Annual Leave Cash-Up Calculator NZ
This calculator estimates the after-tax value of cashing up part of your annual leave in New Zealand, so you can weigh a lump sum now against keeping the time off. Under the Holidays Act you can generally ask to cash up up to one week of your annual entitlement each year, provided your employer agrees and you keep the legal minimum for genuine rest, and this tool turns that entitlement into a real dollar figure. You enter your gross weekly pay, the number of days of leave you want to cash up, and the tax rate that applies to the payment, choosing from 17.5%, 30%, 33% or 39% depending on your income. The calculator works out your daily pay from your weekly figure, multiplies it by the days you have chosen, and applies your selected rate to show three results: the gross cash-up amount, the tax deducted, and the estimated cash you would actually receive in hand. Because a cash-up is paid on top of your normal wages, it is often taxed at a higher rate for that pay period, even though the year-end square-up settles your overall tax position. Use the result to compare the immediate cash against the value of a week's rest before you ask your employer to approve it. This is an estimate for planning purposes only, not tax or employment advice.
You can generally cash up to one week of annual leave a year, with your employer agreement, and must keep a minimum for rest. Cash-up is taxed as income and is often taxed at a higher rate for the period, with the year-end square-up settling the overall tax. Estimate only, not tax advice.
How it works
The calculator values your cashed-up leave at your daily pay, which is your weekly pay divided by your working days, times the days you cash up. It then applies the tax rate you select to show the after-tax cash. Because cashed-up leave is income paid on top of your normal pay, it is often taxed at a higher rate during that period, which is why the net is well below the gross.
Worked example
On $1,300 a week over a 5-day week, a day is $260. Cashing up 5 days is $1,300 gross. At a 30% tax rate, around $390 is tax, leaving about $910 in your hand. Weigh that against giving up a week of rest before deciding.
Related calculators
- Annual Leave Calculator: leave entitlements.
- Holiday Pay Calculator: holiday pay.
- Take-Home Pay Calculator: pay after tax.
- Final Pay Calculator: final pay.
- Annual Leave Explained: background on this topic.
- Living Wage Calculator NZ: Compare Your Pay.
- Maternity Pay Top-Up Calculator NZ: Employer Top-Up on Parental Leave.