Employee Contributions to KiwiSaver
As an employee, you can choose to contribute between 3%, 4%, 6%, 8%, or 10% of your salary to your KiwiSaver account. These contributions are automatically deducted by your employer. If you don't specify a contribution rate, a default rate of 3% will apply.Even if you are self-employed, a contractor, or not currently working, you can still contribute to your KiwiSaver.
Employer Contributions to KiwiSaverIf you're employed, your employer is required to contribute at least 3% of your pre-tax income to your KiwiSaver account. This helps ensure that a portion of your earnings is consistently saved for the future.
Government Contributions to KiwiSaverYou could also receive contributions from the New Zealand government. If eligible, the government will contribute 50 cents for every dollar you contribute, up to a maximum of $521.43 per year, between the ages of 18 and 65.
KiwiSaver for Buying Your First HomeKiwiSaver can also be used to help you buy your first home. Depending on your eligibility, you may be able to withdraw funds from your KiwiSaver account to contribute toward your first property purchase.
KiwiSaver for Retirement IncomeYou can start withdrawing your KiwiSaver savings when you reach age 65. However, it’s important to understand that relying solely on KiwiSaver and NZ Super might not provide enough to live comfortably during retirement. Many New Zealanders require more than just these two sources of income to maintain their desired lifestyle in retirement.
By consulting with a financial adviser from Succession First, you’ll discover how much more you need to save to secure a financially stable and comfortable retirement.
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