How to work out your take-home pay in New Zealand (PAYE, ACC, KiwiSaver and student loan)

jobtracker.co.nz does this sum for every job you save, from its salary or hourly rate and the KiwiSaver rate and student loan you set once in Settings.

The four deductions, in order

Each deduction is worked out from your gross pay, the figure in your employment agreement before anything comes out. They do not stack on top of each other; each one is a separate calculation on the same starting figure.

1. PAYE income tax. Tax is charged in bands, so only the part of your income inside each band is taxed at that band's rate. For 2026/27:

2. ACC earners' levy. 1.75% of your earnings, up to a cap of $156,641 a year. It pays for accident cover outside work.

3. KiwiSaver. If you are a member, your own contribution comes out of your gross pay. The default rate rose from 3% to 3.5% on 1 April 2026; you can choose a higher rate, or apply to stay at 3% for a time.

4. Student loan. 12% of your income above the repayment threshold of $24,128 a year, taken through your pay if you have a New Zealand student loan.

A worked example at the median wage

Inland Revenue's figure for median wage and salary income was $61,958 for the year ended 31 March 2026. It includes part-time and part-year earners, so treat it as context rather than a typical advertised salary. Here is what it comes to:

That is about $1,842 a fortnight. With a student loan, another $4,540 a year is repaid, and take-home falls to about $1,668 a fortnight.

The tax works band by band: 10.5% of the first $15,600, 17.5% of the next $37,900, and 30% of the $8,458 above $53,500. People earning between $24,000 and $70,000 may also be eligible for the independent earner tax credit, worth up to $520 a year, if they do not receive Working for Families, an income-tested benefit, NZ Super or a Veteran's Pension. It is not included above.

Think of a salary as a fortnightly amount

A salary figure helps you compare jobs, but day-to-day planning runs on what arrives each pay day. Rent, groceries and bills arrive weekly or fortnightly.

So when you look at a job, turn the salary into a fortnightly take-home straight away. It changes how offers feel. An extra $5,000 a year sounds like a lot; in the 33% tax band, after ACC and KiwiSaver as well, it is about $3,088, or $119 a fortnight. That is still worth having, but it may not be worth an extra hour of commuting each day.

For the figures at other salaries, our table of salary after tax in New Zealand sets out the fortnightly and monthly take-home from $45,000 to $180,000.

The mistakes people make

Treating KiwiSaver as if it is on top, when the agreement includes it. Usually your employer's contribution is paid on top of your salary. Some agreements are written on a total remuneration basis, where the employer's contribution comes out of the package, which lowers your pay. Check which one your agreement uses before you compare offers. Our guide to KiwiSaver and money between jobs covers contributions in more detail.

Forgetting the student loan. At 12% of everything above the threshold, it is often the largest deduction after tax for people in their twenties and thirties who have a loan.

Getting secondary tax wrong. A second job is taxed with a secondary tax code chosen by your total income from all jobs. The wrong code usually means a bill or a refund at the end of the year.

Using the top tax rate for the whole salary. Someone on $95,000 pays 33% only on the part above $78,100. Their overall tax is about 22% of their salary.

Comparing offers on what arrives

Once you think in take-home, comparing jobs becomes clearer. Put each offer through the same four deductions, then add what the salary does not show: the employer's KiwiSaver contribution, the cost of the commute, leave above the minimum, and any allowances. Two offers a few thousand dollars apart can end up close, or even reverse, once KiwiSaver, the commute and leave are counted.

The Offer Comparer does the take-home side for two offers at 2026/27 rates, including employer KiwiSaver, a bonus, health cover and a company vehicle or parking, with no account needed; add the commute and any extra leave yourself. For what to say once you know the number you want, our guide to salary negotiation in New Zealand covers the conversation.

See the take-home on every job