Frequently Asked Questions
Everything you need to know about NZ Pay Calculator and New Zealand taxation
General Questions
What is NZ Pay Calculator?
NZ Pay Calculator is a free online tool that helps New Zealand workers calculate their take-home pay after PAYE tax, ACC levies, KiwiSaver contributions, and student loan repayments. It provides accurate calculations based on current NZ tax rates and regulations.
How accurate are the calculations?
Our calculations are based on official IRD tax rates and thresholds. However, this is an estimate tool and should not replace professional tax advice. Always consult with a tax professional for complex situations.
Is this calculator free to use?
Yes, NZ Pay Calculator is completely free to use. There are no hidden fees, registration requirements, or premium features.
Working Out Your Take-Home Pay
How do I work out my take-home pay after tax in NZ?
Your take-home pay (net pay) is your gross salary or wage minus PAYE income tax, the ACC earners' levy, and any KiwiSaver and student loan deductions. The easiest way to work out your pay after tax is to enter your income into our NZ pay calculator — it instantly shows your take-home pay weekly, fortnightly, monthly and annually using current IRD tax rates.
How much will I get paid after tax?
It depends on your salary and which deductions apply. The table below shows the approximate PAYE income tax and pay after tax for common NZ salaries in the 2025/26 tax year. These figures are PAYE income tax only — before ACC levy, KiwiSaver and student loan — so use the calculator for your exact net pay.
| Annual salary | PAYE tax (approx.) | After tax (approx.) | Per week (approx.) |
|---|---|---|---|
| $42,000 | $6,258 | $35,742 | $687 |
| $60,000 | $10,221 | $49,780 | $957 |
| $65,000 | $11,721 | $53,280 | $1,025 |
| $76,000 | $15,021 | $60,980 | $1,173 |
| $96,000 | $21,558 | $74,443 | $1,432 |
| $100,000 | $22,878 | $77,123 | $1,483 |
What is the difference between gross pay and net pay?
Gross pay is your total income before any deductions. Net pay — also called take-home pay or pay after tax — is what actually reaches your bank account after PAYE tax, ACC levy, KiwiSaver and student loan are taken out. So "net" always means after tax.
How much tax is deducted from my paycheck in New Zealand?
PAYE is deducted on a sliding scale, so the more you earn, the higher your average tax. As a rough guide for 2025/26, someone on $60,000 pays around 17% of their income in PAYE, while someone on $100,000 pays around 23%. Your actual deduction also depends on your tax code, ACC levy, KiwiSaver rate and whether you have a student loan.
Salary, Wage & Pay Frequency Conversions
How do I convert my annual salary to weekly, fortnightly or monthly pay?
Divide your annual salary by the number of pay periods in a year: 52 for weekly, 26 for fortnightly (bi-weekly), and 12 for monthly. For example, $74,000 a year is about $1,423 per week, $2,846 per fortnight, or $6,167 per month before tax. The calculator does this for you and also shows the after-tax amount for each pay cycle.
How do I convert an hourly rate to an annual salary?
Multiply your hourly rate by the hours you work each week, then by 52 weeks. For standard full-time work of 40 hours a week, just multiply your hourly rate by 2,080. For example, $25 an hour is about $52,000 a year, $30 an hour is about $62,400, and $42 an hour is about $87,360 a year before tax.
What is fortnightly pay and how is it calculated?
Fortnightly (bi-weekly) pay means you're paid once every two weeks, so there are 26 pay days a year. To find your fortnightly pay, divide your annual salary by 26. For example, $74,000 a year works out to about $2,846 per fortnight before tax.
How do I work out my gross pay from my take-home (net) pay?
Working backwards from net to gross is tricky because PAYE is progressive. The simplest approach is to use the calculator and adjust your gross salary until the take-home figure matches your target net pay — it recalculates instantly as you type.
PAYE Tax Questions
What is PAYE?
PAYE (Pay As You Earn) is New Zealand's system for collecting income tax and other deductions from your salary or wages. Your employer deducts these amounts before paying you, so you receive your net pay after deductions.
What are the current tax rates?
For the 2025/26 tax year (also 2026/27): $0–$15,600 (10.5%), $15,601–$53,500 (17.5%), $53,501–$78,100 (30%), $78,101–$180,000 (33%), and $180,001+ (39%). These thresholds took effect on 31 July 2024 and may change in future Budgets.
What is the difference between marginal and effective tax rates?
Your marginal tax rate is the rate you pay on your next dollar of income. Your effective tax rate is the average rate you pay on your total income. The effective rate is usually lower than the marginal rate due to progressive taxation.
What tax code should I use?
Most people use tax code 'M' for their main job. Use 'ME' if you're eligible for the Independent Earner Tax Credit, 'MSL' if you have a student loan, or 'SB' for secondary jobs. Check with IRD if you're unsure.
How is PAYE calculated?
