5+5 Ideal super savings rate experts say

A 10% total contribution rate to superannuation savings is likely to be sufficient for most people, the NZ Society of Actuaries says, but more retirees would benefit from receiving financial advice as they start the decumulation process.

While National has reaffirmed its plans to push contribution rates to 6% plus 6% if it is returned to power, the Retirement Income Interest Group at the NZ Society of Actuaries said 5% plus 5% would be a more appropriate saving rate for most people.

That would give a better balance between pre-retirement and retirement spending, it said.

Group convenor Ian Perera said lower-income earners were likely to find NZ Super provided more of what they needed in retirement. Higher income earners were likely to have other assets and more access to advice.