When Can You Withdraw Your KiwiSaver?

This article covers every scenario that allows a KiwiSaver withdrawal, what the eligibility criteria are and what you can’t access in each case.

If you’re new to KiwiSaver and want the basics first, start with our guide to how KiwiSaver works.

Key takeaways:

• You can access your full KiwiSaver balance at 65, including all employer and government contributions
• After three years of membership, first home buyers can withdraw most of their balance toward a deposit
• Significant financial hardship, serious illness and permanent emigration (except to Australia) are all grounds for early withdrawal
• Hardship withdrawals don’t include government contributions (only your contributions and your employer’s)
• If you’re emigrating to Australia, your KiwiSaver can be transferred to an Australian super fund, not withdrawn as cash.

Withdrawing at Retirement (Age 65)

When you turn 65 (the same age you become eligible for NZ Super), you can access everything in your KiwiSaver account. This includes your own contributions, your employer’s contributions, any government contributions you’ve accumulated over the years and all investment returns.

You can take it all at once, draw it down gradually or leave it invested and withdraw as needed.

There’s no compulsory withdrawal age. You can keep your KiwiSaver open and invested as long as you like. Many people prefer to leave their balance invested after 65 and draw down gradually, using NZ Super for day-to-day living costs while letting their KiwiSaver continue to grow.

The government contribution (up to $260.72 per year) stops once you reach 65, because at that point, you become eligible for NZ Super. Employer contributions also become optional after 65. Many employers continue to contribute, but they’re no longer legally required to.

According to the FMA’s 2025 KiwiSaver Annual Report, total withdrawals by members aged 65 and over came to approximately $3 billion in the year to 31 March 2025. That was from a total $123.1 billion held across all KiwiSaver funds.

First Home Withdrawal

KiwiSaver can offer a meaningful boost to a first home deposit. After being a KiwiSaver member for at least three years, you may be able to withdraw most of your balance to put toward buying your first home in New Zealand.

Here’s what you need to know:

• You must have been a KiwiSaver member for at least three years
• The property has to be in New Zealand and must be your primary residence, not an investment property
• You can withdraw your own contributions and your employer’s contributions, but you have to leave at least $1,000 in your account
• Government contributions are not included in the first home withdrawal
• Previously owning property overseas doesn’t automatically disqualify you, as there are provisions for people in a similar financial position to a first home buyer.

In the year to 31 March 2025, first home buyers withdrew $1.8 billion from KiwiSaver across 42,811 withdrawals, with an average withdrawal of nearly $41,000 per member (up 18% from the previous year, according to the FMA).

To apply, contact your KiwiSaver provider directly. They’ll guide you through the documentation required, including confirmation from your solicitor that the purchase is proceeding. It’s worth starting the process early, since it can take 10–15 working days from when your provider receives a complete application.

KiwiSaver Withdrawal Scenarios at a Glance

Significant Financial Hardship

If you’re going through genuine financial difficulty, you may be able to apply for a significant financial hardship withdrawal before you turn 65.

According to Inland Revenue, significant financial hardship includes:

• Being unable to meet minimum living expenses
• Being unable to pay the mortgage on your home, with your mortgage provider seeking to enforce it
• Needing to modify your home to meet special needs (yours or a dependent family member’s)
• Needing to pay for medical treatment for yourself or a dependent
• Having a serious illness
• Needing to pay funeral costs for a dependent family member
• Needing to cover palliative care costs for yourself or a dependent.

If approved, you can withdraw your own contributions and your employer’s contributions, but not the government contribution.

Applications go through your KiwiSaver provider, not IRD, unless you’re within your first two months of membership. Your provider assesses the application based on your financial circumstances and supporting documentation.

Hardship withdrawals have risen sharply in recent years. According to the FMA’s 2025 KiwiSaver Annual Report, in the year to 31 March 2025, $443.6 million was withdrawn by 44,099 applicants (up 50.8% from the prior year) with an average withdrawal of $10,058.

Serious Illness

A serious illness or a life-shortening congenital condition is a separate ground for early withdrawal, distinct from financial hardship.

To qualify, you’ll generally need to show that you’re permanently and totally disabled, that your ability to work is permanently and severely impaired or that you have a terminal illness or life-shortening congenital condition. Your provider will assess the application and you’ll need to provide supporting medical documentation.

