Retiring Overseas From New Zealand: What Happens to Your NZ Super and KiwiSaver

Planning to retire abroad? Whether you keep NZ Super depends on where you go, and your KiwiSaver options range from transfer to withdraw to leave invested. Here is how the rules work.

Many New Zealanders picture retirement somewhere warmer, closer to family, or simply cheaper than home. The good news is that retiring abroad does not automatically cut you off from NZ Super or KiwiSaver. The catch is that what you keep, and how you keep it, depends heavily on which country you move to. This guide walks through both your NZ Super entitlement and your KiwiSaver options when you leave for good.

TL;DR: You can usually be paid NZ Super for up to 26 weeks while overseas before payments are affected ³. For a longer move, whether you keep it depends on the country: full portability applies to 22 Pacific nations ⁶ and special rules to 11 agreement countries ⁵; elsewhere a proportional 1/45th-per-year formula applies ⁴. KiwiSaver can usually be withdrawn one year after you emigrate, except to Australia, where you transfer instead ⁷⁸.

Can you keep getting NZ Super if you retire overseas?

For a short trip, yes, with little fuss. If you are already receiving NZ Super and you go overseas, you can generally keep being paid for up to 26 weeks before your payments are affected, provided you intend to return ³. That covers most extended holidays and visits to family.

A permanent move is a different question. Once you are living overseas long term, your continued entitlement runs through New Zealand's portability rules rather than ordinary NZ Super. Whether you keep the full rate, a reduced rate, or nothing at all depends on the country you settle in and how long you lived in New Zealand during your working life.

For context, the current NZ Super rates that portability is measured against are, as at 1 April 2025, $1,076.84 per fortnight after tax for a single person living alone (M code) ¹, and $1,656.68 combined for a couple where both qualify ². These are the domestic figures; what you receive overseas may be paid on a different basis, as explained below.

How does NZ Super portability actually work (general vs special portability)?

There are three broad pathways, and which one applies comes down to your destination.

General portability applies when you move long term to a country that has no social security agreement with New Zealand and is not one of the special Pacific arrangements. Under this pathway, NZ Super is paid proportionally: you receive 1/45th of the full rate for each year you lived in New Zealand between the ages of 20 and 65 ⁴. So 45 qualifying years gives you 100% of the rate, 30 years gives you two-thirds, and so on ⁴. This rule has applied since 5 January 2010 ⁴.

Special portability applies to a defined list of Pacific countries. If you move to one of these 22 Pacific nations, you can be paid the full basic rate if you lived in New Zealand for 20 or more years since age 20, half the basic rate at 10 years, and 1/20th of the rate for each year between 10 and 20 years ⁶.

Social security agreement countries are handled under the specific bilateral agreement with each country, which can override the general formula. These arrangements often coordinate the two countries' pension systems so you are not left worse off for having split your working life across both ⁵.

Figure (described): a decision tree branching by destination. The first branch asks whether you are moving to Australia (special transfer rules for KiwiSaver, agreement coverage for NZ Super); the second whether the country is one of the 11 social security agreement nations; the third whether it is one of the 22 Pacific special-portability countries; and the default branch applies general portability at 1/45th per year. Each branch then shows the NZ Super outcome and the KiwiSaver outcome (transfer, withdraw after one year, or leave invested in NZ). Source: Work and Income portability rules and IRD KiwiSaver emigration rules ³⁴⁵⁶⁷⁸.

Eligibility and the underlying NZ Super rules still matter, and the picture differs by individual. Our guide to NZ Super rates and eligibility sets out the domestic position.

Which countries have special social-security agreements with NZ?

New Zealand has bilateral social security agreements with 11 countries that are relevant to NZ Super portability ⁵:

• Australia
• Canada
• Denmark
• Republic of Ireland
• Jersey
• Guernsey
• Greece
• Malta
• Netherlands
• South Korea
• United Kingdom

If you are moving to one of these, the relevant agreement governs how your NZ Super is treated, and in some cases how it interacts with the host country's pension ⁵. The detail varies a lot between agreements, so the country you choose genuinely changes the outcome. It is worth checking the specific agreement, and your own work history in both countries, before you commit to a date.

The 22 Pacific special-portability countries are a separate list again, covered by their own scheme rather than individual agreements ⁶.

