Westpac KiwiSaver Scheme - Investment Statement Get started today, you'll thank yourself tomorrow

Westpac KiwiSaver Scheme - Investment Statement Get started today, you'll thank yourself tomorrow
 Investment Statement
 Get started today, you’ll
 thank yourself tomorrow

                                                                          This is an investment statement for the
                                                                          purposes of the Securities Act 1978 and has
                                                                          been prepared as at 18 September 2014.
BT Funds Management (NZ) Limited is the scheme provider and Westpac
New Zealand Limited is the distributor of the Westpac KiwiSaver Scheme.                                     1941080
Westpac KiwiSaver Scheme - Investment Statement Get started today, you'll thank yourself tomorrow
Important information
(The information in this section is required under the Securities Act 1978.)
Investment decisions are very important. They often have long-term consequences.
Read all documents carefully. Ask questions. Seek advice before committing yourself.

Choosing an investment                                                           Financial advisers can help you make
When deciding whether to invest, consider carefully the answers to               investment decisions
the following questions that can be found on the pages noted below:
                                                                                 Using a financial adviser cannot prevent you from losing money,
                                                                      14         but it should be able to help you make better investment decisions.
What sort of investment is this?
                                                                      16         Financial advisers are regulated by the Financial Markets Authority
Who is involved in providing it for me?
                                                                                 to varying levels, depending on the type of adviser and the nature of
How much do I pay?                                                    17         the services they provide. Some financial advisers are only allowed to
                                                                      20         provide advice on a limited range of products.
What are the charges?
                                                                      22         When seeking or receiving financial advice, you should check –
What returns will I get?
                                                                      27         – the type of adviser you are dealing with:
What are my risks?
                                                                      29         – the services the adviser can provide you with:
Can the investment be altered?
                                                                      31         – the products the adviser can advise you on.
How do I cash in my investment?
                                                                      32         A financial adviser who provides you with personalised financial
Who do I contact with inquiries about my investment?
                                                                                 adviser services may be required to give you a disclosure statement
Is there anyone to whom I can complain if I have problems                        covering these and other matters. You should ask your adviser about
with the investment?				                                              32         how he or she is paid and any conflicts of interest he or she may have.

What other information can I obtain about this investment?            33         Financial advisers must have a complaints process in place and
                                                                                 they, or the financial services provider they work for, must belong to
                                                                                 a dispute resolution scheme if they provide services to retail clients.
In addition to the information in this document, important information
                                                                                 So if there is a dispute over an investment, you can ask someone
can be found in the current registered prospectus for the investment.
                                                                                 independent to resolve it.
You are entitled to a copy of that prospectus on request.
                                                                                 Most financial advisers, or the financial services provider they work for,
                                                                                 must also be registered on the financial service providers register.
The Financial Markets Authority                                                  You can search for information about registered financial service
regulates conduct in financial markets                                           providers at http://www.fspr.govt.nz

The Financial Markets Authority regulates conduct in New Zealand’s               You can also complain to the Financial Markets Authority if you have
financial markets. The Financial Markets Authority’s main objective              concerns about the behaviour of a financial adviser.
is to promote and facilitate the development of fair, efficient and
                                                                                 This is an Investment Statement for the purposes of the Securities Act
transparent financial markets.
                                                                                 1978 and has been prepared as at 18 September 2014.
For more information about investing, go to http://www.fma.govt.nz

BT Funds Management (NZ) Limited (BT Funds Management) is the scheme provider and Westpac New Zealand Limited (Westpac NZ) is the distributor of
the Westpac KiwiSaver Scheme. Investments made in the Westpac KiwiSaver Scheme do not represent bank deposits or other liabilities of Westpac Banking
Corporation ABN 33 007 457 141, Westpac NZ or other members of the Westpac group of companies. They are subject to investment and other risks, including
possible delays in payment of withdrawal amounts in some circumstances, and loss of investment value, including principal invested. The ultimate holding
company of BT Funds Management is Westpac Banking Corporation. None of BT Funds Management, Westpac NZ, Westpac Banking Corporation, any member
of the Westpac group of companies, The New Zealand Guardian Trust Company Limited (as Trustee), or any director or nominee of any of those entities, or any
other person guarantees the Westpac KiwiSaver Scheme’s performance, returns or repayment of capital. The Westpac KiwiSaver Scheme is not offered, and this
Investment Statement does not constitute an offer, in any jurisdiction other than New Zealand.
Disclosure statements under the Financial Advisers Act 2008 are available on request and free of charge from any Westpac Financial Adviser.
References to non-Westpac websites are provided for your convenience only. We accept no responsibility for the availability or content of such websites.
Westpac KiwiSaver Scheme - Investment Statement Get started today, you'll thank yourself tomorrow
Your first step to
a better future
Welcome to the Westpac KiwiSaver Scheme*. Just by
reading this, you’ve already made your first step towards
saving for a better future.
KiwiSaver has been set up by the Government to help
New Zealanders save for their retirement. It has lots of
benefits that can make it easier to save and even help
boost your savings along the way.
This Investment Statement sets out the important
information you need to know about KiwiSaver and
Westpac KiwiSaver before deciding whether to join.
If you have any questions after reading this Investment
Statement, just call us on 0508 972 254 or visit any
Westpac branch.
*The term ‘Westpac KiwiSaver’ may be used in this Investment Statement as an
 abbreviation for ‘the Westpac KiwiSaver Scheme’ and readers should view those
 terms interchangeably.

Important note – allocation to the Westpac KiwiSaver Scheme through
Inland Revenue or your employer
You may have received this Investment Statement not because you asked for it, but because you have started a new job and
been allocated to Westpac KiwiSaver either:
- by Inland Revenue, or
- due to Westpac KiwiSaver being your employer’s chosen KiwiSaver scheme.
In either case, you are already enrolled in Westpac KiwiSaver and you do not need to complete an application form (see the
back of this Investment Statement).
However, because Inland Revenue only provides us with limited information about you (and because we are required by law
to verify your identity as soon as possible), if you are new to Westpac please drop into any Westpac branch to provide us
with your identification documents and to ensure we have the right contact details and information about you (including for
investment income tax purposes).
Westpac KiwiSaver Scheme - Investment Statement Get started today, you'll thank yourself tomorrow
Key information about the Westpac KiwiSaver Scheme
    This section answers the main questions you may have about Westpac KiwiSaver. You’ll find more
    detail on the relevant pages of this Investment Statement. All of the information is subject to change
    but is correct as at the date of this Investment Statement.

    Throughout this Investment Statement, we use “we”, “our” or “us” to refer to the Manager (BT Funds Management).
    And wherever we use the word “you” or “your” this refers to a member or members of Westpac KiwiSaver.
    Certain terms used in this Investment Statement are explained in the Glossary on page 34.

                                                              More information                                                              More information

    What is the Westpac                                            Page
                                                                                 Employer Contributions
                                                                                 If you are eligible, your employer is required to contribute
    KiwiSaver Scheme?                                               14           an amount equal to 3% of your before-tax Salary or
    Westpac KiwiSaver is a special type of investment                            Wages while you contribute from your pay. These
    designed to help you save for your retirement.                               contributions are subject to tax.

