Should you quit without another job lined up? The NZ runway maths

The 13-week wait and what it means

If you leave a job without what Work and Income calls a good and sufficient reason, you may need to wait up to 13 weeks before Jobseeker Support payments start. Work and Income calls this a non-entitlement period, and it is separate from the ordinary stand-down.

Good and sufficient reasons are assessed case by case. Work and Income's examples include a workplace that moved beyond realistic reach, childcare that fell through, an unexpected family event such as caring for a sick relative, a job that was beyond your capabilities or not suitable, a significant change in your conditions, and a health condition that stopped you working full time, backed by a medical certificate. If one of these applies, tell Work and Income when you apply.

Two more points matter. The period can be shortened: completing an approved activity for six continuous weeks can bring a provisional benefit before the 13 weeks end. On top of any non-entitlement period, the ordinary stand-down is usually one or two weeks, depending on your recent income. Our guide to job hunting on Jobseeker Support covers the obligations once payments start.

Jobseeker Support is also income-tested, including a partner's income, as Work and Income's Jobseeker Support page sets out, so some people who resign will not qualify at all. For a single person aged 25 or over, the rate from April 2026 is $372.55 a week after tax.

How long hunts are taking right now

Plan for a search measured in months. Stats NZ's figures for the June 2026 quarter show 37,600 people unemployed for six months to a year and 31,700 for more than a year, 69,300 in all. A long search is a common experience in the current market, and a budget built on finding work within a few weeks is a risky one.

How long it takes you will depend on your field, your seniority and where you live. People with skills in short supply may move quickly. If you are unsure, plan for several months rather than several weeks.

Runway: savings against after-tax spend

Your runway is how many weeks your savings would cover your outgoings with no income. The sum is simple: savings divided by weekly outgoings.

If you have $15,000 put aside and spend $800 a week on rent, food, power, transport and everything else, your runway is about 19 weeks. Count only money you can actually spend: an emergency fund, not a house deposit you cannot touch. KiwiSaver is not generally available for everyday costs between jobs; our guide to KiwiSaver and money between jobs sets out the rules and the limited exceptions.

Then check the runway against the 13-week wait and a realistic search length. If your runway is shorter than both, resigning now carries a real risk of running out. The demo opens with no account and includes a money runway that takes your savings, weekly outgoings and the date a first benefit payment would arrive, and shows how many weeks you have.

The middle path: hunt first, resign second

For most people the safer route is to search while still employed and resign once you have an offer in writing. It keeps your income, it avoids the 13-week wait, and you negotiate from a steadier position.

It does take more organisation: a personal email and phone, interviews around your working day, and care about who knows. Our article on job hunting while employed covers how to keep it private.

If the job itself is harming your health or safety, the calculation changes. Talk to your GP, and if the problem is how you are being treated, Employment New Zealand can explain your options before you decide.

Setting a deadline you will keep

If you do decide to leave first, set yourself a plan with dates on it:

• A date by which you will review how the search is going.
• A savings level at which you will take temporary or part-time work to stretch the runway.
• A weekly target for applications and conversations, and a record of what you did.

Write the dates down before you resign, while you are thinking clearly. It is much easier to stick to a plan made in advance than to decide under pressure when the money is running low.

Plan the exit before you take it