In New Zealand when you start a new job as an employee, your employer will automatically enrol you in KiwiSaver if you meet the criteria.  The criteria for being enrolled in KiwiSaver are if:

(a)  You are between the ages of 18 and 65;

(b)  You are on a contract of more than 28 days in length; or

(c)  You are a casual agriculture worker for more than 3 months; or

(d)  Your job is full time or permanent part-time.

Your employer should provide you with a KiwiSaver information pack for you to fill out.  From that pack you can choose at what rate your KiwiSaver deductions will be made from your earnings.

There are five different percentage rates being 3%, 4%, 6%, 8% or 10%.  Your employer must match up to at least 3% and can voluntarily match up to a higher rate..  If you do not choose a rate then your employer will deduct 3%. 

Your KiwiSaver deductions begin from your first pay.  There is an 8 week window for you to decide whether or not you want to be in KiwiSaver or not.  You can opt out if you do not want to be enrolled in a KiwiSaver scheme.

When the IRD gets your deduction details from the employer, IRD will either put you into one of nine default KiwiSaver providers or your employer’s chosen scheme if they have one.  You can also notify the IRD in the KiwiSaver information pack of any provider that you wish to have as your KiwiSaver provider.

If you are an existing employee then you can ask your employer for a KiwiSaver provider pack and once that information is complete the employer will then start your KiwiSaver deductions from your next pay.  If you have more than one employer at the time of joining, you can choose which ones to have deductions from.

You will not be eligible for a KiwiSaver enrolment if you are any of the following:

(a)  Under the age of 18 years or over the age of 65;

(b)  A casual agriculture worker or an election day worker;

(c)  Domestic worker and you pay your own PAYE;

(d)  On a temporary contract for less than 28 days;

(e)  A casual employee;

(f)   On paid parental leave or accident compensation receiving intermittent non-regular payments;

(g)  As a teacher, you transfer to another state or state integrated school;

(h)  An employee of the New Zealand State Services working overseas; or

(i)    A shareholder employee and your income is not subject to PAYE.


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