Planning for Retirement: Financial Considerations

Retirement is a time to enjoy the rewards of a life well lived, and for many New Zealanders, NZ Superannuation provides a vital financial foundation for this next chapter. At The Botanic, Silverdale’s premier luxury retirement village, we understand how important it is to make informed decisions about your entitlements and how to make the most of them. This guide explains how NZ Super works, who’s eligible, how to apply, and how it fits with the lifestyle and financial model offered at The Botanic. Learn more: Understanding Retirement in New Zealand: A Comprehensive Guide The Botanic helps residents to make informed decisions about retirement Overview of NZ Superannuation and Eligibility Criteria NZ Superannuation is New Zealand’s universal retirement benefit, designed to provide a regular income to eligible seniors from age 65. It is funded through general taxation and is not means-tested, meaning your assets and most other income sources generally do not affect your payments. Who Is Eligible for NZ Super? To qualify, you need to meet the following criteria: Age: You must be 65 years or older. Residency: You must be a New Zealand citizen, permanent resident, or hold a residence class visa. Ordinary Residence: You must be ordinarily resident in New Zealand, the Cook Islands, Niue, or Tokelau at the time of your application. Time in NZ: You must have lived in New Zealand for at least 10 years since turning 20, including at least 5 years since turning 50. Important Update: From July 2024, the residency requirement will gradually increase to 20 years by July 2042. This means that if you turn 65 after July 2042, you’ll need to have lived in New Zealand (or the qualifying Pacific nations) for 20 years since age 20, with at least 5 years since age 50. Special Cases: Different rules may apply if you’re a refugee or protected person, or if you’ve lived in a country with a social security agreement with New Zealand (such as Australia or the UK). Read more: Retirement Age in New Zealand: What You Need to Know Can You Work and Receive NZ Super? Yes. You can continue to work while receiving NZ Superannuation. Your payments are taxed as income, and your tax code may change based on your total income. However, NZ Super is not reduced if you keep working, though other benefits (like Accommodation Supplement) may be affected. How to Apply for NZ Superannuation and What to Expect Applying for NZ Super is a straightforward process, but timing and preparation matter. When to Apply You can apply up to 12 weeks before your 65th birthday or at any time after turning 65. If you apply before or on your 65th birthday, payments start from your birthday. If you apply after turning 65, payments start from the date you apply (they are not backdated). The Application Process Get a Client Number: If you don’t already have one, you’ll need to register with Work and Income to receive a client number. Apply Online or In Person: Most people apply online via MyMSD, but you can also apply in person at a Work and Income office. Complete the Application Form: Fill out the required details, including your residency history and personal information. Provide Documentation: You’ll need to supply original government-issued identity documents such as a passport or birth certificate (not copies), proof of your bank account, and, if applicable, evidence of residency or citizenship. Attend an Appointment (if required): You may be asked to attend a meeting to verify your documents and answer any questions. Processing Time: Once submitted, your application is processed, and you’ll be notified of the outcome. Payments are made fortnightly. Tip: Delays in providing documents can result in payment delays or a cancelled application. Make sure everything’s ready to go. Special Circumstances Living Overseas: If you’re living in the Cook Islands, Niue, or Tokelau, the process is slightly different. If you’re in another country, contact Work and Income’s International Services for guidance. Overseas Pensions: If you or your partner qualify for an overseas pension from another country, you are legally required to apply for it. This can affect your NZ Super payments. For more information, visit the Work and Income NZ Superannuation page or the New Zealand Government guide. At The Botanic, there are no hidden costs, so you can enjoy being part of the community The Botanic's fees include access to shared amenities Supplementing NZ Super with Village Living: Cost Considerations While NZ Superannuation provides a reliable base income, many retirees choose to supplement it through savings, KiwiSaver, or the sale of their family home. This is where retirement village living at villages like The Botanic can offer both value and lifestyle. Understanding the Costs Weekly Fees: Retirement villages typically charge a regular weekly fee covering the upkeep of facilities, maintenance, staff, insurance, and communal amenities. At The Botanic, this fee