Choosing Your KiwiSaver Scheme - What You Need to Know

You can choose which scheme to join, even if you're provisionally allocated to an employer-chosen scheme or a default scheme

Updated 6 August 2023

Important: Our guide to Choosing a KiwiSaver Fund explains how to find the fund what suits your needs. This guide looks at schemes and serves only to explain what a KiwiSaver scheme is (and how each scheme offers one or more KiwiSaver funds).

Know This First: Understanding the Definition of a 'KiwiSaver Scheme'

A KiwiSaver scheme is where your savings are invested. All KiwiSaver schemes are registered with the Companies Office, included in the Disclose Register and offered and managed by KiwiSaver scheme providers.
You can choose from a wide range of schemes offered by a number of providers. And you can change your KiwiSaver scheme provider at any time, but you can only belong to one KiwiSaver scheme at a time.
There are a number of things to think about when choosing a scheme, such as performance, risk level and fees, as well as any specific features that are important to you such as ethical and social investment options. We have comprehensive information to help you choose a provider and scheme.

KiwiSaver Schemes

You can choose from a wide range of schemes offered by a variety of organisations - from the big name banks, insurance companies and investment managers, through to specialist or boutique managers. Once you've joined KiwiSaver, your primary relationship will be with your KiwiSaver scheme provider. Here is a list of KiwiSaver scheme providers.

Important: KiwiSaver is not guaranteed by the Government. This means you make your investment choices in a KiwiSaver scheme at your own risk. However, all KiwiSaver schemes are regulated by the Financial Markets Authority in a similar way to other registered superannuation schemes. There are additional measures in place to make sure KiwiSaver schemes are competitive and members' best interests are looked after. For example:

All KiwiSaver schemes are required to have fees that are reasonable
Default providers have a special contract with Government that requires them to meet additional reporting requirements, and
Default providers' activities and their default investment funds are closely monitored.

Know this:

You can, at any time, choose to join the KiwiSaver scheme of your choice.
If you're automatically enrolled you'll be provisionally allocated to your employer's chosen scheme or to a default scheme. You can choose to stay in that scheme or change to a different one.
If you choose a KiwiSaver scheme provider yourself within the first 3 months of starting your new job, your contributions will go directly to your chosen scheme (not the one you were provisionally allocated to).
You can change schemes at any time.

Employer-chosen schemes

Your employer can choose to have a preferred KiwiSaver scheme for employees who don't choose a scheme of their own. All new permanent employees must be eligible to be members of the scheme. If you're automatically enrolled in KiwiSaver you'll be provisionally allocated to your employer's chosen scheme.

What happens if you're no longer eligible?
Some employer chosen schemes may have defined membership criteria, for example working in a certain profession. If you become ineligible to be a member of your employer's chosen KiwiSaver scheme, then:

your employer, or the provider, must notify both you and Inland Revenue in writing, and
you can join a different KiwiSaver scheme, or
Inland Revenue will provisionally allocate you to a default KiwiSaver scheme and give you 3 months to choose another scheme. If you don't choose another scheme within 3 months, Inland Revenue will confirm your enrolment in the default scheme.

Default KiwiSaver providers

If you don't choose a scheme for yourself, and your employer doesn't have a chosen scheme, Inland Revenue will allocate you to one of the government-appointed default providers:

If you are allocated to a default provider's KiwiSaver scheme, your KiwiSaver contributions will be invested in the scheme's conservative investment fund option. You can find out who your KiwiSaver scheme provider is by signing up to myIR Secure Online Services, or call the IRD.

Definition of provider

A KiwiSaver scheme provider is an organisation that offers a KiwiSaver scheme and is responsible for managing your savings in the scheme.
Once you've joined KiwiSaver, your primary relationship will be with your KiwiSaver scheme provider. You should contact your scheme provider if you have any questions about your KiwiSaver membership and account.

Credit: This information originally appeared on kiwisaver.govt.nz before the website was closed down. MoneyHub's research team continues to keep it up to date.

Related Guides

KiwiSaver Hardship - if you're a KiwiSaver member and struggling with your finances, our guide explains everything you need to do to ask for an early redemption
Contributions holiday - if you're wanting to take a break from contributing, our guide explains your options
KiwiSaver HomeStart Guide - get a grant of up to $20,000 and access to your KiwiSaver fund for your first house or apartment deposit
KiwiSaver First Home Withdrawal Guide - if you want to use your KiwiSaver balance for a house deposit, our guide explains everything you need to know
Your KiwiSaver contributions - You can choose how much to contribute. Find out what happens when you go on leave, receive a benefit or entitlement, or have a tax debt
Your employer's KiwiSaver contributions - If you're a KiwiSaver member making contributions from your pay, your employer will also contribute to your KiwiSaver savings
Government KiwiSaver contributions - To help you save, the Government will make an annual contribution towards your KiwiSaver account as long as you meet certain conditions.
Voluntary contributions - make voluntary contributions (or lump sum payments) at any time, either directly to your KiwiSaver provider or through Inland Revenue
KiwiSaver and tax - KiwiSaver contributions are deducted from your before-tax pay, and our guide explains everything you need to know.
How to check your KiwiSaver contributions - Keeping track of your KiwiSaver contributions is easy with 'My KiwiSaver'
KiwiSaver Withdrawal - If you joined KiwiSaver on or after 1 July 2019, you can withdraw your savings when you qualify for NZ Super (currently 65)
Opting out of KiwiSaver - If you're a new employee who's been automatically enrolled, you can choose to opt out of KiwiSaver
KiwiSaver Fund Selection Guide - 10 Must-Know Facts Revealing Everything You Need To Know About KiwiSaver
KiwiSaver Calculator - our retirement calculator considers KiwiSaver contributions, how much you earn right now, how much you plan to spend during retirement, and how old you are, among other factors