Using your KiwiSaver to help pay for weight loss surgery is possible in New Zealand, especially if you’re experiencing financial hardship. While some applications are approved purely on medical grounds, many patients qualify under the Significant Financial Hardship criteria, one of the most common early withdrawal pathways.

This guide explains everything you need to know in 2025:

• What “financial hardship” actually means

• What evidence providers want

• How hardship applies to weight loss surgery

• How to prepare your application

• Common mistakes and rejection reasons

• Example hardship scenarios

• Whether hardship or medical grounds is better for you

If you haven’t read the full process yet, start with our main guide:

👉 KiwiSaver for Weight Loss Surgery (2025 Guide)

1. What Is “Significant Financial Hardship”?

Under the KiwiSaver Act, financial hardship means you are unable to meet essential living costs or are facing significant financial difficulties that cannot be alleviated without accessing your savings.

This does not simply mean you cannot afford surgery — it must relate to your overall financial situation.

KiwiSaver providers usually consider hardship when you are struggling with:

• Rent or mortgage payments

• Utility bills

• Food and essential living costs

• Medical expenses

• Debt repayments

• Unpaid bills or overdue notices

Weight loss surgery falls into the hardship category when:

➡ You medically need surgery
➡ But cannot reasonably afford it in your current financial situation
➡ And delaying surgery would worsen your health

This combination is extremely common in real cases.

2. Can You Use KiwiSaver Hardship Withdrawal for Weight Loss Surgery?

Yes — if you cannot pay for surgery without accessing your KiwiSaver.

Providers assess two things:

✔ Medical necessity

(Is surgery essential for your health?)

→ Covered in your GP letter.
→ See our template here:
👉 KiwiSaver GP Letter Template

✔ Financial difficulty

(Do you genuinely lack other funding options?)

→ Covered by bank statements, income/expense summaries, and your personal statement.
Most NZ patients applying for gastric sleeve or bypass qualify under a mix of both:

Medical necessity + financial hardship.

3. Evidence Required for Hardship Applications

Hardship applications require more documentation than medical-only withdrawals.

Providers commonly request:

📄 1. GP letter

States medical need and risks of delaying surgery.

📄 2. Clinic quote

Shows the exact cost of the procedure.

📄 3. Last 3 months of bank statements

All accounts, including joint accounts.

📄 4. Income & expenses summary

Often a provider-supplied form.

📄 5. Proof of financial pressure

Examples:

• Rent increases

• Overdue utility bills

• Loan or credit card statements

• Medical expense receipts

• Debt hardship notices

📄 6. Declaration that you have no alternative funding

Providers must legally verify this.

Hardship is not about being broke — it’s about showing that paying for surgery without KiwiSaver would cause serious financial strain.

4. What Counts as Essential Living Costs?

Providers evaluate whether you can meet necessary expenses, such as:

• Housing

• Food

• Utilities

• Medical treatment

• Essential travel

• Child-related costs

They do not count:

• Holidays

• Luxury purchases

• Gym memberships

• Fashion

• Entertainment

• Upgrading devices

• Unnecessary subscriptions

If your bank statements show excessive discretionary spending, expect questions.

5. Hardship vs Medical Withdrawal — Which Is Better?

There are two pathways to early KiwiSaver access:

Most bariatric applicants choose the combined approach, because it builds a more complete case.

If your GP letter is strong but your financial documentation is weak → go medical.

If medical need is clear but you also can’t afford surgery → use both.

6. What a Strong Hardship Case Looks Like

An effective case includes:

✔ Clear medical justification (GP letter)

BMI + comorbidities + failed attempts + urgency.

✔ Transparent financial records

Bank statements without major irregularities.

✔ Realistic expense summary

Consistent with your lifestyle and income.

✔ Detailed personal statement

Explains why surgery is essential and unaffordable.

✔ Evidence you explored alternatives

E.g., insurance doesn’t cover, loan declined, or unsafe.

This increases trust and reduces delays.

7. How to Write Your Personal Statement

A personal statement is not required, but it strengthens your application significantly.

A good statement includes:

• Your current health challenges

• How your weight affects daily life

• Why your GP recommended surgery

• Attempts at lifestyle/medical treatments

• Why you cannot afford surgery

• Why KiwiSaver is your only option

• How surgery will improve your long-term wellbeing

Example wording:

“I am unable to meet the cost of surgery without accessing my KiwiSaver. My health conditions, including hypertension and sleep apnea, are worsening. My GP has recommended gastric sleeve surgery as medically necessary. Paying for surgery upfront would cause significant financial hardship, and delaying treatment would negatively affect my long-term health.”

Keep it sincere and factual — avoid emotional exaggeration.

8. Processing Time for Hardship Applications

Hardship applications usually take:

• 10–20 working days

• Sometimes 25+ days (if documents are missing)

Delays happen when:

• Bank statements are incomplete

• GP letter is vague

• Expense summary is unclear

• Provider requests additional information

Prepare all documentation upfront to minimise delays.

9. Why Hardship Applications Get Declined

The most common reasons for decline:

❌ No medical proof
❌ Financial evidence not matching income
❌ Missing bank statements
❌ High discretionary spending without explanation
❌ Ambiguous personal statement
❌ Asking for FULL KiwiSaver balance (never do this)
❌ GP letter too short or non-medical

Declines often happen due to documentation issues, not lack of eligibility.

10. Example Scenarios — Who Typically Qualifies?

✔ Scenario A — Strong Case

• BMI 42

• Diabetes + hypertension

• Tried lifestyle treatment for years

• Cannot afford $17k sleeve surgery

• No insurance coverage

• Bank statements show basic living costs only

→ High likelihood of hardship approval

✔ Scenario B — Medium Case

• BMI 37

• One comorbidity

• Some discretionary spending but manageable

• Rent increases → difficulty meeting costs

• GP strongly recommends surgery

→ Medium likelihood

✔ Scenario C — Weak Case

• BMI 33

• No comorbidities

• No GP discussion yet

• High discretionary spending

• No financial pressure evidence

→ Low likelihood
→ Medical withdrawal alone may still be possible.

11. Summary

KiwiSaver financial hardship withdrawal can help patients access essential bariatric surgery when it is medically necessary and financially out of reach.

A successful application requires:

• A clear GP letter

• Transparent financial evidence

• A detailed personal statement

• Strong documentation

• Understanding of what KiwiSaver providers look for

If you prepare the documents thoroughly and present an honest, organised application, your approval chances increase significantly.

For a complete overview of the entire process — eligibility, documents, forms, timelines — read the full guide:

👉 KiwiSaver for Weight Loss Surgery (2025 Guide)

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