Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
Simplicity KiwiSaver review: A nonprofit fund manager
With 100% transparency, conscious investments and low fees, find out what makes the Simplicity difference.
Boasting to have the fastest growing KiwiSaver scheme in New Zealand, Simplicity is a not-for-profit company that operates 100% online, so you don’t need to worry about unnecessary costs and commissions. With over 3,000 investments in 23 countries, Simplicity funds are fully diversified and 15% of fees go toward supporting New Zealand charities through the Simplicity Charitable Trust.
Investments are consciously made, so your funds will not be going into businesses that operate in the tobacco, alcohol, adult entertainment, weapons, gambling or nuclear energy industries.
Many well-known New Zealand businesses have chosen Simplicity as their company KiwiSaver provider, including The Warehouse, Spark, Meridian, Z, Foodstuffs and Contact.
If you’re looking to join KiwiSaver for the first time or are wanting to switch from your current provider, read on to find out if Simplicity is right for you.
Fund types and performance
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
- Fossil fuel extraction
- Gambling and casinos
- Military weapons
- Civilian firearms
- Nuclear power
- Adult entertainment
- Growth – The Growth fund comprises investments in growth assets (such as shares), with limited exposure to income assets. The value can fluctuate more than other fund types, but higher returns are possible over longer investment periods.
- Balanced – Although it will fluctuate more than the Conservative fund, the Balanced fund will likely provide better returns over a period of 10 years or more. It has a mix of income-earning investments and growth investments.
- Conservative – The Conservative fund keeps most investments in fixed-income investments like fixed interest, with only little exposure to growth assets. The investment value is more stable over the long term but gives a lower return than the Growth or Balanced funds during that period.
Note that Simplicity no longer offers the Guaranteed Income KiwiSaver fund.
What are the fees?
As Simplicity is a not-for-profit KiwiSaver plan, you’ll only be charged what it costs to manage your account with no hidden commissions or fees. This means a membership fee and a 0.31% investment fee. Your yearly membership fee is $20, and then $3.10 for every $1,000 you have saved.
There is no membership fee for children under 18.
You can find out how much extra you can get by using the simple calculator on the Simplicity website. Just enter your age, salary and current KiwiSaver balance if applicable.
What other products does Simplicity offer?
As well as KiwiSaver funds, Simplicity has the following products:
Simplicity’s investment funds have the same fees as KiwiSaver funds and the same diversified investments. If you’re looking for a lower management fee, you can invest in NZ Share and Bond funds.
With a floating interest rate of 1.90% (as of 25 August 2021), Simplicity currently offers NZ’s lowest cost first home loan.
If you’re buying your first home, have been with Simplicity for at least one year and in KiwiSaver for at least three, you will be eligible to enter the monthly ballot.
If you are chosen and your loan application is successful, you’ll have six months to find your first home. Simplicity home loans have no early repayment fees, so you won’t be penalised if you are able to pay your loan off sooner than your loan term.
How do I join Simplicity?
Joining Simplicity takes just two minutes.
Just click on the ‘Join’ button on the top right corner of the website and fill in your personal details and IRD number. You can then choose a fund type out of Conservative, Balanced or Growth.
Next, enter your PIR Rate of either 10.5%, 17.5% or 28%. Lastly, upload a copy of your driver’s license or passport. If you’re signing up for children under 18, a copy of their birth certificate is required as well as your identification.
- Be a NZ citizen or entitled to live in NZ indefinitely
- Living in New Zealand
You’ll only need your IRD number and a passport or driver’s license to sign up. Simplicity will take care of the rest.
If you’re looking for a KiwiSaver provider that makes conscious investments and has 100% transparency, Simplicity is worth considering.
Operating completely online and being not-for-profit means that you won’t be paying more than you should for your KiwiSaver plan. Sign up is easy, and you have your choice of three different fund types. And when it comes time to buy your first home, you may be selected to apply for low-cost first home loan.
More guides on Finder
A beginner’s guide to cryptocurrency ETFs
If you’re looking for ways to gain exposure to bitcoin and other digital currencies, cryptocurrency ETFs could be worth exploring. Find out what crypto ETFs are and how they work in this introductory guide.
Ethereum (ETH) price prediction 2021
What affects the value of Ethereum (ETH) and how might the price of ETH fluctuate in the year ahead? Find out in this comprehensive guide.
AscendEX (BitMax) Cryptocurrency Exchange Review
A complete review of the AscendEX exchange, covering trading and DeFi features, associated fees, regulation and security. Is AscendEX right for you?
Day trading : What it is and how it works
How day trading works, what to watch out for and how to pick a broker.
How to buy Property for Industry shares (PFI)
Want to buy PFI shares on the NZX but don’t know how? Find out what to do here.
How to invest in cryptocurrency
Learn how to get started investing in cryptocurrency, the methods available to you, and what to keep in mind before making your first purchase.
Side hustle nation: 1 in 3 Kiwis has a second income stream
From tutoring to up-cycling, Kiwis are busy earning extra cash through a side hustle according to new research by Finder.
Finder cryptocurrency predictions report: October 2020
We asked 30 panellists for their cryptocurrency price predictions, the outlook for DeFi and how long they think high returns on yield farming might last.
Kraken vs Coinbase
We compare the key differences between two of the most popular cryptocurrency exchanges in terms of fees, features, customer support and more.
Checklist for moving to Australia
Take the headache out of migration with these checklists and have a smart, stress free move.