Benefits of joining KiwiSaver

The benefits start from the moment your first contributions go into your KiwiSaver account:

• $1,000 kick-start payment. Everyone who joins KiwiSaver gets $1,000 from the Government to kick-start their account. The money goes straight into your account when the account is opened.

• Up to $1,043 extra every year. Every dollar you contribute to your KiwiSaver account – up to $1,043 a year – will be matched by the Government, boosting your savings further.

• Compulsory contributions from your employer. Your employer will contribute 2% of your before-tax salary towards your KiwiSaver account. These contributions will be tax free, helping you save even faster.

• Withdrawal for your first home. If you’re a first home buyer, you can make a withdrawal from your KiwiSaver account and put the money towards a deposit on your first home.

• Up to $5,000 for your first home. You may also be able to get up to $5,000 from the Government to help pay for your first home, if you qualify.

• Everyone who joins KiwiSaver gets $1,000 from the Government to kick-start their KiwiSaver account.

• This money goes straight into your KiwiSaver account when your account is opened, and stays there until you reach retirement age – when you’re able to reap the full rewards of your investment and withdraw the full amount of your savings.

• If you’re aged 18-65 every dollar you contribute to your KiwiSaver account – up to $1,043 a year – will be matched by the Government, whether or not you’re working.

• Called a ‘member tax credit’ the money is deposited into your KiwiSaver account once a year, every year.

• It is compulsory for your employer to contribute 2% of your before-tax salary into your KiwiSaver account tax free.

• You need to match or exceed the amount of your employer’s contributions, so the amount of your own contribution has to be 2%, 4% or 8%.

• If you are already getting employer-subsidised super now, your employer won’t be required to make extra contributions, as long as their contributions are the same as or more than the compulsory amount.

• First home withdrawal. After three years of saving you can make a one-off withdrawal from your KiwiSaver account and put this money towards a deposit for your first home.

• First home subsidy. You could also get a first home subsidy of $1,000 a year for the first five years of saving with KiwiSaver (if you qualify). You may be able to use this money after three years of saving to put towards the purchase of your first home on top of your first home withdrawal.

• Double your deposit. If you have a partner and they also have a KiwiSaver account, you could combine your first home benefits to double your deposit for your first home.

• There’s more about these benefits in the first home buyers section.