I get what you were saying but it isn’t a bank account. It’s a portfolio so it’s going to go up and down in value over the years. There is no guarantee you will get back what you put in (even though we know you probably will over the long term) - the value of your portfolio could be less or more when you want to withdraw it. Having said that, in any given year you are right - you put in the minimum amount and get the full govt contribution, which is a 50% return on your one annual deposit. But that doesn’t really translate to your overall return over time, when you decide to withdraw it.
Or maybe I am just as confused as you now
Originally Posted by justakiwi
I get what you were saying but it isn’t a bank account. It’s a portfolio so it’s going to go up and down in value over the years. There is no guarantee you will get back what you put in (even though we know you probably will over the long term) - the value of your portfolio could be less or more when you want to withdraw it. Having said that, in any given year you are right - you put in the minimum amount and get the full govt contribution, which is a 50% return on your one annual deposit. But that doesn’t really translate to your overall return over time, when you decide to withdraw it.
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