What Changed on 1 April 2026? Key Updates for NZ Businesses

Several important changes affecting businesses in New Zealand took effect on 1 April 2026, including updates to minimum wage, KiwiSaver contribution rates, ACC levies, and new Customs import levy charges. Understanding these changes helps ensure your payroll, budgeting, pricing, and compliance processes stay up to date, avoiding surprises for both you and your employees.

Minimum wage increase

From 1 April 2026, the adult minimum wage in New Zealand increased to $23.95 per hour.

Business owners should:

• Update payroll systems to reflect the new rate

• Check employment agreements and contracts

• Ensure casual, part-time, and seasonal staff are paid correctly

Failing to apply the new minimum wage could result in compliance issues and employee disputes.

KiwiSaver contribution rate changes

The default KiwiSaver contribution rate also changed from 3% to 3.5% for both employees and employers.

Key points for employers:

• Review payroll settings to ensure the correct deduction and employer contribution

• Communicate changes to employees so they are aware of the new contribution rate

• Remember that employees can apply for a temporary rate reduction (3% instead of 3.5%) for a 3–12 month period if needed

  
  

These updates may affect cashflow planning, so adjusting budgets ahead of payroll processing is important.

ACC levy adjustments

ACC workplace levies also changed from 1 April 2026. These adjustments may affect your overall payroll costs, depending on your business classification and claims history.

Employers should:

• Review levy statements for the new rates

• Update payroll budgets to account for any increases

• Check that levy allocations are correct in payroll software

ACC levies are a normal part of running a business, but rate changes can affect overall employment costs, so it’s important to factor these into budgeting each year.

Import and Customs levy changes

From 1 April 2026, New Zealand Customs introduced changes to goods clearance fees, replacing the old system with new goods management levies. These charges apply to goods being imported into or exported from New Zealand.

One of the biggest changes is a new levy on low-value imported goods (under $1,000). This means businesses that regularly import small shipments, parcels, or online orders from overseas may see slightly higher freight or customs costs, as freight companies and couriers usually pass these charges on to businesses.

This change is most likely to affect:

• Retailers importing stock in small shipments

• Online stores importing products from overseas

• Businesses ordering parts or materials regularly from overseas

• Exporters sending small parcels overseas

  
  

While the cost per shipment is relatively small, businesses that import or export frequently may notice these costs add up over the year. It may be worth reviewing freight costs, pricing, and margins to account for these additional levies.

Payroll changes employers should review

In addition to the minimum wage, KiwiSaver, and ACC updates, businesses should take the opportunity to:

• Ensure overtime rates, allowances, and shift differentials are updated if they depend on the minimum wage

• Confirm payroll software is up to date with new rates

• Communicate clearly with staff about changes to deductions and contributions

Taking time to review payroll settings at the start of the financial year can prevent errors and payroll adjustments later.

What businesses should do now

To stay compliant and avoid errors:

1. Review all payroll systems and make the necessary updates

2. Confirm employee contracts and KiwiSaver details reflect the new rates

3. Budget for increased wage and levy costs

4. Review freight and import costs if your business imports goods

5. Contact your accountant if you’re unsure about calculations or need advice

   
   

Changes on 1 April happen every year, and keeping up with them ensures your business stays compliant and avoids unexpected costs. Taking action early helps prevent payroll mistakes, pricing issues, and budgeting surprises throughout the year.

This guide was prepared by the team at dc&a, a New Zealand accounting firm helping business owners stay compliant and make confident financial decisions.