Kiwi Saver...........
Discussion
Is it going to be a black hole riddled with an uncertain future or a little gem for all to look forward to?
We are certainly out, for us its just another little tax cut going to unsecure investors, returns not as good as current investments set up anyway. However I would only recommend it to middle income earners who have bugger all assets or none! Will be hard for low income earners to add 4% but least it gets them something for the future even if its a struggle.
I also want my employer to continue with the generous pay rises too. I already sense from many employers (private small C0's)that annual payrises could be a thing of the past!!
We forget that a few generations ago here, they promised the future pensioners that their taxed income was for a generous retirement pension and basically everything taken care of. The pension of course was a slap in the face for our grandparents.
Just my 20c
We are certainly out, for us its just another little tax cut going to unsecure investors, returns not as good as current investments set up anyway. However I would only recommend it to middle income earners who have bugger all assets or none! Will be hard for low income earners to add 4% but least it gets them something for the future even if its a struggle.
I also want my employer to continue with the generous pay rises too. I already sense from many employers (private small C0's)that annual payrises could be a thing of the past!!
We forget that a few generations ago here, they promised the future pensioners that their taxed income was for a generous retirement pension and basically everything taken care of. The pension of course was a slap in the face for our grandparents.
Just my 20c
Its not awfully tempting.
$1k + $1kPA from .gov.nz and 4% or 8% of my sallary. Locked up in a fund I cant use for 30 years subject to any miserly rule change - and tax.
Worst of all my companies proposed contributions is effectivly sallary and I'd get it in hand otherwise.
The one aspect I'm intrested in exploring is the 2% towards your morgage (before tax), that with the .gov contributions may be worth it.
$1k + $1kPA from .gov.nz and 4% or 8% of my sallary. Locked up in a fund I cant use for 30 years subject to any miserly rule change - and tax.
Worst of all my companies proposed contributions is effectivly sallary and I'd get it in hand otherwise.
The one aspect I'm intrested in exploring is the 2% towards your morgage (before tax), that with the .gov contributions may be worth it.
I don't agree with it.
We employ 26 people, much of whom don't save, I think that under 50% of them will take up the scheme. Simply because most of them live to the limit of their current wages and can't afford or don't want to make the sacrifices to provide the funds needed to contribute. One in particular is 18 y/o male and owes over $30K on a car and stuff as he puts it.
As an employer it really annoys me when Uncle Helen says that the employer will be subsidised and it will come at no cost to them. What about the time spent getting to grips with the scheme and then for the accounts person to manage the transactions, paper work etc. That time is money and we are not paid for that. More regulation for the employers to police on top of child support payments, tax, fines etc. Running the business there is only so much money in the kitty. If I have $20 a week available for a pay rise and then someone takes up KiwiSlaver and I have to contribute $20 that $20 I have in the kitty can only be spent once... it will result in LESS pay rises. Note I am referring to when the subsidy runs out.
Uncle Helen is running a Nanny state where the Government decide what we should drive, how we save, what we eat and so on. It's madness.
We employ 26 people, much of whom don't save, I think that under 50% of them will take up the scheme. Simply because most of them live to the limit of their current wages and can't afford or don't want to make the sacrifices to provide the funds needed to contribute. One in particular is 18 y/o male and owes over $30K on a car and stuff as he puts it.
As an employer it really annoys me when Uncle Helen says that the employer will be subsidised and it will come at no cost to them. What about the time spent getting to grips with the scheme and then for the accounts person to manage the transactions, paper work etc. That time is money and we are not paid for that. More regulation for the employers to police on top of child support payments, tax, fines etc. Running the business there is only so much money in the kitty. If I have $20 a week available for a pay rise and then someone takes up KiwiSlaver and I have to contribute $20 that $20 I have in the kitty can only be spent once... it will result in LESS pay rises. Note I am referring to when the subsidy runs out.
Uncle Helen is running a Nanny state where the Government decide what we should drive, how we save, what we eat and so on. It's madness.
Edited by Kiwi Carguy on Thursday 21st June 05:46
Kiwi Carguy said:
Uncle Helen is running a Nanny state where the Government decide what we should drive, how we save, what we eat and so on. It's madness.
Don't worry, in a year she'll be lining up in her own dole queue*- might not be a dole queue, it might actually be a sickness or invalid benefit queue, can't have it contributing to the REAL level of unemplyment now can we?
We've decided to forget the ramp up and offer 4% straight away for anyone who wants it. It will be taken into account at the next salary reviews however.
Looks like only 3 staff are interested at present.
V V V pleased there is not a single union member or collective agreement in the building.
Looks like only 3 staff are interested at present.
V V V pleased there is not a single union member or collective agreement in the building.
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