Time is running out for KiwiSaver members to ensure they get the full $521 in their accounts from the Government this year - the last time that amount will be available.When people contribute at least $1042 into their KiwiSaver accounts in the year to 30 June, they can receive the maximum $521 from the Government.Those who contribute less receive the credit at a rate of 50c per $1 contributed.But this is the last year that $521 will be available - from next year, the contribution will be halved and people who earn more than $180,000 a year will not qualify for any credit at all.Anyone who earns more than about $34,000 and contributes 3 percent of their income to KiwiSaver will probably have contributed enough to get the maximum.But each year, many people miss out.Only about two-thirds of all KiwiSaver members receive the contribution. For those missing out it may be because they are not working, on a contributions holiday or self-employed and not contributing enough.Of those receiving a contribution, 77 percent received the full $521.43.The contribution cost the Government about $1 billion last year.A Fisher Funds spokesperson said about 60 percent of its members usually received the contribution. There was usually a spike in contributions in the last week of June, she said."We ran a campaign and emailed clients who hadn't yet reached the $1042 threshold. Of those more than 4000 have contributed the full amount. And 1500 have made a deposit to get the 50c for every dollar they have contributed."Westpac said over the last two years, 44 percent of eligible members did not receive the maximum top-up."People who are in a financial position to top up their KiwiSaver contributions to $1042.86 for the year should do so, to maximise their retirement savings for the year," said Nigel Jackson, Westpac KiwiSaver scheme provider BT Funds Management chief executive said."There may be a variety of reasons why people haven't contributed up to the threshold, for example, some members may be on parental leave, some may be working part time, or others may have temporarily suspended contributions."However, if people can afford to top up their contributions they should do, so as every dollar contributed up to the threshold has an immediate investment return of 50 percent."At Pie Funds, chief executive Ana-Marie Lockyer said about 85 percent of members received the full amount."Government contributions can have a big impact on KiwiSaver balances at retirement, and it's a shame so many people are missing out. As an industry there's always more we can do to boost awareness and ensure more KiwiSavers benefit, recognising that even following the recent budget changes this contribution along can grow to more than $41,000 over a 16-year old's working life."The Retirement Commission said, for people earning less than $30,000, the contribution as expected to create up to 20 percent of their balances at 65 on the existing settings. Once the government contribution is halved, it will be 6 percent to 11 percent."For members earning $100,000, the percentage point change is much smaller, with the government contribution reducing from 5 percent down to 1 percent of accumulated balance, and from 3 percent down to 0 percent for members with earnings of $180,000."
