Skip to content
English
More support
Visit our website www.thankyoupayroll.co.nz
  • There are no suggestions because the search field is empty.

Setting Up KiwiSaver or Complying Fund Contributions

KiwiSaver contributions are managed through IRD. This article shows how to set up KiwiSaver (KS) and/or Super Complying Fund (CF) contributions in an Employee Profile.

Updated: July 2026

Enrolling new eligible employees in KiwiSaver is part of your responsibility as an employer. Click the links below for how to set this up for your new employee

KiwiSaver Basics

Super Complying Fund Basics

Info - Blue Block (1)

 

Only complete this section if the employee is contributing to a complying fund which is NOT a KiwiSaver fund.

*An employee can have both KiwiSaver and a Complying fund.

  • ESCT is payable on employer contributions made on top of the employee's base income.
  • ESCT rate is based on the employee's TOTAL projected annual income from all sources.
  • If your employee belongs to both a Complying Fund and a KiwiSaver scheme, contributions can be made to both schemes but:
    • The first 3.5% of the employee contribution must go to KiwiSaver. They can request that an additional percentage go to their Complying Fund. e.g. total employee contribution is 5%. 3.5% goes to their KS and 1.5% goes to their CF 
    • Employer contributions can be split between KiwiSaver and Complying fund as long as the combined rate is equal to or greater than 3.5% e.g. 2% KS and 1.5% Complying Fund.
  • The information of the scheme provider name, bank account details and the employee reference number information are required so the provider can allocate the contributions correctly.
  • These contributions form part of the 'You deposit' amount and are managed and filed by Thankyou Payroll.

Adding KiwiSaver for a New Employee in Their Profile

KiwiSaver is mandatory for all employees unless they have 'Opted Out'. See the next section for the rules for Opting Out . 

When you open the 'KiwiSaver & Other Superannuation' tab for a new employee, you will see the default KiwiSaver settings ready to go. 

In KiwiSaver Options: Should any of these 3 apply please make the selection here.

You must save this page when you're done to apply changes to future pays for this employee.

 

Employee has Opted Out

Employees who have never been in KiwiSaver can 'opt out'  between week 2 and up to the 8th week of starting new employment. 
They can: 
1) Complete a KS10 and give it to you
2/ Complete a KS10 and submit to IRD or 
3/ Make an Opt out request online in their MyIR 

Link to KS10 form

Opting out after the 8th week requires IRD approval.

Employees Not Eligible for Kiwisaver

There are several reasons that an employee may not need to contribute to KiwiSaver

- An employee is NOT ENROLLED in KiwiSaver and is under 18, or over 65,
- The employee is not a New Zealand resident
- The employee is on a temporary work visa

Follow the steps below to set up employees that fit these criteria.

Temporary Rate Reduction

 An employee can request a 'Temporary Rate Reduction' by submitting a KS2 to the IRD (or in 'MyIR'). If approved, the employer and Thankyou Payroll receive a notification. Thankyou Payroll will automatically update your employee's KiwiSaver contribution rate, reducing it to 3%. Employers can match this rate and need to load this manually.

 KS2 Link

If we are not notified the rate reduction can be set manually using the steps below. At the end of the reduction period, rates will return to their former saved setting.

Applying a Savings Suspension

Employees can apply to pause their KiwiSaver Contributions by sending a KS6 form to IRD. 

If this request is approved employers must apply the suspension to the employee contributions but can choose to continue employer contributions.

Link to KS6. 

Total Remuneration Contracts - ESCT Options

ESCT is a tax on the employer contribution to KiwiSaver/Complying Funds. 

Sometimes employment contracts are written to require that Employer Contributions are calculated as part of salary or wages, instead of an additional  percentage of gross. This is sometimes called 'Total Remuneration'. 

If this is the case a simple flag in the ESCT section updates the way this calculation is made. 

Employers and employees must agree to this remuneration method in writing.

Complying Fund and/or KiwiSaver

Employees can belong to KiwiSaver and/or a Super Complying Fund.

Super Complying Funds are NOT KiwiSaver.

Employer Contributions may be split between KiwiSaver and a  Complying Fund as long as the combined contribution value is at least 3.5%. If your contributions to the Complying Fund are less than 3.5% the balance must go to a KiwiSaver Scheme for the employee. Additional contributions can be made if the employee chooses. 

Remember if the employee is in both KiwiSaver and a Complying fund the first 3.5% of their contributions must go to their KiwiSaver Fund.

Further Resources and Links