The ACC earners' levy pays for cover when you're injured outside work, for example at home or playing sport. For the 2026–27 tax year it's $1.75 for every $100 you earn, or 1.75%. It stops once your earnings reach $156,641, so the most anyone pays is $2,741.22.
Earners' levy rates
| Tax year | Levy rate | Maximum earnings | Maximum levy |
|---|---|---|---|
| 1 April 2025 – 31 March 2026 | 1.67% | $152,790 | $2,551.59 |
| 1 April 2026 – 31 March 2027 | 1.75% | $156,641 | $2,741.22 |
| 1 April 2027 – 31 March 2028 | 1.83% | $160,244 | $2,932.47 |
The rates include GST. The maximum levy is the rate times the maximum earnings: 1.75% of $156,641 is $2,741.22.
What you pay at different incomes
| Annual earnings | Earners' levy 2026–27 |
|---|---|
| $30,000 | $525 |
| $50,000 | $875 |
| $75,000 | $1,312.50 |
| $100,000 | $1,750 |
| $156,641 or more | $2,741.22 |
How employees pay it
If you're an employee, you don't do anything. Your employer deducts the levy with your tax in your PAYE, and Inland Revenue collects it for ACC. That's why the PAYE rates are higher than the income tax rates:
| Income | Tax rate | PAYE deducted (tax + levy) |
|---|---|---|
| $0 – $15,600 | 10.5% | 12.25% |
| $15,601 – $53,500 | 17.5% | 19.25% |
| $53,501 – $78,100 | 30% | 31.75% |
| $78,101 – $156,641 | 33% | 34.75% |
| $156,642 – $180,000 | 33% | 33% |
| $180,001 upwards | 39% | 39% |
Above $156,641 the levy stops, so the PAYE rate drops back to the tax rate. The tax brackets post explains how each slice of income is taxed.
If you're self-employed
Self-employed people don't have PAYE, so ACC sends an invoice instead. When you start out as a sole trader you're automatically on ACC's CoverPlus. Your invoice covers three levies:
- Work levy, for injuries at work. The rate depends on the type of work you do.
- Earners' levy, for injuries outside work.
- Working Safer levy, collected for MBIE to fund WorkSafe.
What you pay is based on your type of work and your liable earnings. ACC gets your income from Inland Revenue, from your tax return.
When the invoice arrives
- Your first invoice comes after you file your first individual income tax return. That's usually in your second year of business.
- After that you're invoiced once a year, usually based on the previous year's earnings. On CoverPlus it usually arrives in September.
- If you switch to CoverPlus Extra (CPX), you agree a level of cover upfront and get invoiced every April.
A first invoice can catch people out because it can arrive well after they started earning. Business.govt.nz suggests setting money aside regularly to cover it. If you're paid as a contractor with schedular payments, your payer deducts tax but not ACC levies, so you'll get an invoice too.
If you can't work because of a covered injury, ACC can pay up to 80% of your income. For self-employed people it bases this on your last tax return.
Employers
Businesses with staff pay the Work levy on their payroll, invoiced by ACC. That's separate from the earners' levy that comes out of each employee's pay. The company tax post covers the other taxes a business pays.
Common questions
What is the ACC levy rate for 2026–27?
The earners' levy is $1.75 per $100 of earnings (1.75%), including GST, on earnings up to $156,641.
What's the most I can pay?
$2,741.22 for 2026–27. Once your earnings pass $156,641, no more levy comes out.
Is the ACC levy going up?
Yes. Inland Revenue lists 1.83% for 1 April 2027 to 31 March 2028, on earnings up to $160,244, a maximum of $2,932.47.
Why did I get an ACC invoice as a contractor?
Schedular payments have tax deducted but not ACC levies. ACC invoices you for them once you've filed your tax return.
Sources: Inland Revenue, ACC earners' levy rates and Tax codes for individuals; Business.govt.nz, ACC levies. Levy amounts at each income are our own arithmetic. Checked October 2026. General information, not tax advice.
Work it outPAYE & take-home pay calculatorWhat lands in your account after tax, ACC, KiwiSaver and student loan.Open the free tool →