Minimum KiwiSaver Contribution to get Government Contribution in 2025
What is a government contribution?
If you're a KiwiSaver member, you might have heard about the government contribution – but what exactly is it? In short, it's free money from the government to help boost your retirement savings. Every year, the government contributes up to $521.43 to eligible KiwiSaver accounts, provided you meet certain contribution requirements. It's a great incentive to keep growing your savings with minimal effort!
Who Can Get a Government Contribution?
To qualify for the government contribution, you need to meet a few key criteria:
Be aged 18 or over and under 65.
Be a member of KiwiSaver.
Live mainly in New Zealand.
Contribute at least $1,042.86 to your KiwiSaver account between 1 July and 30 June each year.
If you meet these conditions, the government will match 50 cents for every dollar you contribute, up to the maximum amount of $521.43 per year.
Get Your Government Contribution
Making sure you get your full government contribution is simple. If you're employed and contributing regularly through your salary, you may already be on track. However, if you're self-employed, taking a break from work, or contributing less than the required amount, you may need to top up your KiwiSaver account before 30 June to maximise your entitlement. Even small additional contributions can make a big difference!
Check If You've Qualified Already
You can check your progress towards receiving the government contribution by logging into your KiwiSaver provider’s online portal or checking your annual statement. Many providers also send reminders as the 30 June deadline approaches. If you haven't contributed enough yet, there's still time to make voluntary contributions to ensure you receive the maximum benefit.
You may already qualify for the full government contribution if:
You are earning a salary of $34,762 or more and you make employee contributions of at least 3%
You are earning a salary of $26,072 or more and you make employee contributions of at least 4%
When You Get Your Government Contribution
The government contribution is usually paid into your KiwiSaver account in July or August, once Inland Revenue has checked your contributions for the previous financial year. It appears as a lump sum deposit in your KiwiSaver account, boosting your balance without you having to do anything extra - except ensure you've contributed enough before the deadline!
Make the Most of Your KiwiSaver
The government contribution is a simple yet effective way to grow your KiwiSaver balance over time. By making sure you contribute at least $1,042.86 each year, you can take full advantage of this free money and set yourself up for a stronger financial future. If you haven’t checked your contributions yet, now’s the perfect time to do so!
Minimum Contribution and Government Contribution Compounded over 30 Years
Need help maximising your KiwiSaver returns? Get in touch with us or complete our KiwiSaver Discovery Quiz.
Compound Wealth are a KiwiSaver, Retirement and Private Wealth Financial Advice Firm based in Mount Maunganui, Bay of Plenty with clients all over New Zealand.
