Losing Your Job in New Zealand 2026 — What to Do First (Financial Checklist)

Losing your job is one of the most stressful financial events you can face. Acting quickly and in the right order makes a significant difference to your financial position. The first week matters more than most people realise — there are deadlines, entitlements, and errors in final pay that need to be caught immediately.

Priority 1: Assess Your Runway (Day 1)

Before doing anything else, get a clear picture of how long your savings will last.

Calculate your monthly essential expenses

Calculate your runway

$$\text{Runway (months)} = \frac{\text{Savings and accessible cash}}{\text{Monthly essential expenses}}$$

This tells you exactly how long you can sustain before you run out of money. Be honest — include only liquid, accessible savings (not KiwiSaver, not term deposits locked in).

If your runway is less than 1 month, move immediately to the WINZ application and bank call below.

Priority 2: Check Your Final Pay

Your employer must pay out everything you’re owed. Errors in final pay are common — check yours carefully.

What your final pay must include

NZ has no minimum statutory redundancy pay. If your employment agreement doesn’t mention redundancy, you are not automatically entitled to it. This surprises many people.

What to check on your final payslip

• Leave balance paid out matches what your employer’s HR system showed you
• Tax deducted looks correct (large final pay including leave payout may have too much tax withheld — claim back via myIR)
• KiwiSaver deductions are correctly calculated on the final pay
• No unauthorised deductions

What to do if final pay is wrong

1. Contact your employer’s payroll team or HR in writing (email)
2. If unresolved, contact MBIE’s Employment Relations Helpline: 0800 209 020
3. If still unresolved, file with the Employment Relations Authority (ERA) — free to file, but process takes time

Priority 3: Apply for WINZ Jobseeker Support

Apply as soon as possible

You can apply for Jobseeker Support before your last day if you know you’re being made redundant. Don’t wait until you’re broke.

Apply at: workandincome.govt.nz or call WINZ on 0800 559 009.

Jobseeker Support rates (2026, approximate)

Rates are subject to tax (rate M unless you have other income). Check workandincome.govt.nz for current rates.

Stand-down periods

Apply within 12 weeks of becoming unemployed to access Jobseeker Support. After 12 weeks you can still apply, but no backdating.

Work test

While receiving Jobseeker Support, you are generally required to:

• Be available for suitable work
• Actively look for work
• Attend meetings with your Case Manager
• Report any income you earn (it is deducted from your benefit)

If you’re in a region or industry with limited jobs, talk to WINZ — the requirements can be adjusted.

Priority 4: Call Your Bank (Mortgage or Rent)

If you have a mortgage

Banks are legally required (under the Credit Contracts and Consumer Finance Act) to consider your request for a hardship variation. This can include:

• Temporary reduction in repayment amount
• Interest-only period (stop paying principal temporarily)
• Payment holiday (deferred payments)

Call your bank before you miss a payment. It is much easier to arrange hardship provisions proactively than to claw back a default status later. A default on your mortgage damages your credit file.

What to ask for: Request a hardship variation. Most banks have a dedicated hardship team. Be clear about your situation, how long you expect to be out of work, and what you need.

If you rent

Talk to your landlord. If you’re a good tenant, many landlords will negotiate short-term reduced rent rather than lose a reliable tenant. There is no formal hardship process for renters, but open communication is far better than falling into arrears.

If you cannot pay rent: Contact WINZ about the Accommodation Supplement and whether you qualify for any emergency assistance.

Priority 5: KiwiSaver Contribution Holiday

You can apply to IRD for a contributions holiday — officially called a “savings suspension” — which pauses your KiwiSaver contributions for up to 1 year (renewable).

Who should consider this

A contributions holiday means less money going out of your pay — improving cash flow when income is reduced. However:

• You also lose employer contributions during the pause (employer contributions only happen when you contribute)
• You lose the member tax credit ($521.43/year) for the period

For most people who are unemployed, KiwiSaver contributions are already zero because there’s no employment income being deducted. The contributions holiday is more relevant when you return to part-time work and want to maximise take-home pay temporarily.

How to apply

Apply via myIR or by calling IRD on 0800 377 774. Takes effect from your next employer payroll run.

Priority 6: Utility Hardship Provisions

All major New Zealand electricity retailers are required to offer customers in financial hardship:

• An affordable payment plan based on your ability to pay
• Connection to social agencies if needed
• A minimum service level

Contact your electricity provider directly and ask about their hardship support. Major providers (Contact, Mercury, Genesis, Meridian, Trustpower) all have hardship programmes. They cannot disconnect you while a hardship arrangement is in place and being followed.

Similar provisions apply to gas (where relevant) and some internet providers.

Priority 7: Tax Refund — Often Overlooked

If you worked for only part of the tax year (April to March), you may have overpaid income tax.

Why: PAYE is calculated assuming you’ll earn the same amount for the whole year. If you stop working mid-year, your actual annual income is lower, and your effective tax rate is lower — meaning you’ve overpaid.

How to claim

1. Log into myIR at ird.govt.nz
2. Check if IRD has automatically calculated a refund (IRD auto-assesses most individuals)
3. If not, file an income tax return for the year

Many people receive $300–$2,000+ in tax refunds after a mid-year job loss. Check myIR.

Free Financial Support — MoneyTalks

MoneyTalks is a free government-funded financial helpline that connects you with trained financial mentors. They can help you:

• Work through your budget
• Prioritise debts
• Navigate WINZ and bank hardship provisions
• Plan for getting back on your feet

Call: 0800 345 123 (free) Online chat and appointment: moneytalks.co.nz

This service is underused. If you’re overwhelmed, call them.

Priority-Ordered Action List

Day 1

• Calculate your emergency fund runway
• Check your final pay calculation (or request it in writing from HR)
• Call your bank if you have a mortgage — ask about hardship provisions

Week 1

• Apply for WINZ Jobseeker Support via workandincome.govt.nz
• Contact utility providers if you cannot pay upcoming bills
• Check your tax position — log into myIR

Week 2

• Reduce non-essential spending immediately (subscriptions, dining out, discretionary)
• Contact MoneyTalks if overwhelmed — 0800 345 123
• Consider KiwiSaver contributions holiday if returning to part-time work soon

Ongoing

• Report any income you earn to WINZ (required — and reduces your benefit accordingly)
• File for your income tax refund via myIR at end of tax year (or mid-year if eligible)
• Keep all job search activity documented (may be required by WINZ)

If Final Pay Is Wrong

1. Email HR with the specific error in writing — keep a copy
2. Call MBIE Employment Relations helpline: 0800 209 020 (free)
3. File with the Employment Relations Authority if unresolved — filing fee is $71.56; you do not need a lawyer

Next Steps

1. Apply for WINZ immediately — even if you think you might not qualify, apply. Processing takes time and you may be eligible for things you don’t expect.
2. Call your bank today if you have a mortgage — proactive contact before you miss a payment makes hardship provisions far more accessible.
3. Log into myIR and check whether you’re owed a tax refund — this money can appear quickly.
4. Call MoneyTalks (0800 345 123) if you’re overwhelmed — they are excellent and the service is completely free.

See also: Life Events hub · Changing Jobs checklist · Personal Finance hub · Budgeting guides