Income Relief Payment - Easing the burden of restructuring

Uncategorized

29 May

Written By

We know that many owners and managers are struggling with the very idea of having to make people redundant – but where this is inevitable, the recently announced income relief payment may help your thinking.

There is a lot of detail behind this. We have included the key points here. More information is expected from the Government in the coming weeks. More details can be found at https://workandincome.govt.nz/covid-19/income-relief-payment/index.html.

Who is eligible?

Individuals may be eligible if they:

Lost their last job between 1 March 2020 - 30 October 2020.
Worked > 15 hours a week (for 12 weeks or more) before losing their job.
Are a NZ citizen or a resident who normally works and lives in New Zealand, and
Are over 18 years old, or a financially independent 16- or 17-year-old.

The payment also applies for self-employed, contractors or sole traders.

How to apply

Individuals can apply via Work and Income from 8 June.

The details we know so far

Weekly payments of up to 12 weeks (tax free).
$490 per week if previously working >30 hours a week.
$250 per week if previously working between 15-29 hours a week

Individuals are not eligible if they

Have received a redundancy payment over $30,000 (gross).
Accept voluntary redundancy.
Have received private income protection insurance payments for the job they lost.
Are receiving ACC payments.
Left their job for another reason.
Still have a job.
Have a partner earning more than $2000 per week (gross).

Questions?

If you have a question or need to work this through, give us a call.

RYHR team

Robyn Young - 021 119 1044 or robyn@robynyoung.co.nz

Sally Vertongen - 027 453 8871 or sally@robynyoung.co.nz

Helen McCaul - 021 914 106 or helen@robynyoung.co.nz