Acting Retirement Commissioner Peter Cordtz this week released the latest three-yearly review of Retirement Income Policies by the Commission for Financial Capability.

Financial Advice New Zealand chief executive Katrina Shanks welcomed many of the recommendations made, particularly introducing a “small steps” contribution option to increase contributions over time, excluding fixed fees for low-balance accounts, making prescribed investor rates tax refundable, employer contributions for members over 65 and targeting the government contribution to incentivise voluntary contributions by non-employees.

But she said more should be done to encourage financial advice.

Shanks said the review had recognised there were many “levers to pull” for success – such as housing and employment. “You can’t just look at super in isolation.”

But she said financial advice was another lever that had so far not been identified.

Financial advisers would come into their own helping people pull together the various aspects of their lives, she said, understanding what risk cover or mortgage structure they needed as well as investment planning.

If people were exposed to financial advice in their first jobs, or when they first signed up to KiwiSaver, that would help them to understand the difference that advice could make through their lives, she said. Then when they went through a life change, they would think to check in with a financial adviser – in the same way that people were in the habit of seeking advice from a healthcare professional when their health changed.

“I would like to see the Government subsidising financial advice in the workplace by financial advisers.”

She said it could be that it was linked to KiwiSaver, or available via a tax credit or subsidy for a set number of visits.

“It’s easiest through the workplace.”

She said there was clear appetite for it and many employers were already engaging financial advisers to help their staff with KiwiSaver. “There are already good employers doing it. How do we extend that further?”