Part-year eligibility for the KiwiSaver Government contribution – case studies
If you’re only eligible for part of the year, you can still get part of the Government contribution. These case studies explain.
Part-year eligibility
You can still get part of the Government contribution if between 1 July and 30 June you:
- Turned 18
- Turned 65
- Joined KiwiSaver for the first time (and are aged 18 to 64).
The calculation of the Government contribution you can get will be based on the number of days in the year you were eligible.
Turning 18 during the contribution year
On 15 December, Ali, an existing KiwiSaver member, turned 18 years old.
Because Ali is only eligible for the Government contribution once she turned 18, she is only eligible for part of the year.
How Ali’s Government contribution is calculated
The Government contribution year runs from 1 July to 30 June, so Ali is eligible from her birthday on 15 December until 30 June. That’s around 198 days (depending on the year), or 54% of the year.
This means the maximum Government contribution she could receive for the year she turned 18 is $282.86 (which is 54.25% (198 ÷ 365 days) of the $521.43 Government contribution).
In the following year, so long as Ali meets the other Government contribution requirements, she will receive the full contribution of $521.43.
Turning 65 during the contribution year
On 2 June, Sam turned 65 years old. He’s thinking about retiring but doesn’t feel ready just yet.
Because Sam was only eligible for the Government contribution until he turned 65, he is only eligible for part of the year. Whether he is retired or not doesn’t influence his eligibility.
How Sam’s Government contribution is calculated
The Government contribution year runs from 1 July to 30 June, so Sam is eligible from 1 July until his birthday on 2 June. That’s around 336 days (depending on the year), or 92% of the year.
This means the maximum Government contribution he could receive for the year he turned 65 is $480.00 (which is 92.05% (336 ÷ 365 days) of the $521.43 Government contribution).
For following years, he will no longer be eligible for the Government contribution and won't receive it.
Joining KiwiSaver for the first time
On 23 February, Alex, who is 23, joined KiwiSaver for the first time.
Because Alex is only eligible for the Government contribution once he joined KiwiSaver, he is only eligible for part of the year.
How Alex’s Government contribution is calculated
The Government contribution year runs from 1 July to 30 June, so Alex is eligible from 23 February until 30 June. That’s around 128 days (depending on the year), or 35% of the year.
This means the maximum Government contribution he could receive for the year he first joined KiwiSaver is $182.86 (which is 35.07% (128 ÷ 365 days) of the $521.43 Government contribution).
In the following year, so long as Alex meets the other Government contribution requirements, he will receive the full contribution of $521.43.