16 Jul 2009

Your Australian super: yes, you can bring it back here

9:10 pm on 16 July 2009

More than $16 billion of retirement money saved in Australia by New Zealanders will be able to be transferred back here.

Finance Minister Bill English and Australian Treasurer Wayne Swan signed an agreement in Brisbane Thursday to make such savings more portable.

New Zealanders are thought to have about $16.6 billion tied up in the Australian superannuation system.

Mr English says that whether people leave their money there or repatriate it depends on investment returns, but the wider aim is to make it easier for people to move between the two countries, without the location of their super savings being a problem.

Progress has also been made, according to Mr English, on other moves to form a single economic market, including plans for an investment protocol.

Don't hold your breath - Gareth Morgan

Economist Gareth Morgan doubts whether billions of superannuation dollars will now flood into the economy. If people shift their money from Australia they'll have to pay more tax, he says, so he doesn't think they'll do it.