The Budget for 2025 came out last week on Thursday, with news for the nation on how funds will be allocated over the coming year. While some of the budget announcements were new news, the government had staggered others over the previous few weeks. In the new announcements were changes to Kiwisaver and the Jobseeker benefit.
The Kiwisaver changes involved a 50% reduction in the government’s Kiwisaver contribution, from around $500 a year to around $250. To compensate, the government increased the minimum employer and employee contributions from 3% to 4%. While this means people will end up with similar or greater amounts of money in Kiwisaver, it also means people will have access to less money right now.
The Jobseeker changes were also announced in the budget, with further restrictions added for 18-19-year-olds applying for the benefit. 18-19-year-olds applications will now be tested against their parents’ incomes, restricting large groups from accessing the support.
These changes both appear to primarily affect young people. While the government claims to care so much about education and schools, they seem comfortable with taking support away from Aotearoa’s young adults as soon as they finish high school. In our weekly catchup with National’s Tom Rutherford, Wire host Castor asked about the Kiwisaver and Jobseeker changes in this year’s budget.