Modernising and simplifying New Zealand Superannuation and Veteran’s Pension policy
Throughout 2018 we worked with a range of agency partners to develop advice for the Government on modernising New Zealand Superannuation and Veteran’s Pension, with the starting point that they would remain universal entitlements from age 65, not subject to income or asset testing.
In May 2019 Cabinet agreed to a package of changes that modernise and simplify New Zealand Superannuation and Veteran’s Pension [38]. The core of the changes is a shift toward assessing entitlements to these payments on an individual basis, while still paying higher rates to single superannuitants and pensioners to reflect their higher costs and more limited resources. These changes are expected to come into effect from 1 July 2020, subject to the passage of legislation.
Footnotes
[38] Currently it is possible for people who are aged under 65 or who do not meet the residence requirements to be included in their partner’s superannuation or pension, subject to an income test. This option will no longer be available – though people already included can continue. A second change is to ensure that people do not have their standard New Zealand Superannuation or Veteran’s Pension reduced because their partner has an overseas pension.
