That number is only going to get bigger too, as was reported on Saturday, largely due to there being more people receiving NZ Super.
Stats NZ data showed the 65+ dependency ratio (the number of people aged 65+ per 100 people aged 15-64 years) increased from 14 per cent per 100 in the mid-1960s to 24 per 100 in 2020. That number is expected to skyrocket to 31-41 per 100 in 2040 and 38-52 per 100 in 2060.
In contrast, the 0-14 dependency ratio (the number of people aged 0-14 years per 100 people aged 15-64 years) decreased from a peak in 1961 of 57 per 100 people to 29 per 100 in 2020. The downward trend is likely to continue and is expected to be in the 21-29 per 100 range in 2040 and 18-31 per 100 in 2060.
Simply put, there will be more people aged 65+ than those between 15-64 in a few years.
It would appear younger generations of New Zealanders, like myself, are in the firing line of a shotgun loaded with crippling tax.
NZ Super is not funded directly through tax. It is managed by an Auckland-based Crown entity, the Guardians of New Zealand Superannuation. The Guardians invest money the New Zealand Government contributes to the fund.
Anyone who has worked full-time for many years - it's only been a mere six for me - might think I'm being naive by suggesting NZ Super's rules should be reworked.
It'd be a fair point, with an employment finishing line of 65 years clearly set for the past 20-odd years; however, the evidence can't be ignored.
The age of NZ Super must be increased - or it needs to be means-tested.
Everything starts with a discussion rather than avoiding the subject. The sooner we start seriously thinking about changes, the better.