A longer waiting period for super for migrants

The Herald reports:

Stricter residency rules for entitlement to New Zealand Superannuation will be a step closer when Parliament votes to change a member’s bill on Wednesday.

The bill will require people to have been in New Zealand for a minimum of 20 years since the age of 20, instead of the current 10-year minimum (including five years since the age of 50).

This is a good change. People should have paid tax for an lengthy period before they are eligible for NZ Super.

The bill, the New Zealand Superannuation and Retirement Income (Fair Residency) Amendment Bill, has the support of all parliamentary parties, except for the Greens.

It is in the name of National MP Andrew Bayly. It was New Zealand First policy originally announced by leader Winston Peters and then promoted in a bill by former New Zealand First MP Mark Patterson. With New Zealand First out of Parliament, it was picked up by National.

The phased-in proposals set to be passed are as follows:

Age as at June 30, 2021, and Residence requirement (after age 20)

64 and over … 10 years
62–63 … 11 years
60–61 … 12 years
58–59 … 13 years
56–57 … 14 years
54–55 … 15 years
52–53 … 16 years
50–51 … 17 years
48–49 … 18 years
46–47 … 19 years
45 and under … 20 years

The phase in periods look sensible. We should of course also phase in an increase in the age from 65 to 70.

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