Last chance to secure the govt top up

Published date24 June 2022
AuthorOPINION Shelley Hanna
Publication titleNorthern Advocate, The (Whangarei, New Zealand)
AThis is a timely reminder for all KiwiSaver members over 18 and under 65 to check if they have contributed enough to get the full government top up of $521, before June 30

Every dollar that eligible members contribute up to $1042 will entitle them to 50c from the government.

Your provider can tell you how much you have contributed, or you can work it out yourself if you add up all the employee contributions since July 1, 2021. You can also go online and check in your My IR account. Self-employed members who are making payments directly from their bank account can add up their contributions themselves.

Your son can certainly make voluntary payments directly into his KiwiSaver account. Paying in $1042 to get the government top up of $521 will give him a better ‘return’ than putting that amount on his mortgage. He needs to do this before June 30 to make sure that the money reaches his provider in time. It is easy to make the payment by internet banking.

As he is nearly out of time, it would be best to pay via IRD (select KSS from the drop-down box under tax payments) before midnight on June 30. He will need to provide his name and IRD number. If paying to his provider, he should do this a few days before June 30 to allow the funds to be processed and he should provide his name, member number and IRD number under payee details.

Unless someone is on the minimum wage, it is not illegal for an employer to include employer contributions in a wage agreement. Section 101B(4) of the KiwiSaver Act allows employer contributions to be bundled...

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