Recommended.co.nz | Guide2.co.nz | Voxy.co.nz | Gimme.co.nz
Homepage | login or create an account

KiwiSaver Survey Shows Employers Still In Dark

Contributor:
Fuseworks Media
Fuseworks Media

Wellington, June 25 NZPA - With only a week to go before the
nationwide introduction of Kiwisaver, a survey has shown more than
half of the country's employers still feel they need more
information on the scheme.

Finance Minister Michael Cullen's new workplace savings scheme
comes into force on July 1.

Under the legislation, all new employees must be automatically
signed into the scheme, with the option to opt out if they wish,
while all existing employees must be allowed to sign up if they ask
to.

A nationwide survey of more than 300 businesses conducted last
week by business management provider MYOB showed almost 60 percent
of respondents felt they needed more information to understand their
Kiwisaver obligations.

Despite the release of Kiwisaver employer packs and widespread
advertising, almost 20 percent of businesses surveyed said they were
more confused than ever.

MYOB managing director Matt Lynch said the widespread
uncertainty, particularly over the new scheme's compliance
requirements, had become a real issue for local businesses.

As the deadline drew closer, more and more employers were
realising they were not prepared to manage the implementation of the
scheme, Mr Lynch said.

"Without more help, it seems a majority of businesses are going
to struggle to meet their compliance requirements."

MYOB was launching a Kiwisaver step-by-step guide for employers,
Mr Lynch said.

The Government's website, www.kiwisaver.govt.nz also offers
information for employers, while www.sorted.org.nz provides
information for employees.

"The real issue, however, is for those businesses who aren't
using an automated payroll product or payroll provider and are
struggling to understand the new scheme," said Mr Lynch.

"They are going to need some more help, and soon."

Featured Books on KiwiSaver & Saving

Credit Card Comparison TablesCompare Credit Cards - Independent interest rate and fees comparisons for New Zealand banks.

About guide2.co.nz : money

Find the latest money news and 'how to' guides on Guide2Money.

Ask our researchers your personal finance questions.

Your Questions. Independent Answers.