What happens to your KiwiSaver if you emigrate permanently in retirement?

KiwiSaver is your own invested money, so emigrating does not make it disappear. What it does is open up options that are not available while you live in New Zealand.

If you move permanently to a country other than Australia, you can generally apply to withdraw most of your KiwiSaver once you have been overseas for at least one year ⁷. There is an important exclusion: the government contributions are not paid out to you. They are returned to Inland Revenue ⁷. You keep your own contributions, your employer's contributions, the $1,000 kick-start if you received one, any fee subsidies, and the interest earned ⁷.

If you move permanently to Australia, the rules are different. You cannot make a permanent-emigration cash withdrawal ⁸. Instead, you can transfer your KiwiSaver savings to a complying Australian (APRA-regulated) superannuation scheme, or leave them invested in New Zealand ⁸. We cover the trans-Tasman path in detail in our guide to KiwiSaver when moving to Australia.

One more point for anyone spending extended periods abroad: you generally need to be contributing and resident to qualify for the annual government contribution, so a long stint overseas usually means you stop earning it. From 1 July 2025 the maximum annual government contribution is $260.72 (down from $521.43 previously) ⁹, so the amount at stake each year is smaller than it once was, but it is still worth understanding before you go.

Should you withdraw KiwiSaver on emigration or leave it invested in NZ?

This is the question that most often benefits from a proper conversation, because there is no single right answer. Both paths have real trade-offs.

Leaving it invested in NZ keeps your money in a familiar, regulated scheme and lets it stay invested for the long run. If you are over 65 you can also simply draw it down from New Zealand as normal, which sidesteps the emigration-withdrawal rules entirely. The downsides are practical: currency risk if you spend in another currency, the hassle of managing an account from offshore, and the tax treatment in your new country of residence.

Withdrawing on emigration (where permitted) consolidates your money where you live, which can simplify your finances and remove cross-border admin. The trade-offs are that you forfeit the government contributions ⁷, you lose the disciplined, low-cost structure of your KiwiSaver fund, and you take on the job of reinvesting the money sensibly somewhere else.

A few things worth weighing up:

• Your age and time horizon. Money you will not touch for years behaves very differently from money you need soon.
• Currency. Holding NZD-denominated investments while spending in another currency introduces exchange-rate risk in both directions.
• Tax in your new country. How withdrawals and ongoing investment earnings are taxed where you live can change the maths significantly.
• What you would do with the cash. Withdrawing only helps if the alternative is genuinely better, after costs and tax.

Returns are not guaranteed. The value of investments can go down as well as up and you may get back less than you invested. Past performance is not a reliable indicator of future performance. For the mechanics of turning a balance into income, see our guide to KiwiSaver drawdown options in retirement.

How is your NZ retirement income taxed if you live abroad?

Tax is where retiring overseas gets genuinely technical, and it is also where the rules differ most from staying home.

Once you reside long term in a country with which New Zealand has no social security agreement, portable NZ Super is treated as exempt income under the Income Tax Act and is paid without PAYE deducted, that is, gross ¹⁰. This has applied since 5 January 2010 ¹⁰. That is a different treatment from domestic NZ Super, which is taxed at source. Being paid gross does not necessarily mean the income is tax-free overall, because your new country of residence may tax it under its own rules.

The broader point is that your tax position is set by where you become resident, the specific agreement (if any) between that country and New Zealand, and the type of income involved. KiwiSaver withdrawals and ongoing investment earnings can also be taxed differently abroad. This is genuinely individual, and getting it wrong can be expensive, so cross-border tax advice from an appropriately qualified professional is sensible before you leave.

Smiths Financial does not provide tax, migration or overseas-pension advice. This is general information only, and you should consult an appropriately authorised professional, such as an accountant or migration specialist, for your specific situation.

What about retiring in Australia specifically?

Australia is the most common destination, so it is worth pulling the threads together. Two things make it a special case.

First, Australia is one of the 11 social security agreement countries, so your NZ Super is handled under the trans-Tasman agreement rather than the general 1/45th formula ⁵. The agreement coordinates entitlements across both countries.

