New Zealand · 2026/27 (year ending 31 March 2027)
New Zealand Salary calculator
Use this calculator to see your take-home pay in New Zealand for the tax year that runs from 1 April 2026 to 31 March 2027. Enter your gross salary and it works out the PAYE income tax and the ACC earners’ levy deducted from your pay, then shows what actually reaches your bank account. New Zealand has no tax-free allowance, so income tax applies from the first dollar, charged through progressive bands set by Inland Revenue. KiwiSaver is voluntary and is left out by default.
| Gross salary | $35,000 |
| PAYE income taxIRD individual rates | -$5,033 |
| ACC earners’ levy1.75% of liable earnings, capped at $156,641 | -$613 |
| Take-home pay | $29,355 |
How it works
- Start with your gross salary, the figure agreed before any deductions.
- Apply PAYE income tax across the IRD bands: 10.5% on the first $15,600, 17.5% from $15,600 to $53,500, 30% from $53,500 to $78,100, 33% from $78,100 to $180,000, and 39% on anything above $180,000.
- Apply the ACC earners’ levy at 1.75% of your earnings, charged only up to a cap of $156,641 a year. The most anyone pays is $2,741.22.
- There is no personal allowance, so the very first dollar you earn is taxed at 10.5%.
- What remains is your take-home pay. Divide by 12 for a monthly figure, or by 52 for a weekly one.
Take-home = gross - PAYE income tax - ACC earners’ levy
PAYE income tax is charged on your whole salary, in progressive bands from 10.5% up to 39%, with no tax-free amount. The ACC earners’ levy is a separate flat charge of 1.75% on your earnings up to an annual cap of $156,641. Subtract both from your gross salary to reach the figure that lands in your account.
- 10.5 / 17.5 / 30 / 33 / 39%
- IRD income tax bands at $15,600, $53,500, $78,100 and $180,000
- 1.75%
- ACC earners’ levy on liable earnings
- $156,641
- maximum earnings the ACC levy applies to, giving a $2,741.22 cap
Where a salary sits in New Zealand
| Adult minimum wage, full time | ≈ $48,900 | $23.50 an hour, 40-hour week, from April 2025 |
| Median annual earnings, wage and salary earners | ≈ $70,700 | Stats NZ, year to June 2024 |
| Where the 33% band begins | $78,100 | of taxable income |
| Where the 39% top band begins | $180,000 | top marginal rate |
Worked example
A $60,000 salary in the 2026/27 tax year leaves $48,729.50 a year, about $4,061 a month, after $10,220.50 PAYE income tax and $1,050 in ACC earners’ levy. The effective deduction rate is roughly 18.8%.
Key facts
- New Zealand has no tax-free allowance, so income tax applies from the first dollar at 10.5%.
- The income tax bands are 10.5%, 17.5%, 30%, 33% and 39%, set at $15,600, $53,500, $78,100 and $180,000.
- The ACC earners’ levy is charged on top of income tax at 1.75%, capped once earnings reach $156,641.
- KiwiSaver is voluntary, so it is excluded from these figures by default.
Tips
- Check the tax code on your payslip. The main code (M) suits most people with one job; a wrong code such as an unintended secondary code is a common reason take-home pay looks off.
- If you have one job and earn between roughly $24,000 and $48,000, the independent earner tax credit may be worth up to $520 a year, which this calculator does not apply.
- KiwiSaver contributions come out of take-home pay, but your employer usually adds at least 3% on top and the scheme is built for retirement saving.
- Working for Families tax credits can lift the income of households with children and are claimed separately from PAYE.
Take-home pay at different salaries, 2026/27
| Gross salary | PAYE income tax | ACC levy | Take-home | A month |
|---|---|---|---|---|
| $30,000 | $4,158.00 | $525.00 | $25,317.00 | $2,109.75 |
| $50,000 | $7,658.00 | $875.00 | $41,467.00 | $3,455.58 |
| $70,000 | $13,220.50 | $1,225.00 | $55,554.50 | $4,629.54 |
| $90,000 | $19,577.50 | $1,575.00 | $68,847.50 | $5,737.29 |
| $120,000 | $29,477.50 | $2,100.00 | $88,422.50 | $7,368.54 |
| $180,000 | $49,277.50 | $2,741.22 | $127,981.28 | $10,665.11 |
Frequently asked questions
Does this include KiwiSaver?+
No. KiwiSaver is a voluntary retirement scheme, and the employee contribution rate you choose (3%, 4%, 6%, 8% or 10%) varies from person to person, so it is excluded by default. If you are enrolled, your take-home pay would be lower by your chosen percentage of gross pay.
What is the ACC earners’ levy?+
It funds cover for injuries that happen away from work, paid by everyone who earns a salary or wage. For the year from 1 April 2026 it is charged at 1.75% of your liable earnings, up to a maximum of $156,641, so the levy is capped at $2,741.22 no matter how much you earn above that.
Why is there no tax-free amount?+
Unlike the UK or Australia, New Zealand does not have a personal allowance or tax-free threshold. Income tax is charged from the first dollar, starting at 10.5%. Lower earners are instead supported through separate measures such as Working for Families tax credits, which are not modelled here.
Does it cover student loan repayments?+
No. If you have a New Zealand student loan, repayments of 12% are deducted from salary above the annual repayment threshold (around $24,128 for 2026/27), which would reduce your take-home pay further. That deduction is not included here.
Why might my payslip differ slightly?+
Employers calculate PAYE for each pay run rather than once a year, so rounding can differ by a few cents. A secondary tax code, the independent earner tax credit, a tailored tax code, KiwiSaver, or a student loan can also change the figure on your payslip.
How current are these rates?+
The income tax bands are Inland Revenue’s rates that took effect on 1 April 2025 and continue unchanged for 2026/27. The ACC earners’ levy rate of 1.75% and the $156,641 cap apply from 1 April 2026 to 31 March 2027.
Things to watch
- This tool gives general information only and is not financial or tax advice. Check your own position with Inland Revenue or a qualified adviser before making decisions.
- Your payslip is worked out for each pay run rather than once a year, so rounding can differ by a few cents from the annual figure here.
- A student loan adds a 12% repayment on income above the annual threshold, which is not included in these figures.
- A secondary tax code on a second job is taxed at a flat rate on the whole amount, so combining jobs can change your total tax.
Sources
- Tax rates for individuals · Inland Revenue (IRD)
- ACC earners’ levy rates · Inland Revenue (IRD)
- Setting the average ACC levy rates for 2025/26, 2026/27 and 2027/28 · Ministry of Business, Innovation & Employment
Last updated: 2026-04-01 · Applies to 2026/27 (year ending 31 March 2027)
This is an estimate for general guidance, not financial, tax, legal or medical advice. Figures can change and individual circumstances vary. Always confirm with the official sources listed before making decisions.
- Income tax bands effective 1 April 2025, unchanged for the 2026/27 year.
- ACC earners’ levy of 1.75% with a $156,641 cap applies from 1 April 2026.
- Assumes the main tax code (M) and excludes KiwiSaver, student loan repayments, and the independent earner tax credit.
Reviewed by Vikas Dulgunde.