Zealand's Wealth business since August 2018.