The KiwiSaver Opt-out or Savings Suspension Form allows employees to opt out of or suspend an existing KiwiSaver enrollment through self-service.
Before You Begin: This form is intended for employees who already have an active enrollment record in People. Employees without an active enrollment will receive an error if they attempt to submit the form.
At the top of the form, Dayforce shows a drop-down list where employees need to select one of the following options:
- I wish to opt-out of KiwiSaver: This option is applicable only for those who have been employed for at least 14 days and no more than 56 days, in compliance with KiwiSaver requirements. Employees who select this option and don’t meet this requirement will receive an error if they attempt to submit the form.
- I have been approved for a Saving Suspension: If employees select this option, an additional setting is shown where they must select the number of months between three and twelve to indicate the length of the savings suspension.
In the Required Documentation section of the form, employees must upload a copy of the KiwiSaver KS10 Savings Suspension or KiwiSaver KS6 Opt-out request approval document that they obtained from the IRD. The form cannot be submitted without uploading a file.
After users select the declaration checkbox and submit the form, it enters a workflow that can include one or more approval stages depending on configuration. When the form is approved and processed, the following updates are made in the Payroll > KiwiSaver screen of People:
- The existing enrollment record is assigned an effective end date on the day before the form submission date.
- A new enrollment record is added with an effective start date on the form submission date.
The new enrollment record has the following details depending on whether the employee requested a suspension or opted out:
- If the employee requested a suspension, the new record has CH-Contribution holiday selected in the Status drop-down list. Moreover, the Effective To field of the record is set to the number of months in the future that was selected in the form. For example, If the form is submitted on November 19, 2020, and they request a suspension of three months, the effective end date of the record will be January 19, 2021.
- If the employee opted out, the new record has OT - Opted out selected in the Status drop-down list, and the Effective To field is cleared.
If an employer elects to continue making employer contributions, this can be captured in the Employer Compulsory Rates and Employer Voluntary Rates fields.