Payslip requirements New Zealand: what employers must include

Published Saturday 15 August 2026

Table of contents

• Are payslips legally required in New Zealand?
• What to include on a payslip in New Zealand
• Employer record-keeping obligations
• Employee rights to payslip information
• Common payslip mistakes to avoid
• How to deliver payslips
• Simplify your payroll with Xero
• FAQs on payslip requirements in New Zealand

Key takeaways

• Payslips aren't legally mandatory in New Zealand unless your employment agreement says otherwise, but employers must keep detailed wage, time and leave records under the Employment Relations Act 2000 and the Holidays Act 2003.
• A thorough payslip includes employee and employer details, hours worked, gross earnings, all deductions (PAYE, ACC earner's levy, KiwiSaver contributions, student loan repayments) and net pay.
• Employers must retain payroll records for six years and provide access immediately when an employee requests them. Failing to keep proper records can lead to penalties of up to $20,000.
• Issuing a clear payslip every pay period is the simplest way to stay compliant and reduce payroll queries.

Are payslips legally required in New Zealand?

There's no single law in New Zealand that forces every employer to hand out a payslip.

While you aren’t required to issue a formal payslip with every pay run, you do have strict obligations to keep accurate records and share them when asked.

If your employment agreement states that you'll provide payslips, then you're contractually bound to do so. Even when it doesn't, issuing a payslip each pay period is widely regarded as best practice. It keeps your records transparent, reduces the chance of disputes, and gives your employees confidence that they're being paid correctly.

Two key pieces of legislation set out your record-keeping duties.

What the Employment Relations Act 2000 requires

The Employment Relations Act 2000 requires you to maintain wage and time records for every employee. These records must show how much each person was paid, the hours they worked and any deductions made.

You need to keep these records for at least six years. If an employee (or a former employee) asks to see their records, you must provide access immediately. Falling short of these requirements can result in penalties from a Labour Inspector.

What the Holidays Act 2003 requires

The Holidays Act 2003 adds a separate set of record-keeping obligations focused on leave. You must track each employee's entitlements and balances for the following leave types:

• Annual holidays
• Sick leave
• Bereavement leave
• Family violence leave
• Alternative holidays (days in lieu for working a public holiday)
• Public holidays worked and entitled

These records help you calculate leave payments correctly and demonstrate that you're meeting your obligations if your records are ever audited. Keeping them up to date also makes it easier to answer employee questions about their remaining leave.

What to include on a payslip in New Zealand

Even though the law doesn't prescribe a standard payslip format, a well-structured payslip covers everything your employee needs to understand their pay. Including the details below also means you're meeting your record-keeping obligations in one document.

Employee and employer details

Start with the basics. Every payslip should clearly show the following identifying information:

• Employee's full legal name
• Your business name (or trading name)
• Your New Zealand Business Number (NZBN), if you have one
• The pay date

Getting these details right avoids confusion, especially if you operate under a trading name that differs from your registered business name.

Pay period and hours worked

Specify the exact dates the pay period covers, for example, 1 March 2026 to 15 March 2026. For hourly employees, list the hours worked each day along with any overtime hours. This level of detail makes it straightforward to verify that the pay matches the hours recorded.

Gross earnings breakdown

Your employee's gross pay should be broken down into its individual components. Depending on the employee's pay structure, this might include some or all of the following:

• Hourly rate or salary amount for the period
• Overtime pay at the applicable rate
• Allowances (for example, travel or uniform allowances)
• Bonuses or commissions
• Public holiday pay
• Penal rates for working weekends or unsociable hours

Listing each component separately helps your employee see exactly where their earnings come from. It also simplifies any future queries or audits.

Deductions

Deductions are often the part of a payslip that causes the most questions. Being transparent here saves you time in the long run. Standard deductions on a New Zealand payslip include:

• PAYE (pay as you earn) income tax
• ACC earner's levy (a compulsory contribution to New Zealand's accident compensation scheme)
• KiwiSaver employee contributions at the employee's chosen rate of 3.5% (the default rate), 4%, 6%, 8%, or 10%, though employees can apply to IRD for a temporary reduction to 3%
• KiwiSaver employer contributions at a minimum of 3.5% as of 1 April 2026, or 3% if the employee holds an approved temporary rate reduction from IRD
• Student loan repayments, if applicable
• Child support deductions, if applicable
• Any other authorised deductions agreed to in writing by the employee

You can't deduct anything beyond the statutory requirements without written consent from the employee. Unauthorised deductions can lead to disputes and potential penalties.

