Other Super options preferred
New Zealand’s Prime Minister recently proposed raising the age at which people born after 1972 will receive superannuation – from 65 to 67. It is widely recognised that due to the increasing financial burden, New Zealand Superannuation needs to be reformed in the next couple of decades.
Of course, raising the age of eligibility is but one of many possible reforms. For example, the age could be kept at 65, but taxes could be raised now and the money invested in the New Zealand Superannuation Fund. The Fund’s earnings could be used to meet some of the future superannuation payments, reducing the amount taxes must increase in the future.
Andrew Coleman discusses these and other options, based on research that he and colleagues conducted using 1000minds.
A Coleman, “Other Super options preferred”, Otago Daily Times, 8 Mar 2017
Treasury Working Paper:
J Au, A Coleman & T Sullivan (2015), “A practical approach to well-being based policy development: What do New Zealanders want from their retirement income policies?”, New Zealand Treasury Working Papers 15/14