What Happens to KiwiSaver When Someone Dies in New Zealand

KiwiSaver goes into the estate — not directly to family

Unlike some overseas retirement schemes, New Zealand's KiwiSaver does not allow members to nominate a beneficiary to receive funds directly on death. When someone dies, their KiwiSaver balance becomes part of their estate and is distributed according to their will — or, if there is no will, according to the Administration Act 1969.

This means the executor (if there's a will) or the court-appointed administrator (if there isn't) is responsible for claiming the funds and distributing them as part of the estate.

Finding out which KiwiSaver provider they were with

If you don't know which KiwiSaver scheme the deceased was a member of, contact Inland Revenue (IRD). IRD holds a record of every member's scheme.

• Call IRD on 0800 227 774
• You'll need the deceased's IRD number and the death certificate
• IRD can confirm the scheme provider so you can contact them directly

What you'll need to make a claim

• A certified copy of the death certificate
• A Grant of Probate or Letters of Administration (usually required if the balance is over $15,000)
• The executor's or administrator's identification
• Bank account details for the estate

For smaller balances, some providers may release funds without a formal Grant of Probate. Contact the scheme provider directly to ask about their threshold and process.

How to claim the KiwiSaver funds

1. 1 Identify the provider — check paperwork, bank statements, or call IRD on 0800 227 774 with the deceased's IRD number.
2. 2 Contact the scheme provider — call or email them to notify of the death and ask for their specific claims process and form. Each provider has slightly different requirements.
3. 3 Obtain a Grant of Probate or Letters of Administration — if required. This is obtained through the High Court and is needed to prove you have legal authority to act on behalf of the estate. A solicitor can assist with this.
4. 4 Submit the claim — complete the provider's claim form and send it with the death certificate and probate documents. The funds will be paid into the estate's bank account.
5. 5 Distribute according to the will — once received, the KiwiSaver funds are distributed to beneficiaries as part of the estate, alongside all other assets.

Tax on KiwiSaver funds after death

KiwiSaver funds paid out on death are generally not subject to income tax in the hands of the estate or beneficiaries. However, if the estate earns income while it is being administered (for example, investment returns), that income may be taxable. A tax adviser or solicitor can advise on your specific situation.

How long does it take?

Once you have all the required documents, most providers process KiwiSaver death claims within two to four weeks. The main delay is usually obtaining the Grant of Probate, which can take several months through the High Court. Using a solicitor can help speed this process up.