To help you save, the Government will make an annual contribution towards your mysuper account as long as you're making locked employee contributions and aged 18 or over.
Who gets the Government contribution?
The Government contribution (or as it used to be known a Member Tax credit) will be paid each year (around August/September) to Members of mysuper who are making locked employee contributions, meeting the terms of the KiwiSaver Act 2006.
If you're not making locked employee contributions or are only receiving locked employer contributions you won't be eligible to receive a Government contribution. The Government contribution ceases when you reach age 65, or if you were over 60 when you joined, when you have been a Member for 5 years, whichever is the latter.
If you are an existing Member on a contribution holiday and want to start making a locked employee contribution to receive a Government contribution, simply complete our Contribution Rate Change Form.
How much Government contribution you can get?
The maximum annual Government contribution you are entitled to is $521.43.
To get the full Government contribution automatically you have to contribute at least $1,042.86 in locked employee contributions to your mysuper account each financial year (1 July to 30 June). The Government will pay 50 cents for every dollar of member contributions annually up to a maximum payment of $521.43. This means that you must contribute $1,042.86 annually to qualify for the maximum payment of $521.43.
Locked employer contributions, government contributions, and all unlocked contributions (employee or employer) don't count towards eligibility for a Government contribution.
Only one Government contribution is awarded per person, even if you make locked contributions to more than one scheme (e.g. mysuper and KiwiSaver). And some rules apply around how much you can earn if you only start making a locked contribution before the end of a financial year.