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References

Full source list for What actually changes when you go self-employed?

Lifecycle transitions·Guide

Ref 1 — KiwiSaver MTC: government member tax credit of 25 cents per dollar contributed, to a maximum of $260.72 per member year, requiring contributions of at least $1,042.86 (1 July–30 June). Halved from 50c / $521.43 by Budget 2025, effective 1 July 2025.

  • KiwiSaver Act 2006 — legislation.govt.nz
  • Inland Revenue — KiwiSaver for the self-employed — ird.govt.nz

Ref 2 — ACC earner levy: 1.75% of liable earnings for the 2026/27 levy year (1 April 2026–31 March 2027); the 2025/26 rate was 1.67%. Work levy varies by activity classification. ACC invoices annually based on previous year's tax-return-declared income; new self-employed people are typically first billed in their second year.

  • IRD — ACC earners' levy rates (ird.govt.nz/roles/self-employed/levies) — anchor for the 2026/27 rate
  • ACC — acc.co.nz
  • Accident Compensation Act 2001 — legislation.govt.nz

Ref 3 — Government support: Flexi-Wage for Self-Employment (wage subsidy, up to 52 weeks, income and asset tests); Self-Employment Start-Up payment (essential start-up costs, amount assessed on situation); Business Training and Advice Grant up to $5,000 (no annual cap qualifier). All under Social Security Act 2018.

  • Social Security Act 2018 — legislation.govt.nz
  • Work and Income — workandincome.govt.nz (self-employment supports)

Ref 4 — Schedular payments: Contractors working in certain activities or through labour-hire arrangements may have tax withheld at source (schedular payments / withholding tax) under the Income Tax Act 2007. The contractor uses an IR330C to set the withholding rate; they still file an IR3 and square up at year-end. IRD's IR336 guide covers the schedular payment rules in full.

  • Income Tax Act 2007 — legislation.govt.nz
  • IRD — Schedular payments (ird.govt.nz/income-tax/withholding-taxes/schedular-payments)
  • IR330C — Tax rate notification for contractors — ird.govt.nz
  • IR336 — Schedular payments guide — ird.govt.nz

Ref 5 — Provisional tax: governed by Subpart RC of the Income Tax Act 2007. New self-employed people typically have no provisional tax obligation in year one; becomes liable from year two if residual income tax exceeds $5,000. First instalment can coincide with end-of-year tax liability.

  • Income Tax Act 2007 Subpart RC — legislation.govt.nz
  • Inland Revenue — Provisional tax — ird.govt.nz

Ref 6 — Bank lending and self-employed income: Reserve Bank's responsible lending requirements under the Credit Contracts and Consumer Finance Act 2003 apply across all registered banks. Most require two years of self-employed tax returns (IR3) to fully verify income for mortgage serviceability; some accept one year with additional documentation.

  • Credit Contracts and Consumer Finance Act 2003 — legislation.govt.nz
  • Reserve Bank of New Zealand — Responsible lending — rbnz.govt.nz