New Zealand · PAYE income tax
New Zealand Income Tax Calculator
Work out the income tax on your salary using the current IRD tax brackets, then see your full take-home pay after ACC, KiwiSaver and student loan.
Type your gross pay, then choose the period below.
IETC adds up to $520/yr for income $24,000–$70,000 on an M/ME tax code, if you don’t get Working for Families, a benefit or NZ Super.
Your take-home pay
per year
- Gross pay
- PAYE income tax
- — incl. IETC credit
- ACC earner’s levy
- KiwiSaver (you)
- Student loan
- Take-home pay
- Employer KiwiSaver (on top)
Indicative only, based on 2026/27 rates published by Inland Revenue (IRD). Not tax advice. Your actual PAYE is calculated by your employer using the IRD PAYE tables.
New Zealand income tax rates for 2026/27
This income tax calculator works out the PAYE tax on your salary or wage using the current IRD tax brackets. New Zealand income tax is progressive: each tax rate only applies to the income inside that band, and there is no tax-free threshold, so tax applies from your first dollar. These brackets are unchanged for the 2026/27 tax year.
| Taxable income | Tax rate |
|---|---|
| $0 – $15,600 | 10.5% |
| $15,601 – $53,500 | 17.5% |
| $53,501 – $78,100 | 30% |
| $78,101 – $180,000 | 33% |
| $180,001 and over | 39% |
How your income tax is calculated
To find your income tax, the calculator splits your annual income across the brackets above and applies each tax rate to its slice. Your average rate is the total tax divided by your income; your marginal rate is the rate on your next dollar — the band your income reaches. A pay rise never reduces your take-home pay, because only the part above each threshold is taxed at the higher rate.
Tax codes and the IETC
Your tax code tells your employer how much PAYE to deduct. Most people use M for their main income, or ME if they qualify for the Independent Earner Tax Credit (worth up to $520 a year for income between $24,000 and $70,000). Add an SL suffix if you have a student loan. Choosing the wrong tax code is the most common reason for an end-of-year bill.
Secondary income tax
Income from a second job is taxed on a secondary tax code (SB, S, SH, ST or SA) set by your combined income from all sources, with no tax-free band on the secondary income. Our secondary tax calculator helps you pick the right code.
Beyond income tax: ACC, KiwiSaver and student loan
Income tax isn’t the only thing taken out. The ACC earner’s levy (1.75% for 2026/27) is collected through PAYE, your KiwiSaver contribution comes out of gross pay, and a student loan adds a 12% repayment over $24,128. The full breakdown, including your net take-home, is shown above and on the take-home pay calculator.
What changed for the 2026/27 tax year
The income tax rates and thresholds are the same as 2025/26. What changed on 1 April 2026 is that the ACC levy rose from 1.67% to 1.75% and the default KiwiSaver rate rose from 3% to 3.5% — both reduce take-home pay slightly even though your income tax is unchanged.
Take-home pay on common NZ salaries (2026/27)
Here’s the take-home pay on a range of salaries, after PAYE income tax and the ACC levy, with the Independent Earner Tax Credit applied where it’s due. Figures are before KiwiSaver and student loan — add your KiwiSaver contribution rate and any student loan repayment in the calculator above for your exact net pay.
| Annual salary | Income tax | ACC levy | Take-home (year) | Per week |
|---|---|---|---|---|
| $40,000 | $5,388 | $700 | $33,912 | $652 |
| $50,000 | $7,138 | $875 | $41,987 | $807 |
| $60,000 | $9,700 | $1,050 | $49,250 | $947 |
| $70,000 | $13,220 | $1,225 | $55,554 | $1,068 |
| $80,000 | $16,278 | $1,400 | $62,322 | $1,199 |
| $100,000 | $22,878 | $1,750 | $75,372 | $1,449 |
| $120,000 | $29,478 | $2,100 | $88,422 | $1,700 |
A KiwiSaver contribution of 3.5% reduces these weekly figures further, while your employer adds 3.5% on top into your KiwiSaver account. Use the tool to see the full deduction breakdown for your own salary or wage.
Estimate your income tax and any refund
Use this tool to estimate your tax for the financial year before you get paid, or to check whether your PAYE looks right at the end of the tax year. New Zealand uses a progressive tax system, so the amount of tax you pay rises with each dollar you earn over a threshold. Self-employed earners and people with other income may need to pay tax directly, and you could be due a refund if too much was withheld. The tool can calculate the income tax on your earnings in seconds.
The breakdown also shows ACC levies, KiwiSaver and student loan deductions, so you see your total income and what’s left after every payment. If you’re on the wrong tax code you may need to pay more at year end — this estimate helps you spot it early. For GST or an hourly wage, see our other calculators; this page focuses on the income tax on a wage or salary, with the usual disclaimer that it’s a guide, not advice.
Frequently asked questions
How is income tax calculated in New Zealand?
Income tax is progressive: your income is split across the IRD brackets and each rate applies only to the income inside that band. There’s no tax-free threshold, so PAYE applies from the first dollar.
How do I find my tax code?
Your tax code reflects your main vs secondary income, student loan and IETC eligibility. Common codes are M, ME and M SL; IRD has an online tax code finder.
How does secondary income tax work?
A second job is taxed on a secondary code (SB, S, SH, ST or SA) chosen from your combined income, with no tax-free band on the secondary income. See our secondary tax calculator.
Does this calculator include KiwiSaver and ACC?
Yes — it adds the 1.75% ACC earner’s levy and your KiwiSaver contribution, plus any student loan, so you see income tax and full take-home pay together.
Can I change the tax rates to a different year?
This calculator uses the current 2026/27 IRD rates. The income tax brackets are unchanged from 2025/26; the ACC levy and KiwiSaver default rose on 1 April 2026.