Key election policies on KiwiSaver, investments, savings, tax and more
Updated: 3 days ago
New Zealand’s 2026 election campaign has produced substantial differences between the parties on retirement savings, investment taxation, property, wealth and business tax. The proposals range from compulsory KiwiSaver and tax-free investment returns to new taxes on capital gains, land, wealth and inheritances.
Election day is scheduled for 7 November 2026. The policy positions below reflect announcements and published material available on 7 October.
KiwiSaver and retirement savings
National
National proposes to:
Make KiwiSaver, or an equivalent retirement savings scheme, compulsory for all workers from 1 July 2028.
Increase default employee and employer contribution rates progressively to 6% each by 2032, producing a combined contribution rate of 12%.
Automatically enrol newborns in KiwiSaver from 1 July 2027.
Provide a $1,500 "Baby Boost" contribution for each child.
Extend compulsory employer contributions to workers aged over 65.
Support KiwiSaver contributions for people receiving paid parental leave.
For employees, the proposal would increase retirement savings but also reduce take-home pay as compulsory contribution rates rise. Employers would face higher remuneration costs, particularly for workers currently receiving contributions below the proposed levels.
National is also campaigning on no new taxes, although this does not necessarily rule out changes to existing tax settings.
Labour
Labour proposes a different form of compulsion:
Make employer KiwiSaver contributions compulsory from 1 July 2028.
Increase the minimum employer contribution progressively to 6% by 2032.
Set the default employee contribution rate at 4%.
Remove the minimum employee contribution rate, allowing workers to reduce or pause their own contributions.
Require employer contributions to continue when employees reduce or suspend their contributions.
Extend employer contributions to workers over 65.
Provide a Government KiwiSaver contribution for parents while they are on paid parental leave.
Ban new total-remuneration arrangements that absorb employer KiwiSaver contributions into an employee's existing salary.
The central distinction from National is that Labour would require higher employer contributions while giving employees greater flexibility over their own contribution rate.
Labour has not committed to restoring the previous maximum Government contribution of $521 a year. The current maximum is $260.72, following changes made in Budget 2025, with eligibility also restricted to people earning below $180,000.
ACT
ACT opposes compulsory KiwiSaver and would leave contribution rates on their existing legislative path.
Its major proposal is to remove tax on investment earnings within qualifying KiwiSaver and other superannuation accounts. ACT says this would allow returns to compound without tax being deducted from investment income.
The proposal would also:
End the Government KiwiSaver contribution for members who receive employer contributions.
Replace that benefit with tax relief on investment earnings.
Continue to allow people to access KiwiSaver at 65, even though ACT separately supports gradually increasing the NZ Superannuation eligibility age to 67.
The distributional effect would depend heavily on account size. Members with larger balances would generally receive greater dollar benefits from tax-free investment earnings, while people currently receiving the Government contribution could lose that payment.
New Zealand First
New Zealand First proposes:
Compulsory KiwiSaver participation.
Automatic enrolment of New Zealand citizen babies.
A $1,000 Government contribution at birth.
Employee and employer contribution rates rising first to 8% each and eventually to 10% each.
This would imply higher compulsory retirement saving than the National, Labour or Opportunity proposals, although the party has indicated that tax cuts would accompany its wider policy programme.
The party also proposes restricting access to NZ Superannuation to citizens from 2029. It has said it does not support raising the retirement age to 67.
Opportunity
Opportunity proposes a separate compulsory retirement savings system referred to as "KiwiSaver 2.0". The proposal would:
Require employee and employer contributions.
Progressively increase contributions to 6% each, or 12% in total.
Make compulsory contributions tax-exempt.
Gradually reduce tax on fund investment income.
Make KiwiSaver investment income fully tax-exempt after 20 years.
A separate feature of the proposal is that KiwiSaver 2.0 balances would not be available for first-home purchases or hardship withdrawals. Earlier policy material indicated that balances could potentially be used as loan collateral instead.
The policy would place greater emphasis on retirement adequacy and long-term compounding, but would reduce access to retirement savings for shorter-term financial needs.
Investment and capital taxation
Labour
Labour proposes a 28% capital gains tax on gains from:
Residential investment property.
Commercial property.
The tax would apply to gains arising after 1 July 2027, with an opening valuation to prevent it applying retrospectively to earlier gains.
The family home, farms, shares, KiwiSaver, businesses, business assets and inheritances would be excluded. Commercial property owned or used by a business would generally remain within scope. Labour says revenue would be directed to health spending.
Labour also proposes to:
Make no changes to the current interest deductibility rules for residential investment property.
Refocus the broad Investment Boost regime towards small-business support.
Increase the immediate asset write-off threshold from $1,000 to $10,000 for businesses with annual revenue below $10 million.
Increase the compulsory GST registration threshold from $60,000 to $80,000.
