How do the tax changes affect superannuitants from 1 April 2018?
Changes to personal income tax thresholds will increase the after-tax rate of New Zealand Superannuation. As a result, the weekly rates of New Zealand Superannuitants (for those on tax code "M") are estimated to increase by:
These increases are in addition to the annual adjustment of New Zealand Superannuation rates which occurs on 1 April each year.
Superannuitants receiving income from other sources, such as work, may also benefit from the income tax threshold increases with higher after-tax incomes.
How do the Accommodation Supplement increases affect superannuitants?
Around 15,000 superannuitants will benefit by an average of $29 per week from the increases to maximum Accommodation Supplement amounts.
To estimate how Accommodation Supplement payments may change from 1 April 2018, there is an updated Accommodation Supplement calculator on the Working for Families website. Go to - www.workingforfamilies.govt.nz/calculators/