KiwiSaver

What is the KiwiSaver government contribution?

Last verified · Methodology

What it means

Each year from 1 July to 30 June, the government adds 25 cents for every dollar a member contributes, up to a maximum of $260.72. Getting the maximum needs $1,042.86 of your own contributions over the year, which is about $20 a week. Employer contributions do not count towards it.

The rules changed on 1 July 2025. The rate was halved from 50 cents to 25 cents per dollar, members aged 16 and 17 became eligible, and anyone with taxable income over $180,000 no longer qualifies. You must be 16 to 65 and mainly living in New Zealand. IRD pays it into your account after the year ends.

How it is worked out

Government contribution = lesser of (your contributions x 25%) and $260.72

Example

An employee on $50,000 at 3.5% contributes $1,750 and receives the full $260.72. On $25,000 at 3.5% the contribution is $875, which earns $218.75.

Run the numbers

Open the KiwiSaver calculator

Related terms

KiwiSaverKiwiSaver is New Zealand's voluntary work-based retirement savings scheme. From 1 April 2026 the default employee and employer rates are 3.5% each.ESCT (employer superannuation contribution tax)ESCT is the tax taken off your employer's KiwiSaver contributions before they reach your account. The rate depends on your pay plus those contributions.IRD numberYour IRD number is the eight or nine digit number Inland Revenue uses to identify you for tax, KiwiSaver, student loans and Working for Families.
KiwiSaver government contribution: common questions

The KiwiSaver government contribution pays 25 cents per dollar you contribute each July to June year, up to $260.72.

Yes. Pay a lump sum to your provider or to IRD before 30 June so your own contributions for the year reach $1,042.86.

← Back to the NZ glossary