KiwiSaver is all about saving for your future. One of the benefits is that each year for every $1 you put in, the Government will contribute $0.50, up to $521.43.
To receive the maximum $521.43 you need to be an eligible member for the full year (1 July to 30 June) and contribute at least $1,042.86 by the end of June (employer contributions, Government contributions and amounts transferred from an Australian complying superannuation fund don't count towards this amount).
In our research we also found that two-thirds of people say they need to save more for their retirement. It’s not always easy to save money, so having the Government contribute another 50% on top of what you save (up to a maximum of $521.43) is a great opportunity!
Now is the time of year to check your contributions and make any top ups so you get the full annual Government contribution. We’ll need to receive your extra contributions by 27 June to make sure they’re in your ASB KiwiSaver Scheme account by 30 June.
Am I eligible for the annual Government contribution?
To be eligible for the annual Government contribution, you must be:
- A contributing KiwiSaver member.
- Aged 18 or over.
- Live mainly in New Zealand.
- Not yet eligible to make retirement withdrawals.
Have I contributed enough?
If you earn $34,762 or more per year and you contribute at least 3% out of your pay, you’re likely to have contributed enough to get the full $521.43. If you’re not sure how much you’ve contributed, here’s how you can see if you’re on track to contribute $1,042.86 between 1 July 2015 and 30 June 2016:
- If you’re an ASB KiwiSaver Scheme member, log in to FastNet Classic internet banking to review your voluntary contributions.
- Use IRD’s My KiwiSaver service to find out how much you’ve contributed from your salary or wages.
- Check your payslips to see how much you’ve contributed from your salary or wages.
What do I need to do?
If you’re already on track to contributing $1,042.86 between 1 July 2015 and 30 June 2016, there’s nothing else for you to do. But if you haven’t, there’s still time for you to contribute more.
How do I make extra contributions?
The great thing is that putting away even an extra $20, could get you $10 from the Government.
Get ahead on next year’s payments
If you don’t think your salary or wage contributions will be enough to get you the maximum annual Government contribution in the coming year, you could start making regular extra payments from 1 July to make this time next year easier for you.
If you’re an ASB KiwiSaver Scheme member you could:
Read more about making extra contributions to the ASB KiwiSaver Scheme.