What Best Start pays in 2026
| Child's year | Weekly | Annual | Income tested? |
|---|---|---|---|
| Year 1 — baby born before 1 April 2026 | $73 rising to $77 from 1 April 2026 | Up to $4,041 | No income test in year 1 |
| Year 1 — baby born on or after 1 April 2026 | $77 | Up to $4,041 | Yes, from the first year |
| Years 2 and 3 | $77 | Up to $4,041 | Yes — abates over $79,000 |
Best Start is paid by Inland Revenue as one of the four Working for Families payments. The full entitlement is $4,041 a year per child, and payments are made fortnightly to the primary carer, rounded down to the nearest dollar.
The $79,000 income test
For years 2 and 3 — and for the first year of babies born on or after 1 April 2026 — the payment reduces once family income exceeds $79,000, at an abatement rate of 21 cents per dollar. Worked example for a family earning $83,500:
- Income over the threshold: $83,500 − $79,000 = $4,500.
- Abatement: $4,500 × 21% = $945.
- Entitlement: $4,041 − $945 = $3,096 for the year.
- Weekly equivalent: about $59.
Family income includes salary and wages, self-employed income, a main benefit, NZ Super and a student allowance. Note that Best Start is not available at all in a year where the family income is high enough to abate the whole entitlement — the credit cuts out completely at about $98,243 for one child.
Best Start and paid parental leave
- You cannot receive both at the same time. If you register for both, Best Start starts after your paid parental leave payments finish.
- Paid parental leave pays for up to 26 weeks; Best Start then runs to the child's first birthday and continues into years 2 and 3.
- Where the baby was born before 1 April 2026, the first-year entitlement is not income tested no matter what you earn.
Can you get Best Start with other support?
| Other support | Can you also get Best Start? |
|---|---|
| A main benefit (Jobseeker, Sole Parent Support, SLP) | Yes |
| Working for Families family tax credit | Yes — they are separate payments in the same package |
| In-work tax credit | Yes, once you are working and off a main benefit |
| Student Allowance | Yes — the allowance counts as family income when the income test applies |
| Paid parental leave | Not at the same time |
| Childcare Subsidy and 20 hours free ECE | Yes — Best Start does not affect childcare assistance |
How to apply
- Register for Working for Families through myIR or by calling IRD on 0800 227 773. Best Start requires this registration.
- Tell IRD about the new baby — update the child's details in myIR. Payments start from the date of registration, not the date of birth, so apply early.
- Give an income estimate for the year so IRD can pay fortnightly rather than at year end.
- Update the estimate if your income changes — an underestimate becomes a debt after the year-end reconciliation.
- Claim it for each eligible child — Best Start is per child under 3, so a second baby adds another entitlement.
What else to check when a baby arrives
- Paid parental leave — apply through IRD, and note that the parental tax credit for self-employed parents is a separate application.
- Childcare Subsidy — up to $6.72 an hour for low-income families, income tested, through MSD.
- 20 hours free ECE — available for 3, 4 and 5 year olds and stacks with the childcare subsidy.
- Accommodation Supplement — a new baby changes the household rate band and may increase the supplement.
- Family tax credit — starts from the child's birth and does not require a minimum number of working hours.
Deep dive — 2026 update
Worked examples at different income levels
Abatement is 21 cents for every dollar of family income above $79,000:
| Family income | Best Start for the year | Weekly equivalent |
|---|---|---|
| $79,000 or less | $4,041 | $77 |
| $85,000 | $2,781.00 | $53.48 |
| $95,000 | $681.00 | $13.10 |
| $99,000 | Nil | Nil |
The entitlement cuts out completely at about $98,243 of family income for a single child. With two children under 3, the full entitlement doubles to $8,082, and the cut-out point rises accordingly — so a family on $90,000 with two young children still receives a substantial payment.
Best Start compared with what came before
| Feature | Best Start | Parental tax credit (closed) |
|---|---|---|
| Paid for | Each child under 3 | First 10 weeks of a new baby |
| Amount | $77 a week for up to 3 years | Short-term, income tested |
| Income test | Over $79,000 (and only from year 1 for post-April 2026 babies) | Lower threshold, shorter period |
| Still available? | Yes | Closed to new applicants |
Families who remember the parental tax credit sometimes assume Best Start is a short payment. It is not — it runs for the first three years of the child's life, which makes it one of the larger long-term entitlements available to a young family.
Five mistakes that cost real money
- Not registering for Working for Families. Best Start requires it, and payments start from the registration date, not the birth date.
- Assuming a benefit makes you ineligible. Best Start is paid alongside a main benefit, the family tax credit and a student allowance.
- Underestimating family income. IRD pays based on your estimate and reconciles after 31 March — an underestimate becomes a debt.
- Forgetting to claim for a second child. The entitlement is per child, and each new baby needs to be added in myIR.
- Ignoring the year-1 rule change. For babies born on or after 1 April 2026 the income test applies from the first year, so a higher-income family that would have received the full year one payment under the old rules now receives a reduced amount.