Reference
NZ KiwiSaver Rates and Thresholds 2026/27
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Complete reference of KiwiSaver rates, thresholds, contribution rules, and government contributions for the 2026/27 year. KiwiSaver is New Zealand's voluntary workplace savings scheme, established under the KiwiSaver Act 2006.
KiwiSaver Calculator KiwiSaver Fee Calculator First Home WithdrawalEmployee Contribution Rates
Employees can choose from the following contribution rates. The default rate changed from 3% to 3.5% on 1 April 2026.
| Rate | Status | Notes |
|---|---|---|
| 3% | Available (was default until 31 March 2026) | Must actively choose to remain on 3% |
| 3.5% | New default from 1 April 2026 | Applied automatically for new members and those who were on 3% |
| 4% | Available | Becomes the new default from 1 April 2028 |
| 6% | Available | Employee choice |
| 8% | Available | Employee choice |
| 10% | Available | Maximum employee rate |
Employer Contributions
| Item | 2026/27 | Notes |
|---|---|---|
| Minimum employer contribution | 3.5% | Matching the new default rate (was 3% until 31 March 2026) |
| ESCT on employer contributions | 10.5% to 39% | Based on employee's total remuneration + employer contribution |
| Employer contributions for 16-17 year olds | Now compulsory | Changed from 1 April 2026. Previously optional for under-18s. |
| Employer contributions for 65+ | Optional | Employer not required to contribute for employees 65+ |
Government Contribution (Member Tax Credit)
| Item | Amount |
|---|---|
| Government contribution rate | 25 cents per $1 of member contributions (halved from 50 cents on 1 July 2025) |
| Maximum annual government contribution | $260.72 (from 1 July 2025; previously $521.43) |
| Member contribution needed for maximum | $1,042.86 per year (around $20.06/week) |
| Eligibility age | 16 to 64 (16 and 17-year-olds became eligible from 1 July 2025) |
| Income eligibility cap | Not available if taxable income exceeds $180,000 per year (from 1 July 2025) |
| Residency requirement | Must be a NZ tax resident and mainly living in NZ |
| Contribution year | 1 July to 30 June |
The government contribution is calculated on the KiwiSaver year (1 July to 30 June), not the tax year. To receive the full $260.72, you need to contribute at least $1,042.86 during the year (25c per $1 up to the cap). For someone earning $30,000 on the 3.5% rate, annual contributions would be $1,050, which is just enough to receive the full government contribution (provided their taxable income is under $180,000).
First Home Withdrawal Rules
| Requirement | Detail |
|---|---|
| Minimum membership period | 3 years |
| Minimum balance after withdrawal | $1,000 must remain in the account |
| Previous home ownership | Must not currently own property (exceptions for "qualifying first home buyers in equivalent financial position") |
| Purpose | Purchase of a home you intend to live in |
| Government contribution withdrawal | Yes, can be withdrawn for first home |
| Employer contribution withdrawal | Yes, can be withdrawn for first home |
First Home Grant (DISCONTINUED)
The First Home Grant (previously the KiwiSaver HomeStart Grant) was discontinued on 22 May 2024. It previously provided up to $5,000 for existing homes and $10,000 for new builds per eligible applicant. The grant is no longer available for new applications.
Kainga Ora First Home Loan
| Feature | Detail |
|---|---|
| Minimum deposit | 5% (vs standard 20%) |
| Income cap (single buyer, no dependants) | $95,000 |
| Income cap (single buyer with dependants) | $150,000 |
| Income cap (2+ buyers) | $150,000 combined |
| House price caps | None (house price caps were removed from 1 June 2022) |
| Lenders | ANZ, ASB, BNZ, Kiwibank, Westpac, SBS, and others |
KiwiSaver Fund Types
| Fund Type | Growth Assets | Risk Level | Typical Return (long-term avg) |
|---|---|---|---|
| Defensive / Cash | 0 to 10% | Low | 2 to 4% |
| Conservative | 10 to 35% | Low-Medium | 3 to 5% |
| Balanced | 35 to 63% | Medium | 5 to 7% |
| Growth | 63 to 90% | Medium-High | 7 to 9% |
| Aggressive | 90 to 100% | High | 8 to 11% |
Growth assets include shares and property. Higher growth asset allocation means higher long-term expected returns but more short-term volatility. The default fund for auto-enrolled members is a "balanced" fund. Members can switch funds at any time for free.
Other Withdrawal Conditions
| Withdrawal Type | Conditions |
|---|---|
| Retirement (age 65) | Can withdraw full balance as lump sum or partial withdrawals after 5 years of membership |
| Significant financial hardship | Application to provider with evidence (inability to meet minimum living expenses) |
| Serious illness | Medical certification of permanent total disablement or terminal illness |
| Permanent emigration | After 1 year of permanent departure from NZ (not available for moves to Australia) |
| Death | Paid to estate |