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KiwiSaver is a voluntary, work-based savings initiative to help you save for your long-term retirement. It is designed to be hassle-free, so it’s easy to maintain a regular savings pattern. All New Zealanders up to the age of 65 can join.

Whether you are a staff member of one of our corporate clients, or an individual client looking to transfer your Australian super into KiwiSaver, we can help you with all aspects of KiwiSaver. Below is a collection of our most frequently asked questions to help you understand the basics of KiwiSaver. If you have any further questions please do not hesitate to contact us for more information.

How does it work?

 


Most members will build up their savings through regular contributions from their pay. Your KiwiSaver savings are made up of contributions to your account, plus or minus investment returns, minus any withdrawals, fees and taxes.

Your
Contributions

+

Government
Contributions

+

Employer
Contributions

+
or

Investment
Returns

Withdrawals,
Fees & Taxes

=

Your KiwiSaver
Savings

  1. Contributions are paid to the provider of your KiwiSaver account and are invested in the funds of your choice.
  2. Add or subtract your investment returns, which can go up or down over time.
  3. Subtract any withdrawals (like the first home withdrawal), fees and taxes.
  4. And you’re left with your retirement savings. Most people become eligible to get their money when they qualify for NZ Super (currently 65).


What are the benefits?

  • A member tax credit of up to $521.43 per year
  • Employer contributions of at least 3% of your gross salary or wage
  • First Home Buyers subsidy (Housing New Zealand)
  • First Home Buyers withdrawal (access to your contributions and your employer’s contribution)


How much do I pay?

 


Members who are employed, will contribute at a rate of 3% (minimum), 4% or 8% of their salary. Members who are self-employed i.e. who do not have PAYE instalments or non-employed can choose how much and how often they contribute. After you have been a KiwiSaver member for 12 months, you can apply to go on a contributions holiday. If you choose to do this you are no longer entitled to the compulsory employer contribution.

How do I join?

 
New employees are automatically enrolled into a KiwiSaver plan by their employer and have up to eight weeks to opt-out. Existing employees can opt-in to KiwiSaver at any time through their employer or by signing up with a KiwiSaver provider directly. People who are self-employed or non-employed can join a KiwiSaver plan by signing up with a provider directly. Children are also eligible to join, see our section below for more details.

How do I access my funds?

 


You may access your KiwiSaver retirement savings when you reach the eligibility age for New Zealand Superannuation (currently age 65) or once you have been a KiwiSaver member for five years if you joined after turning 60.