KiwiSaver is all about making it easy. This includes providing a number of ways to contribute.
Whether you’re a permanent employee, run your own business, freelance, or not working at all, there’s a contribution option to suit:
- have contributions made straight from your pay;
- make regular contributions via direct debit;
- make lump sum contributions, either directly to your KiwiSaver scheme provider or through Inland Revenue.
If you’d like to talk through these options in more detail, please contact our helpdesk on 0800 266 463.
Contributing as an employee
When you join a KiwiSaver scheme, you decide how much of your gross salary or wages (i.e. before tax) you want to contribute. It can be 3%, 4% or 8%. If you don’t make a choice, the rate will automatically be 3%.
Your employer will deduct your contributions directly from your pay each time you are paid and send them to Inland Revenue. They will then forward the money to your KiwiSaver account.
When you first join KiwiSaver, Inland Revenue will hold any contributions you make in an interest-bearing account for three months. They will then transfer this money, along with the interest it has earned, to your KiwiSaver account.
It’s important to note that you are only allowed to be a member of one KiwiSaver scheme. If you start a new job and are already in KiwiSaver, let your new employer know.
Want to change your contributions?
You can. To change your contribution rate just complete a KiwiSaver deduction form (KS2) and give it to your employer.
Please note you can only change your contribution rate once every three months, unless your employer agrees to a shorter time period.
Your employer makes contributions too
Generally, while you’re contributing to KiwiSaver, your employer will contribute 3% of your gross salary or wages (i.e. before tax) too, as long as you:
- are at least 18 years old; and
- have not reached your retirement eligibility date
Your employer may decide to pay more than the minimum 3% contribution. Tax is deducted from employer contributions before these are paid to Inland Revenue.
The contributions from your employer will be paid to Inland Revenue and then transferred to your KiwiSaver account.
Your employer may already be contributing to a registered workplace savings scheme for you. If this is the case, you may not be entitled to the compulsory employer contributions to your KiwiSaver account. We suggest that you talk to your employer to check.
Member Tax Credits from the government
As long as you’re eligible, for every dollar you put in to your KiwiSaver account, the government will contribute 50 cents, up to $521.43 each year.
This is called your KiwiSaver Member Tax Credit (MTC). It is paid directly into your KiwiSaver account after 30 June each year. It is on top of contributions from you and your employer.
Please note that if you are under 18 or over 65 and have been in KiwiSaver for more than 5 years you are not eligible for the Member Tax Credits.
Contributing when you’re self-employed or not working
Here, you’ll agree with your KiwiSaver scheme provider on how much you want to contribute each year. This will be a dollar amount rather than a percentage of pay.
You can make contributions directly to Aon KiwiSaver Scheme by direct debit, transfer from your bank account (as a bill payee or through Inland Revenue) or cheque.
The Aon KiwiSaver Scheme currently doesn’t have a minimum annual amount that you need to contribute. You can find out more by calling our helpdesk on 0800 266 463.
How to set up additional contributions
You can make regular voluntary contributions in addition to those deducted from your salary or wages. You can pay these to your KiwiSaver account via direct debit or cheque or transfer from your bank account (as a bill payee or through Inland Revenue).
You can set up a direct debit to your Aon KiwiSaver Scheme account weekly, fortnightly, monthly or annually. Please note that each contribution needs to be at least $20.
If you’re already a member of the Aon KiwiSaver Scheme you can set up a direct debit by downloading our Direct debit authority form, completing it and sending it back to us.
If you’re joining the Aon KiwiSaver Scheme for the first time, complete and return the Direct debit authority form that is at the back of the product disclosure statement if you want to make additional voluntary contributions.
Alternatively make payments through your bank account or Inland Revenue as mentioned above.
Making one-off payments
You can make one-off contributions of at least $100. This can be done at any time.
To make a lump sum contribution you need to complete a Member voluntary lump sum contribution form and send it to us. Cheques need to be made payable to Aon KiwiSaver Nominees Limited. Please note that the cheque needs to be from an account in your name (not in the name of a company or trust) due to the requirements of Aon’s Anti-Money Laundering / Countering Financing of Terrorism programme.
You can also pay online using our bill paying facility. Simply search for Aon KiwiSaver Scheme under bill payments and complete the requested fields within the internet banking paying facility. Alternatively make a payment through Inland Revenue.
Taking a contributions holiday
It may be that changes in your life mean you need to suspend contributions for a while. KiwiSaver allows you to take a contributions holiday for a minimum of three months and up to five years. You’re eligible for this holiday if you have been a member of KiwiSaver for at least 12 months.