    It is a KiwiSaver scheme registered under the KiwiSaver                      Government Contributions
    Act 2006 (the “KiwiSaver Act”).                                              Everyone who joins KiwiSaver for the first time gets a
                                                                                 $1,000 kick-start paid into their KiwiSaver account.
    Because KiwiSaver is a long-term savings initiative there
    are some important features you need to be aware of:                         If you’re 18 or over, and live in New Zealand, the
                                                                                 Government will also contribute 50 cents for every dollar
    -   if you opt in to KiwiSaver you can’t opt out
                                                                                 you put in, up to a maximum Government contribution
    -	if you are automatically enrolled in Kiwisaver on                         of $521.43 a year. These contributions finish once you
       starting a new job, you may opt out at any time                           reach Qualifying Age.
       between the 13th day and the end of the 55th day
       after you started your new job
                                                                                 When can I withdraw                                             Page
    -	except in very limited situations your savings will be
       locked in until you’re eligible for withdrawal - in most
                                                                                 my money?                                                        31
       cases this will be when you turn 65, or have been a                       KiwiSaver helps prepare you for retirement by locking
       KiwiSaver member for five years, whichever is later                       in your savings until you are eligible for New Zealand
       (“Qualifying Age”).                                                       Superannuation (currently 65).

                                                                                 If you were older than 60 when you joined KiwiSaver,

    Who looks after the Westpac                                    Page
                                                                                 your savings will be locked in until you have been a
                                                                                 member for at least five years.
    KiwiSaver Scheme?                                               16
                                                                                 In some special circumstances you may be able to make
    We (BT Funds Management) are the Manager of
                                                                                 an early withdrawal. These include making a first home
    Westpac KiwiSaver and the investment arm of Westpac
                                                                                 purchase or suffering significant financial hardship or
    in New Zealand. We are supervised by the Trustee who
                                                                                 serious illness.
    is The New Zealand Guardian Trust Company Limited.

                                                                                 How will my money
    How do I save?                                                 Page

    There are three types of KiwiSaver contributions,               17           be invested?                                                     14
    some of which are compulsory:                                                Westpac KiwiSaver offers six investment options (Funds)
                                                                                 designed to suit different investment objectives and
    Member Contributions
                                                                                 timeframes. Each Fund invests differently.
    If you’re earning a salary or a wage you must contribute
                                                                                 Your options are:
    an amount equal to 3% of your before-tax Salary or
    Wages (unless you take a contributions holiday). These                       –   the Cash Fund
    contributions are deducted automatically from each                           –   the Defensive Fund
    pay you receive. You can choose to increase the rate to                      –   the Conservative Fund
    4% or 8%.                                                                    –   the Moderate Fund
                                                                                 –   the Balanced Fund
    All members can also make direct contributions to
                                                                                 –   the Growth Fund
    Westpac KiwiSaver – you can do this using online
    banking. There is no minimum direct contribution
Westpac KiwiSaver Scheme - Investment Statement Get started today, you'll thank yourself tomorrow
More information                                                                 More information

What are the charges?                                         Page
                                                                          The Funds are designed to provide different levels of risk
                                                                          which depend on the asset classes in which they invest
The charges are:                                              20          and the proportion invested in each asset class.
– Administration Fee
  This is $2.25 a month for each member.
                                                                          Do we use related parties?                                         Page
                                                                          We may enter into transactions with and use the services of         21
– Management Fee                                                          parties related to us (such as Westpac Banking Corporation
  This is an annual fee calculated daily as a percentage                  and Westpac NZ) in respect of Westpac KiwiSaver. These
	of the gross value of the assets of each Fund and paid                  arrangements will be on arm’s length terms.
                                                                          We may invest directly or indirectly in funds where we are
    –   Cash Fund 0.30%                                                   (or a related company is) the trustee or manager. Westpac
    –   Defensive Fund 0.40%                                              KiwiSaver will not incur any additional management fees for
    –   Conservative Fund 0.55%                                           these investments.
    –   Moderate Fund 0.60%
    –   Balanced Fund 0.65%
    –   Growth Fund 0.70%                                                 Who can I ask for help?                                            Page
– Trustee Fee                                                             Call our team on 0508 972 254 or drop in to any                     32
	This is an annual fee of 0.04% of the gross value of the                Westpac branch.
  assets of Westpac KiwiSaver. It’s divided fairly between
  the Funds, calculated daily and paid monthly.

– Expenses
	Expenses will be incurred in relation to Westpac
  KiwiSaver. These may be paid for from the Funds.
  We limit the total of the expenses recovered from
  Westpac KiwiSaver to 0.10% per annum of the gross
  value of the assets of Westpac KiwiSaver.

   GST will be added to any fees where applicable.

What are the risks?                                           Page
Every investment has some level of risk and can go up or      27
down in value. The main risk is investment risk - that you
may not get back the money you invest or that your returns
are less than you expect, due to changes in the value of
the assets in a Fund or Funds. The principal risks that may
produce this result are:

–   Market risk
–   Investment manager risk
–   Credit risk
–   Derivatives risk
–   Concentration risk
–   Liquidity risk

Five great reasons to join a KiwiSaver scheme
    KiwiSaver is a long-term savings initiative with special features designed to help boost your savings
    and even help you buy your first home. Here are five specific things you should know if you’re thinking
    about joining a KiwiSaver scheme.

                  You get $1,000 just for joining                                                           You could use your savings to
                  Everyone who joins KiwiSaver for the first time gets a                                    buy your first home
                  $1,000 kick-start from the Government. This is paid
                                                                                                            Once you’ve been a KiwiSaver member for three years,
                  into your KiwiSaver account.
                                                                                                            you will be eligible to withdraw your savings (excluding
                                                                                                            any Government contributions) to help you buy your first

                  You may get an annual savings                                                             home (or land to build that home on). In some cases you
                                                                                                            may qualify even if you’ve owned property before.
                  boost from the Government
                  If you’re eligible and you contribute at least $1,042.86
                  a year, the Government will add $521.43 each year to                                      You could get extra money
                  help boost your savings. Read more about this on                                          towards your first home
                  page 18.
                                                                                                            If you are eligible, you may be entitled to a first home
                                                                                                            buyer’s subsidy. This is administered by Housing

                  You may get regular                                                                       New Zealand. If you qualify, and you have been
                                                                                                            regularly contributing to a KiwiSaver scheme for at
                  contributions from your                                                                   least three years, you could get $1,000 for every year
                  employer                                                                                  you’ve been contributing, up to a maximum of $5,000.
                                                                                                            Again, in some cases you may even qualify if you’ve
                  If you’re eligible and making regular contributions
                                                                                                            owned property before.
                  equal to at least 3% of your gross Salary or Wages,
                  in most cases your employer will also need to make
                  contributions equal to 3% of your gross Salary or
                  Wages to your KiwiSaver account. These can really add
                  up. Read more about this on page 17.

    Conditions and eligibility criteria apply to these incentives (other than the kick-start). These are the key KiwiSaver benefits applying as at the date of this
    Investment Statement. They could change in future (www.kiwisaver.govt.nz or www.westpac.co.nz/kiwisaver will generally give up-to-date details).

Six reasons to choose the Westpac KiwiSaver Scheme
Westpac KiwiSaver is currently one of the largest and fastest growing KiwiSaver schemes.
More than 330,000 Kiwis have joined our Scheme. Here are just some of the reasons why.