is fixed for life, for predictable budgeting. Occupational Right Agreement (ORA): When moving into a village, residents usually purchase an ORA, which gives them the right to occupy their chosen apartment or villa. The cost reflects the home and the amenities provided. Equity Release: Many residents fund their entry into a retirement village by selling their home, and freeing up capital to enhance their retirement lifestyle. The Botanic Advantage At The Botanic, we’re upfront about costs and committed to providing exceptional value and support. Our model is designed to give residents the freedom to enjoy life – with fewer financial surprises. Maximising Your NZ Super at The Botanic Predictable Costs: Fixed weekly fees help you plan your finances with confidence. No Hidden Costs: The maintenance and repairs are taken care of. Shared Amenities: Access to premium facilities like the café, wellness centre, gardens, and events. A Vibrant, Supportive Community: Enjoy a vibrant, social lifestyle with opportunities to connect, participate, and thrive. Peace of Mind: Onsite support and security allow you to focus on what matters most. Frequently Asked Questions What is the residency requirement for NZ Super eligibility? Currently, you must have lived in New Zealand for at least 10 years since age 20, including 5 years since age 50. This will gradually increase to 20 years by July 2042. Can I receive NZ Super if I’m still working? Yes, you can. NZ Super is not means-tested, so you can work and receive your Super, although your tax rate may change. What documents do I need to apply for NZ Super? You’ll need original identity documents (passport, birth certificate), proof of residency or citizenship, proof of bank account, and your tax number. Additional documents may be required if you have a partner or are applying for extra help. Is NZ Super enough to cover retirement village living costs? NZ Super provides a base income, but many residents supplement it with savings, KiwiSaver, or proceeds from selling their home. The predictable costs and shared amenities at The Botanic help residents to budget, and make the most of their income during their retirement. Conclusion NZ Superannuation offers certainty in retirement, but planning how to make the most of it is key. With transparent costs, supportive community living, and easy access to everything you need, The Botanic is a place where your Super supports the lifestyle you’ve earned, and life feels richer. Ready to learn more? Contact The Botanic today and discover how we can support your next chapter and help you retire with confidence, comfort, and care.

Retirement is a personal milestone, shaped by your lifestyle, individual goals, and circumstances. If you’re planning your next chapter, it’s important to understand the retirement landscape in New Zealand, including when people typically retire, what the law says, and how New Zealand Superannuation fits in. At The Botanic Silverdale, the Hibiscus Coast’s premier luxury retirement village, we’re committed to helping you navigate this transition with confidence and clarity. In this article, we explore the current retirement age trends in New Zealand and the key factors influencing when and how people choose to retire. Want a broader overview? Check out our recent post “Understanding Retirement in New Zealand” for more on planning, lifestyle, and what to expect in this exciting stage of life. Luxury retirement living at The Botanic Silverdale Current Retirement Age in New Zealand and Trends No Legal Retirement Age Many people assume retirement is mandatory at 65, but in New Zealand, there’s no legal retirement age. While 65 is often seen as the ‘retirement age’ because it marks eligibility for New Zealand Superannuation (NZ Super), there’s no requirement to stop working. In fact, unless a role has specific age-related requirements, employers generally can’t force retirement. Retirement Patterns and Workforce Participation Traditionally, many New Zealanders have chosen to retire around 65, aligning with NZ Super eligibility, but that pattern is shifting. According to the Retirement Commission, around 27% of people aged 65 and over now continue to work for pay – and the number is growing. Workforce participation among older adults has nearly doubled in recent decades. As of 2013, a third of people aged 65 to 74 were still employed, and this trend is expected to continue as more Kiwis enjoy longer, healthier lives, and choose to remain active – socially, mentally, and financially. Demographic Shifts New Zealand’s population is ageing rapidly. In 2006, 12.3% of the population was aged 65 or older. By 2018, that number had increased to 15.2% and it’s projected to rise up to 26% by 2048. These demographic changes are reshaping how – and when – people choose to retire, prompting more thoughtful planning around how retirement is lived, not just when it begins. Stay well and active at The Botanic Resident-led wellness in our 20m lap pool Factors