New employees you’ve automatically enrolled into KiwiSaver can ask you, or us, to opt them out.
- Only employees you’ve automatically enrolled can opt out of KiwiSaver.
- Employees who’ve opted into KiwiSaver cannot opt out later.
- You can opt your new employees out of KiwiSaver. But only between 2–8 weeks of starting work (that's on or after day 14 and on or before day 56).
- We must approve requests to opt out after 8 weeks (57 days). These are late opt outs. We may approve them up to three months after we get your employee's first contribution, but only in some situations.
How your employee requests an opt out through you
Your employee can ask you to opt them out of KiwiSaver by handing you their KiwiSaver opt out request - KS10. You’ll have given them this when you automatically enrol them.
If your employee's request is late, your employee must ask us to opt them out. They can send their KS10 to us or apply online.
Stopping deductions and contributions
If your employee gives you their KiwiSaver opt out request – KS10 and it's within 14–56 days of starting work with you, you can straight away stop:
- making KiwiSaver deductions from their pay
- paying your compulsory employer contributions and the employer superannuation contribution tax.
If your employee sends their KS10 to us and we:
- accept their request, we’ll let you know you need to stop deductions and contributions
- do not accept their request, and you’ve stopped deductions and contributions, we’ll ask you to start them again.
Employee refunds when they opt out
- already sent us deductions from your employee’s pay, we'll refund your employee their deducted contributions
- not paid your employee’s deductions to us yet, refund them to your employee.
Do not refund your employee their deductions if you’ve already paid them to us. They’ll end up getting two refunds for the same amount.
Your refunds when your employee opts out
If you've made employer KiwiSaver contributions:
- we'll refund them to you, you do not have to do anything to tell us
- ask us for a refund of any employer superannuation contribution tax (ESCT) you’ve paid on them.
You can ask for a refund of employer superannuation contribution tax (ESCT) by either:
- completing an Employer schedule amendments - IR344 form
- contacting us.