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Budget 2024: The Government has announced FamilyBoost, a proposed new childcare payment to help eligible families with the rising costs of Early Childhood Education (ECE). Find out more: Beehive.govt.nz

The calculations we use depend on whether you work regular hours or not.

If you’re an employee, we’ll work out your payments for you, using information we get from your employer.

How we work out your payments

Your paid parental leave payment is the higher of your ‘ordinary weekly pay’ and ‘average weekly income’ ─ up to a maximum payment.

We use averages so you don’t miss out if your pay changes from week to week.

Ordinary weekly pay

If you work regular hours, your entitlement will be based on your weekly, fortnightly, or monthly pay.

Average weekly income

If your weekly income can vary, we look at the 52-week period immediately before:

  • The person who gave birth or their spouse or partner: Your expected due date, or the baby’s date of birth.
  • For other primary carers: The date the child came into your care.

Then we find the 26 weeks where you earned the most income and find the average weekly income over this period.

Income from various sources

If you have income from more than 1 employer, we combine your income from all employers to work out either your ordinary weekly pay or average weekly income.

Employee and self-employed income

You can combine your income from self-employment and employment if you meet the work requirements both as an employee and a self-employed person separately.

Maximum payment

The maximum paid parental leave payment (before tax) is:

2023-2024 tax year: $712.17 a week

2022-2023 tax year: $661.12 a week

Multiple births

Are you having more than 1 child at the same time (for example, twins)?

Your paid parental leave payments are the same, no matter how many children you have.

Example: Hannah’s paid parental leave entitlement

Hannah is expecting her first baby and now she’s at week 35 of her pregnancy, she’s impatient for the big day to arrive!

At the start of the year, Hannah was working as a sales assistant at a local shoe shop. Three months ago, a customer, impressed with Hannah’s attitude and product knowledge, offered her a job as a senior receptionist at the XYZ Hotel ─ for a bigger salary.

Hannah accepted the offer and now customers at the XYZ Hotel are enjoying a much-improved customer service.

When Hannah sent us her paid parental leave application, we worked out her entitlement for her.

Hannah’s ordinary weekly pay

Hannah works regular hours, earning $1,100 a week.

Hannah’s ordinary weekly pay is $1,100.

Hannah’s average weekly income

Next, we calculated Hannah’s average weekly income. We looked at the 52-week period ending on her expected due date and found the 26 weeks where she earned the most income.

At the shoe shop, Hannah earned $920 a week. This is less than the $1,100 she’s now earning at the XYZ Hotel.

She earned $18,700 over 17 weeks at the XYZ Hotel, and $8,280 for the remaining 9 weeks at the shoe shop.

That means she earned a total of $26,980 over the 26-week period. We divided this figure by 26 to give us Hannah’s average weekly income.

$26,980/26 = $1,037.69.

Hannah’s average weekly income is $1,037.69.

Hannah’s paid parental leave entitlement

The larger of the 2 figures is the ordinary weekly pay of $1,100.

The maximum of $712.17 applies, so Hannah’s paid parental leave entitlement is $712.17 a week, and she’ll get $1,424.34 (less deductions) paid into her bank account every fortnight.


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Last updated: 22 Feb 2024
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