KEY POINTS:
Despite a surge in KiwiSaver enrolments, a large number of people are still sceptical of the scheme.
The latest Mercer KiwiSaver Index, which monitors current attitudes and behaviours towards the scheme among working New Zealanders aged 18 to 64, found only 13 per cent of respondents to be "embracing" of KiwiSaver, regarding it as a beneficial way to help fund retirement. Most were aged over 55.
The quarterly survey of 300 people on their level of affinity to the scheme found 34 per cent to be "ambiguous" in their support. People in this group, mainly aged 45 to 54, see its value in saving for retirement, but were reluctant to join as they were concerned it may be too late to benefit and have seen similar schemes fail in the past.
Another 33 per cent, typically young families, feel the day-to-day cost of living prevents them from participating. A fifth, mainly those aged 25 to 44, regarded the scheme as not beneficial at all.
The results were largely unchanged from the first survey.
"While there is evidence of some attitudinal change regarding retirement planning, when combined the index results did not reveal any major movements in overall behaviour and intent towards KiwiSaver," said Mercer New Zealand head, Bernie O'Brien.
Latest figures show nearly 470,000 people have signed up to the scheme ahead of next month's introduction of employer contributions.
The Mercer survey echoed that growth, with the proportion of Kiwis joining the scheme growing from 14 per cent in October to 25 per cent.
It also found increased consideration being given to retirement, with two in five respondents giving at least some thought to retirement.
But despite the publicity, only one in three claim to have at least a reasonable level of knowledge.
Participation rates in retirement schemes were highest among those aged over 50, at 42 per cent. Only one in four of those aged 18 to 39 were involved in some kind of workplace saving scheme.
"The results indicate that younger people are less likely to value participation in retirement schemes," said O'Brien.
