First Home Withdrawals

Withdrawing your KiwiSaver when you purchase your first home

After you have been a member of KiwiSaver for three years, you may be able to withdraw your KiwiSaver balance (less $1,000 and any Australian Superannuation transfers), ($1,000 must remain in your account), towards the purchase of your first home.  These funds are paid to your lawyer towards the house purchase price, and can be to purchase and existing house, or land to build a house on that you are going to live in.

You may also be eligible for a first home grant.  

This will depend on a number of factors including:
1. How long you have been contributing to KiwiSaver (of at least the minimum allowable percentage of your total income).  If you are a non-earner, there are specific rules about hoe much you must contribute, based on the minimum adult wage for a 40 hour week.
2. What your income is when you purchase your first home
3. What the value of your house is (this depends on the location of the house you are purchasing.)
4. You have to be aged 18 or over.
This grant provides $1,000 a year for each year that an eligible person has been a contributing member of KiwiSaver, to a maximum of $5,000.  From 1st April 2015 these subsidies will double to $2,000 a year with a maximum of $10,000 if you are building a first home.
Some previous house buyers may also be eligible to withdraw their funds and for the first home grant.  Housing New Zealand determine the eligibility of previous home owners for both the grant and whether they can withdraw their KiwiSaver funds.  In addition to the above criteria,  a previous house owner cannot have realisable assets totalling more than 20% of the house price cap for the area that they are buying in.
You may also be able to use a Welcome Home Loan to assist you with purchasing your home.
For more information, make sure you are familiar with the rules, which are outlined at Housing New Zealand.  Click here to go to the Housing New Zealand page.

No more cheques - technology has taken over

You may be aware that I am quite a fan of technology and adapt technological advances (in the belief that it will make my life easier, but we all know that technology brings its own challenges - itRead more

Stuffing up NZ Super - make sure you get it right

This blog post comes from an excellent article written by Rob Stock that highlights how easy it is to muck up your New Zealand Super entitlements.  Here is a link to the article. Some important poiRead more

Investment Markets - updated graph

From time to time fund managers put together a wallchart for their advisers to hang in our offices for clients to see what has happened in investment markets over time. We feel that it is moreRead more

Is your PIE tax rate too high - going forward you can get a refund

A subtle change to PIE tax rules was delivered behind the scenes, which benefits investors.  If you get your PIE tax rate wrong and overpay your PIE tax, you will get a tax refund going forward.Read more

Tax issues end of 2021 Financial Year

We are coming up to the end of the 2021 Financial and Tax Year (on 31st March), and there are few things that we thought you should be aware of.   New Marginal Tax Rate from 01/04/2021 If yourRead more

Buy now - pay later - what could go wrong? Well....

Showing my age, when I was a teenager, if I wanted to buy something, I needed cash, or I could do this thing called 'lay-buy'.  You found your item and the shop put it aside and you made regularRead more

Romance Scams and how to avoid them

There was a recent article in the New Zealand Herald (premium subscription) headed up ‘Catfished: Kiwi loses $840,000 to online romance scams’. This was the largest reported loss in a long termRead more

Ethical Investing and New Zealanders opinions

very year Mindful Money – the New Zealand charitable trust created to help people monitor the ethical allocations of their New Zealand investments and RIAA (the Responsible Investment AssociationRead more

Buying a property at auction - a personal experience

Call me old…. But I haven’t been involved with the purchase of a property for nearly 20 years.  Peter and I built our dream home in Cambridge, and loved the process, and sold our properties inRead more

More financial scams about - BEWARE

This information is from the FInancial Markets Authority - and we are repeating the message in case we can save at least one person from being caught in a financial scam.  PLEASE pay attention to thRead more

Three big changes in a post-pandemic world

This information is copied from a recent Fortune magazine newsletter that we received.  Given that 2020 has been a big year, we thought we would share the information with you - as an indicator asRead more

Generate KiwiSaver actively engaging in 'impact investing'

Moving towards an 'ethical approach to investment' for those of our clients that want this approach means that we are talking to our existing and future fund managers about how they are investing,Read more
 

This product has been added to your cart

CHECKOUT