When Dunedin mum Melissa Parata opened her latest grocery receipt, she realised she had spent nearly $40 more than the same shop last year. “It just keeps creeping up. That extra $150 a week coming in 2025 will finally help us catch up,” she said. Her relief reflects the growing pressure on Kiwi parents as the New Zealand Government confirms a major Working for Families (WFF) increase set to roll out nationwide next year.
More than 380,000 New Zealand families, covering around 600,000 children, are expected to receive higher payments under the 2025 Working for Families changes.
Here’s a full breakdown of what’s changing — and what Kiwi parents need to know.
Why New Zealand Is Boosting WFF Payments in 2025
For years, WFF rates have failed to keep pace with the rising cost of raising children in Aotearoa. While inflation is beginning to ease, everyday expenses remain significantly higher than before the pandemic.
NZ data shows:
- Grocery costs are 23% higher than in 2021.
- Rents for family homes increased by $78 per week on average.
- Childcare, after-school care, and transport costs continue climbing.
Finance Minister Maree Rawiri said the adjustments are designed to “restore fairness and deliver real support to working households.”
“Thousands of Kiwi families are feeling squeezed. This package puts more money into the pockets of parents who need it,” Rawiri said.
What’s Changing: The Extra $150 Weekly Boost (NZ 2025)
Starting 1 April 2025, eligible New Zealand families will receive around $150 more each week, depending on their income and number of children.
Key NZ Working for Families Changes
- Family Tax Credit (FTC) increased for each child.
- Minimum Family Tax Credit (MFTC) lifted to support low-income working parents.
- Higher income thresholds, allowing more NZ families to qualify.
- New per-child supplement for lower-income households.
- Automatic upgrades — no new application required.
Breakdown of the NZ Boost
- FTC increase: +$95 to +$120 weekly
- MFTC increase: +$30 to +$45 weekly
- Per-child supplement: Up to +$25 weekly
- Average NZ family boost: ≈ $150 per week
Real NZ Family Stories
Tauranga dad, Jack Raumati, says the increase will help his whānau avoid slipping behind on bills.
“Petrol, power, lunches — it all adds up. This gives us a fighting chance,” he said.
In West Auckland, couple Pooja and Harpreet Singh say the adjustment means they can finally put money aside for school activities.
“We’ve had to say no to so many things. This boosts our confidence a bit,” Pooja explained.
What the NZ Government Says
Social Development Minister Rangi Thompson says the 2025 changes reflect the Government’s commitment to reducing child hardship.
“In a country like New Zealand, no child should go without. This Working for Families upgrade is targeted, fair, and urgently needed,” he said.
Officials estimate nearly two-thirds of Kiwi children will be positively impacted.
What NZ Experts Are Saying
Child welfare researcher Dr. Alyssa Renata says the 2025 changes could reduce child hardship rates by up to 7%.
“Working for Families has a proven track record of lifting incomes,” she explains. “Increasing these payments creates immediate, measurable relief.”
Economist Tom Warrick says the timing is crucial. “Food, rent, and transport remain elevated. Families need help now — and this package delivers.”
NZ Working for Families 2024 vs 2025: Full Comparison Table
| WFF Category | 2024 Amount (NZ) | 2025 Amount (NZ) | Increase |
|---|---|---|---|
| Family Tax Credit — 1 child | $144/wk | $230/wk | +$86 |
| Family Tax Credit — 2 children | $253/wk | $365/wk | +$112 |
| Minimum Family Tax Credit | $35,204/yr | $37,500/yr | +$44/wk |
| Per-child supplement | N/A | Up to $25/wk | +$25 |
| Average NZ family boost | — | — | ≈ $150/wk |
Rates set and administered by Inland Revenue (IR).
Impact on NZ Families & What To Do Next
Most New Zealand families won’t need to apply — Inland Revenue will automatically adjust payments from April 2025.
NZ parents should:
- Log into MyIR to check income details.
- Update bank accounts, addresses, or childcare arrangements.
- Notify IR of any expected job or income changes.
- Review shared-care percentages if co-parenting.
Financial advisers recommend allocating part of the increase to essential costs like uniforms, food, transport, or savings.
Q&A: Working for Families 2025 — NZ Parents’ Most Common Questions
1. When do the new payments begin?
From 1 April 2025 across New Zealand.
2. Will every family receive $150?
Most will receive around that amount; the exact figure depends on income and number of children.
3. Do I need to reapply for WFF?
No — the system updates automatically.
4. Are single parents eligible for the full amount?
Often yes, as they fall within lower income thresholds.
5. Will part-time workers still qualify?
Yes, if income falls within the updated limits.
6. Does shared custody affect payments?
Yes. Payments reflect each parent’s percentage of care.
7. Does this affect my benefit (MSD)?
No — Working for Families does not reduce core benefits.
8. Are NZ self-employed parents eligible?
Yes — provided income is accurately declared.
9. Are temporary visa holders included?
No. At least one parent must be a New Zealand resident or citizen.
10. Will the increase show early in MyIR?
Yes — new 2025 rates will appear before April.
11. What if my income rises during the year?
Update MyIR to avoid overpayments.
12. Does child support affect WFF?
No — child support is not counted as income.
13. Will parents on parental leave still get WFF?
Yes, as long as income meets criteria.
14. Is there a limit on how many children qualify?
No — all dependent children are covered.
15. How will I know when the increase arrives?
Check your bank account or MyIR payment schedule after 1 April.
Hi, I’m Oliva. I cover government aid programs and policy updates, focusing on how new initiatives and regulations impact everyday people. I’m passionate about making complex policy changes easier to understand and helping readers stay informed about the latest developments in public support and social welfare. Through my work, I aim to bridge the gap between government action and community awareness.
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