ESCT: the tax between your employer and your KiwiSaver
Employer KiwiSaver contributions are taxed — employer superannuation contribution tax — before they reach your account. This is lawful and universal, and it is the single most common reason people wrongly conclude their employer is short-paying.
The bands
| Income basis (previous year) | ESCT rate |
|---|---|
| $0 – $18,720 | 10.5% |
| $18,721 – $64,200 | 17.5% |
| $64,201 – $93,720 | 30% |
| $93,721 – $216,000 | 33% |
| $216,001+ | 39% |
The part payroll gets wrong
The band is keyed to your previous year's salary plus that year's employer contributions, and it is fixed for the whole year. A raise in June does not move it. The classic error is a payroll system left on an old band after years of raises — small each pay, compounding quietly.
The KiwiSaver checker works out your band from last year's figures and reconciles the tax actually taken, where your payslip shows it.
Check your payslip