Current Minimum Wage NZ 2026: Adult, Youth & Living Wage

If you’ve been wondering what the new minimum wage in New Zealand is for 2026, you’re in the right place. With the annual adjustment set for 1 April, workers across the country are looking at how the 45‑cent increase to $23.95 per hour affects their take‑home pay. This guide breaks down the rates for adults, young workers, and trainees, and compares them against the voluntary living wage.

Adult minimum wage (from April 2026): $23.95 per hour · Current adult minimum wage (before April 2026): $23.50 per hour · Starting‑out minimum wage: $19.16 per hour · Training minimum wage: $19.16 per hour · Living wage (2026/27): $29.90 per hour

Five wage tiers, one clear pattern: the gap between the legal minimum and the voluntary living wage has widened to nearly $6 an hour for adults.

What is the NZ new minimum wage?

The adult minimum wage is the baseline hourly rate that most workers aged 16 and over must receive. From 1 April 2026, this rate rises to $23.95 per hour, up from $23.50 – an increase of 45 cents (Employment New Zealand (official regulator)).

What is the adult minimum wage?

• $23.95 per hour from 1 April 2026 (MBIE (ministry policy announcement))
• Applies to employees aged 16 and over who are not starting‑out workers or trainees (Employers Assistance (NZ business advisory))

When does the new rate take effect?

The change applies from 1 April 2026. All hours worked on or after that date must be paid at the new rate (Employment New Zealand (official regulator)).

What is the current rate before increase?

The current adult minimum wage is $23.50 per hour, which has been in place since 1 April 2025 (MBIE (ministry policy announcement)).

What this means: The increase is the smallest dollar rise in recent years, but it keeps the adult minimum at a level that lifts annual gross earnings for a 40‑hour week to $49,816.

What is the minimum wage for a 16 year old in New Zealand?

For workers under 16, no minimum wage applies – they are excluded from the legislation. But once a young person turns 16, the starting‑out wage of $19.16 per hour becomes the floor for many first‑time workers (Employment New Zealand (official regulator)).

What is the starting‑out wage?

• $19.16 per hour from 1 April 2026 (Employment New Zealand)
• Equals 80% of the adult minimum wage (MBIE)

Who qualifies for the starting‑out wage?

• 16‑ and 17‑year‑olds who have not completed six months of continuous employment with their current employer (Calculate.co.nz (NZ wage calculator))
• 18‑ and 19‑year‑olds who have been on a specified social security benefit for six months or more and have worked less than six months continuously with any employer (Peninsula New Zealand (HR advisory))

How does it compare to adult minimum wage?

The starting‑out rate is $4.79 less per hour than the adult rate. Over a 40‑hour week, that’s a gap of $191.60 in gross pay.

What is the living wage in New Zealand?

The living wage is a voluntary rate calculated to meet the basic needs of a worker and their family. For the 2026/27 year, it is set at $29.90 per hour, well above the legal minimum (Living Wage Movement Aotearoa New Zealand (NGO certifier)).

What is the current living wage rate?

• $29.90 per hour for 2026/27
• Annual adjustment announced by the Living Wage Movement

How is it calculated?

The rate is independently calculated using a “household needs” methodology that accounts for food, housing, transport, and childcare costs in New Zealand (Living Wage Movement Aotearoa New Zealand).

Who pays the living wage?

Employers choose to become accredited Living Wage employers. It is not mandated by law. As of 2026, over 300 organisations in New Zealand have signed up (Living Wage Movement Aotearoa New Zealand).

The catch: A worker on the adult minimum wage earns $5.95 less per hour than the living wage. That adds up to nearly $12,400 less per year for a full‑time role – a gap that hits low‑income households hardest.

What is 40 hours minimum wage in NZ?

Knowing your gross weekly pay helps with budgeting. Here’s what a standard 40‑hour week looks like at each rate.

Three common scenarios, one takeaway: even at the adult rate, full‑time minimum wage work yields under $50,000 a year before tax.

How much is 40 hours at adult minimum wage?

• $958.00 per week gross (Calculate.co.nz (NZ wage calculator))
• $49,816 per year gross – before taxes and deductions

How much for starting‑out wage?

• $766.40 per week gross (Calculate.co.nz)
• That’s $191.60 less per week than an adult minimum wage worker

What about after tax?

All minimum wage figures are before tax. Deductions like PAYE, student loan repayments, and child support are taken from the gross amount (Employment New Zealand (official regulator)). Actual take‑home pay depends on individual tax codes and other deductions.

What is the training minimum wage?

The training minimum wage is a separate rate for workers aged 20 and over who are undertaking an approved industry training programme. In 2026 it matches the starting‑out wage at $19.16 per hour (Employment New Zealand (official regulator)).

What is the training wage rate?

• $19.16 per hour from 1 April 2026 (MBIE)
• Same dollar amount as the starting‑out wage, but different eligibility

Who is eligible?

• Employees aged 20 years and over who are in a recognised industry training programme (Calculate.co.nz)
• The training must be part of an industry training organisation’s arrangement

How does it differ from starting‑out?

The key difference is age and purpose. The starting‑out wage targets young workers gaining experience; the training wage targets older workers gaining formal qualifications. Both pay the same hourly rate, but a 21‑year‑old in a plumbing apprenticeship is on the training wage, while a 16‑year‑old in a supermarket is on the starting‑out wage.

The trade‑off: The training wage is $4.79 less per hour than the adult rate. For a full‑time apprentice, that’s a significant income gap – but the qualification they earn often leads to wage growth far above the minimum.

Timeline

• 1 April 2025: Minimum wage set at $23.50 per hour
• 1 April 2026: Minimum wage increases to $23.95 per hour; starting‑out and training wage rise to $19.16 per hour
• 2026/27: Living wage set at $29.90 per hour

Clarity check

Confirmed facts

• Adult minimum wage increases to $23.95 on 1 April 2026 (Employment New Zealand)
• Starting‑out wage is $19.16 per hour (Employment New Zealand)
• Training wage is $19.16 per hour (MBIE)
• Living wage is $29.90 for 2026/27 (Living Wage Movement Aotearoa New Zealand)

What’s unclear

• Exact date for next minimum wage review beyond 2026
• Future rates for 2027 have not been set

“Around 122,500 New Zealand workers currently earning below the new minimum wage rates should receive a pay increase as a result of the 2026 change.”

— Ministry of Business, Innovation and Employment (MBIE)

“Minimum wage does not apply to employees under 16 years of age. Also does not apply to employees with a disability who hold a minimum wage exemption permit.”

— Employment New Zealand (official regulator guidance)

For a full‑time worker on the adult minimum wage, the 2026 increase adds about $936 a year before tax. That won’t close the gap to the living wage – but it keeps the legal floor rising in a high‑cost economy. For young workers and trainees, the starting‑out and training rates remain a fixed 80% of the adult rate, a rule that can feel like a penalty for being new to the workforce. The choice for employers is increasingly clear: pay the legal minimum and lose staff to living‑wage accredited competitors, or step up and become accredited. For workers, the implication is simple: know your rate, check your pay, and if you’re under 16, no legal minimum applies – but the starting‑out wage kicks in at 16.

For a detailed breakdown of the different rates and eligibility, see New Zealands 2026 minimum wage rates.

Frequently asked questions