             Experts at investing                                       Financial advice
             BT Funds Management is the investment arm of               Westpac NZ has a team of financial advisers
             Westpac in New Zealand and is one of New Zealand’s         throughout New Zealand whose job it is to help
             leading fund managers with over $6 billion of funds        customers make good financial decisions, like how
             under management. BT Funds Management provides             to invest wisely. They are experts in KiwiSaver and
             a broad range of managed funds offering access to          professionally qualified to help. Speak to your local
             different asset classes, securities and investing styles   Westpac branch or call us on 0508 972 254 if you
             with the objective of helping customers achieve their      would like to talk to a Westpac Financial Adviser.
             investment goals.

                                                                        We’re here to help
             A choice of investment options                             Our team is available to help you by phone, online or
             Westpac KiwiSaver offers a range of investment             in person at almost 200 branches nationwide.
             options to suit just about everyone, no matter how far
             you are from retirement. If you are unsure about which
             investment option is best for you, you can speak to a
             Westpac Financial Adviser or use our risk profiler tool
             on page 10.

             Information at your fingertips
             With Westpac Online Banking you can view your
             Westpac KiwiSaver account at any time,
             make direct contributions and change your
             Fund(s). You will also find other helpful information
             at www.westpac.co.nz.

             Where hotpoints® are earned on
             Westpac credit cards, they can
             be converted into contributions
             to Westpac KiwiSaver.

hotpoints® is a registered trademark of Westpac Banking Corporation.

    As at the date of this Investment Statement,
    Westpac KiwiSaver is a default KiwiSaver
    scheme and we are a Government-appointed
    default KiwiSaver provider.

Getting the most out of KiwiSaver

    Helping you buy your first home                                                Check you’re contributing enough to
    KiwiSaver can be a great way to save for your first home. If eligible,         meet your goals
    you may be able to withdraw both your own and your employer’s
                                                                                   The more you save, the faster your money should grow. You might be
    contributions towards the purchase of your home, and you may also
                                                                                   surprised at just how much difference a little extra contribution can
    qualify for a Government subsidy of up to $5,000. See page 23 for
                                                                                   make over time. www.sorted.org.nz has a useful calculator to help you
    more details.
                                                                                   figure out how much you may need to save to have the lifestyle you
                                                                                   want in retirement.
    Maintaining your lifestyle in retirement
                                                                                   If you decide to save more to help you reach your goal, you can
    Retirement may seem like a long way off, but it’s never too early to           change your contribution rate to 4% or 8%. Just let your employer
    start planning. By starting to save early, you can benefit from earning        know.
    returns on your returns.

    And remember: you can stay in KiwiSaver after you reach Qualifying             Take advantage of a boost from the
    Age – it just becomes more flexible. You can access your savings and           Government each year
    still make regular or lump-sum payments whenever you like (although
    your employer is no longer required to contribute and you will no              If you’re eligible, aged between 18 and the Qualifying Age, and
    longer be eligible for any future Member Tax Credits). Plus you can still      you can afford to, it pays to contribute extra to get the maximum
    access our range of investment options.                                        Government contribution of $521.43 each year. These contributions
                                                                                   are called Member Tax Credits and you can read more about them on
    Your retirement could last for twenty years or more, so staying in             page 18.
    KiwiSaver could be a great way to keep your money working for you.
    Here are some of the things you can do now to help maintain your               To get the maximum Member Tax Credit of $521.43 each year, you’ll
    lifestyle in retirement:                                                       need to have contributed $1,042.86 during the previous year (1 July to
                                                                                   30 June) and been a KiwiSaver member, and eligible, for the whole of
                                                                                   that year.
    Make sure you’re in the right Fund
    Taking the time to consider which Fund best suits your needs could             Topping up is easy
    make a big impact on your savings. Each of our Funds has a different
    level of risk and potential return designed to suit different ages and life    You can make one-off contributions or set up a regular payment
    stages. It’s important to review your fund choice regularly to ensure          whenever you like. Make your payment to 03-0104-0588267-05 –
    your fund(s) are still right for you. You’ll find a risk profiler on page 10   make sure to include your KiwiSaver member number, last name and
    (or on www.westpac.co.nz) to help you decide or you could talk to a            IRD number as the payment reference. You can do this using online
    Westpac Financial Adviser on 0508 972 254.                                     banking.

    Choosing your investment – things to consider

    Westpac KiwiSaver offers a choice of six Funds                                 What are the differences?
    (Cash, Defensive, Conservative, Moderate,                                      Each of our Funds invests differently. The asset classes they invest in may
    Balanced and Growth) to suit different types of                                include Cash, Fixed Interest, Shares, Alternative Investments and Property.
    investors: you’ll find more information about these                            The Funds invest in these assets either directly (by buying the assets)
    Funds on pages 8 and 9. Each Fund invests in a                                 or indirectly (by investing in other funds). The exact make up of your
                                                                                   investment option will depend on the underlying investment strategy
    different way. It’s important to understand those
                                                                                   behind it.
    differences and choose the right option for you.
    If you have any questions, call our dedicated team on 0508 972 254, to
                                                                                   Income assets
    make an appointment with a Westpac Financial Adviser.
                                                                                   Cash and Fixed Interest are often referred to as income assets because
                                                                                   they generate income in the form of interest payments. Generally, Funds
                                                                                   that invest in a higher proportion of income assets can be expected to
                                                                                   deliver modest but more consistent returns. They are less likely to go up
                                                                                   and down, but will usually provide lower returns over the long term.

Growth assets                                                                              Risk and return
Shares and Property are often referred to as growth assets because                         The chart below shows how, depending on risk levels, returns on an
(though they involve more risk) they have greater potential to achieve                     investment can go up and down quite differently over different time
capital growth over the medium to long term than income assets. Funds                      periods:
with more exposure to growth assets have the potential for higher long-                    -	The lower risk investment contains mostly income assets.
term returns, but they are more likely to go up and down in the short
                                                                                           -	The medium risk investment is spread more evenly between income
term and will experience periods of negative returns.
                                                                                              assets and growth assets.
Alternative Investments tend to be a mixture of both growth and income                     -	The higher risk investment contains mostly growth assets.
assets and are currently treated as growth assets by the Funds.
                                                                                           For each investment, potential return ranges are shown (as concepts)
This graph shows how different assets have different risk and potential                    over two periods:
return profiles.
                                                                                           The red bar shows a range of potential returns over 1 year.
                                                                                           The grey bar shows a range of potential average annual returns over
    Higher                                                                  Shares         10 years.
                                                                                                                                                                           Higher Risk
                                                              Property                                                                                                     Investment
                                                                                            Greater                                    Medium Risk
                                                                                            positive                                    Investment
                                         Fixed Interest
                                                                                                               Lower Risk

    Lower              Cash

              Lower Risk                                                     Higher Risk

This is intended solely to illustrate concepts. It is not a prediction of the future        Greater
returns from, or the investment performance of, any of the Westpac KiwiSaver                returns
Scheme investment options.

Which option should I choose?
                                                                                                          1 year return range        10 year average annual return range

Choosing the right Fund will depend on your investment timeframe and                       This is intended solely to illustrate concepts. It is not a prediction of the future
                                                                                           returns from, or the investment performance of, any of the Westpac KiwiSaver
your attitude to risk.                                                                     Scheme investment options.

