KiwiSaver has both an employee and an employer side, and the rates changed on 1 April 2026. Here's how it fits together for the 2026/27 tax year.
Employee contributions
If you're a contributing member, you choose a rate of your gross pay: 3%, 3.5% (the new default), 4%, 6%, 8% or 10%. From 1 April 2026 the default minimum rose from 3% to 3.5%, and it rises again to 4% from 1 April 2028.
Temporary rate reduction
If you can't afford the higher rate, you can apply to Inland Revenue to stay at 3% for between 3 and 12 months. You'll need to reapply if you want to keep the reduced rate after it ends.
Employer contributions
Your employer must contribute at least 3.5% of your gross pay (from 1 April 2026) on top of your salary or wages — rising to 4% from 1 April 2028. Employees aged 16–17 are now eligible for employer contributions too.
ESCT — why the full amount doesn't reach your account
Employer Superannuation Contribution Tax (ESCT) is deducted from your employer's contribution before it's paid into your KiwiSaver. It is not an extra cost to your employer — it comes out of the gross contribution. The ESCT rate depends on your total pay plus employer contributions over the year (rates effective 1 April 2025):
| Total remuneration | ESCT rate |
|---|---|
| $0 – $18,720 | 10.5% |
| $18,721 – $64,200 | 17.5% |
| $64,201 – $93,720 | 30% |
| $93,721 – $216,000 | 33% |
| $216,001 and over | 39% |
Worked example
On $78,000 salary with a 3.5% employer contribution: the gross employer contribution is $2,730. Total remuneration ($80,730) falls in the 30% ESCT band, so ESCT is $819 and $1,911 reaches your KiwiSaver.
Government contribution
If you're eligible, the Government also adds a contribution each year (up to $260.72 for the year, at about 25 cents per $1 you contribute up to $1,042.86). This is separate from your employer's contribution.
Try it
See the employer side and ESCT for any salary with the employer cost calculator, or your own take-home with the pay calculator.