How do I calculate my payment if I'm self-employed?
For eligible self-employed parents, parental leave payments will equal your average weekly earnings over the last six or 12 months, up to a maximum of $475.16 a week before tax. This is the same maximum amount currently paid to employees on paid parental leave.
Those who make a loss, or earn less than the minimum wage for at least 10 hours work a week, are entitled to the equivalent of 10 hours a week at the minimum wage. Currently this is $135.00 a week before tax.
To calculate the amount of your parental leave payments, you firstly need to decide whether to use the six or 12 month calculation period.
If you have worked for less than 12 months up to your expected due date or the date you assume care of a child you intend to adopt, then you should use the six month period to calculate your entitlement.
If you have worked for 12 or more months up to your expected due date, or the date you assume care of a child you intend to adopt, then you can choose to use either the six or 12 months periods to calculate your entitlement. Your individual circumstances will determine the best option for you.
Once you've decided which period best fits your situation, you can calculate your average weekly earnings. To calculate your average weekly earnings:
- For people calculating their income over 12 month (52 weeks) - Take your total net earnings and divide it by 52
- For people calculating their income over six months (26 weeks) - Take your total net earnings and divide it by 26
The number of weeks you divide your total net earnings by would be reduced by the number of complete weeks you have spent on parental leave, receiving ACC compensation, or have been unable to work due to other relevant circumstances (as determined by a Labour Inspector).
If you would like more information, call the Department of Labour on freephone 0800 20 90 20 during business hours.
For more information on how to apply
Date Modified: Friday, 29 June 2012
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