How do I know if returning to work is worth it?

Take your net pay after tax, then subtract the real costs of working such as childcare, commuting and extra spending. What is left is the true financial gain, which helps you weigh it against the non-financial sides of the decision.

Why can returning to work leave so little?

Childcare for young children is a large cost, and when it lands on top of tax, transport and other working costs, the net gain from a second income can be small in the early years before children start school.

Does this consider Working for Families?

This is a simple net comparison. Working for Families, the childcare subsidy and other support can change the picture, so check your entitlements; they often improve the case for returning to work.

Return to Work Worth It Calculator

This New Zealand calculator weighs a parent's net pay from returning to work against the real costs of working, such as childcare, commuting and extra spending. The headline salary can look attractive until childcare and other costs are taken out. You enter your pay and the costs, and the tool shows what is genuinely left over, so you can make a clear-eyed decision alongside the non-financial sides of the choice.

Your annual salary

Childcare per week

Commuting per week

Other work costs per week

left over per week after the costs of working

Net pay per week$0

Work costs per week$0

Effective hourly (38h)$0

Net pay uses the 2025/2026 tax brackets and the ACC levy. This is a simple comparison; Working for Families and the childcare subsidy can improve the picture, so check your entitlements. Estimate only, not financial advice.

How it works

The calculator works out your net pay after tax and the ACC levy, converts it to a weekly figure, then subtracts your weekly childcare, commuting and other work costs. What is left is the genuine weekly gain from working. It also shows that gain as an effective hourly rate over a 38 hour week, which can be sobering when childcare is high, and is the honest number to weigh against your circumstances.

Worked example

A $55,000 salary is about $885 net a week. With $300 childcare, $60 commuting and $40 other costs, that is $400 of work costs, leaving around $485 a week. Over a 38 hour week that is about $12.75 an hour, which may or may not feel worth it depending on your situation.

Related calculators

Childcare vs Stay Home Calculator: the wider view.
Second Income Budget Calculator: combined budget.
PAYE Calculator: net pay.
Childcare Cost Calculator: childcare costs.

If you've found a bug, or would like to contact us, or learn more about James Graham and Calculate.co.nz.

Calculate.co.nz is partnered with Interest.co.nz for New Zealand's highest quality calculators and financial analysis.

All calculators and tools are provided for educational and indicative purposes only and do not constitute financial advice.

Calculate.co.nz is proudly part of the Realtor.co.nz group, New Zealand's leading property transaction literacy platform, helping Kiwis understand the home buying and selling process from start to finish. Whether you're a first home buyer navigating your first property purchase, an investor evaluating your next acquisition, or a homeowner planning to sell, Realtor.co.nz provides clear, independent, and trustworthy guidance on every step of the New Zealand property transaction journey.

Calculate.co.nz is also partnered with Health Based Building and Premium Homes to promote informed choices that lead to better long-term outcomes for Kiwi households.

Calculate.co.nz is hosted in Auckland via SiteHost new Zealand.

All content on this website, including calculators, tools, source code, and design, is protected under the Copyright Act 1994 (New Zealand). No part of this site may be reproduced, copied, distributed, stored, or used in any form without prior written permission from the owner.