Study costs & money in New Zealand
Tuition, living-cost context, banking, taxes and practical money guidance for students planning to study in New Zealand.
Read the complete New Zealand study abroad guide.
Bank Accounts
A New Zealand bank account is useful for rent, wages and everyday payments. Banks set their own identity and address checks, and several allow international students to begin the process before arrival. Verify the documents with the bank rather than assuming every provider uses the same checklist.
If you work, get an Inland Revenue Department (IRD) number and give your employer the correct tax information. Inland Revenue warns that failure to provide the required tax declaration can result in very high withholding, so sort this out before or immediately after starting work.
Temporary student-visa holders cannot join KiwiSaver. Inland Revenue states that KiwiSaver membership is for New Zealand citizens or people entitled to live in New Zealand indefinitely who live or normally live in New Zealand.
Card and electronic payments are widespread. You rarely need to carry much cash.
Source: https://www.ird.govt.nz/kiwisaver/kiwisaver-individuals/joining-kiwisaver
Taxes
Tax is deducted from your pay under the PAYE system, at a rate set by the tax code you give your employer. Give the wrong code, or no IRD number, and you overpay substantially.
The tax year ends on 31 March. Inland Revenue calculates most people's position automatically and refunds any overpayment, so there is often nothing to file, but check your account.
There is no tax free threshold in New Zealand. Tax applies from the first dollar, at a low rate on low incomes.
Students earning part time frequently sit on the wrong tax code for months without noticing. Check yours in your first pay cycle rather than at the end of the year.
Source: https://www.ird.govt.nz/
Common questions
What should international students know about banking in New Zealand?
Open a bank account if useful, obtain an IRD number before working, and note that temporary student-visa holders cannot join KiwiSaver.
What should international students know about taxes in New Zealand?
PAYE deducts at the rate your tax code sets. The tax year ends 31 March, and there is no tax free threshold.