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If your employee belongs to another suitable superannuation scheme, they are exempt from enrolment in KiwiSaver. This page explains how to disable the deduction of compulsory employer KiwiSaver contributions for these employees.
To disable KiwiSaver deductions for any employee, first you need to disable the Compulsory KiwiSaver Employer Contributionssetting. Once you’ve done that, you can disable contributions for specific employees who use non-KiwiSaver superannuation funds.
You can also disable employer contributions as your company default, but if you do this you need to be careful that you are meeting your legal minimum contributions to all KiwiSaver enrolled employees by setting them individually.
Make sure that you are still meeting your legal minimum contributions to all KiwiSaver enrolled employees if you change the company default.
From the front screen click Setup > Company Defaults> KiwiSaver.
ClickEmployer Contribution Rate then click Zero (Exempt Scheme) then Go. This rate (zero) now applies to any employee who does not have an individually set KiwiSaver rate.
If the option to Disable Compulsory KiwiSaver Employer Contributions is turned off in the Extremely Fine Tuning window, then any individual employees whose employer contribution has been set as Zero (Exempt Scheme) will revert to Legal Minimum.