How Kiwisaver works 

An aging population can put a strain on an economy. The more elderly people a country has, the more tax has to go towards superannuation. People often either put off saving until it’s too late, or underestimate the amount of money they will need to retire comfortably. The New Zealand government’s solution was to bring in Kiwisaver in 2007.

Kiwisaver is a voluntary government operated scheme where part of a person’s wage is invested every pay day until their retirement. When you start a job you will automatically be placed in Kiwisaver, but you are free to opt out. While in Kiwisaver your employer must also make contributions toward the balance. Once you reach retirement age (currently 65) you are eligible to withdraw your Kiwisaver balance (as long as you have been in Kiwisaver for 5 years already).

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Credit Card Basics

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When you take out a credit card from a bank you are agreeing to pay back any money you spend on the card to that bank under specific rules. Credit cards are a wonderful and dangerous thing. They are not a great idea for the impulsive or the frivolous, but if you use them right they can be very helpful. Here are some credit card basics everyone should know.

Disclaimer: I am not a financial adviser or planner. These are general credit concepts I have learned from experience and from reading my own credit card policy wording. Please read your own policy wording to confirm what applies to you.

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