Net pay

After all deductions, show the net pay (the amount your employee actually receives). Include the payment method, whether that's a bank transfer to a specified account or another arrangement. Adding year-to-date (YTD) figures for gross earnings, tax paid, and KiwiSaver contributions gives employees a running total that's useful at tax time.

Leave balances

Including current leave balances on each payslip saves you from fielding repeated requests for this information. Show the balance for each relevant leave type:

• Annual holidays (in weeks or hours, depending on your agreement)
• Sick leave
• Alternative holidays
• Any other leave types specified in the employment agreement

Keeping these figures visible builds trust and helps your employees plan their time off.

Employer record-keeping obligations

Your obligations go beyond the payslip itself. Under the Employment Relations Act 2000, you must maintain comprehensive records that cover wages, hours, leave, and employment conditions. These records need to be accurate, up to date and stored securely.

The six-year retention period applies to all employment records. That means even after an employee leaves your business, you're still responsible for keeping their records accessible. If you're using paper files, consider scanning and backing them up digitally to protect against loss or damage.

When an employee requests access to their wage and time records, you must provide them immediately. For holiday and leave records, the same standard applies. Having a well-organised system makes a real difference when a request comes in.

Penalties for not complying

Getting your record-keeping wrong can be costly. A Labour Inspector can issue infringement notices for record-keeping failures, with fines of up to $1,000 per offence and a maximum of $20,000 within any three-month period.

If matters escalate to the Employment Relations Authority (ERA), the penalties increase. The ERA can impose fines of up to $10,000 per breach for an individual employer, or up to $20,000 per breach for a company.

Employee rights to payslip information

Your employees have clear rights when it comes to accessing their pay information. Under the Employment Relations Act 2000, any current or former employee can request copies of their wage, time, and leave records at any time.You must provide access to the requested records immediately.

Employees also have the right to ask for an explanation of how their pay was calculated. If a dispute arises over pay, having detailed, accessible records allows you to resolve the issue quickly and fairly.

If you issue payslips every pay period, most of these requests become straightforward. The information your employee needs is already in their hands.

Common payslip mistakes to avoid

Here are some of the most frequent mistakes to watch for:

• Missing hour-by-hour breakdowns for employees paid by the hour, making it difficult to verify total pay.
• Unexplained or vaguely labelled deductions that leave employees unsure about why something’s been taken from their pay.
• Inaccurate leave balances that don't reflect recently taken or accrued leave.
• Failing to update pay rates after a review or a change to the minimum wage.
• Omitting KiwiSaver employer contributions, leaving employees unable to confirm their employer is contributing correctly.
• Not showing year-to-date totals, which employees need for personal tax and financial planning.

A quick review of each payslip before it goes out can save hours of back-and-forth later.

How to deliver payslips

There's no legal requirement in New Zealand to deliver payslips in a specific format. You can choose paper or electronic delivery, whichever works best for your business and your team.

Most employers now issue payslips electronically, either by email or through a payroll platform that employees can log in to. Digital delivery is faster, creates an automatic record and reduces the risk of sensitive information being seen by the wrong person.

Whichever method you choose, aim to deliver payslips within one working day of payday. Store all payslip records securely, whether that's in a locked filing cabinet for paper copies or a password-protected system for digital files.

Simplify your payroll with Xero

Keeping track of PAYE, KiwiSaver, leave balances, and payslip details for every employee takes time, especially when you're running a small business with a dozen other things on your plate. Xero's payroll software handles the calculations, generates compliant payslips, and files your pay-period returns directly with Inland Revenue, so you spend less time on admin and more time on your business.

Get one month free and see how Xero can take the hassle out of payroll.

FAQs on payslip requirements in New Zealand

Here are answers to some of the most common questions about payslip obligations in New Zealand.

Do employers have to give payslips in New Zealand?

Payslips aren't legally mandatory unless your employment agreement requires them. However, you must keep detailed wage, time, and leave records and provide immediate access if an employee asks.

How long must employers keep payroll records in NZ?

You must retain all employment records for a minimum of six years from the date they were created. This applies to records for both current and former employees.

What happens if an employer refuses to provide payslip information?

An employee can lodge a complaint with a Labour Inspector, who has the authority to issue infringement notices. Penalties can reach $1,000 per offence, with a cap of $20,000 in any three-month period.

Can payslips be issued electronically in New Zealand?

Yes. There's no legal requirement to use a particular format. Electronic payslips delivered by email or through a secure online portal are widely accepted and increasingly the standard for New Zealand businesses.

What deductions can an employer make from a payslip?

Employers must deduct PAYE and ACC earner's levy. KiwiSaver contributions, student loan repayments, and child support are also deducted where applicable. Any other deductions require the employee's written consent before they can be applied.