Working out your Prescribed Investor Rate (PIR)

Before you invest in a portfolio investment entity (PIE) such as a KiwiSaver scheme, you will need to provide your IRD number and prescribed investor rate (PIR). Your PIR is used to calculate the tax on income derived on your KiwiSaver account. You can determine your PIR by answering the following questions:

Q1. Are you a NZ tax resident individual?
NO. Your PIR is 28.0%
YES. Go to question 2.

Q2. For either of the previous two income years*, was your taxable income $48,000 or less, and your combined taxable income plus PIE income (less any PIE loss) $70,000 or less?
NO. Your PIR is 28.0%
YES. Go to question 3.

Q3. For either of the previous two income years*, was your taxable income $14,000 or less, and your combined taxable income plus PIE income (less any PIE loss) $48,000 or less?
NO. Your PIR is 17.5%
YES. Your PIR is 10.5%

*Previous two income years refers to the two years prior to the tax year that the PIR is being applied to. (For example, use your income for the 2016 and 2017 tax years to work out your 2018/2019 PIR.)