Below are some of the Frequently Asked Questions we have been asked by employers.
- What happens if I don't select an Employer's Chosen Scheme?
- I have a lot of employees under 18 - what do I tell them?
- What if I have employees with more than one job?
- What happens if I have a temporary employee where I extend the contract past 28 continuous days?
- What is a complying superannuation fund?
- What do I do when a new employee starts work and they are already a KiwiSaver member?
- Do I have to do anything if my employee wants to change KiwiSaver schemes?
- Where can I find more information about KiwiSaver?
What happens if I don't select an Employer's Chosen Scheme?
You are not required to select an Employer's Chosen Scheme. If you do not have one for your business and your employee does not select their own KiwiSaver scheme when they join they will be placed in one of the six default KiwiSaver schemes.
I have a lot of employees under 18 - what do I tell them?
New and existing employees under age 18 are able to join KiwiSaver but only by enrolling directly with a KiwiSaver provider (you do not automatically enrol an under 18 year old who starts working for you). Once an under 18 year old employee has joined KiwiSaver, or if they are already a KiwiSaver member, you will need to deduct KiwiSaver employee contributions in the same way you do for other KiwiSaver members. Employer contributions are not required to be paid if the employee is under 18 and they will not receive the member tax credit of up to $10 a week. Once your employee turns 18 you will need to commence employer contributions and they will become eligible to receive member tax credits if they meet the other eligibility criteria.
What if I have employees with more than one job?
Employees with more than one job will be able to choose to join KiwiSaver and make contributions from any or all of their employment sources. Contributions will need to be deducted from an employee's salary or wages on all jobs for the first 12 months after joining KiwiSaver. After contributing to KiwiSaver for 12 months, they can apply for a contributions holiday from any or all jobs.
What happens if I have a temporary employee where I extend the contract past 28 continuous days?
Once you extend the contract beyond 28 continuous days you must give them a KiwiSaver information pack, enrol them in KiwiSaver and start deductions from their next pay.
What is a complying superannuation fund?
A superannuation fund that is approved as a complying superannuation fund by the Government Actuary. Put simply it is a registered superannuation scheme that has essentially equivalent rules to KiwiSaver.
What do I do when a new employee starts work and they are already a KiwiSaver member?
If they are not on a contributions holiday, you will need to start contributions from their first pay.
Do I have to do anything if my employee wants to change KiwiSaver schemes?
No, this is managed by Inland Revenue and the new KiwiSaver scheme provider.
Where can I find more information about KiwiSaver?
You can find more information at:
Why choose us?
Find out more about the ASB KiwiSaver Scheme: