A retirement investment specialist believes when it comes to the retirement policy, New Zealand should take a leaf out of Australia's book.

Australia's Treasurer Wayne Swan made an announcement in this month's budget that by 2023 the age a person is eligible to receive a pension will increase from 65 to 67.

In addition, retirement tax benefits for higher-paid individuals will be decreased and to pay for a weekly increase for present pensioners the Government would discontinue matching contributions to low and middle-income earners.

Retirement investment consultant Paul Newfield told that New Zealand's Government should even address the issue of an ageing population.

He informed that presently approximately 11% of the population is over 65 however in the year 2015 the number of population over 65 will increase to 25%.

Newfield said increasing taxes would be unpopular however in the coming years the Government will be aware the power of the 'grey vote' will raise.

He said that the issues related with an ageing population will be exacerbated as the population increases.

(Via TopNews New Zealand. Contributed by Tangaroa Snell)