KiwiSaver Providers
- There are 28 providers all together
- All 6 banks are providers
- There are 3 independent accredited default providers
- Booster
- Fisher Funds
- Mercer
Rules of engagement for people on p.a.y.e
- Upon joining KiwiSaver, you receive from the New Zealand Government, a $1,000 kick start. As of 21st April 2015, it eas withdrawn by the National Government
- For every dollar you contribute up to $1,042, you receive $0.50
- There is a maximum annual tax credit of $521
- The tax credit is paid annually by the New Zealand Government
- Your employer is required to contribute an amount equal to 3% of your earnings towards your KiwiSaver account and you as the investor must contribute a minimum of 3% of your earnings
- You, as the investor, have a choice of contributing 3%, 4%, 6%, 8% or 10%
- Plus you are able to make additional contributions via setting up an automatic payment through your bank or just a one off payment
- Or setting up a direct debit though ASR KiwiSaver Ltd and the monies are paid into your KiwiSaver account
- Note: There is no limit to voluntary contribution amounts
Rules of engagement for people who are self employed and paid via drawings
- For every dollar you contribute up to $1,042, you receive $0.50
- There is a maximum annual tax credit of $521
- The tax credit is paid annually by the New Zealand Government
- Self employed people need to setup a direct debit or automatic payment contribution of $88 per month into their KiwiSaver account. Doing this will maximize the annual tax credits
Automatically join or start KiwiSaver contribution again when you start new employment if you are 18 or older.
If you turn 18 while in full time employment, you will need to opt in to KiwiSaver.
- If you do not make an active choice of provider, you will be allocated to one of the nine default providers
- Your contribution will be invested into a conservative fund
- You are able to opt out from day 15 to day 56
- Once you have been contributing to your KiwiSaver account for 12 months or more, you are eligible to take a savings suspension from 3 months up to 5 years
- After 5 years you can start another savings suspension if you wish
KiwiSaver home deposit subsidy – for purchasing your first home where it is an existing home
- You can apply for the deposit subsidy if you have belonged and have regularly contributed to a KiwiSaver scheme, complying fund or exempt employer scheme for at least three years
- The subsidy is $1,000 for each year of contribution to the scheme, from a minimum of 3 years ($3,000) to a maximum of 5 years ($5,000)
- You can purchase a property with other people who may or may not also qualify for a deposit subsidy
- You and your partner could potentially get a combined subsidy of $10,000
- You do not need to pay back the subsidy, but you must be purchasing a house you are intending to live in for at least six months
KiwiSaver home deposit subsidy – for purchasing your first home where it is a new home
- You can apply for the deposit subsidy if you have belonged and have regularly contributed to a KiwiSaver scheme, complying fund or exempt employer scheme for at least three years
- The subsidy is $2,000 for each year of contribution to the scheme, from a minimum of 3 years ($6,000) to a maximum of 5 years ($10,000)
- You can purchase a property with other people who may or may not also qualify for a deposit subsidy
- You and your partner could potentially get a combined subsidy of $20,000
- You do not need to pay back the subsidy, but you must be purchasing a house you are intending to live in for at least six months
What if you have owned property before?
- If you have previously owned property (but no longer do so), you may still be eligible for the deposit subsidy. The same application process is followed; however you will need to complete the additional section in the application form (Section E, page 9)
- Please visit the Housing New Zealand’s website for approval details