Parents' income definition
Parents' income - thresholds, limits and what's counted as income
If your parents joint earnings are more than $55,027.96 a year before tax, the rate you get for Student Allowance goes down.
You can't get a Student Allowance if their joint earnings while you study are more than:
- $84,163.86 if you live with them
- $91,448.30 if you don't live with them.
What we assess as your parents' joint earnings will be reduced by:
- $7,000 a year before tax if they already financially support other students who are:
- aged 16-23
- studying full-time in New Zealand at secondary school or an approved education provider
- $3,400 a year before tax if they live in separate houses.
What's counted as income for parents
The Student Allowance definition for parents' income is any income your parents receive for the tax year you started studying in. This includes any income that your parents may have directly or indirectly deprived themselves of. This definition is closely aligned with the definition of the Working for Families 'Family Scheme Income'. Refer to the income types below.
Salary or wages
Work and Income benefit or Student Allowance
Income from boarders
Where the parent is not, or was not, a New Zealand tax resident
Retirement savings income
Attributable trustee income
Attributable fringe benefits
Portfolio Investment Entity (PIE) Income
Main income equalisation scheme deposits
Income of shareholders in a closely held company
Payments for income-related purposes that exceed $5,000 a year