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Country hiring guide

Hiring in New Zealand πŸ‡³πŸ‡Ώ

New Zealand offers a skilled, English-speaking workforce and light employer on-costs, with a distinctive trial-period option. All-in employer cost runs around 1.04x the gross salary. Here is what to know before your first New Zealand hire.

Calculate a New Zealand hire β†’
Capital cityWellington
CurrencyNew Zealand dollar (NZD)
LanguagesEnglish, Māori
Population~5.2 million
Payroll frequencyFortnightly or monthly
VAT standard rate15% GST
Employer burden*~4% of gross
TGTC flat EOR fee$499/mo Β· Tier B
Overview

Employing in New Zealand

Employment runs under the Employment Relations Act and the Holidays Act, with mandatory written agreements, good-faith obligations, and KiwiSaver enrolment. A short trial period is available to smaller employers.

Minimum wage

  • NZD 23.50/hour (Apr 2025)
  • NZD 23.95 from Apr 2026

Payroll cycle & extra pay

  • Weekly, fortnightly or monthly
  • No mandatory 13th salary

Public holidays

  • 11 national + 1 regional anniversary
  • Time-and-a-half if worked

Onboarding & probation

  • 90-day trial period allowed
  • Written agreement mandatory
Employer costs

What you pay on top of salary

Employer on-costs are light, mainly the KiwiSaver employer contribution and the ACC levy that funds accident cover.

Employer contribution*Rate
KiwiSaver (employer minimum)3%
ACC Work Levy (industry-based)~0.7%*
ESCT on employer KiwiSavervariable*

No general social security

New Zealand funds most social support from general taxation, so employer payroll on-costs are limited to KiwiSaver and ACC.

Employee-side taxes

Employees pay income tax under the PAYE system plus their KiwiSaver and ACC share, withheld at source. Withholding is the employer's responsibility, which under EOR means ours.

Types of leave

Statutory leave in New Zealand

Annual leave

  • 4 weeks after 12 months

Maternity & parental leave

  • Up to 26 weeks government-paid
  • Capped NZD 788.66/week (2025-26)

Sick leave

  • 10 days/year paid
  • Carries over, max 20 days

Other leave

  • Bereavement & family violence leave
Employment termination

Ending employment in New Zealand

Notice

  • Per agreement, commonly 2-4 weeks

Severance

  • No statutory redundancy pay
  • Per contract only

Probation

  • 90-day trial dismissal, no grievance

Contractor risk

  • Courts apply real-nature tests
  • Penalties from NZD 30,000

*All figures are estimates from public sources (2025-26), pending ops verification - same basis as the EOR cost calculator. Not tax or legal advice.

Employ in New Zealand without registering an entity

Compliant New Zealand employment agreement, payroll, and KiwiSaver, handled. One invoice, flat $499 per month.

Get a New Zealand quote