We’ll make paid parental leave payments to your bank account each fortnight. We’ll treat these payments like any other income and deduct tax and any other payments, for example student loan and child support. We do not deduct KiwiSaver contributions from your paid parental leave. If you would like to contribute while you're on parental leave you can.
KiwiSaver and paid parental leave
How much your parental leave payments will be
If you're an employee, your payments will match your ordinary pay up to a maximum of $606.46 a week before tax.
If you're self-employed your payments will be one of the following:
- a maximum payment to match your average earnings up to $606.46 a week before tax
- a minimum payment of $189 a week before tax.
You will receive at least the equivalent of 10 hours a week at the minimum wage.
Receiving other income
Use the secondary tax code if you receive other income at the same time as parental leave payments. Whichever payment is smaller should be taxed at the secondary rate.
Using the right tax codes will help you avoid a tax bill at the end of the year.
Tax codes and tax rates for individuals
Working for Families payments
You may be able to receive Working for Families payments while you're on parental leave. You cannot get the Best Start payment until paid parental leave finishes.