Unlike a hardship withdrawal, a serious illness withdrawal allows access to your full KiwiSaver balance, including employer and government contributions, not just your own.

In the year to 31 March 2025, serious illness withdrawals totalled $122.7 million across all KiwiSaver providers, according to the FMA.

Permanent Emigration

If you’re leaving New Zealand permanently, you can withdraw your KiwiSaver savings, but only if you’re emigrating somewhere other than Australia.

Moving to Australia

Your KiwiSaver can be transferred to an Australian superannuation fund, but it can’t be withdrawn as cash. It stays in the Australian super system until you reach retirement age there.

Moving Anywhere Else

Once you’ve been living outside New Zealand for at least 12 months (or immediately in some circumstances), you can apply to withdraw your full KiwiSaver balance, including the government contribution. You’ll need to provide evidence of your permanent departure.

In the year to 31 March 2025, $95.3 million was withdrawn or transferred by 3,141 members who permanently emigrated.

What Happens to Your KiwiSaver If You Pass Away?

If a KiwiSaver member passes away, their balance becomes part of their estate and is distributed according to their will. If there’s no will, the government uses a standard legal formula to divide the assets.

There are no early-withdrawal restrictions that apply after death. Your executor or administrator can request the full balance from your provider. They’ll need to notify the provider and provide the relevant documentation, such as a death certificate and proof of authority to administer the estate.

Some KiwiSaver providers allow you to nominate a beneficiary, which can simplify the process. It’s worth checking with your provider and making sure your wishes are documented as part of your general estate planning.

In the year to 31 March 2025, withdrawals on death totalled $211.9 million across 4,909 members, according to the FMA.

Frequently Asked Questions

Can I withdraw my KiwiSaver early if I need it for living expenses?

Yes, but only if you meet the criteria for significant financial hardship. Being unable to meet minimum living expenses is one of the qualifying grounds. Your application goes through your KiwiSaver provider, who will assess your circumstances and request supporting documentation. If approved, you can withdraw your own contributions and your employer’s, but not the government contribution.

How long does a first home KiwiSaver withdrawal take?

It typically takes 10–15 working days from when your provider receives a complete application. You’ll need confirmation from your solicitor that the purchase is proceeding. Start the process early to make sure the funds are available in time for settlement.

Can I withdraw my KiwiSaver if I’m emigrating to Australia?

No, not as a cash withdrawal. If you’re moving to Australia permanently, your KiwiSaver balance can be transferred to an Australian superannuation scheme, but it remains locked in the Australian super system. You can only access it under Australian retirement rules.

Does a hardship withdrawal affect my future KiwiSaver balance?

Yes. Any amount you withdraw stops compounding for the rest of your working life. A $10,000 hardship withdrawal in your 30s could be worth considerably more by 65 given compound investment returns over that time. That doesn’t mean a hardship withdrawal is the wrong choice in a genuine crisis, but it’s worth understanding the long-term trade-off.

What happens to my KiwiSaver if I die before I turn 65?

Your KiwiSaver balance becomes part of your estate and is distributed according to your will. Your executor will need to notify your provider. Some providers allow you to nominate beneficiaries, which may simplify the process. It’s worth checking with your provider and keeping your estate planning up to date.

Can I make a partial withdrawal from my KiwiSaver at retirement?

Yes. At 65, you can withdraw part of your balance, leave the rest invested and continue to grow your savings. There’s no requirement to take everything out at once. Many people prefer a gradual drawdown approach.

Is Your KiwiSaver Set Up the Right Way?

KiwiSaver is often described as money locked away for retirement, and for most people, that’s the right way to think about it. But your savings can be accessed early if:

• You want to make a first home purchase
• You’re experiencing significant financial hardship
• You have a serious illness
• You’re permanently emigrating (outside Australia)
• You pass away.

In each case, the eligibility rules and what you can actually withdraw differ.

For most Kiwis, the goal is still to keep your KiwiSaver growing until you’re 65. The longer your savings compound, the harder they work for you. And one of the most important things you can do, whatever your goal, is making sure you’re in the right fund for your situation.

Not sure if your KiwiSaver is set up the right way? BetterSaver’s free fund finder quiz compares over 300 KiwiSaver funds and gives you a personalised recommendation in about five minutes.