The minimum wage is the legally required hourly rate employers must pay eligible workers in New Zealand. It’s reviewed every year and updated on 1 April, and it matters to employees checking their pay is correct, employers staying compliant, and anyone budgeting on a low income. This guide covers the current rates, what they add up to weekly and annually, who qualifies for which rate, and how the minimum wage differs from the living wage. It’s general information, not legal or employment advice.
The current rates
What the minimum wage adds up to
At the $23.95 adult rate, before tax. These are gross figures — PAYE, ACC, KiwiSaver and any student loan reduce your take-home pay.
| Hours/week | Weekly | Annual (×52) |
|---|---|---|
| 20 hours | $479.00 | ~$24,908 |
| 30 hours | $718.50 | ~$37,362 |
| 40 hours (full-time) | $958.00 | ~$49,816 |
| 50 hours | $1,197.50 | ~$62,270 |
The law sets an hourly minimum, so employers must ensure every hour worked is paid at least $23.95 — including for salaried roles, where salary ÷ actual hours must not fall below the minimum. Casual workers get the same rate plus 8% holiday pay on top.
What it adds up to
Understanding the hourly rate is one thing — seeing what it means over a week or a year helps with budgeting.
Reference sources
- Employment New Zealand — minimum wage rates (official): employment.govt.nz
- Inland Revenue — tax on your wages (PAYE): ird.govt.nz
- Living Wage Movement Aotearoa NZ — the living wage rate: livingwage.org.nz
- Sorted — budgeting and managing your money: sorted.org.nz
A note on after-tax pay: the minimum wage is set before tax, and there’s no official “minimum wage after tax” figure — your take-home depends on your tax code, ACC levy, and any KiwiSaver or student loan deductions. To see your actual net pay, use our PAYE calculator guide, and our tax rates guide explains how the deductions work.
Who gets which rate
Not everyone on the minimum wage is on the same rate — youth, trainees and under-16s are treated differently.
What income feels “comfortable”?
Indicative ranges — “comfortable” depends heavily on where you live and your household, especially housing costs.
| Household | Comfortable income |
|---|---|
| Single, regional city | ~$60k – $75k |
| Single, Auckland/Wellington | ~$80k – $95k |
| Couple, no kids | ~$100k – $130k combined |
| Family of four | ~$120k – $150k combined |
Where $70k goes (after tax ≈ $55,000, ~$1,050/week)
| Category | Approx. share |
|---|---|
| Housing (rent/mortgage) | ~35% |
| Food & transport | ~30% |
| Utilities & internet | ~10% |
| Savings & KiwiSaver | ~10% |
| Leisure & other | ~15% |
On $70k, a single professional lives comfortably in most regions with room to save; in Auckland or Wellington, rent can swallow half your take-home, so budgeting is tighter. Buying a home on one $70k income is challenging without a second income or deposit help.
Minimum wage vs living wage
These two terms are often confused. The minimum wage ($23.95) is a legal floor that every eligible employer must pay. The living wage (currently $28.95, rising to $29.90 from 1 September 2026) is a voluntary benchmark set by independent researchers — it reflects what a household needs to cover rent, food, transport, healthcare and basic community participation, rather than a bare legal minimum. Many councils, NGOs and accredited Living Wage Employers choose to pay it to support staff wellbeing and retention, but it isn’t required by law. Our living wage guide covers it in detail. If you’re budgeting on either, our budget planner guide can help stretch your income further.
How and when it changes
The government reviews the minimum wage every year, weighing inflation, cost-of-living pressures, wage growth, and the impact on businesses and employment. Any change takes effect on 1 April, and is usually announced several weeks beforehand — so the rate stays fixed for the rest of the year (searches for “minimum wage NZ September” or other months reflect the same 1 April rate). Employers must update payroll from 1 April, and it’s worth checking your early-April payslips to confirm the new rate has been applied. The living wage, by contrast, updates on 1 September each year.
The bottom line
As of 1 April 2026, the adult minimum wage is $23.95 an hour — about $958 a week or roughly $49,800 a year at full-time hours, before tax. Starting-out and training workers earn $19.16, and there’s no minimum for under-16s. Whatever your situation, the key protections are the same: every hour worked must be paid at least the minimum, casual workers get 8% holiday pay on top, and if you think you’re being underpaid, Employment New Zealand can help. Because the rates change each year, always confirm the current figure before relying on it.
Disclaimer: This article is general information about the New Zealand minimum wage, not legal or employment advice. Minimum wage rates are set by the government and change every year on 1 April (the living wage updates on 1 September) — always confirm the current rate with Employment New Zealand before relying on it. If you believe you’re being paid less than the minimum wage, free help is available from Employment New Zealand (0800 20 90 20).
What the typical Kiwi earns
Latest Stats NZ figures (2025–26). “Median” is the middle point (half earn more, half less); “average” is skewed up by high earners.
| Income bracket | Roughly |
|---|---|
| Under $50k | Lower income (~25% of workers) |
| $50k – $80k | Middle income (~45%) |
| $80k – $120k | Upper-middle (~20%) |
| $120k+ | Higher income (~10%) |
A $70,000 salary sits just below the national median — squarely middle-income, and ahead of roughly half the country’s earners. For comparison, the adult minimum wage is $23.95/hr (from 1 April 2026), and the voluntary living wage is $28.95/hr (rising to $29.90 from 1 September 2026).
Frequently asked questions
What is the minimum wage in NZ right now?
From 1 April 2026, the adult minimum wage is $23.95 an hour, applying to most employees aged 16 and over. The starting-out and training rates are $19.16 (80% of the adult rate), and there’s no minimum wage for under-16s. Rates change each 1 April, so confirm the current figure with Employment New Zealand.
What does the minimum wage work out to per week and year?
At the $23.95 adult rate, a 40-hour week is $958 before tax, which is roughly $49,800 a year over 52 weeks. Part-time hours scale down proportionally (20 hours is $479 a week). These are gross figures — PAYE, ACC, KiwiSaver and any student loan reduce your take-home pay.
What’s the difference between the minimum wage and the living wage?
The minimum wage ($23.95) is a legal requirement every eligible employer must pay. The living wage (currently $28.95, rising to $29.90 from 1 September 2026) is a voluntary benchmark reflecting what a household needs for a decent standard of living — it’s higher, but not required by law, though many employers choose to pay it.
Do 16 and 17-year-olds get the full minimum wage?
Often, yes. Most 16 and 17-year-olds get the adult minimum wage, but the lower starting-out rate ($19.16) can apply in their first six months with an employer. It depends on employment history rather than age alone, so many young workers qualify for the full rate once the criteria are met. There’s no minimum wage for under-16s.
Do casual and migrant workers get the minimum wage?
Yes to both. Casual workers are entitled to the same minimum wage as permanent staff, plus 8% holiday pay on top. Migrant and work-visa holders are entitled to the same minimum as citizens and residents — and some visa categories require employers to pay above the minimum to meet immigration conditions.
When does the minimum wage change?
Every year on 1 April, following the government’s annual review of inflation, living costs, wage growth and business conditions. The new rate is usually announced several weeks beforehand and stays fixed until the next 1 April — there are no mid-year changes. The living wage updates separately on 1 September.
