New Zealand KiwiSaver Calculator 2024
Calculate retirement savings contributions for employees and employers
Introduction
🎯 What
KiwiSaver is New Zealand's voluntary, work-based retirement savings scheme. This calculator estimates contributions from employees (3%-10% of salary) and employers (minimum 3%) for 2024.
👥 Who
Employees enrolled in KiwiSaver, self-employed individuals, employers calculating contributions, and accountants managing payroll and retirement planning.
💡 Why
To calculate KiwiSaver contributions accurately for compliance with IRD requirements, plan retirement savings, and understand the impact on take-home pay.
💼 Income & Employment Details
Your annual before-tax income
Choose your contribution percentage
Additional lump-sum contributions per year
📊 Employer Contribution Details
Extra employer contributions beyond the standard rate
Member tax credit and other government contributions
💵 Contribution Summary
Enter your details and calculate
Detailed Contribution Breakdown
2024 KiwiSaver Contribution Rates
Employee Contribution Options
- • 3% (Minimum default)
- • 4%, 6%, 8%, or 10%
- • Deducted from gross salary via PAYE
- • Additional lump-sum payments allowed
- • Can be made directly to provider
- • No maximum contribution limit
Employer Contribution
Mandatory employer contributions:
Employers can contribute more than 3% if they choose to provide enhanced benefits.
Government Member Tax Credit
The government contributes 50 cents for every dollar you contribute, up to a maximum of $521.43 per year. This requires a minimum annual contribution of $1,042.86 to receive the full credit.
Allowances & Deductions
🎁 Government Contributions
The government provides the following contributions to eligible KiwiSaver members:
- Member Tax Credit: Up to $521.43 annually (50% match on contributions)
- KickStart: $1,000 one-time payment for new members (ended June 2015, grandfathered for existing members)
- Members must contribute at least $1,042.86 annually to receive full tax credit
💰 Tax Treatment
KiwiSaver has specific tax rules:
- Employee contributions are deducted from gross salary before PAYE calculation
- Employer contributions (up to 3%) are generally not taxable income to the employee
- Employer contributions above 3% may be subject to Employer Superannuation Contribution Tax (ESCT)
- Investment returns within KiwiSaver funds are taxed at PIR (Prescribed Investor Rate)
📋 Contribution Flexibility
Employee Options:
- Can change contribution rate anytime (3%, 4%, 6%, 8%, or 10%)
- Can take contribution holidays after 12 months of membership
- Can make voluntary lump-sum contributions
Withdrawal Rules:
- Funds generally locked-in until age 65 (retirement age)
- First home withdrawal allowed (minimum 3 years membership)
- Significant financial hardship withdrawal possible
- Serious illness or permanent emigration withdrawal available
⚠️ Important Notes
This calculator does NOT verify:
- Eligibility for government contributions or tax credits
- PIR (Prescribed Investor Rate) for investment returns
- ESCT (Employer Superannuation Contribution Tax) on employer contributions above 3%
- Specific KiwiSaver provider fees or fund performance
Calculation Examples
Example 1: Standard Employee
Details:
- • Gross Salary: $60,000
- • Employee Rate: 3%
- • Employer Rate: 3%
Calculation:
- • Employee: $60,000 × 3% = $1,800
- • Employer: $60,000 × 3% = $1,800
- • Total: $3,600 (6% effective)
Example 2: Higher Contribution + Voluntary
Details:
- • Gross Salary: $80,000
- • Employee Rate: 6%
- • Employer Rate: 3%
- • Voluntary: $2,000
Calculation:
- • Employee: $80,000 × 6% = $4,800
- • Voluntary: +$2,000 = $6,800
- • Employer: $80,000 × 3% = $2,400
- • Total: $9,200 (11.5% effective)
Example 3: Enhanced Employer Contribution
Details:
- • Gross Salary: $50,000
- • Employee Rate: 4%
- • Employer Rate: 3%
- • Additional Employer: $500
Calculation:
- • Employee: $50,000 × 4% = $2,000
- • Employer: $50,000 × 3% = $1,500
- • Additional: +$500 = $2,000
- • Total: $4,000 (8% effective)
Frequently Asked Questions
Q: What is KiwiSaver?
A: KiwiSaver is a voluntary, work-based retirement savings scheme in New Zealand designed to help people save for retirement. It was introduced in 2007 and is open to New Zealand citizens and permanent residents.
Q: What is the minimum employee contribution?
A: Employees can contribute 3%, 4%, 6%, 8%, or 10% of their gross salary. The minimum default rate is 3%. You can change your contribution rate at any time by notifying your employer.
Q: What is the employer contribution rate?
A: Employers must contribute a minimum of 3% of an employee's gross salary to their KiwiSaver account. Some employers choose to contribute more as an employee benefit.
Q: Are employer contributions taxed?
A: Generally no, employer contributions up to 3% of gross salary are tax-exempt to the employee. Contributions above 3% may be subject to Employer Superannuation Contribution Tax (ESCT).
Q: What is the government member tax credit?
A: The government contributes 50 cents for every dollar you contribute to KiwiSaver, up to a maximum of $521.43 per year. To receive the full credit, you must contribute at least $1,042.86 annually.
Q: Can I withdraw my KiwiSaver funds?
A: Funds are generally locked-in until age 65. Early withdrawal is allowed for: first home purchase (after 3 years), significant financial hardship, serious illness, permanent emigration, or death. Member tax credit portions have additional restrictions.
Q: Can I take a contributions holiday?
A: Yes, after 12 months of KiwiSaver membership, you can apply for a contributions holiday for between 3 months and 1 year. During this time, you won't make contributions, but your employer must continue contributing 3%.
Q: Is this calculator official?
A: No, this calculator is for informational and educational purposes only. For official KiwiSaver information and personalized advice, consult Inland Revenue (IRD) at www.ird.govt.nz or your KiwiSaver provider.
⚠️ DISCLAIMER: This New Zealand KiwiSaver Calculator 2024 is provided for
informational and educational purposes only, and is designed to be compliant with Google AdSense
content policies.
KiwiSaver contribution calculations are estimated based on standard employee contribution rates
(3%-10%) and the minimum employer contribution rate (3%) for 2024. Rates and rules are based on
the KiwiSaver Act and IRD guidance.