The government contributes to your KiwiSaver account through member tax credits (MTC) each year, if you meet certain conditions.
From 1 July 2011, the government pays 50 cents for every dollar you contribute to your KiwiSaver account each year, up to $521.43.
This means that you must contribute $1,042.86 annually to get the full member tax credit (MTC) payment of $521.43.
Your MTC are not counted for tax purposes.
To qualify for member tax credits (MTC), you must be:
Even if you don’t live in New Zealand, you may still qualify if you're in certain groups. You must be:
To receive your full member tax credit (MTC) entitlement of $521.43, you need to contribute at least $1,042.86 to your KiwiSaver account each year. The MTC year runs from 1 July to 30 June.
Even if you don't contribute $1,042.86 over the year, you can get some MTC – as long as you pay in some money before 30 June.
Use direct debit to make a one-off or repeat payments into your Booster KiwiSaver account. It's one of the quickest ways to contribute any extra money you need to get member tax credits (MTC).
You can set up a direct debit payment using the direct debit tool in your online Booster account.
Or you can use online banking. Most banks already have our details set up so you can use the bill payment service in your internet banking.
Follow the same process as setting up a bill payment for a utility bill, such as a phone bill. You don’t need to enter our bank account number.
Only employee or voluntary contributions count towards your member tax credit (MTC) entitlement.
Other types of contributions don't count. These are:
Note that you'll be entitled to lower MTC than the full amount of $1,042.86 if one or more of the following is true. If you:
This is because your MTC entitlement is based on the number of days in the year that you are eligible.
You may already qualify for the full member tax credit (MTC) if your annual salary is either:
You may need to make voluntary contributions to make sure you get all the MTC you can if you're:
To make sure you contribute enough to get the full MTC each year, you can set up a direct debit to make regular payments into your Booster KiwiSaver Scheme account.
You can check your member tax credit (MTC) entitlement by logging into your online member account and going to ‘My MTC’.
There you’ll be able to see our estimate of:
Please remember that our records may not include:
You should bear this in mind when making any top-up payment.
If you’ve never logged into your online account before, it’s easy to register for online access.
We claim member tax credits (MTC) from Inland Revenue on your behalf in early July each year.
We usually get MTC payments from Inland Revenue and apply them to your account by mid- to late-July.
If you joined KiwiSaver before 2pm, Thursday 21 May 2015, you were entitled to receive the $1,000 kick-start. This was a one-off government contribution to your KiwiSaver account.
The 2015 Budget removed this so anyone enrolling in KiwiSaver on or after 2pm, 21 May 2015 no longer gets the kick-start payment.
If you have any queries or want to know more: