How to change KiwiSaver providers and find a better fit: A step-by-step guide

How to change your KiwiSaver provider

Changing your KiwiSaver provider is far simpler than most people expect. There's no need for a conversation with your current provider, and you don't have to involve Inland Revenue yourself. Once you sign up with a new provider, they take care of the rest.

If you work with Policywise, our team makes this even easier. We compare providers and funds for you, recommend an option that matches your goals, and help set up the switch, so you don't have to navigate the paperwork alone.

Step 1 — Compare KiwiSaver providers and funds

It's tempting to pick a new provider based on whoever has posted the best returns lately. Try to resist this. Past performance doesn't guarantee future results, and a fund that topped the charts last year can easily fall behind the next.

Instead, think about:

• Your investment objectives, such as buying a first home or building your retirement savings
• The fund type (for example, conservative, balanced, growth, or aggressive) and whether it matches your risk appetite
• Fees, since even small differences can add up significantly over time
• The level of service and communication you want from a provider
• The provider's investment philosophy and track record
• Whether responsible or ethical investing matters to you.

For a closer look at how leading providers stack up, see our guide to the best KiwiSaver providers in New Zealand. If ethical investing is a priority, our guide to ethical KiwiSaver funds is a good place to start.

Step 2 — Choose your new provider

Once you've settled on a provider and fund, it's time to apply. Most providers will ask for the following:

• Your IRD number
• Your Prescribed Investor Rate (PIR), so you're taxed correctly on your investment earnings
• A valid photo ID, such as a passport or driver's licence
• Your personal details, including your address and contact information.

Having these ready beforehand makes the application quicker.

Step 3 — Apply with your new provider

You'll usually complete this step online, through a short application form on your new provider's website. You don't need to cancel or contact your old provider yourself. Once you've applied, your new provider works with IRD and your current scheme to arrange the transfer.

Step 4 — Wait for your transfer to complete

From here, your money is transferred automatically, and your contributions carry on as normal. Your employer's contributions continue too, without any extra action from you. Most of the process happens behind the scenes, so relax while you wait.

Want a KiwiSaver adviser to handle the comparison and the switch for you? Talk to a Policywise adviser, and we'll guide you through from start to finish.

When is it a good time to switch KiwiSaver providers?

Switching can be worthwhile when your circumstances or priorities have genuinely changed. A few good reasons to consider a move include:

• Your current fund no longer matches your goals, for example, if you're approaching retirement or a first-home purchase
• Your risk profile has changed, and you'd feel more comfortable with a different level of investment risk
• You're paying for features or service levels you don't value
• You want access to different investment choices, such as ethical or responsible investment options
• You want better support or communication from your provider.

On the other hand, be wary of:

• chasing a provider or fund purely because of recent high returns
• making an emotional decision after a period of market ups and downs
• switching to a new fund without understanding how it invests or what it costs.

If you're unsure whether now is the right time to switch, Policywise can help you decide, based on your goals rather than short-term noise.

Can you change your KiwiSaver provider anytime?

Yes. You can change your KiwiSaver provider whenever you like, and there's no limit on how often you do it.

That said, frequent switching isn't usually a good idea, since you'll typically be out of the market for a short period during each transfer, and some providers charge a transfer-out fee. It's generally best to choose a provider and fund you're happy to stick with for the long term, rather than moving every time you hear about better short-term returns elsewhere.

Can you switch KiwiSaver funds?

Yes. You have two options here. You can switch to a different fund with your current provider, which is often the quicker route, or you can move to an entirely new provider and choose from the funds they offer. Which option makes sense depends on whether you're happy with your current provider's service and fees, or whether you want to change the provider itself.

How long does it take to transfer KiwiSaver providers?

Most transfers are completed within about two to three weeks, though timeframes can vary between providers. Some transfers are finished in 10 to 15 working days or 2-3 weeks. Delays may occur due to mismatched details between your old and new schemes, or other reasons.

Because timeframes aren't identical across the industry, check the expected turnaround with your new provider when you apply.

Can I keep contributing while switching to another provider?

Yes. Your contributions, and your employer's, continue as normal while your transfer is being processed. You don't need to pause deductions from your pay, and there's no need to notify your employer about the change either.

The switch happens between your old provider, your new provider, and IRD, largely without any action needed from you.

Can I have two KiwiSaver providers?

No. You can only belong to one KiwiSaver scheme provider at a time. If you'd like to move to a new provider, you'll need to complete the switch first, which closes your membership with your old provider once the transfer is finished.

Choose a KiwiSaver provider and fund that's right for you

Policywise makes it easy for you to grow and protect your retirement funds. We provide independent KiwiSaver advice and help you choose funds that maximise your returns and match your long-term goals.

We also make sure you’re set up with the right insurance cover, so your retirement plans don’t fall apart even if critical illness, injury, disability, or death impacts your personal or family income.

Check out the reviews on our homepage for how other New Zealanders have found our service, because now is the time to get your retirement and insurance plans sorted. Give your family or someone you love the most outstanding financial support possible. Book a 5-minute callback with Policywise today; our service is fast and free.