New Zealand · Payroll 2026-27

NZ bonus tax calculator.

See the tax withheld on a bonus or lump sum and what you take home from it.

Rates for 1 April 2026 to 31 March 2027 checked against Inland Revenue and ACC on 15 October 2026. A planning estimate for tax code M, not tax advice.

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Your details

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The minimum employee rate is 3.5% from 1 April 2026. Members who cannot afford it can apply for a temporary reduction to 3%.
Ask your payroll whether your employer includes bonuses in KiwiSaver pay; this is off by default.
Adds the 12% repayment on income over $24,128 a year.

Estimate

Enter your figures to see the estimate.

Worked example: $5,000 bonus on $80,000

  1. Salary plus bonus is $85,000, which falls in the $78,101 to $156,641 range.
  2. Inland Revenue’s extra pay rate for that range, including the 1.75% ACC levy, is 34.75%.
  3. Tax withheld: $5,000 × 34.75% = $1,737.50, so you keep $3,262.50 before any KiwiSaver or student loan.

Rates and assumptions

Method: Inland Revenue tells employers to add the lump sum to the employee’s annualised income and apply the rate for the range the total falls in: 12.25% to $15,600, 19.25% to $53,500, 31.75% to $78,100, 34.75% to $156,641, 33% to $180,000 and 39% above, all including the ACC earners’ levy. The calculator annualises your salary directly. It applies to bonuses and similar extra pays from primary employment; redundancy, retiring allowances and employee share scheme benefits have different ACC treatment. Student loan is shown at 12% of the bonus.

Not modelled: tax codes other than M (secondary jobs, NSW), Working for Families and other tax credits, child support, ESCT based on last year’s income, salary sacrifice, and exact payroll rounding. ACC is shown at the standard earners’ levy, which includes GST.

Official sources

Retrieved October 2026

This is an independent estimate. It does not connect to Inland Revenue and nothing you type leaves your browser.

Frequently asked questions

How is a bonus taxed in New Zealand?

Employers use Inland Revenue’s extra pay method: the bonus is added to annualised pay and taxed at the rate for the range the total falls in, which includes the ACC earners’ levy.

What is the tax rate on a $5,000 bonus?

For someone on $80,000 the total of $85,000 falls in the $78,101 to $156,641 range, so the rate is 34.75% and tax withheld is $1,737.50.

Is the tax withheld the final tax?

Not necessarily. It is the amount withheld at payday. Your final tax comes from your annual assessment, which is why the page also shows the tax worked out on the full year.

Does ACC apply to a bonus?

Most lump sums include the ACC earners’ levy, which is already inside the rates shown. Redundancy payments, retiring allowances and employee share scheme benefits are treated without it.

Related tools

NZ PAYE CalculatorEnter your gross salary to estimate PAYE, the ACC earners’ levy, KiwiSaver and take-home pay.KiwiSaver CalculatorEstimate what goes into your KiwiSaver each year and project the balance with a return you choose.NZ Hourly to Salary Calculator After TaxTurn an hourly rate into a yearly salary and see weekly, fortnightly and monthly take-home pay.Ireland Bonus Tax CalculatorCompare your yearly take-home with and without a bonus to see what the bonus is really worth.All New Zealand toolsThe full New Zealand shelf.

Estimate only

Not tax or financial advice. Your payslip and myIR are authoritative.

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