‍The Ex-Files: Are children’s KiwiSaver accounts relationship property in a separation?

Question: I am separated from my ex-partner. During our relationship, we both contributed to our children’s KiwiSaver accounts, and we each have our own KiwiSaver. I started my KiwiSaver before the relationship and have saved more than my ex-partner, who only contributed the minimum amount. Is my ex-partner entitled to half of my KiwiSaver balance when we separated? Also, are the children’s KiwiSaver accounts treated as relationship property to be divided between us, or do they belong to the children?

Answer: KiwiSaver contributions and earnings during the course of the partnership are relationship property when deciding the parties’ respective shares. KiwiSaver balances accrued prior to the relationship are excluded. The law does not take account of the partners’ relative contributions to their KiwiSaver accounts during the period of the relationship. Nor is the riskiness of the partners’ portfolios and the investment performance evaluated. Only the total value of the KiwiSaver funds at the time of the relationship break-up is counted. The partners’ spending patterns during the relationship are not considered.

To continue reading the answer and learn about the legal considerations surrounding pre-relationship assets, as well as recommendations for avoiding high legal costs and stress related to this during separation, click here for the full NZ Herald article.