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Average and Median Wage After Tax

Both figures, what each leaves once PAYE and the other deductions come out, and the reason they are further apart than a single comparison suggests. Tax on 2026–27 rates.

New Zealand's average ordinary time hourly earnings are $44.12 and median hourly earnings are $35.00, a gap of $9.12 an hour. Annualised, the average of about $89,232 leaves $65,223 after deductions, and the median of about $71,760 leaves $54,244.

Both figures, before and after tax

On tax code M with KiwiSaver at 3.5% and no student loan. Annual figures are the weekly measurements multiplied by 52.

Average and median New Zealand earnings, gross and after deductions
AverageMedian
Hourly$44.12$35.00
Weekly$1,716$1,380
Annual, before tax$89,232$71,760
Income tax− $19,324− $13,749
ACC earners' levy− $1,562− $1,256
KiwiSaver at 3.5%− $3,123− $2,512
Take-home a year$65,223$54,244
Take-home a fortnight$2,508.59$2,086.31
Share of gross kept73.1%75.6%

The gross gap of $17,472 a year narrows to $10,979 after deductions. Progressive tax closes roughly 37.2% of the distance between the two, because the higher figure has more of its income in the upper bands. See New Zealand tax brackets.

These two numbers are not a like-for-like pair

Almost every comparison of the two treats them as one dataset. They are not. The average comes from the Quarterly Employment Survey, an employer survey measuring full-time equivalents, taken in the March 2026 quarter. The median comes from the Household Labour Force Survey, a household survey covering every wage and salary earner including part-time, taken in the June 2025 quarter.

So the average is measured on a full-time basis and is more recent, while the median includes part-time earners and is older. Both of those push the gap wider than pure income distribution would. The honest statement is that the average is meaningfully higher than the median, not that the gap is exactly $9.12 an hour.

The closer comparison

Statistics New Zealand also publishes a full-time median, which removes the part-time difference and is the fairer thing to hold against a full-time-equivalent average.

Hourly earnings on a closer comparison
MeasureHourlyDifference from the average
Average, ordinary time$44.12-
Median, full-time only$36.53− $7.59
Median, all earners$35.00− $9.12

On the full-time median the gap narrows to $7.59 an hour. Roughly 16.8% of the headline hourly gap is the part-time population, not high earners.

Where the benchmarks sit against each other

New Zealand wage benchmarks, hourly and after tax
BenchmarkHourlyAnnual grossTake-home
Adult minimum wage$23.95$49,816$39,575
Median hourly earnings$35.00$72,800$54,918
Average hourly earnings$44.12$91,770$66,790

Annualised on a 2,080-hour year, which is 40 hours a week for 52 weeks. That is a presentational assumption rather than a statutory one, and anyone working different hours should use the hourly rate calculator instead.

What the median earner actually keeps

  1. 1.Median weekly earnings of $1,380, over 52 weeks$71,760
  2. 2.Income tax− $13,748.50
  3. 3.ACC earners' levy− $1,255.80
  4. 4.KiwiSaver at 3.5%Savings rather than tax, but it still leaves the payslip− $2,511.60
  5. Take-home, which is 75.6% of gross$54,244.10

Why the average is the wrong yardstick for a person

An average divides the total wage bill by the number of workers. It is a real number, and it is the right one for questions about the size of the economy. It is the wrong one for the question most people are asking.

  • An average moves when one person's pay moves a long way. A median only moves when the middle moves. That makes the median the more stable description of a typical worker.
  • Half of all earners are below the median, by definition. There is no equivalent guarantee for an average, and in a skewed distribution well over half sit below it.
  • Statistics New Zealand uses the median for the gender pay gap for exactly this reason: changes to median pay represent pay changes for most workers better than changes to mean pay.

When these figures are next updated

The average comes from a quarterly release and the median from an annual one, so they move on different clocks. The average was published 6 May 2026 and the median 27 August 2025. Both next update in August 2026. Rates on this site are separately verified against Inland Revenue on 30 July 2026, and the full record is on the rates changelog.

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Common questions

What is the average wage in New Zealand?

Average ordinary time hourly earnings were $44.12 in the March 2026 quarter, and average weekly earnings for full-time equivalent employees were $1,716. Annualised that is about $89,232 before tax, which leaves $65,223 after PAYE, the ACC earners' levy and KiwiSaver at 3.5%.

What is the median wage in New Zealand?

Median hourly earnings from wages and salaries were $35.00 in the June 2025 quarter, and median weekly earnings were $1,380. Annualised that is about $71,760 before tax, leaving $54,244 in hand. The median is the middle earner, so half of all wage and salary earners are below it.

Why is the average wage higher than the median wage?

Two reasons, and most comparisons only mention the first. High earners pull an average upward while the median ignores how far above the middle they sit. But the two figures also come from different Statistics New Zealand surveys with different populations and different dates, so part of the gap is measurement rather than distribution.

Which figure should I compare my salary to?

The median, in almost every case. It is the middle earner, so it answers the question people are actually asking: am I paid more or less than half the workforce. An average is the wage bill divided by the number of workers, which is a real number that no particular person necessarily earns.

How much tax do you pay on the average New Zealand wage?

On about $89,232 a year on tax code M, income tax is $19,324 and the ACC earners' levy adds $1,562. With KiwiSaver at 3.5% the take-home is about $65,223, which is 73.1% of gross.

Where these figures come from

2026–27 tax year (1 April 202631 March 2027). Last verified 30 July 2026.

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