Further pay bump for new parents

The increase will come into effect on July 1. File photo.

Paid Parental leave entitlements will increase on July 1, resulting in up to $40 extra a week for new parents, or up to an additional $1040 for those taking the full 26 weeks of parental leave.

'We know things are tough right now for many families as global inflation affects prices here at home, today's announcement will help ease some of that pressure by putting an extra $40 a week in the pockets of those taking new parents,” says Workplace Relations and Safety Michael Wood.

'Parental leave supports expectant and new parents during some of the most important months of their babies' lives, that's why the Government is providing kiwi families with this helping hand.

'From Friday, July 1, the maximum weekly rate of paid parental leave will be increasing from $621.76 per week to $661.12 per week, a 6.3 per cent increase before tax.

'The extra $40 per week will help support our youngest New Zealanders' first days, and make a difference to approximately 20,000 New Zealand families.”

The minimum rate for self-employed persons will also increase to $212 per week, which is equal to 10 hours of the minimum wage for an adult worker.

'As part of our Government's promise to better support working families with new-born and young children, eligible employees can now receive parental leave payments for up to 26 weeks following changes we introduced in 2020,” says Wood.

'The Government is committed to making sure that families and parents receive the support they need to give their new child the best start at life. Paid parental leave is one way that this is done.”

The Employment New Zealand website has the most up-to-date information about parental leave, including eligibility, payments and returning to work.

2 comments

Tom Ranger

Posted on 14-06-2022 12:29 | By Tom Ranger

I saw the other day a stat that said. A family with 2 children effectively pay 8.6% tax. My tax obligation is (sarcastically) slightly higher for some reason...


It’s even less than that

Posted on 15-06-2022 11:08 | By Slim Shady

Mmm..I saw that. In NZ the average earner with two kids pays 6.5% of their income in tax, whereas a single person loses 19.4%. But they both pale compared to the OECD averages which are 24.6% and 34.6%. It does seem that people in NZ are very heavily subsidised for having children. Good little earners those kids and in NZ you don’t even need to buy them shoes or send them to school. Just send them out to do some ram raiding and dairy robbing.


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