Tips for going from studying to starting work

Updated 6 December 2023

There are lots of different paths you can take after you graduate from university and start working. Whether you want to go on your OE, start building your wealth through investing, save to buy your first home, or just make the most of that new salary, graduation is a great time to set financial goals and make a plan to achieve them. 

Making smart money choices as a new grad can set you up for success, so read on for our top tips for transitioning from studying to joining the workforce. 

How can I get my first job?

Job interviews can be daunting, no matter what stage of your career, but doing a bit of prep can go a long way. So take time to tailor your cover letter to each role, research the company you’re applying to, practice answering common interview questions and make sure you look your best at an interview. 

We have some awesome advice on how to land your first job by helping you sort your CV, ace the interview, and hit the ground running.

Will I automatically join a KiwiSaver scheme when I start working? 

When you start your first new job, you’ll be automatically enrolled in a KiwiSaver scheme, provided you’re an NZ citizen or resident, living in NZ, and you’re 18 or older. If you’re younger than 18, you won’t be automatically enrolled by your employer but you can join a scheme directly. Your parents can also enrol you in a KiwiSaver scheme when you’re under 16.

Once you’re a member of a scheme, a percentage of your salary or wages will be automatically invested for you every time you get paid – the default is 3% of your pay, but you can choose to contribute 4%, 6%, 8% or 10% if you want to save more quickly. In most cases, your employer will contribute 3% to your account too, and each year (assuming you meet the eligibility requirements) the government will make a contribution of $521.43 if you save at least $1,042.86. 

To get the most out of KiwiSaver, remember to take the time to choose the right KiwiSaver scheme fund, review your KiwiSaver scheme fund type, and contribute at least $1,042.86 (that’s about $20 a week) and 3% of your salary to receive your maximum employer and Government contribution.  

Do you know if your KiwiSaver scheme funds are invested in line with your values? All MAS KiwiSaver Scheme funds are invested responsibly to avoid harm, influence positive change, and make a difference. And we back up our claims – MAS is a signatory to the United Nations Principles of Responsible Investment and our funds have been recognised by independent investment charity Mindful Money, and certified by the Responsible Investment Association of Australasia.  

How do I pay my student loan when I start working?

Once you start earning $22,828 or more each year while living in Aotearoa New Zealand, student loan repayments will automatically start coming out of your pay. You don’t need to make transfers manually – all you need to do is make sure you’re on the right tax code (your tax code should include the letters ‘SL’). You can make extra student loan repayments above the automatic deductions if you want to, but whether this is the right choice for you will depend on your own financial situation, like whether you have other debt or are planning to go overseas. Our guide to paying off your student loan can help you make decisions for your individual situation. 

How do I make the most of my new salary?

Whatever your goals are once you’ve graduated and started working, making the most of your new salary will probably require a bit of budgeting. And while the word ‘budget’ conjures up images of scrimping and saving, it’s not really about that – planning where your money goes means you’ll be more intentional about your spending and less likely to end up living off two minute noodles by the end of the month. Check out our guide to budgeting to find out how to make the most of your money. 

What kind of insurance do I need once I’ve graduated? 

Insurance probably isn’t something you thought about much while studying – when you’re a student you don’t own a lot of valuables and probably don’t have a lot of spare cash, so it’s not likely to be a priority. But once you’re working full-time, it’s worth thinking about how insurance could help you get back on your feet if things were to go wrong.

It can be confusing to figure out what types of insurance you do or don’t need, so if you’re unsure, we recommend chatting to a MAS Adviser to help you learn about the world of insurance and investments. We also offer free financial reviews, including for graduating students, where you can chat about your financial goals and make a plan for how to achieve them. We’re proud to have been awarded the Consumer NZ People’s Choice Award for our house, car and contents insurance for seven years in a row too. 

Find out more about joining the MAS KiwiSaver Scheme that’s driven by purpose, not profit.