PAYE is calculated using progressive tax brackets, meaning each portion of your income is taxed at a different rate. Only the income that falls within each bracket is taxed at that bracket's rate — you don't pay your top rate on your whole salary. Your employer works this out each pay day and sends it to IRD on your behalf. Our calculator applies the same bracket-by-bracket method.
What is secondary tax and how is it calculated?
If you have more than one job, your second (and any additional) jobs use a secondary tax code such as 'S', 'SH', 'ST' or 'SA'. Secondary income is taxed at a flat rate based on your total income from all sources, so your first dollar of secondary income isn't tax-free. Select your secondary tax code in the calculator to see the effect on your take-home pay.
Can I calculate PAYE for the 2026 or 2027 tax year?
Yes. Use the tax year selector in the calculator and on the Tax Info page to switch between supported tax years. We keep the brackets, ACC levy and student loan thresholds up to date as IRD confirms them for each year.
KiwiSaver Questions
What is KiwiSaver?
KiwiSaver is New Zealand's voluntary retirement savings scheme. It helps you save for retirement with contributions from you, your employer, and the government.
What are the contribution rates?
You can contribute 3%, 4%, 6%, 8%, or 10% of your gross salary. From 1 April 2026 the default minimum rose to 3.5% for both you and your employer (rising again to 4% from 1 April 2028). The government contribution is 25c per $1 you contribute, up to a maximum of $260.72 a year if you're eligible (halved from $521.43 on 1 July 2025).
Can I opt out of KiwiSaver?
Yes, you can take a savings suspension for 3-12 months, or opt out permanently if you're eligible. However, you'll miss out on employer and government contributions.
When can I access my KiwiSaver?
You can access your KiwiSaver when you turn 65, or earlier in special circumstances like financial hardship, serious illness, or permanent emigration.
Student Loan Questions
How much do I repay on my student loan?
You repay 12% of your income above the repayment threshold. For the 2025/26 tax year, the threshold is $24,128 a year (about $464 per week). This means you only start repaying when you earn more than this amount.
Can I make voluntary repayments?
Yes, you can make voluntary repayments at any time. These are in addition to your compulsory repayments and can help you pay off your loan faster and reduce interest.
What happens if I move overseas?
If you move overseas for more than 6 months, you may need to make repayments based on your worldwide income. Contact StudyLink for specific requirements.
ACC Levy Questions
What is the ACC levy?
The ACC (Accident Compensation Corporation) levy is a contribution that helps fund New Zealand's accident compensation scheme. It covers medical treatment, rehabilitation, and compensation for work-related injuries.
How much is the ACC levy?
Employees pay the ACC earners' levy, a flat rate deducted from your gross earnings. For the 2025/26 tax year it is 1.67% on income up to a maximum of $152,790 (a maximum levy of about $2,552). The rate rises to 1.75% in 2026/27. Self-employed people are also charged separate work levies that vary by industry.
Is ACC levy compulsory?
Yes, the ACC levy is compulsory for all employees and self-employed people in New Zealand. It's automatically deducted from your pay by your employer.
Technical Questions
How often are tax rates updated?
Tax rates and thresholds are typically updated annually in the government budget. Our calculator is updated as soon as new rates are announced and become effective.
Can I save my calculations?
Yes, you can download your results as a CSV file, share them via link, or print them for your records. Your calculations are not stored on our servers for privacy reasons.
What browsers are supported?
Our calculator works on all modern browsers including Chrome, Firefox, Safari, and Edge. For the best experience, we recommend using the latest version of your browser.
Is my data secure?
Yes, we take your privacy seriously. We don't store your salary information or calculation results on our servers. All calculations are performed locally in your browser.
Self-Employed, Contractors & Tax Refunds
Can I use this as a self-employed or contractor tax calculator?
You can use it to estimate income tax, because sole traders, contractors and the self-employed pay the same income tax brackets as salaried workers. Enter your expected net profit (income after business expenses) to see the approximate tax. Note that it does not handle GST, provisional tax, or business expense deductions, and self-employed people are billed the ACC levy separately by ACC rather than through PAYE.
How much tax do I pay on $145,000 if I'm self-employed?
For 2025/26, income tax on $145,000 of net profit is roughly $37,728 in PAYE-equivalent income tax, before ACC levies. Self-employed people usually pay this through provisional tax instalments during the year rather than as automatic deductions. Enter the amount in the calculator for an up-to-date estimate.
Does this work out my tax refund?
In New Zealand, IRD automatically issues an income tax assessment each year and tells you if you're due a refund or have tax to pay. This calculator estimates the correct PAYE on your income, which helps you check whether too much or too little tax was deducted, but it isn't an official refund estimate. For your actual refund, log in to myIR on the IRD website.
Still Have Questions?
Can't find the answer you're looking for? Here are some helpful resources:
For specific tax advice, we recommend consulting with a qualified tax professional or accountant.