Influencing Retirement Age Retirement decisions are rarely based on age alone. Several key factors play a role: Health: Good health enables many to work beyond 65, while some people experience health challenges that may prompt earlier retirement. Studies consistently show that both physical and mental health are major determinants of when people exit the workforce. For example, men in good health at 65 have a 70% probability of remaining in the labour force. Finances: Financial security is a significant factor. Some continue working to boost their retirement savings, while others retire as soon as they feel their finances are sufficient. Access to NZ Super at 65 provides a safety net, but many supplement this with KiwiSaver, investments, or part-time work. Lifestyle Goals: Many retire to pursue travel, hobbies, volunteering, or family commitments. Others transition gradually, reducing work hours or shifting to less demanding roles. Family Responsibilities: Caring for a partner, grandchildren, or other relatives can also influence the timing of retirement. Workplace Factors: Job satisfaction, workplace culture, and opportunities for flexible or part-time work may encourage people to stay at work or in employment for longer. Eligibility for NZ Superannuation NZ Superannuation is the government’s pension scheme, providing a regular income to eligible New Zealanders from the age of 65. Here’s what you need to know: Eligibility Age: 65 years (as of May 2025). Residency Requirements: You must be a New Zealand citizen or permanent resident, ordinarily resident in New Zealand, and have lived in the country for at least 10 years since age 20 (including five years since age 50). No Means Test: NZ Super is not means-tested, so you can receive it regardless of your other income, though your tax code may change if you keep working. Payment Frequency: NZSuper is paid fortnightly, with the amount depending on your living situation and tax code. Read more: NZ Superannuation and Eligibility: What it Means for Residents at The Botanic For the most up-to-date details, visit the Work and Income NZ Superannuation page or the Employment New Zealand retirement guide. Kathryn, our Sales Consultant, discussing our new Rimu apartments Michelle is The Botanic’s highly experienced Sales Manager How The Botanic Supports a Smooth Transition into Retirement Living Moving into retirement is about more than just stopping work - it’s about embracing a new lifestyle and an exciting new chapter in life. At The Botanic, we understand that this transition may feel daunting, which is why we offer comprehensive support every step of the way. Personalised Relocation Support: Our experienced team works closely with each new resident to create a tailored relocation plan, offering advice on downsizing, moving logistics, and home setup. Partnered Moving Services: We collaborate with moving professionals who specialise in senior relocations, ensuring your belongings are handled and relocated with care. Home Personalisation: From furniture placement to accessibility features, we help make your new villa or apartment truly feel like home. Emotional and Social Integration: Resident mentors, welcome events, and a vibrant community spirit help you settle in and build connections from day one. Ongoing Support: Our team and resident community are always available to answer questions and offer help, ensuring you feel safe, supported, and at home. Residents often tell us that the care and support they receive at The Botanic make their move not only seamless but truly uplifting – a fresh chapter, surrounded by good company, peace of mind, and a renewed sense of purpose. Frequently Asked Questions Is there a legal retirement age in New Zealand? No, there is no legal retirement age in NZ. Most people retire around 65, but you can choose to retire earlier or later depending on your circumstances. When can I start receiving NZ Superannuation? You become eligible for NZ Super at age 65, provided you meet the residency requirements. You can apply up to 12 weeks before your 65th birthday. Can I keep working and still receive NZ Super? Yes, you can continue to work and receive NZ Super. Your payments are not reduced by your earnings, but your tax code may change depending on your total income. What support does The Botanic offer for new residents? The Botanic provides personalised relocation consultations, moving services, home personalisation, and ongoing social and emotional support to ensure a seamless transition into retirement living. Conclusion Retirement in New Zealand offers flexibility, security, and choice. Whether you retire at 65 or continue working, understanding the NZ retirement age, legal requirements, and eligibility for NZ Super is vital for planning your next steps. At The Botanic, we’re here to support you - every step of the way. Ready to explore your options? Contact The Botanic and discover how luxury retirement living in Silverdale can help you embrace a life less ordinary.

