Minimum Wage Increase

Minimum wage will be increasing to $23.95 effective from 1st April 2026. This is an increase of 45 cents per hour.

The training and starting out minimum wage also increases to $19.16 per hour, an increase of 36 cents per hour. Now is a good time to review your staff payrates.

Kiwisaver Changes

From 1st April 2026 the minimum Kiwisaver contribution rate is increasing to 3.5% for both employees and employers.

Employees can apply via their MyIR login to have a temporary rate reduction which will keep their contribution rate to 3% for a period of between 3 and 12 months. If the employee applies for this and is accepted the employer can also decrease their contribution to 3%.

16 and 17 year olds who have a Kiwisaver account will also be able to start receiving employer contributions.

ACC Earners Levy rate changes

ACC levies fund injury claims from all New Zealanders. If you have employees you’ll deduct ACC Earners levies from their wages as part of their PAYE payments.

This levy covers people for injuries that happen outside of work.

The ACC earners levy is increasing from $1.67 to $1.75 from 1st April 2026. This will automatically take effect through your payroll software.

If you have employees on salary they will notice their net pay will be slightly less due to the increase in the ACC levy.

We’re trading in uncertain times at present. But there’s still a pressing need to refine your business model, add value and look at the opportunities for growth.

In this series, we’ll look at some key ways to optimise your business, exploring different avenues to evolve your enterprise and create a legacy you can be proud of.

Six ways to optimise your business

Your game plan might have been to sell the business, achieve a great deal and retire on the profits. But in the current market, it’s possible you’ve had to press pause on this exit strategy.

However, instead of letting the business just tick over, why not get proactive about improving and enhancing your business model, so it’s a more profitable and viable business?

Here are six key areas you should be looking at:

Go digital and automate the business

Now’s the ideal time to embrace digital technologies. With the latest cloud tech, AI and automation solutions you can streamline your operations, improve your overall customer experience and boost sales. You can also explore e-commerce solutions, social media marketing and digital marketing.

Get proactive with your finances

Strong financial management sets the foundations for making the business profitable. Switching to the latest cloud accounting software helps you get a handle on your cashflow, a better overview of costs and a more informed view of your overall financial position. Many accounting platforms will also offer integrations with other helpful business tools, such as inventory, invoicing and point-of-sale (POS) tools.

Build on those customer relationships

Exceptional customer experience helps to build loyalty and drive repeat business. This means getting granular with your customers’ needs, providing excellent customer service and listening to (and acting on ) your customer feedback. It’s the best way to improve your customer service and brand.

Diversify into new areas

It’s easy to get stuck in a rut when it comes to your product range and industry focus. One way to shake things up is to diversify and explore new product ideas, new customer audiences and new niches. Diversification can reveal a whole new customer demographic, not to mention additional revenue streams.

Nurture your team and employee experience

Engaged employees are the foundation of a great business. Invest in training and development to improve your team’s skills and motivation and do everything you can to build a positive work culture. When hiring, look to create a diverse and inclusive team of people, so you have a real melting pot of talent, ideas, skills and experience in the business.

Look for strategic partnerships

Navigating the market is far more successful when you explore the benefits of business partnerships. Connecting with other businesses can extend your market reach, reduce costs and allow you to share resources. You also open up your brand to a whole new customer audience, boosting sales and growth.

Talk to us about optimising your business model.

There’s no single strategy for turning around the success of your business. But looking at new ideas, markets, products and business tools can certainly add considerable value.

If you’re looking to add some pizazz to your business model and operational effectiveness, drop us a line. Our team will be happy to review your current business and identify the opportunities.

We are members of the ICNZB

Our Professional Membership with the Institute of Certified NZ Bookkeepers is important because….

• We have a Code of Ethical Conduct that we are obliged to adhere to.
• We hold Professional Indemnity insurance that protects us both in our business relationship.
• We are supported in our Continuous Professional Development with regular access to educational material and information.
• We have passed an assessment to confirm our bookkeeping skills and gain this membership.
• We have access to resources and templates to benefit our business and our clients.
• We are kept up to date on new software and service providers within the industry.
• We have National support from our bookkeeping peers.
• We are part of a global bookkeeping community.
• We take advantage of professional network opportunities, and have contact with relevant industry professionals through webinars, annual conferences, roadshows and the like.
• We are provided up to the minute updates from government agencies such as Inland Revenue, ACC, DIA and MBIE.
• If you have reasonable grounds to believe that we have breached the Code of Ethical Conduct, you are able to bring the matter to the notice of ICNZB.

Reducing the stress of financial management is good for your mental health and wellbeing, good for your business and good for the people around you. Learn three practical ways to make financial management easier. 

If managing the finances of your business is new to you or you need more help, that’s OK. Learning as you go is totally normal and building confidence in your financial skills can take time.

Reducing the stress of financial management is good for your mental health and wellbeing, good for your business, and good for the people around you.

Financial management means planning how your business will earn and spend money.

It involves recording the money coming in and going out, setting financial goals, and analysing data to create a clear picture of your financial health. It’s everything from day-to-day bookkeeping, through to long-term planning.

Here are three practical ways to make financial management easier.

Take the time to create a budget for your business. 

A good budget can guide your decision-making and provide financial peace of mind which can help reduce stress.

List all your expenses, how much they cost, and when you need to pay them. And, as best you can, predict how much income your business will generate. 

Then you can start to track how your business performs in real time. With that information, you’ll have a better handle on your cash flow and plan for the long term.

Once you’ve set your budget and know how much is coming in, going out and what’s left over, you can start looking at what’s working and what isn’t in your business — or a SWOT analysis.  

Look at strengths, weaknesses, opportunities and threats. You might find that you can turn any threats or weaknesses into strengths and opportunities and reduce some stress and maybe even save money in the long run.

If you need extra support, consider finding a financial adviser — like an accountant or bookkeeper. They will help you put the right processes in place to keep things running smoothly all year-round.  
Then you can focus on the stuff you enjoy doing and are most passionate about, knowing your finances are under control. 

Financial management can feel intimidating, but budgeting well and having good processes makes it much easier.

The less time you spend stressing about finances, the more you can spend doing what you love — that’s why you started your business in the first place.  

Keeping on Top of Business Cash Flow

Stay on top of cash flow with cloud accounting software.  It’s a decision that can save you time that you can spend on other areas of your business. Money in, money out, cash flow is one of the most important measures of your businesses health, but how to you monitor it?

It sounds simple to track sales on one hand and expenses on the other – then compare the two. A massive 65% of failed businesses say they closed down due to financial mismanagement, including issues such as a lack of cash flow visibility.  In other words, they didn’t know if they were making more than they were spending.

Consider accounting software.  Software can automate the process for you, and if day to day software usage is not your thing, we are happy to assist.  We can complete payables, receivables and reconciling to make sure your information is up to date and accurate.

Cloud accounting software is generally sold on a flat monthly subscription. You don’t need to download anything, and you can easily run it on your laptop, desktop or smartphone.

It can link to your business bank account (point of sale and other add ons) to track sales and expenses as they happen, with no additional data entry from you.  Because the data comes straight from the bank, it’s accurate.  Smart software will also send out your invoices and shows what you are owed.  The system then pools all the data to create a dashboard and reports which show what you’re owed and what you owe.

Accounting software only needs to save you one or two hours a month to pay for itself and will save you time that you can spend on other areas of your business.

Talk to us about accounting software or the health of your business.  We’re here to help.

Find out more here