Second, KiwiSaver works differently for Australia than anywhere else. You cannot take a permanent-emigration cash withdrawal ⁸. Your two practical options are to transfer your KiwiSaver to a complying Australian (APRA-regulated) super fund, or to leave it invested in New Zealand ⁸. Each has consequences for fees, fund choice, currency and how the money is eventually taxed and accessed, which is why this decision rewards a careful, like-for-like comparison rather than a default choice. Our KiwiSaver moving to Australia guide goes through the transfer mechanics.

What should you sort before you leave NZ?

A short, practical list to work through well before your departure date:

• Confirm your NZ Super pathway. Identify whether your destination is an agreement country, a Pacific special-portability country, or a general-portability country, and check what that means for your rate ⁴⁵⁶.
• Tally your NZ residence years between 20 and 65. Under general portability this directly sets your payment at 1/45th per year ⁴.
• Decide your KiwiSaver approach. Transfer (Australia), withdraw after a year (elsewhere), or leave invested, with eyes open about the forfeited government contributions where they apply ⁷⁸.
• Get cross-border tax advice. Understand how your NZ Super and KiwiSaver will be treated where you are moving ¹⁰.
• Sort the admin early. Bank accounts, contact details, and how you will manage any NZ-based money from overseas.
• Check the timing. The one-year overseas rule for KiwiSaver withdrawal ⁷ and the 26-week NZ Super window ³ both have dates attached, so plan around them.

If you are still building your balance rather than drawing it, our guide to withdrawing KiwiSaver at 65 covers the at-home position.

Frequently asked questions

Can I keep my NZ Super if I move overseas permanently? Often yes, but possibly at a reduced rate. The outcome depends on your destination. Moving to one of the 11 social security agreement countries is handled under that agreement ⁵; one of the 22 Pacific special-portability countries can pay the full rate after 20+ years of NZ residence ⁶; and any other country uses the general formula of 1/45th of the full rate per year lived in NZ between ages 20 and 65 ⁴.

How long can I be overseas before NZ Super is affected? If you are travelling rather than emigrating, you can generally be paid for up to 26 weeks while overseas before your payments are affected, provided you intend to return ³. A permanent move shifts you onto the portability rules instead.

Can I withdraw my KiwiSaver if I emigrate? If you move permanently to a country other than Australia, you can usually apply to withdraw most of your KiwiSaver once you have been overseas for at least one year ⁷. The government contributions are not paid to you and are returned to Inland Revenue; you keep your own and your employer's contributions, the kick-start if received, fee subsidies and interest ⁷.

What happens to my KiwiSaver if I move to Australia? You cannot make a permanent-emigration cash withdrawal ⁸. You can transfer your savings to a complying Australian (APRA-regulated) super fund, or leave them invested in New Zealand ⁸. Which is better depends on fees, fund choice, currency and tax, so it is worth comparing carefully.

Is my NZ Super taxed if I live abroad? If you live long term in a country with no social security agreement with New Zealand, portable NZ Super is treated as exempt income here and paid gross, without PAYE deducted ¹⁰. That does not necessarily mean it is tax-free, because your country of residence may tax it. Cross-border tax advice is sensible.

Should I leave my KiwiSaver invested in NZ or take it with me? There is no single answer. Leaving it invested keeps your money in a familiar, regulated scheme but exposes you to currency risk and offshore admin; withdrawing (where allowed) simplifies things but forfeits the government contributions and the low-cost structure. Your age, time horizon, destination and tax position all matter, which is why personalised advice helps.

This article is general information only and is not personalised financial advice. It does not take into account your particular financial situation, goals or needs. Before acting, consider whether it's right for you and seek advice tailored to your circumstances. KiwiSaver is a long-term savings scheme; government contributions, contribution rates, withdrawal rules and tax (PIR) settings are set by the Government and can change. Figures are correct as at 26 October 2025. Check current rules at ird.govt.nz, kiwisaver.govt.nz, workandincome.govt.nz and sorted.org.nz. Craig Smith Business Services Ltd (FSP712931), trading as Smiths Financial, holds a Class 2 licence issued by the Financial Markets Authority and is a member of the Financial Dispute Resolution Service (FDRS). Written by Henry Smith, Financial Adviser; reviewed by Craig Smith, Principal Adviser. Last reviewed 26 October 2025.