Top trends in employee benefits for 2025

Thu, 24 Jul 2025 14:44:30 +1200

Smart strategies to support your people and strengthen your business

In today’s competitive job market, offering a salary alone isn’t always enough. Businesses looking to attract and retain great staff are turning to employee benefits that go beyond the basics, and the good news is, they’re more accessible than ever.

Here at The HTL Group, we work with business owners and HR teams across Aotearoa to tailor affordable benefit packages that make a real difference to employees and to business outcomes. Here are five key trends we’re seeing in 2025:

1. Affordable life and trauma cover for employees

One of the simplest and most powerful ways to support your team is to offer group life and trauma insurance. These policies are far more cost-effective than most businesses realise and they show your staff (and their families) that their wellbeing matters.

We’ve seen first-hand how implementing these kinds of benefits can improve staff loyalty, reduce turnover, and build a stronger sense of care within the workplace.

2. Employee retention through values-led benefits

Beyond pay and perks, employees are drawn to workplaces that align with their values. A tailored benefits package is an excellent way for businesses to walk the talk, showing they’re committed to looking after their people, not just productivity.

From income protection plans to voluntary health schemes, you can design a package that meets the real needs of your team, without overcommitting the business.

3. Navigating KiwiSaver changes with confidence

Recent KiwiSaver changes will impact how employers approach superannuation:

As of 1 July 2025, government contributions have been halved, and some high-income earners are no longer eligible.
From 1 April 2026, both employer and employee default contributions will increase to 3.5% – and again to 4% in 2028.
16 and 17-year-olds will soon qualify for employer contributions.

The HTL Group can help you understand what this means for your business and explore more flexible options to support your staff’s financial future. We take the time to get it right, so you’re compliant, informed, and making the best use of your benefits budget.

4. Mid-year is the smart time to review

With the financial year-end behind you and summer still a way off, now is an ideal time to review your employee benefit offering. You’re not under pressure, and you have time to make smart, considered changes that set your business up for the year ahead.

We don’t believe in rushed decisions, that’s why we encourage our clients to use this mid-year window to take stock and explore what’s possible.

5. One partner for all your business insurance needs

As a true insurance brokerage, The HTL Group goes to the full market on your behalf, meaning you get quality, affordable, fit-for-purpose cover for your business, not just what one provider is selling.

We also support your team beyond the workplace, with access to personal insurance options (all listed here: https://www.thehtlgroup.co.nz/insurance) all backed by trusted local advisers.

Ready to take the next step?

Whether you’re looking to retain great people, respond to upcoming KiwiSaver changes, or simply want better business cover, The HTL Group is here to help.

Let’s meet! One of our advisers will guide you through your options and do all the work to find the right solution for your business.

Contact us today to organise a personal meeting with an HTL adviser.

Why diversification is key when navigating your Investment options

Thu, 24 Jul 2025 14:44:30 +1200

Investing can sometimes feel overwhelming. With so many options (shares, bonds, ETFs (exchange-traded funds), KiwiSaver), it’s easy to feel unsure about what’s right for you. In reality, there’s no one size fits all answer. The best strategy depends on your personal goals, your timeframe, and how much risk you’re comfortable with.

At The HTL Group, our focus is on helping clients grow their wealth through managed funds. Managed funds are one of the most cost-effective ways to access a diversified portfolio, whether that’s through KiwiSaver or a multi-manager approach held on a platform. Diversification means your money is spread across a wide range of investments, helping reduce risk and smooth out returns over time.

How do we determine the right mix for you?

Your investment mix is completely tailored to your situation. We look at:

Your age and timeframe – how long you plan to invest before needing the money.

Your goals – are you looking for income now, or growth in the future?

Your risk profile – does the strategy pass the “sleep at night” test?

Your understanding of investment markets – what you’re comfortable with.

The right balance between growth assets (like shares) and income assets (like bonds) will be different for everyone. That’s where it’s important to get advice.

A real world example

Recently, we reviewed the portfolio of a family trust we’ve advised. Over the past five years, the trust achieved an average after tax and fees return of 6.33% per year.

By comparison, bank term deposit rates over that same period ranged between 0.90% and 6.00% per year — before tax.

Despite the inevitable ups and downs in the markets, the diversified portfolio was significantly ahead of a term deposit strategy. While bank deposits may feel “safe” in the short term, they often fail to provide the returns investors need to grow their capital over the longer term.

Riding out market changes

Markets are constantly moving — interest rates, commodity prices, exchange rates, share prices, even legislation changes. No one has a crystal ball.

That’s why our philosophy is simple: “spread the eggs”. By diversifying and staying invested for the medium to long term, you ride out short-term volatility while pursuing higher overall returns.

The most important step? Start.

If you’re not sure where to begin, here’s the best advice: just start. Do some research or talk to a financial adviser, and then take action.

Procrastination is the thief of time. Thanks to the power of compounding, even small investments made early can grow into something much larger over time. We see this clearly in long-term KiwiSaver balances - the difference between starting early and starting late is enormous.

Ready to explore your options?

Let’s meet! Our team at The HTL Group can help you build a strategy that fits your goals, timeframe and comfort level.