There are several ways in which money can be contributed to your KiwiSaver account. Most importantly, how you contribute depends on your employment status. The various types of contributions are summarised in the following table.
|Contribution type||Employed||Self-employed||Not working||Under 18|
|Employee contributions||Required, unless on a savings suspension||No, unless you receive PAYE income*||No||Required, if working|
|Employer contributions||Required, unless on a savings suspension||No, unless you receive PAYE income*||No||No|
|Regular payments (E.g. direct debit)||Optional||Optional||Optional||Optional|
|Lump sum payment||Optional||Optional||Optional||Optional|
|Government contributions||You may be eligible to receive up to $521.43. Find out more about the Government contribution.||No|
*If you are self-employed and receive PAYE income you will need to make both employee and employer contributions.
KiwiSaver helps you save for your retirement. If you’re like most KiwiSaver members, the money you contribute will come out of your salary and wages, including bonuses, commission and overtime payments.
Your KiwiSaver contributions are calculated on your gross salary and wages and deducted from your net pay. The minimum contribution is 3% of your wages, even if you are a member of another work place savings scheme.
You can choose to increase this to 4% 6%, 8% or 10%. To do this you will need to complete a KiwiSaver deduction form (KS2 form) and give this to your employer. Your new rate will apply to the next payment of salary or wages after this notification has been provided to your employer.
You can also make lump sum contributions at any time. It’s easy to deposit money into your Summer account online.
You can find out more about how contributions go from your wages and salary to the IRD, and then into your KiwiSaver account.
In most circumstances your employer will make a contribution to your KiwiSaver savings, usually 3% of your salary or wages.
Employers are not obliged to contribute:
In addition to your KiwiSaver savings and your employer contribution, the Government may also contribute to your KiwiSaver account.
Find out more about the Government contribution.
Each July, we submit claims on our member's behalf and arrange for this to be automatically credited to their accounts. If you are concerned you have not contributed enough to access the maximum Government contribution, please get in touch and we can advise the value of your contributions for the current year.
The Summer KiwiSaver scheme has no minimum transaction requirements, so you can adjust your contributions in line with your cash flow.
If you are either self-employed and PAYE isn't deducted, or are not currently working, you can make regular contributions or lump sums in line with your situation.
You may wish to optimise your contributions to access the Government contribution. It’s easy to deposit money into your Summer account online.
Yes – find out about taking a ‘savings suspension’
Did you start saving for retirement before KiwiSaver was launched? Consolidating into one KiwiSaver scheme may help you to track your savings and the fees that you pay.
As long as the rules of the other superannuation scheme let you transfer to a KiwiSaver scheme, we can assist you with the process and make contact on your behalf with the other provider. Please contact us for more assistance.