Country Payroll Guide New Zealand
We deliver secure, compliant, accurate and touchless global payroll for New Zealand.
Key Facts
- Capital
- Wellington
- Date format
- dd/mm/yyyy
- Currency
- New Zealand dollar ($)
- VAT
- the standard rate is 15%
Contributions
Employers
- Minimum Employer Contribution (Kiwisaver)
- Minimum Employer Contribution (Kiwisaver) - 3%
- Total Employment Cost
- Total Employment Cost - 3%
Employees
- Minimum 3% Kiwisaver
- Minimum 3% Kiwisaver - 3% to 10%
- Total Employee Cost
- Total Employee Cost - 3% to 10%
Minimum Wage
- Minimum Wage
- The minimum wage in New Zealand is 20 NZD per hour.
Payroll
- Payroll Cycle
- Monthly
- 13th Salary
Not required by law.
Income Tax
- Employee Income Tax (1)
- 0 - 14,000 NZD - 10.5%
- Employee Income Tax (2)
- 14,001 NZD - 48,000 NZD - 17.5%
- Employee Income Tax (3)
- 48,001 NZD - 70,000 NZD - 30%
- Employee Income Tax (4)
- 70,001 NZD - 180,000 NZD - 33%
- Employee Income Tax (5)
- Over 180,000 NZD - 39%
Working Hours
- General Working Hours
40 hours per week.
- Overtime
No legal requirement for additional payment. Terms are usually agreed on the labor contract.
Leave
- Paid Time Off
At least 4 weeks. Some employees get 8% holiday pay instead.
- Public Holidays
10 public holidays.
- Sick Days
10 days
- Maternity Leave
26 weeks
- Paternity Leave
1 week unpaid leave after 6 months of employment and 2 weeks of unpaid leave after 12 months of employment. Leave can be taken any time within the period of 21 days before or after the birth.
- Other Leave
Special Leave: 10 days of unpaid leave are given for pregnancy-related appointments.
Termination
- Termination Process
Appropriate reason required; process includes fixed-term agreements.
- Notice Period
2 – 4 weeks depending on the role.
- Probation Period
3 months
Visa
- Employment Visa
Temporary work visas allow employment for 1 – 5 years.
