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What is a Member Tax Credit?

From 1 July 2011, for every $1 a member contributes the Government will contribute $0.50, up to a maximum of $521 per KiwiSaver year (the equivalent of $10 per week).  This payment is known as a Member Tax Credit (MTC) and is an annual payment.
 

Who is eligible to qualify for the Member Tax Credit?

you must be 18 or over, and
your principal place of residence must be in New Zealand
 
A few limited exceptions apply, find out more
 

How much MTC you can get?

To get the full MTC automatically you have to contribute at least $1,042.86 a year yourself. Employer contributions and government contributions do not count.
 
If you contribute less than $1,042.86 from your pay, you can make voluntary contributions to ensure you receive the full member tax credit payment from the Government.
 

Joining part-way through a year

If you join KiwiSaver part-way through a membership year (1 July to 30 June), you’ll receive a MTC for the portion of the year that you've been a member.
 
When you turn 18, you’ll receive a MTC for the portion of the year that you’re 18.
 
Learn more about MTC and how it is calculated
 
The table below helps give you an idea of how much MTC you will be eligible for in your first year.
 
Joining Date Days in month Eligible Days Max MTC
Jan 31 181 $258.57
Feb 28 150 $214.29
Mar 31 122 $174.29
Apr 30 91 $130
May 31 61 $87.14
Jun 30 30 $42.86
Jul 31 365 $521.43
Aug 31 334 $477.15
Sep 30 303 $432.86
Oct 31 273 $390.00
Nov 30 242 $345.72
Dec 31 212 $302.86
 

How do I claim my MTC?

Fisher Funds claims the MTC on member’s behalf once a year following the end of each KiwiSaver year (30 June). IRD are required to process the claim within 30 days of receipt. There is nothing for individual members to do.
 
Fisher Funds will contact you prior to the end of the KiwiSaver year if it appears that you need to top up your account to maximise the MTC's.
 
The MTC is paid directly into your KiwiSaver account and shows as a separate item on your transaction statements.
 
Please note that the MTC is not a cash payment or reduction in your annual tax return and is invested directly into your KiwiSaver account.