Q: We will be paying a personal grievance payment through payroll. I have read through several of your articles and and am confident this is a legitimate and lawful payment, understand the payment is not considered wage or salary payment.
My question is to confirm that this payment is not subject to KiwiSaver. I am confident that it is not but want to cover all my bases.

A: If this payment is a non-taxable compensation payment under Section 123 then it does not form part of the taxable gross for KiwiSaver.