Retirement marks a fresh chapter - a time to pursue passions, spend more time with loved ones, and enjoy the rewards of a life well lived. At The Botanic Silverdale, the Hibiscus Coast’s premier luxury retirement village, we understand that planning for retirement is about more than just numbers; it’s about creating the lifestyle you’ve always dreamed of. Whether you’re approaching retirement age, supporting a family member, or simply planning ahead, understanding the landscape of retirement in New Zealand is essential. In this guide, we explore financial considerations, lifestyle choices, and the evolving role of retirement villages – including how The Botanic can help you to live a life less ordinary. Retirement in New Zealand: An Overview Retirement in New Zealand is unique in its flexibility and the opportunities it offers. Unlike many countries, New Zealand does not have an official retirement age. Instead, most people choose to retire around 65, coinciding with eligibility for NZ Superannuation (NZ Super). However, the decision of when and how to retire is deeply personal, influenced by health, financial readiness, and lifestyle aspirations. The Importance of Planning Despite this flexibility, retirement is a major life shift that requires forward planning. A 2022 study by Te Ara Ahunga Ora, the Retirement Commission, found that 65% of New Zealanders over 55 had no clear plan for funding their retirement. Having a plan helps ensure you can maintain your lifestyle, navigate unexpected challenges, and feel confident about the future. Retirement Age in New Zealand No Official Retirement Age There is no legal or mandatory retirement age in New Zealand. While 65 is commonly regarded as the “retirement age” due to NZ Super eligibility, many continue to work beyond this milestone, either out of passion, necessity, or a desire to stay active and engaged. Flexibility and Trends The flexibility in retirement age reflects changing attitudes and longer life expectancies. Increasingly, New Zealanders are choosing to remain in the workforce past 65, whether full-time, part-time, or in volunteer roles. This trend supports not only financial security but also social connection and a sense of purpose. Read more: Retirement Age in New Zealand: What You Need to Know Residents at The Botanic Enjoy Working in the Community Gardens Flexible retirement is about doing the things that you enjoy NZ Superannuation: The Basics What is NZ Super? NZ Superannuation is the government’s primary pension scheme, providing a regular income to eligible residents aged 65 and over. Its purpose is to ensure that older New Zealanders can live with dignity, participate in society, and enjoy a high level of belonging and connection. Eligibility Criteria To qualify for NZ Super, you must: Be 65 years or older Be a New Zealand citizen, permanent resident, or hold a residence class visa Be ordinarily resident in New Zealand, the Cook Islands, Niue, or Tokelau when you apply Have lived in New Zealand for at least 10 years since age 20, including five years since age 50 Payment Rates and Frequency As of early 1 April 2025, NZ Super pays $1,254.28 per fortnight (before tax) for a single person living alone, and $1,905.88 per fortnight for a couple (before tax). Payments are made fortnightly and are not means-tested, meaning you can continue to work and receive NZ Super, though your tax rate may change. Learn more: NZ Superannuation and Eligibility: What it Means for Residents at The Botanic Financial Considerations for Retirement The Importance of Early Planning One of the most common questions is, “How much do I need to retire?” The answer depends on your desired lifestyle and where you choose to live. While NZ Super provides a foundation, it is rarely enough to fund a comfortable retirement on its own. Potential Sources of Retirement Income NZ Superannuation: The base government pension. KiwiSaver: New Zealand’s voluntary, work-based savings initiative. Personal Savings and Investments: Including shares, term deposits, and property. Other Pensions: Such as overseas pensions or private superannuation schemes. Budgeting for Your Lifestyle According to the latest Massey University Retirement Expenditure Guidelines, a modest retirement in a metropolitan area requires about $42,966 per year for an individual, leaving a significant gap after NZ Super. A “comfortable” lifestyle - allowing for more discretionary spending and occasional travel - requires around $60,480 per year, meaning many retirees need to supplement NZ Super with personal savings or investments. Investment Options Early and consistent contributions to KiwiSaver, diversified investments, and professional financial advice are key strategies for building a robust retirement fund. It’s also wise to review your investment risk as you approach retirement, balancing growth with security. Planning for your retirement is all about budgeting for your lifestyle The Role of Retirement Villages in New Zealand What is a Retirement Village? Retirement villages are purpose-built communities offering a range of accommodation, amenities, and