What is the NZ living wage in 2026?
The current living wage is $28.95 per hour from 1 September 2025. It rises to $29.90 per hour from 1 September 2026.
NZ Living Wage 2026 - Current Rate and Take-Home Pay
The NZ living wage is $28.95 per hour from 1 September 2025, rising to $29.90 per hour from 1 September 2026.
Updated 7 June 2026
Updated April 2026. Current and upcoming rates checked against Living Wage Movement Aotearoa NZ.
Current living wage rate
The NZ living wage is $28.95 per hour from 1 September 2025. It rises to $29.90 per hour from 1 September 2026.
| Measure | Current rate | From 1 Sep 2026 |
|---|---|---|
| Hourly | $28.95 | $29.90 |
| Weekly, 40 hrs | $1,158.00 | $1,196.00 |
| Annual | $60,216 | $62,192 |
The living wage is set independently by the Family Centre Social Policy Unit and released by Living Wage Movement Aotearoa NZ. It is not a legal requirement. Paying it is voluntary.
Living wage vs minimum wage
| Measure | Living wage, current | Minimum wage |
|---|---|---|
| Hourly | $28.95 | $23.95 |
| Annual, 40 hrs | $60,216 | $49,816 |
| Gap | $5.00/hr | $10,400/yr |
From 1 September 2026, when the living wage rises to $29.90, the gap widens to $5.95/hr, or around $12,376 per year for a 40-hour worker.
See the full NZ minimum wage breakdown.
Who pays the living wage
The living wage is voluntary. Employers who commit to paying it can become accredited Living Wage Employers through Living Wage Movement Aotearoa NZ.
Over 340 employers are currently accredited, including Auckland Council, several major banks, and a range of private businesses. Accreditation requires all directly employed staff, and in most cases on-site contractors, to be paid at least the living wage.
Take-home on the living wage
Full-time worker on $28.95/hr, 40 hours per week, M tax code.
| Item | Amount |
|---|---|
| Gross annual | $60,216 |
| PAYE plus ACC | $11,339 |
| Take-home, no KiwiSaver | $48,877/yr - $940/wk |
| Take-home, 3.5% KiwiSaver | $46,769/yr - $899/wk |
These figures are indicative and assume no student loan, no Working for Families, no child support, and no secondary tax code. Calculate your exact take-home in the TaxPop PAYE Calculator.
How the living wage is calculated
The living wage is calculated annually using a household reference model: two adults and two children, with one adult working full-time and one part-time. It covers basic necessities and allows for modest participation in everyday life, including rest, activities, and a small savings buffer.
It is not the same as the minimum wage, which is set by the government. The living wage is independently calculated to reflect what the Family Centre Social Policy Unit estimates is needed for a dignified standard of living.
FAQs
Is the living wage a legal requirement?
No. Employers are not required to pay it. It is a voluntary commitment. The legal floor is the minimum wage of $23.95/hr.
When does the living wage change?
It is announced in April each year, with accredited employers given until 1 September to implement the new rate.
How is the living wage different from the minimum wage?
The minimum wage is set by the government and is legally enforceable. The living wage is independently calculated to reflect the actual cost of living and is voluntary.
Who sets the living wage?
The Family Centre Social Policy Unit calculates the rate. Living Wage Movement Aotearoa NZ releases it and manages employer accreditation.
How do I know if my employer pays the living wage?
Check the Living Wage Movement accredited employer list for the current list of accredited employers.
What will the living wage be in 2027?
Not announced yet. The 2027 rate will be announced in April 2027.
Related pages
FAQs
Is the living wage compulsory?
No. The living wage is voluntary. The legal minimum wage is the compulsory wage floor.
Who sets the living wage?
The Family Centre Social Policy Unit calculates the living wage, and Living Wage Movement Aotearoa NZ releases the rate and manages accreditation.
When does the living wage change?
The rate is announced annually, with accredited employers usually given until 1 September to implement the new rate.
How much is living wage annually?
At $28.95 per hour for 40 hours a week, the annual gross amount is $60,216. From 1 September 2026, $29.90 per hour is $62,192 a year.