Minimum Wage Increase from 1 April 2026

From 1 April 2026, the New Zealand minimum wage will increase, bringing changes that employers need to prepare for. While the increase is relatively moderate, it will still affect payroll, employment agreements, and budgeting for many businesses.

The government has announced the following new minimum wage rates:

• Adult minimum wage: $23.95 per hour (up 45 cents from $23.50)
  Starting-out and training minimum wage: $19.16 per hour (stays at 80% of the adult rate; up from $18.80)

For a full-time employee working 40 hours per week, this increase equates to approximately $18 more per week, or $936 per year before tax.

If you employ staff earning close to the minimum wage, now is the right time to review your payroll and ensure everything is ready before the new rates take effect. Remember to check those employees on salary as well – based on a 40-hour work week, the annual salary minimum wage rate will be $49,816 (up from $48,880).

Find out more about these key changes here: Minimum wage set for 2026 | Ministry of Business, Innovation & Employment.