For investors, Labour's approach would continue to distinguish sharply between different asset classes. Residential and commercial property would face a new capital-gains tax, while direct shares and KiwiSaver would remain outside the proposed regime.
Green Party
The Green Party proposes a broader shift towards taxing wealth and higher incomes. Its main proposals include:
An annual 2.5% wealth tax on net assets above $10 million for individuals.
Exclusion of the family home from the wealth-tax base.
A 33% Capital Acquisitions Tax on gifts and inheritances above $1 million.
Exemptions for family homes and family farms under the inheritance proposal.
A company tax rate of 33% for companies with annual turnover above $30 million.
Retention of the 28% company tax rate for smaller businesses.
A levy on large banks.
A 5% withholding tax on profits that large technology companies send offshore.
Removal of interest deductibility for residential investment property.
Restoration of the 10-year bright-line period.
The Greens also propose a $10,000 tax-free income threshold and a new 45% marginal tax rate on income above $160,000.
The wealth tax would principally affect very high-net-worth individuals, but its potential effects would extend to investment portfolios, privately owned businesses, trusts and other assets depending on the final valuation and integrity rules.
Te Pāti Māori
Te Pāti Māori proposes a "Kiwi tax plan" that includes:
A wealth tax of 1.5% on net wealth above $2 million.
A 2% rate above $5 million.
A 2.5% rate on wealth of $10 million or more.
A 33% company tax rate.
A 33% land-banking tax.
A 2% vacant-house tax.
A 5% stamp duty on residential sales.
An exemption from stamp duty for first-home buyers purchasing homes below $1 million.
A $30,000 tax-free income threshold.
A higher top personal income tax rate of 48% on income above $300,000.
A targeted "Kai Credit" for people earning $60,000 or less.
Additional funding to address tax evasion and fraud.
The party says 97% of New Zealanders would pay less income tax under its proposed income-tax changes, although higher taxes would apply to wealth, property transactions, companies and high incomes.
Opportunity
Opportunity proposes shifting a substantial part of the tax burden away from income and towards land. Its key measure is:
A 1.75% annual tax on urban land value.
A 0.5% annual tax on rural land value.
Taxation of land rather than buildings or other improvements.
The party would use the revenue to help fund a broadly universal Citizen's Income of $19,400 a year for eligible adults. It also proposes new personal tax rates of 28% up to $50,000, 34% from $50,001 to $200,000 and 39% above $200,000.
For investors, the proposal could make land-heavy assets less attractive relative to assets such as buildings, equipment or financial investments, although the final economic effect would depend on how the tax is reflected in land prices and rents.
ACT
In addition to its KiwiSaver proposal, ACT has announced changes affecting digital assets. It would:
Allow tax-free profits from cryptocurrencies held for more than one year.
Create an exemption for low-value cryptocurrency transactions used for small purchases.
ACT's broader position is to reduce taxation on investment and wealth creation rather than introduce a general capital gains tax.
New Zealand First
New Zealand First proposes reducing the company tax rate for businesses with annual turnover below $30 million from 28% to 20%.
The party says the measure would encourage investment, expansion, productivity and employment. The estimated cost is about $1 billion, with the party arguing that higher economic activity and a broader tax base would offset the cost over time.
A lower company tax rate could increase after-tax returns for qualifying businesses, although the benefit to individual investors would depend on business structure, dividend policy and the operation of imputation credits.
Personal savings and tax
The parties' personal-tax policies differ considerably.
Party | Main relevant proposal | Potential effect |
National | No new taxes | Greater emphasis on tax stability, subject to existing-tax changes |
Labour | 28% capital gains tax on residential investment and commercial property; GST threshold raised to $80,000 | Higher tax on specified property gains; lower compliance burden for some small businesses |
ACT | Tax-free qualifying KiwiSaver earnings; crypto tax changes | Greater compounding for qualifying retirement savings; lower tax on some digital-asset activity |
Green Party | $10,000 tax-free threshold; 45% rate above $160,000; wealth, inheritance and company taxes | Lower tax for many lower and middle incomes, higher tax on high incomes and wealth |
Te Pāti Māori | $30,000 tax-free threshold; higher rates for high incomes; wealth, land, vacant-house and stamp duties | Greater tax relief at lower incomes, with higher taxes on wealth, property and companies |
Opportunity | Land-value tax, revised income-tax rates and $19,400 Citizen's Income | Lower taxation of work in some cases, with greater taxation of land |
New Zealand First | 20% company tax rate for businesses below $30 million turnover | Potentially higher retained earnings and investment capacity for qualifying businesses |
This summary is intended solely as a neutral overview of the parties’ published policy positions as at 7 October 2026. It does not endorse or oppose any party or proposal, and it is not financial, tax or voting advice. The practical effect for households and investors will depend on individual circumstances, future legislative detail, and how policies interact with existing settings. Readers should refer to the parties’ own documents and seek independent advice before making decisions.
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