KEY POINTS:
The number of people signing up to the KiwiSaver appears to be exceeding the Government's expectations.
Finance Minister Michael Cullen said early indicative figures for the first five weeks of the workplace saving scheme showed 92,000 enrolments and just 3000 electing to opt out when they begun a new job.
"Treasury forecasts that 345,000 people would have enrolled in KiwiSaver by the end of the first year, that's just under 30,000 a month," Dr Cullen said.
"This data suggests that take-up to date is well ahead of that number."
Figures provided said:
*33,000 people had actively chosen a provider and gone directly to a scheme to enrol;
*47,000 people had actively chosen a provider and enrolled via their employer; and
*12,000 people who had not made a decision and been automatically enrolled.
The figures could still change because some employers were still yet to notify enrolments and some of the 12,000 who had been automatically signed up could yet elect to opt out within the eight week start up period.
Officials told NZPA they could not tell from the figures how many of those who signed up were in existing jobs and actively tried to join, and how many who did sign up had been asked as they began a new job.
Dr Cullen had always believed that most people would sign up when they changed jobs or entered the workforce, though the figures indicate a number of people in jobs have been enthusiastic about KiwiSaver.
Dr Cullen was still cautious despite the positive news.
"This level of activity may not be sustained in the coming months, though we could expect another surge of activity next April when compulsory employer contributions come into force."
Dr Cullen said he had yet to adjust his estimates of the cost of the scheme as it was too early to make assumptions, but it would be higher.
"That's good news in the sense we are getting more people into regular savings."
The figures also give no indication of another crucial fact -- whether there has been any increase in the overall savings rate.
Some have argued the scheme would fail because savers would just change who they saved with and there would be little increase in the overall level of savings.
- NZPA