Your investment timeframe                                                                  The chart shows how, for each investment, the range of potential returns
                                                                                           over 1 year is wider than the range of potential annual returns averaged
Each Westpac KiwiSaver investment option has a minimum suggested
                                                                                           over 10 years. This is because extreme market events can occur which
investment timeframe. This is the length of time before you plan to
                                                                                           may have a major impact on short term returns. The economy generally
withdraw your investment. So the question to ask is, how long before
                                                                                           works in cycles, with periods of expansion followed by periods of
you reach 65 or plan to buy your first home? Investment timeframes are
                                                                                           lower growth or recession and then renewed expansion. The longer the
described as:
                                                                                           investment period, the more room there is for the effects of extreme
- Short to Medium Term                                    - Medium Term                    events or market downturns to be smoothed out. Growth assets are
- Medium to Long Term                                     - Long Term                      typically more sensitive to market events, so the more growth assets an
                                                                                           investment contains, the wider the range of potential returns across both
Your attitude to risk                                                                      the 1 year and the 10 year timeframes.

This is a personal decision about what’s important to you. Would you
feel more comfortable with modest returns, with fewer movements in the                     Investment options
value of your investment, or would you accept more short-term ups and
                                                                                           The next page outlines our six investment options. You can choose one
downs with the potential for higher long-term returns?
                                                                                           of these options, or you can split your investment over two or more of
If your main goal is to protect the value of your investment, you may                      the different Funds. You’ll also find a simple risk profiler on page 10 or
go for a more conservative investment strategy by choosing a Fund
                                                                                           at www.westpac.co.nz (search “Risk Profiler”) that can help you better
designed to be lower risk. Or if you feel okay about experiencing
                                                                                           understand your attitude to risk.
negative returns from time to time, you may choose a Fund designed to
be higher risk but offering potentially higher long-term returns.

Your investment options

       Cash Fund                                             Defensive Fund                                                                        Conservative
       The Cash Fund aims to provide stable
       returns with low levels of volatility and
                                                             The Defensive Fund aims to provide
                                                             stable returns over the short to medium
       investment risk. The Fund invests in                  term with low levels of volatility and                                                The Conservative Fund aims to provide
       income assets of a short term nature                  investment risk. The Fund invests                                                     stable returns over the medium to
       such as bank deposits, floating rate notes            primarily in income assets but is required                                            long term with low levels of volatility
       and money market securities. In the long              to have an allocation to growth assets                                                and investment risk. The Fund invests
       term, the return of the Fund is likely to             of not less than 15% and not more than                                                primarily in income assets but also has
       be lower than investments which include               25%. Returns will vary and may be low or                                              an allocation to growth assets.
       growth assets.                                        negative at times.                                                                    Returns will vary and may be low or
                                                                                                                                                   negative at times.

       Suggested timeframe
                  Short to medium term                                              Short to medium term                                                                 Medium to long term

       Benchmark asset allocation
                   100% income assets                          80% income assets/20% growth assets                                                     75% income assets/25% growth assets

                          Cash 100%                                                                          International                                                          Alternative 2
                                                                                                             Shares 9%                                                              Investments 2% International
                                                                                                                                                                                                   Shares 9%
                                                                                                                         Australasian                           Cash 20%
                                                                                                                         Shares 8%                                                                                Australasian
                                                                                                                                                                                                                  Shares 9%
                                                              Cash 33%                                                        Property 3%

                                                                                                                                                                                                                      Property 5%

                                                                                                                                                       NZ Fixed 1
                                                                                                                                                       Interest 24%
                                                                                                                              Fixed Interest 24%

                                                                           NZ Fixed 1
                                                                           Interest 23%                                                                                                              International
                                                                                                                                                                                                     Fixed Interest 31%

       Investment ranges*
                                                                                                      Cash                                                                            Cash

                                                                                           NZ Fixed Interest                                                                          NZ Fixed Interest

                                                                                         International Fixed Interest                                                                              International Fixed Interest

                                                                    Property                                                                                Property

                                                                          Australasian Shares                                                                         Australasian Shares

                                                                           International Shares                                                                       International Shares

                                                                                                                                                            Alternative Investments

                                                              0      10        20     30        40      50        60     70      80     90   100   0       10      20      30       40       50     60       70      80       90    100
                                                                                                                                             %                                                                                      %

                                                                  Benchmark                                                                            Benchmark

    Fund Descriptions
    The Fund descriptions above relate to the benchmark asset allocations. As detailed below, the actual asset allocation for each Fund will vary from
    time to time.
    Where we describe a Fund’s potential risk and return, the description used (e.g. ‘low’ or ‘high’) is our assessment of that Fund’s risk and return
    profile. This assessment is based on the expected volatility and long term return in normal market conditions for the asset classes the Fund
    invests in.

    Benchmark Asset Allocation
    Each Fund has a ‘benchmark’ asset allocation reflecting our intended long-term allocation to each asset class. In the Defensive, Conservative,
    Moderate, Balanced and Growth Funds, the actual asset allocation will vary from this benchmark asset allocation as market prices change and
    when we pursue tactical investment opportunities or seek to protect asset values in volatile economic periods. These variations may be significant
    but are restricted by permitted ‘ranges’ above and below each benchmark.
    Benchmark and actual asset allocations take into account both direct and indirect investments and the effects of Derivatives contracts (see the
    Glossary on page 34). While Derivatives may be used in each asset class, the use of Derivatives may be more extensive in the International Fixed
    Interest and Alternative Investments asset classes.

Moderate Fund                                                                         Balanced Fund                                                                          Growth Fund
     The Moderate Fund aims to provide                                                     The Balanced Fund aims to provide                                                      The Growth Fund aims to provide high
     moderate level returns over the medium                                                medium level returns over the long                                                     potential returns over the long term with
     to long term with moderate levels                                                     term with medium levels of volatility and                                              high levels of volatility and investment
     of volatility and investment risk. The                                                investment risk. The Fund has a higher                                                 risk. The Fund invests primarily in growth
     Fund has a higher allocation to income                                                allocation to growth assets than to                                                    assets but also has an allocation to
     assets than to growth assets. Returns                                                 income assets. Returns will vary and may                                               income assets. Returns will vary and are
     will vary and may be low or negative in                                               be low or negative in some years.                                                      likely to be low or negative in some years.
     some years.

                       Medium to long term                                                                                Long term                                                                                Long term

    60% income assets/40% growth assets                                                     40% income assets/60% growth assets                                                       20% income assets/80% growth assets

                                                     Alternative                                                                            Alternative                                                                                  Alternative
                                                     Investments 2 5%                                                       Cash 5%         Investments 2 6%                                       NZ Fixed 1 Cash 4%                    Investments 2 8%
                         Cash 10%
                                                                                                                                                                                                   Interest 7%
                                                                                                       NZ Fixed
                                                                     International                     Interest 15%                                                               International
                                                                     Shares 17%
                                                                                                                                                                                  Fixed Interest 9%
                                                                                                                                                                  Shares 29%
    NZ Fixed 1
    Interest 22%                                                                                                                                                                                                                                          International
                                                                                                                                                                                  Property 10%
                                                                                                                                                                                                                                                          Shares 37%
                                                                            Shares 13%     International
                                                                                           Fixed Interest 20%

                                                                   Property 5%

                                                                                                                Property 5%                                                                            Australasian
                     International                                                                                                           Australasian                                              Shares 25%
                     Fixed Interest 28%                                                                                                      Shares 20%

                              Cash                                                                               Cash                                                                              Cash

                                 NZ Fixed Interest                                                               NZ Fixed Interest                                                            NZ Fixed Interest

                                                International Fixed Interest                                                      International Fixed Interest                                           International Fixed Interest

         Property                                                                                  Property                                                                                   Property

                       Australasian Shares                                                                            Australasian Shares                                                                         Australasian Shares

                              International Shares                                                                                International Shares                                                                             International Shares

             Alternative Investments                                                                    Alternative Investments                                                               Alternative Investments

0      10       20       30          40    50        60       70       80      90    100   0      10       20     30       40        50      60     70       80      90    100    0      10       20       30      40       50          60   70      80      90    100
                                                                                      %                                                                                     %                                                                                       %

    Benchmark                                                                                  Benchmark                                                                              Benchmark

                We may alter the benchmark asset allocation and ranges for each Fund at any time (however, in respect of the Defensive Fund, we can only do
                this as permitted under the Instrument of Appointment). You may request copies of Westpac KiwiSaver’s investment guidelines and actual asset
                allocations by contacting us.

