To Aaron, Bb and Roger,

The following paper by Prof Ross Guest is an interesting comparison of the NZ Super vs the OZ age pension. NOTE the terms used are a bit confusing at first. OZ Super is equivalent to our NZ Kiwisaver whereas OZ Age Pension is equivalent to our NZ Super.

Major difference is that OZ Age Pension (equivalent to NZ Super) is means tested which is what Aaron would like to see for our NZ Super

In OZ, they can withdraw their Super (read Kiwisaver) at 60. One unfortunate consequence of means testing is that many will try to spend most of it by 65 so that they are eligible for the full Age Pension! The other interesting fact is that their poverty rate for over 64 is much higher than ours 34.9 per cent compared to our 7%.

http://www.cffc.org.nz/assets/Docume...me-Systems.pdf

My stand is that our Super should never be means tested - most of us kiwis are far from being fiscally responsible individuals at the moment. Means testing will encourage more to just live for today and spend spend spend and not to worry about tomorrow as we will then get the full super! It will penalise most of us here in ST who are trying to build up a nest egg.