Go on a savings suspension

If you're an employee you may be able to have a break from saving - this is called a savings suspension.

If an employee goes on a savings suspension KiwiSaver contributions from their pay are stopped temporarily.

There are two options:

  • a savings suspension, or
  • an early savings suspension.

You join KiwiSaver

You can apply for an early savings suspension

12months

You can go on a savings suspension

Savings suspension

Can you have a savings suspension?

All KiwiSaver members who have made a contribution and have been a member for 12 months or more can have a savings suspension. You don't need to provide a reason.

How long is a savings suspension?

You can take a savings suspension of between 3 months and 1 year.

There's no limit to the number of times you can take a savings suspension.

Can I restart my contributions while I am on a savings suspension?

You can restart your contributions while you're on a savings suspension by asking your employer to begin making deductions again.

You can start or stop your contributions at any time while you're on a savings suspension but if the change is within three months of the last change, your employer needs to agree.

Your employer will begin compulsory employer contributions again when you restart contributions from your pay.

Early savings suspension

An early savings suspension allows you to take a break from making contributions within the first 12 months of becoming a KiwiSaver member.

Can you have an early savings suspension?

You can apply for an early savings suspension, if you have made a KiwiSaver contribution and you're experiencing, or likely to experience, financial hardship.

You'll need to provide evidence of financial hardship, for reasons outside your control, to support your application.

If your financial circumstances have changed for reasons within your control or discretion, your application may not be accepted.

How long is an early savings suspension?

We will work with you to decide on the appropriate length of a savings suspension - the default period is 3 months. Depending on your circumstances we may give you up to one year.

How to apply for a savings suspension

To apply for a savings suspension you can:

  • apply online if you're registered for My KiwiSaver, or
  • print off and complete a Savings suspension request (KS6) and post it to Inland Revenue (address details are on the form), or
  • call Inland Revenue on:
    • 0800 549 472 (0800 KIWISAVER).

Find out more about the savings suspension process.

What happens to your contributions?

While you're on a savings suspension:

  • your employer is not required to make compulsory employer contributions
  • you can still make voluntary contributions.

Taking a savings suspension may affect your entitlement to the Government contribution and the KiwiSaver HomeStart grant.