Summary
Working for Families New Zealand (WFF) is New Zealand’s family tax credit programme — a set of government payments designed to help families with dependent children meet the cost of raising them — administered by Inland Revenue (IRD), WFF provides regular payments to eligible families based on household income and number of children; payments reduce gradually as income rises; in 2025-26, the programme provided up to several thousand dollars annually to eligible families
Working for Families New Zealand has four components — Family Tax Credit, In-Work Tax Credit, Minimum Family Tax Credit and Best Start — each has its own eligibility rules; you may qualify for all four, some or just one depending on your income, work hours, number of children and visa status; the most widely received is the Family Tax Credit, which is available to most eligible families regardless of whether they are working
From 1 April 2026, the In-Work Tax Credit was temporarily increased by $50 per week — a cost-of-living relief measure announced by the New Zealand Government in response to rising household costs; the increase applies to eligible working families and is reflected in payments from April 2026
When you have children in New Zealand and are working, the tax system is designed to give some of that tax back. Working for Families New Zealand is not a benefit — it is a tax credit programme; you receive it because you have earned it through work and raising children in New Zealand. For many families, particularly those on low to middle incomes, WFF payments are a significant and reliable part of the household budget.
What is Working for Families New Zealand?
Working for Families New Zealand is a set of tax credits paid to families with dependent children in New Zealand. It is administered by Inland Revenue (IRD) — and in some cases by Work and Income (MSD) for families also receiving other government assistance.
The payments are income-tested — meaning the more you earn, the less you receive. But the reduction is gradual (abatement), not a cliff — you do not lose all entitlement the moment your income crosses a threshold. For most credits, abatement begins when family income exceeds $42,700 per year (as of 1 April 2026).
Key features:
- Tax credits, not a benefit — based on income and family circumstances
- Four components, each with its own rules
- Payments made weekly, fortnightly, or as a lump sum after filing your tax return
- Administered through myIR (IRD’s online portal)
- Available to NZ tax residents with dependent children
The four components of Working for Families
1. Family Tax Credit (FTC)
The most widely received component — a base payment for every dependent child under 18 (or under 19 if in full-time secondary school or tertiary study).
Who qualifies: All families who are NZ tax residents and are the principal caregiver for at least one dependent child — regardless of whether they are working. The FTC is not restricted to working families.
How it works: The FTC is paid at a set weekly rate per child, with higher rates for younger children. The amount abates as family income rises above $42,700 — reducing by 27 cents for every dollar of income above the threshold.
Receiving it: Most families receive FTC throughout the year (weekly or fortnightly) with a final reconciliation at tax time. If you underestimate your income, you may have to repay some.
2. In-Work Tax Credit (IWTC)
An additional payment for families who are in paid employment — on top of the FTC. Designed to make work pay more than relying on a main benefit.
Who qualifies:
- Couples: both partners combined must work at least 30 hours per week
- Sole parents: must work at least 20 hours per week
- Must not be receiving a full main benefit (Jobseeker Support, Sole Parent Support etc.) — though some partial benefit situations qualify
Rate from 1 April 2026: Up to $72.50 per week base rate ($3,770 per year), temporarily increased by $50 per week to approximately $122.50 per week — confirmed by the New Zealand Government as a cost-of-living relief measure. Additional amounts apply for families with more than three children.
Who is excluded: Families receiving a full main benefit from Work and Income are not eligible for the IWTC. The IWTC is specifically designed for working families.
3. Minimum Family Tax Credit (MFTC)
A top-up payment for families in paid work whose after-tax income falls below a minimum level — ensuring that no working family with children falls below a set income floor.
Who qualifies:
- Must be working the minimum hours (same as IWTC)
- After-tax family income must be below approximately $33,540 per year (2025-26 threshold)
- Must not be receiving a main benefit
How it works: The MFTC tops up your after-tax income to the minimum floor amount. If you earn less than approximately $33,540 after tax, MFTC makes up the difference. This ensures that working families always take home more from employment than they would from a benefit alone.
4. Best Start
A payment for families with new babies — available for the first three years of a child’s life.
Who qualifies:
- Child born on or after 1 July 2018
- Family is the primary caregiver
- Must be NZ tax residents
Rate: Paid for the first year regardless of income. From year two to three, Best Start abates based on family income — reducing at 21 cents per dollar above $79,000 family income.
Important for new parents: Best Start is separate from Paid Parental Leave — you can receive both. Apply through IRD as soon as your child is born.
Who is eligible for Working for Families?
