KiwiSaver Average Balance Hits $40,000 as Membership and Contributions Grow

The average KiwiSaver balance has passed $40,000 for the first time, with $138.8 billion now invested on behalf of New Zealanders, says Commerce and Consumer Affairs Minister Cameron Brewer.

The Financial Markets Authority's KiwiSaver Annual Report, released today, shows the average member balance up 11 per cent to $40,340, contributions up 8.2 per cent, and more than 112,000 new members joining the scheme.

Competition is a key focus for this Government, and this report shows it working. Members switched funds 460,000 times last year and $7.4 billion moved between providers, up from $5.5 billion. If your provider isn't delivering, you can move, and hundreds of thousands of Kiwis did exactly that, Mr Brewer says.

Check what fund you're in, check what you're paying, and don't be afraid to shop around. This Government's job is to keep that market competitive and well regulated so Kiwis have real choices.

Since 2010, hundreds of thousands of New Zealanders have used their KiwiSaver to get onto the property ladder, and they continue to do so, with more than 50,000 members withdrawing a record $2.2 billion for first homes in the last year.

The Government recently introduced the KiwiSaver (First Home or Farm) Amendment Bill, which will let workers in service tenancies such as farm workers, rural teachers and defence personnel use their KiwiSaver to get onto the property ladder, even when the job requires them to live in employer-provided housing.

This is all part of the Government's plan to fix the basics, build the future, and make sure Kiwis' hard-earned savings are working as hard as they do, Mr Brewer says.