support services for older adults. With over 480 villages nationwide in New Zealand, they cater to a variety of lifestyles, preferences, and care needs. Benefits of Retirement Village Living Low Maintenance Living: Say goodbye to home maintenance and enjoy more leisure time. Onsite Facilities: Access to gyms, pools, gardens, cafes, and communal lounges. Services: Optional housekeeping, meals, and health services. Community Spirit: Vibrant social calendars, hobby groups, and a supportive environment. Security and Peace of Mind: Safe, secure environments with staff on hand. The Botanic: Luxury Retirement Living in Silverdale The Botanic Silverdale is redefining retirement living on Auckland’s Hibiscus Coast. Our resort-style village offers modern, spacious villas and apartments nestled within beautifully landscaped gardens. Residents enjoy world-class amenities, including a wellness centre, Clubhouse Café, community gardens, and a future aged care home and memory suite. Our philosophy is simple: support residents to live the lives they choose, surrounded by nature, purpose, wellness, connection, and joy. With easy access to Silverdale’s shops, cafes, and transport, The Botanic is perfectly positioned for a vibrant, independent retirement. The Botanic in Silverdale has a range of world-class amenities, including a swimming pool The sauna at The Botanic is popular with residents Transitioning to Retirement Gradual Retirement Options Retirement doesn’t have to be an abrupt change. Many choose to transition gradually, reducing work hours, exploring new interests, or volunteering. This approach can ease the emotional and financial adjustment. Emotional and Social Wellbeing Retirement brings opportunities, but also challenges. Maintaining social connections, pursuing hobbies, and staying active are vital for emotional wellbeing. Retirement villages like The Botanic foster a strong sense of community, helping residents thrive. Maintaining an Active Lifestyle From fitness centres and swimming pools to arts and crafts and gardening, The Botanic offers activities to keep mind and body engaged. Our proximity to parks, golf courses, and the coast encourages outdoor living and exploration. The Future of Retirement in New Zealand Potential Changes to NZ Super With an aging population and increasing life expectancy, discussions continue around the sustainability of NZ Super. The government has signalled a possible gradual increase in the eligibility age to 67 by 2040, making personal savings and planning even more important. Demographic Shifts and Emerging Trends Longer life spans mean retirees need to plan for potentially 25–30 years of retirement. This shift is driving demand for flexible retirement living, greater healthcare support, and technology-enabled services. The Rise of Luxury Retirement Living Today’s retirees seek more than just comfort - they want lifestyle, independence, and choice. Luxury retirement villages like The Botanic are meeting this demand with high-spec homes, exceptional amenities, and tailored support. MyLumin screens are fitted in every home and ensure residents remain connected at any time of the day and night. Additional Considerations The SuperGold Card All NZ Super recipients receive the SuperGold Card, offering discounts on public transport, retail, and health services - a valuable benefit for retirees. Health and Wellness Good health is the foundation of a fulfilling retirement. Regular health checks, active living, and access to wellness facilities are essential. The Botanic’s state-of-the-art wellness centre and community gardens support residents’ physical and mental wellbeing. Legal Planning Wills, enduring powers of attorney, and advance care plans are vital elements of retirement planning, ensuring your wishes are respected and your loved ones are protected. The Role of Technology Modern retirement living leverages technology for security, communication, and convenience. From smart home features to telehealth and online community events, technology enhances independence and connection. Community Support and Resilience The COVID-19 pandemic highlighted the importance of community support and adaptability. Retirement villages, like many places in New Zealand, responded with robust health protocols, virtual events, and enhanced resident care, ensuring safety and connection during challenging times. Conclusion Retirement in New Zealand is full of possibilities, but achieving your ideal lifestyle requires informed planning and the right support. From understanding NZ Superannuation to choosing the perfect retirement village, every decision shapes your future. At The Botanic, we believe retirement should be a time of joy, connection, and purpose. Our luxury village in Silverdale offers the very best in independent living, community, and care - empowering you to live a life less ordinary. Start planning your future today. Discover the difference at The Botanic Silverdale - where luxury retirement living meets community, nature, and wellbeing. For more information or to arrange a visit, contact our team or explore our website.