If you haven’t yet started creating a Nest Egg it is not too late to start. Retiring is a period in our lives when we finally have plenty of free time to relax, play golf or travel the world. It is important to save for your future at some point in your life, so that you feel financially comfortable once retirement commences.

Future Funds

The first step is to estimate roughly how much money you will need to live on. This figure may seem steep, but it will certainly fly a red flag in your face and you will be able to start making goals for your future. Yes, you will receive a Superannuation payment once you turn 65 years of age, but living on this figure alone may be a struggle.

Pension Savings Scheme

Consider investing in a pension savings scheme. A pension scheme works by you contributing money over a period of years, and receiving the figure once you retire.

KiwiSaver is an excellent package designed to help you save. You can make a payment of 2%, 4% or 8% from your salary, and your employer will match this with a further 2% contribution as well. The Government will also contribute $1000 when you first join KiwiSaver, which is paid into your KiwiSaver account after 3 months. Further good news is that you will receive a tax credit into your KiwiSaver account too, which is paid automatically at the end of the financial year.

High Interest Savings Account

Another way to save for your future is to place your earnings into a high interest savings account. There are many of options available, so shop around for a competitive rate which will give you more bang for your buck. A handy piece of advice to remember is that often internet savings accounts offer a better investment rate than branch-based savings accounts, so keep this in mind too.

Even if you can only afford to put a little aside every month, each dollar helps and don’t be discouraged regardless of your age. Just remember that the sooner you start, the better the difference it will make to your future.

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