Rates Rebate Calculator NZ
This calculator estimates the rates rebate you may be entitled to under New Zealand's government Rates Rebate Scheme, which helps lower-income households with the cost of their council rates. Rates are one of the larger fixed costs of owning a home, and many people do not realise that a rebate, a partial refund of the rates on the home you live in, is available if your income is modest. The scheme is run nationally and applied for through your local council each rating year. How much you get depends on three things: your total annual rates, your household income for the previous tax year, and the number of dependants you support. The rebate is generous for low incomes and tapers off as income rises, up to a maximum set each year. This tool applies the official formula so you can estimate your rebate before you apply. You enter your annual rates, your household income, the number of dependants, and the scheme's income threshold and maximum rebate, which are pre-filled with the current year's figures but can be adjusted as they change. The calculator returns your estimated rebate, the maximum available, your income excess above the threshold, and what you would still pay after the rebate. The results update as you type, so you can see how income and dependants affect the outcome. Use it to check whether applying is worthwhile and to estimate the amount. The calculation follows the standard scheme formula: two-thirds of your rates above a small base, reduced by one-eighth of your income above the threshold, capped at the maximum. This is an estimate only; your council makes the final assessment, and you must apply each year, usually by 30 June.
Rebate = 2/3 of (rates - $160) minus 1/8 of income above the threshold, capped at the maximum. Threshold rises $500 per dependant. An estimate; your council assesses and you must apply each year.
How it works
The scheme takes two-thirds of your rates above a $160 base, then subtracts one-eighth of your household income that exceeds the income threshold. The threshold is increased by $500 for each dependant. The result is your rebate, capped at the annual maximum and never less than zero. Higher income reduces the rebate; more rates and more dependants increase it.
Worked example
With annual rates of $2,500 and no dependants, two-thirds of (2,500 minus 160) is $1,560. On a household income of $40,000, the excess above the $32,210 threshold is $7,790, and one-eighth of that is $974. The rebate is 1,560 minus 974, about $586, below the maximum, so you would still pay roughly $1,914 of your rates.
Default figures are for the rating year to 30 June 2026 (income threshold $32,210, maximum rebate $805). From 1 July 2026 the threshold rises to $33,210 and the maximum rebate to $830. The threshold and maximum are reviewed each year, so enter the current figures for your rating year.
Related calculators
- Rates Postponement: defer your rates.
- Accommodation Supplement: housing help.
- Working for Families: family tax credits.
- Budget Calculator: plan spending.