Tax

Tax on your member contributions

Member contributions are calculated on your before-tax salary but deducted from your after-tax income. This means member contributions are deducted from your pay after tax.

Tax on your employer contributions

Employer superannuation contribution tax (ESCT) is deducted from employer contributions before they are credited to your account. The amount of tax varies depending on the total amount of:

  • your taxable income in the prior tax year (or an estimate of your income if you have worked for less than a year)
  • the employer contributions (including tax deducted) you received in the prior tax year.

ESCT is not applied in the same tiered way as personal income tax rates and only one rate applies to the total amount of the employer contribution. ESCT is deducted from employer contributions before they are paid to UniSaver at the following rates:

*Income is your gross salary and wages plus employer contributions, before the deduction of ESCT, in the previous year.

Your income* in the previous income year

Your ESCT rate

Your income* in the previous income year

Up to $16,800

Your ESCT rate

10.5%

Your income* in the previous income year

Between $16,801 and $57,600

Your ESCT rate

17.5%

Your income* in the previous income year

Between $57,601 and $84,000

Your ESCT rate

30%

Your income* in the previous income year

Between $84,001 and $216,000

Your ESCT rate

33%

Your income* in the previous income year

$216,000 and over

Your ESCT rate

39%

Fees

The return you get from an investment is only one side of the equation. The other, of course, is cost. We monitor UniSaver’s costs and expenses closely. The size of the scheme means we can negotiate competitive fees with our service providers. Fixed costs are shared among approximately 11,000 members, which also helps keep them low on a per-member basis.

This table lists the estimated total fund charges per annum as a percentage of net asset value. Annual fund charges are charged to members by way of deduction from the assets of each investment option (lowering its unit price). 

Investment options

Estimated total annual fund charges (p.a. of net asset value)

Investment options

UniSteps (age 49)

Estimated total annual fund charges (p.a. of net asset value)

0.70%

Investment options

UniSteps (age 54)

Estimated total annual fund charges (p.a. of net asset value)

0.66%

Investment options

UniSteps (age 59)

Estimated total annual fund charges (p.a. of net asset value)

0.62%

Investment options

UniSteps (age 64)

Estimated total annual fund charges (p.a. of net asset value)

0.57%

Investment options

Growth

Estimated total annual fund charges (p.a. of net asset value)

0.74%

Investment options

Balanced

Estimated total annual fund charges (p.a. of net asset value)

0.66%

Investment options

Conservative

Estimated total annual fund charges (p.a. of net asset value)

0.52%

Investment options

Cash

Estimated total annual fund charges (p.a. of net asset value)

0.30%

These graphs show the total fees for $100,000 invested in UniSaver's three main funds against the average for KiwiSaver schemes with a similar mix of assets included a survey by Morningstar – an independent company that monitors fund performance, including fees. It includes both investment management and administration fees.

Fees for UniSaver's three main funds are lower than the average for KiwiSaver schemes with a similar investment mix. Source: Morningstar KiwiSaver report.

Other charges

We charge the following service fees to your account:

All members
  • A fee of $50 for the second and any subsequent investment choice elections you make in each calendar year (the first election is currently free of charge).
  • A first-home withdrawal fee of $219.02.
  • A fee of $102.61 for a significant financial hardship withdrawal.
Retained members only
  • An administration fee of $4.36 per month for retained members.
  • A fee of $39.66 for second and subsequent withdrawals by a retained member in any calendar year (the first withdrawal is currently free of charge).
  • A one-off establishment fee of $88.77 for setting up a regular withdrawal facility by a retained member.
  • A termination fee of $39.66 for retained members closing their account.

These service fees were updated on 1 January 2021.

Any amounts deducted from your accounts are shown on the annual account statement we send you each year.