NZ PAYE Income Tax Calculator (2026/27)
This calculator works out New Zealand PAYE for the 2026/27 tax year, which runs from 1 April 2026 to 31 March 2027. Enter your gross annual income and KiwiSaver rate, and it applies each Inland Revenue tax bracket in turn, adds the ACC earner levy of 1.75% on earnings up to the annual cap, and deducts your KiwiSaver employee contribution to show your take-home pay. New Zealand uses a progressive system, so each slice of income is taxed at the rate for its bracket rather than your whole income being taxed at a single rate. KiwiSaver does not change your income tax: it is a separate deduction from your pay, set at 3.5%, 4%, 6%, 8% or 10% of gross salary, with a default minimum of 3.5% from 1 April 2026. The result shows your income tax, the ACC earner levy, your KiwiSaver contribution, your take-home pay, and your effective tax rate. This tool covers salary and wage income taxed under PAYE. It does not include student loan repayments or secondary tax codes for a second job. Every figure here traces to an official source shown at the foot of the page with the date it was checked.
On $70,000 with KiwiSaver at 3.5%, income tax is $13,220.50, ACC levy $1,225.00, KiwiSaver $2,450.00, leaving take-home pay of $53,104.50.
Applies to: New Zealand individual income, 2026/27 tax year (from 1 April 2026). Rates source: Inland Revenue tax rates for individuals, checked 20 June 2026.
What this tool does
It converts a gross annual income into the PAYE income tax due for the 2026/27 year, broken into the income tax across the five brackets and the ACC earner levy. It then shows what is left and your effective rate. It is built for a quick, sourced answer you can check against your payslip or an IRD assessment.
The formula
New Zealand income tax is progressive. For each bracket, tax is the portion of income that falls inside the bracket multiplied by the bracket rate. The ACC earner levy is a flat rate on liable earnings up to a cap.
income tax = sum over brackets of (income in bracket) x (bracket rate)
ACC earner levy = min(income, 156,641) x 1.75%
KiwiSaver contribution = gross income x KiwiSaver rate
take-home pay = income - income tax - ACC earner levy - KiwiSaver contribution
KiwiSaver does not change your income tax. It is a separate deduction from your pay. The employee rate is 3.5%, 4%, 6%, 8% or 10% of gross salary, with a default minimum of 3.5% from 1 April 2026. Your employer also contributes at least 3.5%, which is paid on top of your salary and is not deducted from your take-home pay.
Tax brackets (2026/27)
| Taxable income (NZD) | Rate | Source |
|---|---|---|
| 0 to 15,600 | 10.5% | IRD, checked 20 June 2026 |
| 15,601 to 53,500 | 17.5% | IRD, checked 20 June 2026 |
| 53,501 to 78,100 | 30% | IRD, checked 20 June 2026 |
| 78,101 to 180,000 | 33% | IRD, checked 20 June 2026 |
| 180,001 and over | 39% | IRD, checked 20 June 2026 |
| ACC earner levy (to 156,641 cap) | 1.75% | ACC, checked 20 June 2026 |
| KiwiSaver employee rate (3.5, 4, 6, 8 or 10%) | 3.5% min | IRD, checked 20 June 2026 |
Worked example
Gross annual income of 70,000 dollars, KiwiSaver at the 3.5% default:
- Bracket 1: 15,600 x 10.5% = 1,638.00
- Bracket 2: (53,500 - 15,600) x 17.5% = 37,900 x 17.5% = 6,632.50
- Bracket 3: (70,000 - 53,500) x 30% = 16,500 x 30% = 4,950.00
- Income tax = 1,638.00 + 6,632.50 + 4,950.00 = 13,220.50
- ACC earner levy = 70,000 x 1.75% = 1,225.00
- KiwiSaver = 70,000 x 3.5% = 2,450.00
- Total deductions = 13,220.50 + 1,225.00 + 2,450.00 = 16,895.50
- Take-home pay = 70,000 - 16,895.50 = 53,104.50
Who this is for
Salary and wage earners who want to see their PAYE income tax and ACC levy for 2026/27, employees checking a payslip, and anyone budgeting from a gross salary figure.
What this assumes
It assumes income taxed under PAYE for a New Zealand tax resident for the full year, the main tax code, and the KiwiSaver employee rate you select applied to gross salary. It does not include student loan repayments, the Independent Earner Tax Credit, secondary tax codes, or schedular and self-employed income, which are handled by the related tools below. The employer KiwiSaver contribution is paid on top of salary and is not part of your take-home deduction.
PAYE income tax: frequently asked questions
Which tax year does this calculator use?
It uses the 2026/27 New Zealand tax year, which runs from 1 April 2026 to 31 March 2027. The income tax brackets shown are the rates published by Inland Revenue and in force for that year.
What is the ACC earner levy?
The ACC earner levy funds cover for non-work injuries. For 2026/27 it is charged at 1.75% of your liable earnings, up to an income cap of 156,641 dollars, so the maximum earner levy is 2,741.22 dollars. It is deducted alongside PAYE income tax.
Does KiwiSaver change my income tax?
No. KiwiSaver is a separate deduction from your pay, not a tax. Your income tax is the same whether or not you contribute. KiwiSaver reduces your take-home pay by your chosen rate of gross salary: 3.5%, 4%, 6%, 8% or 10%, with a default minimum of 3.5% from 1 April 2026.
What KiwiSaver rate should I pick?
The default minimum employee rate is 3.5% of gross pay from 1 April 2026. You can choose 4%, 6%, 8% or 10% instead. Your employer must contribute at least 3.5% on top of your salary. This calculator deducts only your employee contribution from take-home pay, since the employer share is paid separately.
Does this show my take-home pay?
Yes, after income tax, the ACC earner levy and your KiwiSaver contribution. It does not deduct student loan repayments. If you have a student loan, your take-home pay will be lower than shown here.
How is PAYE income tax calculated in New Zealand?
New Zealand uses progressive tax brackets. Each slice of your income is taxed at the rate for that bracket, not your whole income at one rate. The calculator sums the tax for each bracket your income reaches.
Are these rates official?
Yes. The brackets come from the Inland Revenue tax rates for individuals page, checked live on 20 June 2026, and were cross-checked against an independent deterministic PAYE engine for 2026/27.
Official sources and verification
- Income tax brackets: Inland Revenue, tax rates for individuals, checked 20 June 2026.
- ACC earner levy: Accident Compensation Corporation, levies, checked 20 June 2026.
- KiwiSaver employee contribution rates: Inland Revenue, employee contributions, checked 20 June 2026.
- KiwiSaver 2026 rate changes: Inland Revenue, changes to the KiwiSaver contribution rate, checked 20 June 2026.
- Wider tax guidance: ird.govt.nz, checked 20 June 2026.
Reviewed by the CalculatorHub team, edited by James Graham, 20 June 2026. See our methodology. General information, not financial advice.