Why save for retirement now?
If you're wondering why you should start saving for retirement when it's so far off, the answer is something called ‘compound returns’. Compound returns, which are basically the money earned by your KiwiSaver account, are added back into your account to earn more returns in the future.
To make it a little simpler, imagine a snowball rolling down a snow-covered hill. If it rolls down a big hill, it will collect more snow and grow bigger than if it rolled down a smaller hill. This is the same with your KiwiSaver. The earlier you start saving, the more you’ll have to live on later.