Your Eligibility When Leaving New Zealand
For many seniors, the prospect of retiring overseas raises questions about their New Zealand Superannuation (NZ Super). The key to continuing your payments abroad lies in understanding the different rules that apply to temporary travel versus permanent residence. The duration of your absence is the first major factor.
Short-Term Travel (Less Than 26 Weeks)
If your trip is for 26 weeks or less, and you consider New Zealand your primary home, your NZ Super or Veteran's Pension payments can continue without needing a special application, provided you only receive these specific benefits. For any longer, a special application is necessary.
Long-Term Travel or Residence (Over 26 Weeks)
If you plan to be away for more than 26 weeks, you must apply to Work and Income's International Services before you leave. Your eligibility and the amount you receive will depend on the country you are moving to.
- Social Security Agreement (SSA) Countries: New Zealand has agreements with countries including Australia, Canada, Denmark, Ireland, Jersey & Guernsey, Greece, Malta, and the Netherlands. If you move to one of these countries, the agreement's terms will dictate your payments. For example, if you used your time in Australia to meet NZ's residency criteria, you can live in Australia (but not the UK) and continue to receive payments. The UK has a different agreement that prevents receiving NZ benefits there.
- Pacific Countries: A special portability arrangement exists for 22 Pacific nations. If you move to one for over 52 weeks, you can continue receiving NZ Super, with the amount depending on the years you lived in NZ since age 20. The full basic rate is for those with 20 or more years in NZ between ages 20 and 65.
- Non-Agreement Countries: For countries without an SSA or Pacific arrangement, your overseas payment rate is based on the months resided in New Zealand between ages 20 and 65, up to a maximum of 540 months (45 years). Your payment will be a proportion of the full NZ Super rate.
Application Requirements and Process
The application process is a critical step that should be started well before you move to avoid issues like overpayments or payment suspension.
- Contact International Services: Call Work and Income's International Services at least 6 weeks before you leave for guidance on forms and your specific situation.
- Complete the Application: Fill out the 'New Zealand payments overseas application' form, providing all relevant details.
- Gather Documents: You'll typically need your passport(s), other ID, travel itinerary, and proof of your overseas bank account.
- Wait for Assessment: Work and Income will assess your application based on your circumstances and destination and inform you of the outcome and new payment rate.
Changes to Residency Criteria
The residency requirements for NZ Super are gradually changing. The current requirement is 10 years of residency since age 20 (including 5 years since age 50), but this is increasing to 20 years by July 2042. This change is based on your date of birth, meaning future retirees may face stricter eligibility rules, especially regarding overseas residency.
Comparison of Overseas Payment Scenarios
| Scenario | Destination Countries | How Payment Is Calculated | Notes |
|---|---|---|---|
| Social Security Agreement | Australia, Canada, Denmark, etc. | Varies by specific agreement; can be full, part, or combined with local pension. | UK agreement is different; NZ payments not paid in the UK. |
| Pacific Arrangement | Cook Islands, Fiji, Samoa, etc. | Based on years lived in NZ since age 20. Full rate for 20+ years, partial rate for 10-20 years. | Requires living in the Pacific country for more than 52 weeks. |
| Non-Agreement Country | USA, France, etc. | Proportion of full NZ Super rate based on months lived in NZ between age 20 and 65. | Requires a special application before leaving NZ. |
| Humanitarian Work | Any country | Can continue for up to 156 weeks (3 years) if certain criteria are met. | Must be full-time, unpaid, voluntary, and through a recognized aid agency. |
Impact of Overseas Pensions
Any pension you receive from another country will likely affect your NZ Super amount. For those living in New Zealand, overseas pensions are generally deducted from your NZ Super payment. If you move overseas, rules vary, especially within an SSA country. It is crucial to declare all other pension income to Work and Income to avoid overpayment issues.
Keeping Work and Income Informed
If you receive NZ Super overseas, you must inform Work and Income of any change in circumstances, such as address, marital status, or further travel. Annual life certificates must also be returned promptly to avoid payment suspension. For comprehensive and official information, always consult the official Work and Income website for details on international services and applications.
Conclusion
While receiving your NZ pension overseas is possible, it requires understanding the specific rules based on your destination and duration of stay. Different regulations apply to Social Security Agreement countries, Pacific nations, and other countries. Careful planning and an early application through Work and Income's International Services are essential to ensure a smooth continuation of your entitlement in your new life abroad.
