International Women’s Day, celebrated each year on 8 March, is a time to recognise progress, celebrate achievements, and reflect on the opportunities still ahead.
It’s also a useful moment to reflect on financial wellbeing — particularly when it comes to long-term savings.
In New Zealand, KiwiSaver has helped millions of people build retirement savings in a simple and structured way. Yet research shows there is still a gap between the average balances of men and women.
Studies from the Retirement Commission indicate that women’s KiwiSaver balances are around 25% lower than men’s on average, with the gap widening in mid-career and the years leading up to retirement.
While there’s no single reason for this difference, it often reflects how careers, income patterns, and time out of the workforce can affect contributions over time. Understanding these factors can help people take practical steps to support their long-term financial future.
For many people, the difference isn’t the result of one major decision — it’s the cumulative effect of several life stages.
Career breaks to raise children, periods of part-time work, and differences in average earnings can all affect how much is contributed over time. Because KiwiSaver contributions are typically based on income, these differences can compound throughout a career and gradually widen the gap in retirement savings.
Closing this gap will require broader, systemic changes — including progress in areas such as pay equity, workplace policies, parental leave, and how unpaid caregiving is supported and shared across households. These factors play a significant role in shaping long-term savings outcomes.
At the same time, understanding how KiwiSaver works can help individuals and families take practical steps to strengthen their own long-term savings.
The encouraging news is that small adjustments over time can still make a meaningful difference.
Here are a few practical steps that can help strengthen long-term KiwiSaver savings.
Review your contribution rate
As careers progress and income grows, it can be worth reviewing whether your current contribution rate still aligns with your goals. Even a small increase can have a meaningful impact over the long term.
Consider voluntary contributions
Occasional top-ups — for example after receiving a bonus or when finances allow — can help boost retirement savings without affecting regular cash flow.
Maintain contributions during career breaks
Periods away from the workforce, such as parental leave, can interrupt regular KiwiSaver contributions. For some couples, this can be an opportunity to plan together and consider whether voluntary contributions could continue during that time.
In some cases, partners choose to contribute on behalf of the person taking leave to help maintain momentum in their long-term savings.
Take advantage of government contributions
If you’re eligible, making sure you contribute enough each year to receive the full government contribution can provide an additional boost to your savings.
Check that your investment settings still suit your goals
Your investment approach should reflect your timeframe, comfort with risk, and long-term objectives. Reviewing this periodically can help ensure your KiwiSaver continues to support the future you’re working toward.
Financial decisions don’t happen in isolation. They’re shaped by careers, families, goals, and life stages.
That’s why professional guidance can be so valuable. Advice helps ensure your KiwiSaver strategy reflects your personal circumstances and long-term aspirations.
Research from the Financial Services Council has found that New Zealanders who receive professional financial advice often achieve stronger investment outcomes over time.
Having the right support can make it easier to stay confident in your plan and make informed decisions along the way.
KiwiSaver plays an important role in helping New Zealanders build long-term savings.
By taking a moment to review contributions, investment settings, and long-term goals, individuals can help ensure their savings strategy continues to support them through different stages of life.
International Women’s Day may be just one moment in the calendar, but the conversations it encourages about opportunity, progress, and long-term wellbeing are important all year round.
At Aurora, we’re committed to supporting members with trusted guidance, diversified investment strategies, and expert KiwiSaver advice to help them make confident decisions about their financial future.
Talk to your Adviser today or get in touch with the Aurora Client Care Team
0800 242 023
hello@aurora.co.nz