The StudyLink living costs component is the weekly payment many students use to cover rent, groceries, and everyday expenses while studying. Unlike the student allowance, living costs are a loan — they add to your student loan balance and are repaid through IRD.
• Maximum weekly rate: ~$300–$330 per week (check studylink.govt.nz for current amount)
• Paid fortnightly into your bank account
• Part of your overall student loan — repaid through IRD
• Interest-free while living in NZ
• Available to students over 18 enrolled in an approved course
What Are Living Costs?
The living costs component of a student loan is a weekly amount you can borrow to cover your day-to-day expenses while studying. It’s paid fortnightly into your nominated NZ bank account.
It’s important to understand: this is a loan, not a grant. Every dollar of living costs adds to your student loan balance. You will repay it through IRD after graduating.
How Much Can You Borrow?
The maximum living costs rate is set by StudyLink and reviewed annually. As at 2026, the maximum is approximately $300–$330 per week — check studylink.govt.nz for the exact current figure.
You can apply for less than the maximum. StudyLink may also assess your circumstances (income, other support) and adjust the amount offered.
Who Is Eligible?
To receive the living costs loan you must:
- Be eligible for a NZ student loan (citizen/permanent resident, enrolled in an approved course)
- Be aged 18 or older (under-18s may qualify in some circumstances — check StudyLink)
- Be studying full-time, or at least half-time in some cases
You can receive living costs AND the student allowance — many students do, with the allowance as a grant and living costs as a loan top-up for any gap.
How Living Costs Are Paid
StudyLink pays living costs fortnightly directly into your bank account. Payments are typically aligned with your academic year/semesters — you’ll need to re-apply or confirm each year.
Living costs are not paid during study breaks between academic years unless you’re enrolled in a course running through those periods.
Impact on Your Student Loan Balance
Living costs add to your total student loan balance quickly:
Example:
- Maximum living costs: $320/week
- 40 weeks per year: $12,800 per year
- 3-year degree: $38,400 in living costs alone
Add course fees ($8,000–$10,000/year for many courses) and course-related costs, and a 3-year degree can easily result in a $60,000+ student loan balance.
Because the loan is interest-free while in NZ, this is still manageable through automatic PAYE repayments over time. But borrowing less where possible reduces the repayment burden.
Managing Living Costs Wisely
- Take only what you need: Living costs are not “free money” — they add to your debt
- Flatting to reduce costs: Sharing accommodation is the most effective way to reduce the amount of living costs loan you need
- Part-time work: Even 10–15 hours/week during term can significantly reduce your reliance on the living costs loan
- Student allowance first: If you’re eligible for the student allowance (see below), this doesn’t add to your loan balance — take advantage of it
Living Costs vs Student Allowance
| Living Costs Loan | Student Allowance | |
|---|---|---|
| Type | Loan (adds to student debt) | Grant (not repaid) |
| Amount | Up to ~$320/week | ~$230–$280/week |
| Means-tested | No | Yes (parent/partner income) |
| Age restriction | 18+ (generally) | Varies |
| Can you get both? | Yes | Yes |
If you qualify for the student allowance, prioritise it — it’s free money. Use the living costs loan only for any gap.
For more on the allowance, see Student Allowance NZ.