Understanding your government-paid parental leave entitlements
What is paid parental leave (PPL)?
As a new parent in New Zealand, you're entitled to government-funded parental leave payments designed to replace your normal income (up to a cap) while you care for your new child. These payments are made directly to you by Inland Revenue for up to 26 continuous weeks.
Basic eligibility requirements
To qualify for paid parental leave, you must meet three basic conditions:
Work for a New Zealand employer
Pay tax in New Zealand
Have employment that is subject to New Zealand law
Work history requirements
In addition to the basic conditions above, you must have worked an average of at least 10 hours per week for any 26 of the 52 weeks immediately before your child's expected due date or placement date.
Had multiple jobs? Good news! It doesn't matter how many employers you've had during this period. You can combine the hours from all your employers, including periods when you weren't working.
Self-employed? If you work both as an employee and are self-employed, you must meet the requirements through either your employment or self-employment. You cannot combine hours from both types of work to meet the work requirements.
However, if you meet the work requirements in either employment or self-employment, you can combine the amount you earn across both sources to maximise your parental leave payments.
Recently changed jobs? You may still qualify for paid parental leave even if you don't qualify for leave from your current employer. If you've worked as an employee for an average of at least 10 hours a week for any 26 of the 52 weeks before your child arrives, you're still eligible for PPL payments. In this case, you'll need to apply for negotiated carer leave with your employer.
To check your eligibility, visit the IRD webpage: Work out if you can get paid parental leave.
How much will I receive?
As of July 1, 2024, PPL payments are capped at $754.87 per week (before tax). This amount is adjusted annually on 1 July to account for increases in average weekly earnings.
Inland Revenue will pay directly into your nominated bank account every two weeks. These payments are subject to deductions such as income tax, KiwiSaver, and student loan repayments.
Sharing paid parental leave with your partner
You can transfer part or all of your paid parental leave to your partner if:
You meet the work requirements mentioned above
Your partner also meets these work requirements
Your partner takes time off work to become the primary carer
Important things to know about transfers:
Paid parental leave can only be transferred once
Your partner's leave period must start immediately after yours ends
Each parent's payment amount is based on their individual income. This means the amount your partner is entitled to could differ from the amount you are entitled to.
If the primary carer has already started receiving payments and then transfers these to their partner, the payments cannot be transferred back to them. If their partner needs to return to work early, the parental leave payments will end.
However, if the primary carer transfers their payments before they start receiving them, the payments can be transferred back to them. That means if their partner needs to return to work early, the payments can be transferred back to the primary carer before their partner returns.
Special circumstances
If you have a premature baby
Additional preterm payments are available if your baby is born before 37 weeks. See our guide: Premature baby parental leave: Understanding your NZ entitlements.
If you experience a pregnancy loss
We recognise that pregnancy loss can be an extremely difficult experience. The information below outlines statutory entitlements, and we encourage you to speak with your manager about additional support that may be available.
If you experience a miscarriage or stillbirth, you are still eligible for paid parental leave if:
You meet the standard work requirements detailed above,
You have not transferred your entitlement to parental leave payments to your partner, and
You have not returned to work since your payment period began (which starts either when you begin parental leave or when the birth occurs, whichever is earlier).
You are entitled to three days of paid bereavement leave after completing six months of service at your employer. Bereavement leave is in addition to any paid parental leave entitlements.
More information on support and entitlements can be found at Whetūrangitia.
If you have another child
For subsequent children, you must wait at least 6 months after your previous paid parental leave ends before becoming eligible for new payments. This waiting period applies to stillbirth or miscarriage. If you received paid parental leave following a stillbirth or miscarriage, you'll need to have a 6-month gap without payments before you can start receiving parental leave payments for another child.
You must requalify again, i.e. you must have worked an average of at least 10 hours per week for any 26 of the 52 weeks immediately before your next child's expected due date or placement date.
If you’re having a child by surrogacy
In surrogacy situations, both the birth parent and the intended primary carer have separate entitlements.
The birth parent maintains full eligibility for primary carer leave and parental leave payments if they meet the work requirements. The birth parent's entitlements continue even after they hand over care of the child.
The intended primary carer who will permanently care for the child is separately eligible for primary carer leave, extended leave and payments if they meet the work requirements.
Where to go for more information
For more information about paid parental leave, visit the IRD website.
Now for the important legal part: The information we provide is general and not regulated financial advice for the purposes of the Financial Markets Conduct Act 2013. Please seek independent legal, financial, tax or other advice in considering whether the content in this article is appropriate for your goals, situation or needs. The information in this article is current as at 1 May 2025.
Stephanie Pow
Founder and CEO, Crayon