KiwiSaver changes, what you need to know
As part of the 2025 Budget, the Government has announced several changes to KiwiSaver aimed at helping New Zealanders grow their savings, whether for a first home or retirement. These updates are important and may affect how you contribute and benefit from KiwiSaver, so it’s worth taking a moment to understand what’s changing and when.
Key changes and dates
From 1 July 2025:
- 16 and 17-year-olds will become eligible for the Government contribution – an encouraging step for younger savers.
- The Government contribution will reduce to 25 cents for every $1 contributed, up to a maximum of $260.72 per year.
- Those earning over $180,000 annually will no longer be eligible for the Government contribution.
From 1 April 2026:
- Employers will be required to match contributions for 16 and 17-year-olds.
- The default contribution rate for both employees and employers will increase to 3.5%, and then to 4% from 1 April 2028.
- Employees will still have the option to temporarily reduce their contribution rate to 3%, and employers can match that rate.
These changes are a step in the right direction, especially the increased support for younger members and the gradual rise in contribution rates. They reflect a growing focus on helping Kiwis close the gap between current savings and the cost of a comfortable retirement. At RIVAL Wealth, we’re here to help you make the most of these changes. Whether you’re just starting out or reviewing your long-term strategy, our KiwiSaver experts can guide you through your options and ensure your plan aligns with your goals.
This information is of a general nature and is not intended as personalised financial advice. RIVAL Wealth is a Financial Advice Provider (FAP) licenced by the Financial Markets Authority to provide financial advice. Our disclosure document is located at rivalwealth.co.nz or a written copy is available on request