                Currency exposure
                Foreign currency exposures in the Defensive, Conservative, Moderate, Balanced and Growth Funds may be fully or partially hedged as we
                consider appropriate. Details of the currency strategy by asset class are contained in the Prospectus.

                * This shows you the permitted range for each asset class. It also shows you the Benchmark Asset Allocation.

                1. NZ fixed interest securities will generally be issues denominated in New Zealand dollars, but may also include issues made by New Zealand or
                    Australian entities denominated in foreign currencies.

                2. Alternative Investments are investments that do not fall within the main asset classes. Alternative investments can include hedge funds,
                    absolute return funds, commodity investments, venture capital and private equity. Investment strategies that may be found in some alternative
                    investments include the use of gearing (obtaining greater exposure to markets than the net value of an underlying asset) and short selling
                    (selling something you do not own with a view to buying it back later at a lower price).
Risk profiler
     The following risk profiler will help you decide which investment option is right for you.

     This questionnaire should be treated as a guide only, containing information of a general nature to help you determine your
     tolerance for risk. The outcome of the questionnaire should not be treated as personalised financial advice or a personal financial plan.
     It’s important to note that you may wish to obtain advice from a Westpac Financial Adviser (which takes into account your particular financial
     situation and goals) before choosing an investment option.

     If you don’t choose an investment option, your investment in Westpac KiwiSaver will automatically go into the Conservative Fund (or, if you were
     allocated to Westpac KiwiSaver by Inland Revenue, the Defensive Fund). You are able to change this investment option (or any other option you
     choose) at any time in the future.

     If you are planning on withdrawing your savings to help with the purchase of your first home (or if you wish to qualify as a previous home owner
     buyer), you may want to consider simply investing in the Cash Fund.

     For each question tick the option that most closely reflects your views on investing:

     1.   How many years do you have until you plan to withdraw                    5.       Which of the following investments are you most
          money from the Westpac KiwiSaver Scheme?                                          comfortable with?
                                                                   SCORE                                                                        SCORE
               5 years or less.                                      1                         	Short term income assets (such as bank deposits,
                                                                                                 floating rate notes and money market securities) only. 1
               5 to 10 years.                                          2
                                                                                               	Mostly income assets (Cash and Fixed Interest)
               10 to 15 years.                                         3                         with a small amount of growth assets (Shares,
               15 years or more.                                       4                         Property and Alternative Investments).		              2
                                                                                               	A more even split between income assets (Cash
     2.   How do you rate your willingness to take                                               and Fixed Interest) and growth assets (Shares,
          financial risks?                                                                       Property and Alternative Investments).		              3
                                                                                               	Mostly growth assets (Shares, Property and
               I do not like to take any risks when it comes        1
                                                                                                 Alternative Investments).		                           4
               to my money.
               I am a conservative risk taker.                         2           6.       Which of the following possible performance ranges
                                                                                            for a long-term investment would you feel most
               I am a moderate risk taker.                             3
                                                                                            comfortable with in any one year?
               I enjoy taking risks.                                   4

     3.   When faced with a major financial decision are
          you more concerned about the possible losses
          or the potential gains?
               Always the possible losses.                           1

               Usually the possible losses.                            2
               Usually the potential gains.                            3
               Always the potential gains.                             4

     4.   Investments can go up and down in value. By how much
          would a long-term investment of $10,000 have to go down

          before you would begin to feel uncomfortable?
               I can tolerate only a minimal fall in my investment value. 1
               $500 (5%).                                              2
                                                                                   SCORE              1              2               3             4
               $1,000 (10%).                                           3
               $2,000 or more (20%+).                                  4           TOTAL SCORE:

Use your score from the questionnaire on the previous page and match it to an Investor Description below. Remember that the questionnaire is
only a guide. Being comfortable with your investment is one of the keys to successful investing.

If the Investor Description doesn’t sound like you, review the descriptions for the other profiles and select an investment option which has a
description that is the closest match to how you feel about investing.

Remember, if you are investing for the longer term, the longer the investment period the more room there is for the effects of extreme market
events or market downturns to be smoothed out. So consider your risk tolerance with this in mind. If you would like help with selecting an
investment option, call us on 0508 972 254 to make an appointment with a Westpac Financial Adviser.

   SCORE                INVESTOR DESCRIPTION                                                                         INVESTMENT OPTION

                         You are a cautious investor looking for a high level of security.

   6-7                   You want to invest solely in income assets (such as Cash and
                         Fixed Interest). You are not willing to place any of your investment
                                                                                                                         Cash Fund
                         in growth assets (Shares, Property and Alternative Investments).

                         You are a conservative investor looking for some growth, but you
                         wish to remain cautious. You would expect most of your investment
   8-12                  to be allocated to income assets (Cash and Fixed Interest), with the
                         remaining portion allocated to growth assets (Shares, Property and
                         Alternative Investments*).

                         You are looking for a reasonable exposure            Income assets                               Fund
                         to both growth assets (Shares, Property and
   13-18                 Alternative Investments) and income assets                      or
                         (Cash and Fixed Interest), but would like a                                                      Balanced
                         higher allocation to either:                         Growth assets                                 Fund

                         You are willing to place your main emphasis on growth assets
                         (Shares, Property and Alternative Investments) rather than on
   19-24                 income assets (Cash and Fixed Interest). You therefore wish for
                         most of your investment to be in growth assets.

*The Defensive Fund has no allocation to Alternative Investments.

Important information
you need to know...
More details on the Westpac KiwiSaver Scheme
What sort of investment is this?

