A Moneybren tool

WORKING FOR FAMILIES CALCULATOR

New Zealand’s most under-claimed money. Enter your family income and kids — see the Family Tax Credit, In-Work Tax Credit and Best Start you might be leaving on the table.

Your numbers

$/yr
Combined, before tax — salary, self-employment, most taxable income.
kids
Under 18, or under 19 and still at secondary school.
The In-Work Tax Credit needs the work hours and no main benefit.
kids
For Best Start — count each child under three.
Your family could get about
$0/wk

How it’s built

Estimates only — and here’s what’s underneath. Rates from 1 April 2026: Family Tax Credit $152.30/wk for the eldest child and $124.10/wk for each other child; In-Work Tax Credit $147.50/wk (a temporary Budget 2026 boost from $97.50, scheduled to expire 31 March 2027); Best Start $77.70/wk per child under 3, income-tested over $79,000 for babies born from 1 April 2026 (universal in year one for babies born earlier — this calculator applies the income test, so it may understate for older babies). FTC and IWTC reduce together by 27.5c per dollar of family income over $44,900. The classic trap is the year-end square-up: estimate your income low and IRD claws it back as debt — estimate honestly and update myIR when circumstances change. For the exact entitlement, IRD’s own estimator is the authority; this shows you the shape and the why.

How to use this calculator

Enter your combined family income, how many kids you have, whether you meet the work-hours test, and any under-threes. The calculator stacks the credits, applies the abatement, and shows the weekly and annual total.

Watch the abatement line as you change income — understanding that 27.5c taper is understanding why a pay rise doesn’t always feel like one.

This is a tool only, and none of the information it produces is financial advice. Its accuracy is not guaranteed. Always check your own figures and get advice from your own financial professionals before making decisions.

A worked example

Say you’re a working family with two young kids and a household income in the $70,000s.

Working for Families is a set of tax credits designed to top up your income – and depending on your exact income, hours and number of kids, it can add up to a meaningful amount each week. On top of that, from 1 April 2026 the In-Work Tax Credit was temporarily bumped up to $147 a week (from $97) for eligible families.

The exact figure depends on a lot of moving parts, which is what the calculator is for. Put your family’s details in above to get an estimate.

Quick note: Working for Families rates and thresholds change often (that temporary In-Work Tax Credit boost is a perfect example – it’s set to expire), so this is very much an illustration. Always confirm your entitlement with ird.govt.nz or a tax agent.

What most people get wrong about Working for Families

The biggest mistake is the simplest: not claiming it at all. A surprising number of eligible families never sign up, either because they assume they earn too much or they just don’t know it exists – and they leave real money on the table every single week.

The second thing to understand is abatement. Working for Families is income-tested, so as your household income rises past certain thresholds, the credits gradually reduce. That’s not a reason to earn less – more income in hand always beats a bigger top-up – but it does explain why a pay rise sometimes lifts your take-home by less than you expected.

Because the rules and thresholds shift (that temporary In-Work Tax Credit boost is a good example, and it’s set to expire), always check your eligibility directly with IRD or a tax agent rather than assuming last year’s answer still holds. If you’ve got kids and you’re working, it’s worth five minutes to find out.

This calculator and page are general information only and not financial advice. Everyone’s circumstances will vary – always do your own research and consult your own financial professionals before making decisions.