Your KiwiSaver contributions are either taxed or not depending on the type of contribution.
- Your personal employee contributions are not subject to tax, but have already been taxed.
- Any voluntary contributions that you make are not subject to tax.
- The annual Government contribution of maximum $521.43 is not subject to tax.
- Your employer’s contributions are subject to tax. This tax is named employer superannuation contributions tax (ESCT) and the rate is dependent on your annual gross income. See below for rates:
- $0 $18,720 = 10.5%
- $18,721 – $64,200 = 17.5%
- $64,201- $93,720 = 30%
- $93,721 – $216,000 = 33%
- $216,001+ = 39%