     Westpac KiwiSaver is a special type of                                       If you don’t choose a Fund, or you were automatically allocated
                                                                                  to Westpac KiwiSaver due to it being your employer’s chosen
     investment designed to help you save for
                                                                                  scheme, your money will go into the Conservative Fund. If you were
     retirement. This Investment Statement tells you                              automatically allocated to Westpac KiwiSaver by Inland Revenue, your
     more about it and how it all works. But the two                              money will go into the Defensive Fund.

     important things to note are:                                                Read more about your investment options, how they differ and making
                                                                                  a choice on pages 8 and 9.
     1.	Your savings will generally be locked in
         until you reach Qualifying Age (for most                                 How our Funds work
         people this is currently 65); and                                        Your money buys you units in the Fund(s) you invest in. Each unit
                                                                                  represents a share of the total Fund: if the assets of the Fund go up in
     2.	If you’re employed, you’ll need to make                                  value, your units will be worth more and if they go down in value, your
                                                                                  units will be worth less.
         regular contributions from your income
         (unless you are on a contributions holiday).                             Any returns on your investment are reflected in the unit price of
                                                                                  your Fund(s).
     KiwiSaver also has other unique benefits like a
                                                                                  Westpac Online Banking
     $1,000 Government kick-start. These benefits are
                                                                                  If you are registered for Westpac Online Banking, you can:
     outlined (along with other useful information) in
                                                                                  -   apply to join Westpac KiwiSaver,
     the next few pages.
                                                                                  -   view your Westpac KiwiSaver balance,
     Remember you should always think carefully                                   -   make direct payments to your KiwiSaver account, and
     before making any investment. So if you have                                 -   switch Funds
     any questions at all please give us a call on 0508                           online. However, if you are under the age of 18, some of the above
     972 254 (0508 WPAC KIWI).                                                    features of Westpac Online Banking may not be available to you.

                                                                                  Who can join KiwiSaver?
     What type of investment is this?                                             Most Kiwis can join KiwiSaver. As long as you’re under 65 and a
     Westpac KiwiSaver is a KiwiSaver scheme registered under the                 permanent resident, you’ll most likely be eligible.
     KiwiSaver Act. Its main purpose is to provide retirement benefits and
                                                                                  Specifically, you are eligible if you are:
     help you save for your retirement.
                                                                                  -   a New Zealand citizen or entitled to be in New Zealand indefinitely;
     Westpac KiwiSaver is a default KiwiSaver scheme and we are a
     default KiwiSaver provider appointed by the Government.
                                                                                  -   normally living in New Zealand, or a State Services employee
     The amount you have when you qualify for a withdrawal will depend                serving overseas; and
     on the contributions made to your account along with any returns less
                                                                                  -   under the qualification age for New Zealand Superannuation
     any tax, fees and expenses. The exact amount will depend on the type
                                                                                      (currently 65).
     of withdrawal you apply for.

     Since this investment is a KiwiSaver scheme, there are restrictions on       How do I join the Westpac KiwiSaver
     when your benefits can be paid. These are explained in more detail           Scheme?
     under the heading “What returns will I get?”.
                                                                                  You can join Westpac KiwiSaver by opting in or by being enrolled
                                                                                  automatically (through your employer or by being allocated to Westpac
     How will my money be invested?
                                                                                  KiwiSaver by Inland Revenue).
     When you invest with Westpac KiwiSaver, your money will be
     combined with others’ money in the Fund(s) you invest in. This means         Opting in
     you will have access to a wider range of investment choices than you
                                                                                  As long as you’re eligible, you can join Westpac KiwiSaver at any time.
     would have investing alone. Your money is managed and overseen by
                                                                                  Simply complete the application form at the back of this Investment
     an experienced team of investment professionals.
                                                                                  Statement and return it to us at the address on the form. If you are a
                                                                                  Westpac customer registered for Westpac Online Banking, you can
     Choosing a Fund                                                              join by completing the application form available in Westpac Online
     You can choose from six different Funds. Each has different levels of risk   Banking.
     and potential returns. Your options are the Cash Fund, the Defensive
                                                                                  If Westpac KiwiSaver is your employer’s chosen KiwiSaver scheme,
     Fund, the Conservative Fund, the Moderate Fund, the Balanced Fund
                                                                                  you can become a member (see ‘You accept the terms’ and ‘You
     or the Growth Fund. You can choose to split your contributions across
                                                                                  can choose your Fund’, below) simply by completing a KiwiSaver
     the Funds.
                                                                                  deduction form obtained from your employer.
If you complete a deduction form, Inland Revenue may also allocate         How does the Westpac KiwiSaver
you to Westpac KiwiSaver even if it is not your employer’s chosen          Scheme work?
                                                                           When you become a member of Westpac KiwiSaver we will open
However, we recommend you drop into any Westpac branch with your           two accounts for you: a Transaction Account and an Investment
ID and contact details, so we have your correct details and you can        Account.
choose your Fund(s).
                                                                           Your Transaction Account is set up to receive contributions and
It’s important to note that if you opt in to KiwiSaver you can’t opt       transfer them to your Investment Account which holds units in your
out later.                                                                 Fund(s). Your monthly administration fee is paid from your Transaction
Being enrolled automatically
                                                                           We will deposit the money in your Transaction Account with a major
If you’re not already a KiwiSaver member, you will be automatically
                                                                           bank (at the date of this Investment Statement that’s Westpac NZ)
enrolled in a KiwiSaver scheme when you start a new job. If your
                                                                           where it will earn interest until it is transferred to your Investment
employer has chosen Westpac KiwiSaver, you will automatically be
enrolled in Westpac KiwiSaver unless you choose a different scheme.
You can also be automatically enrolled in Westpac KiwiSaver by             Your Transaction Account must have a balance of not less than
Inland Revenue if your employer has not chosen a KiwiSaver scheme.         $50 and not more than $100. We will automatically transfer money
                                                                           between your Transaction and Investment Accounts to maintain the
Here are three things you should note about being enrolled
                                                                           right balance.
You can choose to opt out: If you are automatically enrolled in            Once you reach Qualifying Age, if you are making regular withdrawals
Westpac KiwiSaver you can choose to opt out between the 13th day           the maximum Transaction Account balance will no longer apply.
and the end of the 55th day after being automatically enrolled (the        We may adjust the minimum and maximum amounts at any time.
date you started your new job).                                            You can find out the applicable amounts by calling 0508 972 254
You accept the terms: If you are automatically enrolled in Westpac         (0508 WPAC KIWI).
KiwiSaver (and don’t opt out), you are deemed to have acknowledged         We may change or remove the Transaction Account in future. If
and agreed to the terms set out in Section F of the application form.      this happens, the change will not affect the value of your KiwiSaver
You can choose your Fund: Unless you actively choose a Fund,               account. If we remove the Transaction Account, your contributions
any contributions will be invested in:                                     will go directly to your Investment Account and your monthly
                                                                           administration fee will be paid out of your Investment Account.
-	the Conservative Fund, if Westpac KiwiSaver is your employer’s
   chosen scheme; or                                                       How the Funds are valued
-	the Defensive Fund, if you were allocated to Westpac KiwiSaver by       When you invest in a Fund your money is used to buy units in that
   Inland Revenue.                                                         Fund. These units change in price depending on the value of the
                                                                           Fund’s assets and the fees and expenses payable by the Fund.
You can choose a different Fund (or Funds) at any time. Just ask for
a switch form at any Westpac branch or you can do this in Westpac          We generally calculate a unit price for each Fund on each business
Online Banking. Read more about changing your investment under             day. There may however be some occasions when we are not able to
“Can the investment be altered?”.                                          calculate a unit price.

If you were allocated to Westpac KiwiSaver by Inland Revenue and you       You can read more about the pricing of units in the Prospectus.
then choose a Fund or Funds (this can include confirming to us that        You can get a copy by calling 0508 972 254 (0508 WPAC KIWI).
you have chosen to remain in the Defensive Fund), when we action that
                                                                           You can also call us at any time to find out the value of your
request you will no longer be considered a Default Member.
                                                                           investment in Westpac KiwiSaver.

