NZ's bizarre KiwiSaver system is compulsory (though not enforced) yet can be opted out of 2-8 weeks after starting employment and creates all kinds of issues for staff, employers and IR.
goPayroll does not auto-enrol anyone (in order to save the bother - it's best to determine if the employee actually wishes to remain enrolled at the time you set them up).
If you wish to comply exactly with legislation then you can (and should) tick the enrolled option when setting up the employee, unless they're casual or a contractor.
If the employee then wishes to opt-out between 2-8 weeks after starting, just untick enrolled and they'll have no further deductions.
goPayroll does not automatically recalculate KiwiSaver for unpaid amounts (or as some would prefer for the entire period of service) for a number of reasons:
- the pays have already been reported to IR, and
- may also have been paid to IR
The employer may wish to recall and re-process pays for the individual employee and note the amount to be refunded, however they have no obligation to do so as it creates significant admin. If they do, and with the assistance of the HelpDesk, then this process will automatically report the changes to IR.
Otherwise, a refund will be supplied by IR to the employee once they have processed the opt-out.