To qualify for any Working for Families payment, you must:
- Be 16 years or older
- Be the principal caregiver for at least one dependent child — meaning you care for the child more than temporarily (at least one-third of a four-month period if care is shared)
- Be a New Zealand tax resident living in New Zealand — or caring for NZ citizen or resident children
- Have a child who is under 18 (under 19 if in full-time study)
Visa holders and migrants: Working for Families is generally available to people who are New Zealand tax residents — which includes most visa holders who are living and working in New Zealand. New permanent residents and those on resident visas typically qualify. Some temporary visa holders may also qualify — check with IRD based on your specific visa conditions.
On a benefit? Families receiving a full main benefit from Work and Income are not eligible for the IWTC or MFTC — but may still receive the FTC and Best Start.
How much can you receive?
The total amount depends on your household income, number of children and which components you qualify for. The payment reduces gradually as income rises above $42,700.
Approximate FTC weekly rates (2025-26):
- First child (16-18 years): approximately $136/week
- First child (under 16): approximately $136/week
- Each additional child: lower rate
Rates are set annually and indexed — check the IRD Working for Families calculator at ird.govt.nz for your specific situation.
Rough income guide:
| Annual household income | Approximate annual WFF (2 children) |
|---|---|
| Under $42,700 | Maximum entitlement |
| $50,000 | Reduced — still significant |
| $70,000 | Further reduced |
| $90,000+ | Minimal or nil for most families |
These are rough guides only — the exact amount depends on the age of your children, which credits you qualify for and whether you are a sole parent or a couple.
How to apply for Working for Families
Step 1: Create or log into myIR myIR is IRD’s online portal — ird.govt.nz. You will need your IRD number to set up a myIR account.
Step 2: Apply for Working for Families In myIR, navigate to Working for Families and follow the application steps. You will need to provide:
- Details of your dependent children (names, dates of birth, school/study status)
- Your estimated annual household income for the current year
- Your work hours (for IWTC)
- Your partner’s details if applicable
Step 3: Choose how to receive payments Weekly, fortnightly or as a lump sum at tax time. Most families choose weekly or fortnightly — but be aware that if you underestimate your income, you may receive an overpayment that IRD will recover at tax time.
Step 4: Report changes promptly If your income, work hours, family situation or number of children changes during the year — tell IRD immediately through myIR. Overpayments are common when income changes are not reported and must be repaid.
Working for Families and sending money home
For many migrant families in New Zealand, WFF payments supplement income that also supports family overseas. NZD to INR, PHP, NPR, FJD and VND transfers with OrbitRemit carry a flat NZD $4 fee or less — so more of your WFF entitlement reaches the people who need it.
FAQs (frequently asked questions)
What is Working for Families in New Zealand?
A government tax credit programme providing regular payments to families with dependent children, based on household income and number of children. Administered by IRD. Four components: Family Tax Credit, In-Work Tax Credit, Minimum Family Tax Credit and Best Start.
Who is eligible for Working for Families?
NZ tax residents who are the principal caregiver for at least one dependent child under 18 (or 19 if in full-time study). Income, work hours and visa status affect which components you qualify for.
Can migrants get Working for Families?
Generally yes — if you are a NZ tax resident living in New Zealand. Permanent residents typically qualify. Some temporary visa holders may also qualify — check with IRD based on your specific situation.
How much is Working for Families?
Depends on household income, number of children and which credits apply. Families under $42,700 receive the maximum. Payments reduce gradually above that threshold. Use the IRD calculator at ird.govt.nz for your specific amount.
Can I get Working for Families if I’m on a benefit?
You can receive the Family Tax Credit and Best Start alongside some benefit situations. You cannot receive the In-Work Tax Credit or Minimum Family Tax Credit while receiving a full main benefit.
What changed in April 2026?
The In-Work Tax Credit was temporarily increased by $50 per week from 1 April 2026 as a cost-of-living relief measure — taking the base IWTC rate from approximately $72.50/week to approximately $122.50/week for eligible families.
How do I apply?
Through myIR at ird.govt.nz. You will need your IRD number and details of your children and household income.
Related guides
- What is an IRD number? →
- What is KiwiSaver? →
- What is GST in New Zealand? →
- How to open a bank account in New Zealand? →
This guide is for general information only and does not constitute financial or tax advice. Working for Families rates, thresholds and eligibility rules change annually — always verify at ird.govt.nz. Last updated September 2026.
Sources: IRD — Working for Families overview (ird.govt.nz official, April 1, 2026) | govt.nz — Working for Families payments (official, April 2026) | moneybalance.co.nz — Working for Families NZ 2026 (May 1, 2026) | lifetimes.co.nz — Working for Families Complete Eligibility & Payment Guide (February 3, 2026) | irdguru.co.nz — Working for Families NZ 2026 (April 29, 2026) | taxpolicy.ird.govt.nz — IWTC rate increase 2026 (April 21, 2026)