Transferring to the Westpac KiwiSaver
You can transfer your savings between KiwiSaver schemes at any
time, even if you are aged 65 or older. If you’d like to transfer from
another KiwiSaver scheme simply complete the application form at
the back of this Investment Statement or in Westpac Online Banking
and return it to us. We’ll do the rest. If you’d like to talk to someone
about transferring schemes call us on 0508 972 254 (0508 WPAC
KIWI). You can only be a member of one KiwiSaver scheme at a time.

Who is involved in providing it for me?

     The Westpac KiwiSaver Scheme has a Manager,                             Administration Managers
     Promoters, a Distributor and a Trustee who all                          BT Funds Management looks after the overall management and
                                                                             administration of Westpac KiwiSaver. We use specialists for some
     play different roles. It is managed by BT Funds
     Management which is the investment arm of Westpac
                                                                             -	Trustees Executors Limited provides unit registry services.
     in New Zealand. The Manager’s performance is                                Its principal place of business is Level 5, 10 Customhouse Quay,
     overseen by the Trustee, The New Zealand Guardian                           Wellington 6011.
                                                                             -	 MMC Limited provides fund accounting and unit pricing.
     Trust Company Limited. Westpac KiwiSaver is made
                                                                                 Its principal place of business is Level 13, Citigroup Centre,
     available to customers through Westpac NZ.                                  23 Customs Street East, Auckland 1010.
                                                                             - The Hongkong and Shanghai Banking Corporation Limited
                                                                             	  provides custodial support services. Its principal place of business
     Westpac KiwiSaver is a KiwiSaver scheme registered under the
                                                                                 is Level 9, HSBC House, 1 Queen Street, Auckland 1010.
     KiwiSaver Act. It has accepted members since 1 July 2007 and is
     currently governed by a Trust Deed dated 20 September 2012.             Trustee
                                                                             The Trustee, The New Zealand Guardian Trust Company Limited,
                                                                             is responsible for supervising the performance of our duties and for
     Membership interests are issued by BT Funds Management (NZ)
                                                                             holding (itself or through its nominees or custodians) all of the assets
     Limited, which is legally responsible for administering Westpac
                                                                             of Westpac KiwiSaver. The Trustee is licensed to act as a trustee
                                                                             under the Securities Trustees and Statutory Supervisors Act 2011.
     Our principal place of business is Westpac on Takutai Square,
                                                                             The Trustee’s principal place of business is Level 15, 191 Queen
     16 Takutai Square, Auckland 1010.
                                                                             Street, Auckland 1010.
     Our contact address is Westpac on Takutai Square, 53 Galway Street,
                                                                             Please note: the addresses of the Manager, Promoters,
     Auckland 1010.
                                                                             Administration Managers and Trustee (and the directors of us and
     Our directors are:                                                      Westpac NZ) may change at any time without us notifying you.
     - Leigh James Bartlett of Auckland                                      You can always find company address details and lists of directors
     - Patrick Keble Farrell of Sydney, Australia                            online at www.business.govt.nz/companies.
     - Ian Nicholas New of Wellington
     - Simon James Power of Auckland                                         General
                                                                             Investment management
     See the Prospectus for director biographies. Information on the
     roles that are key to the management of our business is available in    We utilise the skills and expertise of specialist investment managers
     the prospectus, by calling us on 0508 972 254 or by visiting www.       for certain asset classes. We do this by buying units in other funds
     westpac.co.nz and searching for the document entitled “Key roles        (Specialist Funds). The investment managers of the Specialist Funds
                                                                             may include us or our related companies and may change at any time
     within BT Funds Management”.
                                                                             without us notifying you. Westpac KiwiSaver currently has no directly
                                                                             appointed investment managers.
                                                                             We consider a number of factors when selecting Specialist Funds,
     Promoter is a special term used in the Securities Act 1978.
                                                                             including the investment managers of those Specialist Funds. When
     Essentially it describes any people or companies involved in planning
                                                                             assessing those investment managers we look for specialists who
     or developing Westpac KiwiSaver. BT Funds Management, and
                                                                             have a well-defined and robust investment philosophy and process,
     Westpac New Zealand Limited and its directors (except anyone
                                                                             and who possess above average research skills. We regularly monitor
     who is a director of both companies), are all Promoters of Westpac
                                                                             investment performance, portfolio holdings, compliance, changes to
                                                                             key investment personnel and business factors (among other matters).
     Westpac NZ’s principal place of business is Westpac on Takutai          You can find out more about the Specialist Funds and their investment
     Square, 16 Takutai Square, Auckland 1010. Westpac NZ’s contact          managers in the Prospectus, by calling us on 0508 972 254 (0508
     address is Westpac on Takutai Square, 53 Galway Street,                 WPAC KIWI) or by searching for a document called “Westpac
     Auckland 1010.                                                          KiwiSaver Scheme Investment Managers” that you’ll find at
     The Westpac NZ directors who are Promoters are:                         www.westpac.co.nz.
     - Malcolm Guy Bailey of Feilding                                        Responsible investment
     - Philip Matthew Coffey of Sydney, Australia
                                                                             Responsible investment, including environmental, social, and
     - Janice Amelia Dawson of Auckland
                                                                             governance considerations, is not taken into account in the
     - Christopher John David Moller of Lower Hutt
                                                                             investment policies and procedures of the Scheme as at the
     - Peter David Wilson of Otaki
                                                                             date of this Investment Statement.

     Westpac NZ is the distributor of Westpac KiwiSaver.

How much do I pay?

KiwiSaver is designed to make it easier for you                         If you work for yourself in your own business and receive any Salary
                                                                        or Wages from your business that you need to deduct PAYE from, you
to save for retirement. So if you’re employed, you
                                                                        will be treated as both an employee and an employer for KiwiSaver
will have to make regular minimum contributions                         purposes, and will need to make both employee and employer
from your Salary or Wages. If you are self-                             contributions for yourself.

employed or not currently working you can
                                                                        Making lump sum payments
usually choose how much you contribute.                                 You can make lump sum payments direct to Westpac KiwiSaver
                                                                        at any Westpac branch or by transferring money from your bank
                                                                        account to BTNZ KiwiSaver Nominees Limited
Your employee contributions                                             (account number 03-0104-0588267-05).
If you’re under the Qualifying Age and you’re earning a Salary or
                                                                        If you choose to make a payment this way, we will need:
Wages you’ll need to make regular contributions.
                                                                        - your IRD number
You can choose to contribute a regular amount equal to 3%, 4% or        - your last name
8% of your gross (before-tax) Salary or Wages. If you don’t choose a    - your member number
contribution rate, your rate will be 3%.
                                                                        If you are unsure of your member number call us on 0508 WPAC
You can also make extra contributions to Westpac KiwiSaver at any       KIWI (0508 972 254). You’ll also find this on any Westpac KiwiSaver
time. Read more about this under the headings “Making lump sum          statements or letters we’ve sent you.
payments” and “Making regular contributions”.

You can also choose to change your contribution rate between 3%, 4%     Making regular contributions
and 8% or even take a contributions holiday from time to time. Read     You can set up a regular investment plan when you join Westpac
more about these options under “Can the investment be altered?”.        KiwiSaver by completing both the application form and the direct
                                                                        debit authority (at the back of this Investment Statement).
Your ‘Salary or Wages’
                                                                        You can also do this whenever you like using online banking.
For the purpose of KiwiSaver, your Salary or Wages includes any
money you receive as a bonus, commission, extra salary, gratuity
                                                                        Contributions from other people
or overtime pay. It also includes ACC compensation payments and
parental leave payments out of public money. It doesn’t include         People other than your employer can also make regular contributions or
accommodation benefits or redundancy payments.                          lump sum payments on your behalf. They can do this directly (as above).

