If you’re invested in a Fisher Funds KiwiSaver scheme, you’ll be receiving your annual statement in May. These documents are important for checking the general health of your KiwiSaver account, but it's not always straightforward to figure out what all the numbers mean.
We're here to help you easily scan your KiwiSaver Annual Statement and fully understand what's going on with your account.
Frequently Asked Questions
Below you'll find answers to some of the most asked questions about KiwiSaver Annual Statements.
Your Balance
Your KiwiSaver Annual Statement contains your balance for the year ending 31 March 2024. For an up-to-date balance, log in to your online account.
Retirement Projections
If you have held your Fisher Funds KiwiSaver account for more than one year and are between the ages of 18 and 64 years, you will receive a retirement projection. The Financial Markets Authority (FMA) have set the criteria for how these are calculated. For more information on the assumptions used to calculate your retirement protection please visit the FMA website.
Q. My retirement projection is too low – what should I do?
A. If you’re a member of the Fisher Funds KiwiSaver Scheme or Fisher Funds TWO KiwiSaver scheme, you can use this retirement projector. Just enter your details and see the difference that changing your contribution rate or your investment strategy could make to your balance at retirement.
If you’re a member of the Fisher Fund KiwiSaver Plan, log in to MyFisherFunds and use the retirement projector.
Fees
Q. Why have I paid Management fees?
A. Management fees are calculated as a percentage of your balance and provide you with:
One of the largest teams of investment experts in New Zealand, who are constantly seeking to beat the market through our Smart Active Investment Management approach
Access to our New Zealand based team of expert advisers
Support from our award-winning client services team
Industry leading communications and tools
The Fisher Funds KiwiSaver Scheme and Fisher Funds TWO KiwiSaver Scheme have been awarded the Canstar Outstanding Value KiwiSaver award.
PIE Tax
KiwiSaver is classified as a Portfolio Investment Entity (PIE). This means that we calculate and pay the tax on your investment for you.
Q. Why have I paid PIE tax on my KiwiSaver account when my investment earnings were low or negative.
A. PIE investments can generate taxable income regardless of whether the overall fund performance is positive or negative. This is because different types of assets are subject to different tax rules under the PIE regime.
Local and Australian Shares
The NZ and Australian listed shares your KiwiSaver account is invested in may have earned dividends throughout the year and those dividends are treated as taxable income. Capital gains on NZ and Australian listed shares are not taxed, therefore any capital losses cannot offset any tax to pay on the dividend income. So even if the value of your fund has dropped due to the value of the shares falling, you may still have tax to pay on the dividends earned.
International Shares
International shares are taxed on the Fair Dividend methodology. Regardless of the actual dividends paid or the capital gain or loss on the shares during the year, your taxable income is assumed to be 5% of the opening market value of the international shares in your account every year, so there is always tax to pay. This is not such good news when the shares have returned less than 5% or lost value, however it is good news if the shares have made more than 5% in the year, which is usually the case over the long term.
Cash and fixed interest, direct property
Cash and fixed interest, and the direct property the fund holds is taxed more like a bank deposit. Your taxable income on these assets is based on the change in value of the investments over the year.
Therefore, in a diversified fund like the Growth Fund, as a very simplified example, the value of the NZ, Australian and International shares that the fund holds could have dropped by 5%, however, the dividends paid on the NZ and Australian shares and the return on the other assets of the fund may have only increased your account by 4%. Therefore, your account overall has made a loss of 1%, however there is still tax to pay on the 4% gain from the dividends and other assets, and on 5% of the opening value of the international shares you hold. It is worth noting that when there is a capital gain on the shares in your fund there is no tax to pay on that gain, so the PIE regime can work in your favour.
We like to use the analogy of a rental property to help explain this. While the value of the property may have gone down over the year, you still have to pay tax on the rental income it has generated.
If you've got any questions about your statement or your KiwiSaver account, please get in touch – you can drop us an email, call us on 0508 347 437 (Mon-Fri 8:30am-5:00pm), or chat with us online.
