On 17 March the Government announced a NZ$12.1 billion Economic Response Package. This stimulus includes two immediately accessible subsidies for employers, contractors, sole traders or the self-employed – the Wage Subsidy and Leave Payment Scheme. The Wage Subsidy is a one-off lump sum payment to support businesses in keeping people employed for the next 12 weeks. The Leave Payment Scheme provides support for employees that are required to self-isolate in accordance with Ministry of Health guidance.
 
The purpose of the Wage Subsidy is to support employers who have experienced a minimum 30% decline in actual or predicted revenue to keep employees on the payroll during this difficult period. The Wage Subsidy is calculated with reference to employees and spans a 12 week period. The subsidy is calculated as $585.80 per employee working more than 20 hours per week and $350.00 per employee working less than 20 hours per week, capped at a maximum of $150,000. However the $150,000 cap has now been removed and all businesses are eligible. The subsidy will be paid as a lump sum covering a 12 week period.
 
The purpose of the Leave Payment Scheme is to provide payments (via employers) to employees who are required to self-isolate – these payments are required to be passed on in full to the relevant employees (less employment taxes and other deductions). The leave payments are $585.80 to a person working 20 hours or more per week and $350.00 to a person working less than 20 hours per week.
 
 
How to apply for the Wage Subsidy and Leave Payment Scheme
If you are eligible for either of the schemes, we strongly encourage you to consider applying today.
To complete the application form you will need to collect:
  • Your business bank account
  • IRD number
  • New Zealand Business Number (NZBN)
  • Business contact details.
With employee consent:
  • relevant employees’ names
  • dates of birth
  • IRD numbers
  • employment types (i.e. more or less than 20 hours of work per week).

Choose an option below to begin the application process.
You will also need to make a declaration to the Ministry of Social Development (MSD) that affirms the legitimacy of your application.  You can read the full text of the declaration here for the wage subsidy, and here for the leave payment.

You can find this here https://www.workandincome.govt.nz/online-services/covid-19/wage-subsidy-declaration.html
Hudson Taylor Chartered Accountants