                                                                        They can also make payments to your account through Inland
Your employer will deduct contributions                                 Revenue, though it may take longer for these contributions to
from your pay                                                           reach your account than if they had contributed directly. See Inland
If you are an employee earning a Salary or Wages, your employer will    Revenue’s website (www.ird.govt.nz) for more details.
deduct your contributions automatically from your after-tax Salary or
Wages and pay them directly to Inland Revenue who will pass them        Default Members
on to Westpac KiwiSaver.
                                                                        If you are a Default Member (i.e. you were allocated to Westpac
If no tax deductions are required to be made from your Salary or        KiwiSaver by Inland Revenue and have not chosen a Fund) and you
Wages under the PAYE rules (and you’re not a private domestic           wish to make a direct payment to Westpac KiwiSaver, you must
worker) then you won’t need to contribute from your pay.                provide us with the necessary identification and proof of address
                                                                        documents first (you may have already provided this information if
New to KiwiSaver?                                                       you are an existing Westpac banking customer). See section E of
If you haven’t been a member of a KiwiSaver scheme before and you       the Application Form for applicants 18 or over at the back of this
contribute through your Salary or Wages, Inland Revenue will hold       Investment Statement or www.westpac.co.nz/AML for the documents
the contributions they receive for you in an interest-bearing account   we require.
for the first three months after you join, before passing them on to
                                                                        You can do this at any Westpac branch.
Westpac KiwiSaver.

                                                                        More about employer contributions
Contributions if you are self-employed or
                                                                        Your employer is required by law to make regular contributions to your
not earning salary or wages
                                                                        KiwiSaver account unless:
If you are self-employed and do not receive Salary or Wages subject     - you are under 18
to PAYE deductions, or you are not currently working, you can still     - you have reached Qualifying Age (currently 65 in most cases)
make direct contributions to Westpac KiwiSaver. There is currently      - you are on a contributions holiday
no minimum contribution required although many people choose            -	they are already making contributions for your benefit to another
to contribute at least $1,042.86 each year (1 July to 30 June) to          superannuation scheme which discharges their employer
receive the maximum Member Tax Credits. You can choose to make             contribution obligations (see the Prospectus for more information).
contributions by direct debit or as lump sum payments.

Your employer’s contributions must equal 3% of your gross (before           Claiming Member Tax Credits
     tax) Salary or Wages excluding any parental leave payments out of
                                                                                 We’ll claim Member Tax Credits on your behalf after 30 June each
     public money or ACC compensation. They will have contribution
                                                                                 year, and at the time you reach Qualifying Age, and they will be used
     tax deducted from them as outlined under “Tax on employer
                                                                                 to purchase units in your Fund(s) at that time (or added to your benefit
     contributions”. Your employer can also make additional voluntary
     contributions for your benefit. All employer contributions must be          if you are leaving Westpac KiwiSaver). If you were not eligible for
     made through Inland Revenue.                                                Member Tax Credits for the full year (for example because you first
                                                                                 joined KiwiSaver, returned from overseas or turned 18 during that
     Government contributions                                                    year), then you’ll receive a reduced amount in proportion to the length
                                                                                 of time you were eligible for Member Tax Credits during that year.
     Under current law, the Government will also make some contributions
     to KiwiSaver for your benefit.                                              If you also contribute to a complying superannuation fund, any
                                                                                 Member Tax Credits will be paid to the fund or scheme that applies
     Kick-start                                                                  for them first. This could mean your Member Tax Credits are payable
     The Government will pay a $1,000 kick-start when you first join             to that other fund rather than Westpac KiwiSaver.
     KiwiSaver. Inland Revenue will usually pay your kick-start about three
     months after you join.                                                      Member Tax Credits can change
                                                                                 The rules regarding Member Tax Credits, and their availability, may
     Member Tax Credits                                                          change from time to time.
     Each year (while you contribute and are eligible) the Government
     will also make contributions known as Member Tax Credits. These             Transferring funds from other New Zealand
     are currently 50c for every dollar you contribute, up to the maximum        schemes
     Member Tax Credits of $521.43 a year (around $10 a week).                   If you choose, you can transfer money from another New Zealand
                                                                                 superannuation scheme into Westpac KiwiSaver. If you wish to do so,
     Member Tax Credits are calculated annually based on the total
                                                                                 please contact the other scheme provider directly to arrange
     contributions you have made during the last year (1 July to 30 June)
                                                                                 the transfer.
     and the number of days during that year that you were eligible to
     receive Member Tax Credits.                                                 You can also transfer to Westpac KiwiSaver from another KiwiSaver
                                                                                 scheme. As you can only be in one KiwiSaver scheme at a time your
     You will be eligible for Member Tax Credits if:
                                                                                 existing scheme account will close when you transfer.
     - you are at least 18 years old, and
     - you have not yet reached Qualifying Age (currently 65 in most             Any money received will be treated as a contribution to Westpac
        cases), and                                                              KiwiSaver and invested into your Fund(s). The amount transferred to
     - you mainly live in New Zealand.                                           your account will be whatever amount is notified to us by the manager or
                                                                                 trustee of the other scheme less any fees associated with the transfer.
     Getting the most out of Member Tax Credits
     To receive the maximum annual Member Tax Credits of $521.43,                Transferring a UK pension
     you need to contribute at least $1,042.86 to your KiwiSaver account         At the date of this Investment Statement you can transfer any amount
     between 1 July and 30 June each year. This amount can be made up            from a UK pension scheme into Westpac KiwiSaver. This is allowed
     of contributions from your pay, as well as any lump sum contributions       because Westpac KiwiSaver is currently a Qualifying Recognised
     you make.                                                                   Overseas Pension Scheme (QROPS) approved by HM Revenue and
                                                                                 Customs (HMRC). Simply call 0508 972 254 to ask about the process
     To maximise your Member Tax Credits, you may need to make an
                                                                                 for completing a transfer from a UK pension scheme.
     additional lump sum payment if, for all or part of the year:
     - your salary was less than $35,000, or                                     It’s possible that the QROPS status of Westpac KiwiSaver could
     - you took a contributions holiday, or                                      change. If you want to check the QROPS status of Westpac KiwiSaver
     - you weren’t employed.                                                     just call the number above.

     If you contributed via your employer, you should contact Inland             Transfers from an overseas (non-Australian) scheme to a KiwiSaver
     Revenue directly on 0800 KIWISAVER (0800 549 472) to find out               scheme are treated as withdrawals from the overseas scheme
     exactly how much you have contributed.                                      and may be subject to tax. They may also affect your student loan
                                                                                 repayment obligations and any income-tested benefits. However, you
     Not living in New Zealand?                                                  may be permitted to make a withdrawal to meet any such additional
     You won’t generally be eligible for Member Tax Credits for any              tax liabilities or repayment obligations (see page 24).
     time that you mainly live outside New Zealand, unless you’re living
     overseas as a Government employee (or volunteering, or working for
     token payment, for specified charities). So if you have lived (or plan to
     live) overseas for a period you need to call us on 0508 972 254
     (or +649 367 3317) to let us know.

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