NZ Contractor Rate Calculator

Invoice at your rate in minutes

PayWren is built for NZ contractors — GST invoices, withholding tax, expense tracking. Free to start.

How do I calculate my contractor day rate in NZ?

Divide your target annual income by the number of billable days per year. A common assumption is 220 days (52 weeks × 5 days, minus 4 weeks leave and public holidays). For example, $110,000 ÷ 220 = $500 per day.

How much tax does a NZ contractor pay?

NZ contractors pay income tax at the individual progressive rates: 10.5% up to $14,000; 17.5% from $14,001–$48,000; 30% from $48,001–$70,000; 33% from $70,001–$180,000; and 39% over $180,000. As a contractor you also pay ACC levies (approximately 1.6% on working income up to a cap).

Should I register for GST as a contractor?

You must register for GST once your invoiced income exceeds $60,000 in any 12-month period. Once registered, you add 15% GST to your invoices and collect it on behalf of IRD. Many contractors voluntarily register below the threshold to claim GST back on expenses.

What is a good day rate for IT contractors in NZ?

Day rates for NZ IT contractors typically range from $600–$1,400+ per day depending on specialisation, experience, and market demand. Senior developers, architects, and data engineers command the higher end. Rates in Auckland tend to be 10–20% higher than other regions.