To take maximum advantage of the Government's Member Tax Credit to your KiwiSaver account make sure you have contributed at least $1,042.86 before the end of June.
The oddly named "Member Tax Credit" has nothing to do with your tax return. Put simply the Government puts 50 cents into your KiwiSaver account for every dollar, up to a maximum of $1,042.86, you've put in during the year. So the maximum MTC is $521.43. All you have to do is make sure you've contributed at least $1,042.86 before the end of June.
If you aren't making regular contributions to your KiwiSaver account now is the time to do something about getting your free money from the Government. All the KiwiSaver providers have the ability to make lump sum contributions. Just make sure you've put at least $1,042.86 into your KiwiSaver account and some time in July or August another $521.43 will be added to your account by the Government. That's a 50% return on investment, which is pretty hard to beat.
If you set up regular contributions to your KiwiSaver account you wont have to make lump sum payments, just $20 a week is $1,040 a year or $87 a month will give you $1,044 a year.
If you can't afford $1,042.86 just put in what you can afford. If you only put in $2.00 the MTC will turn that into $3.00. Put in $100 and the MTC will turn it into $150. Sound to good to be true? Check the KiwiSaver website for details http://www.kiwisaver.govt.nz/new/benefits/mtc/.
While you're there why not register for My KiwiSaver and IRD online services
If you need help call Andrew or Jonathan on 07 578 3863. Please have available your KiwiSaver account provider and account number.
If you don't have a KiwiSaver account or would like to change your provider give us a call on 07 578 3863 to discuss your options.
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