Changes to abatement settings

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Children and young people have what they need

Lead agency:
Ministry of Social Development

From 1 April 2020, the amount that people on a main benefit can earn through employment before their benefit is reduced (known as abatement) has been increased, in line with planned increases in the minimum wage. This will enable part-time working beneficiaries, including sole parents, to keep a greater proportion of their private earnings. It will also benefit some low-income working families (who become eligible for more support through the Accommodation Supplement or the Minimum Family Tax Credit).

From 1 April 2021,  the abatement threshold increased for Job Support, NZ Superannuation/Veteran’s Pension with non-qualifying partner, and the Supported Living Payment/Sole Parents Support/Veteran’s Pension (under 65).

Consideration of future indexation of abatement thresholds will continue.