--- title: "MINIMUM WAGE: EXPECT MORE INCREASES" description: "With the minimum wage having recently increased to $20, you might be thinking that it won’t go up again for a while. But in fact you should probably plan for the minimum wage to keep rising.\n\nIn 2000, New Zealand’s minimum wage was $7.55. Since then it has increased every year, under both National and Labour governments, sometimes by as little as 15 cents (in 2001), or by as much as $1.20 (in 2019). \n\nCosts are increasing\n\nEven if you don’t employ one of the 175,000 Kiwis who earn minimum wage, this may impact your business. Wages rise steadily over time, and employees who missed out on a pay rise this year will probably expect one next, if your business has been thriving.\n\nIn addition to the rising cost of labour, inflation is forecast to put upward pressure on everyday items. That will likely increase your general running costs and the price of materials. Petrol prices are up, for instance, and supply chain issues have driven up the cost of many imported products.\n\nTime to review your pricing\n\nIs it time to put your prices up? Ideally, your business should increase costs by a tiny amount each year, rather than by a big jump every five years, for instance. Small increases help prevent price shocks for customers, and keep your business in line with the rest of the market.\n\nCan you also cut costs?\n\nIf you don’t think increasing your prices is an option, or you still need to make more of a change, you may need to cut back your spending. We look at your business line by line, so we can help you identify areas where you might be able to trim the fat. \n\nGive us a call or drop us a note – we’re here to help." image: https://balanceca.nz/hubfs/minimum-wage-blackboard-behind-stacked-260nw-707531416.webp --- [![Ecom](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/Logo_1.png)](https://balanceca.nz/) - [Home](https://balanceca.nz/) [![Ecom](https://balanceca.nz/hs-fs/hubfs/raw_assets/public/codfina/images/image_web/startup.png?width=60&name=startup.png) Start-ups](https://balanceca.nz/start-ups) [![Established](https://balanceca.nz/hs-fs/hubfs/raw_assets/public/codfina/images/image_web/establishedbusinesses.png?width=60&name=establishedbusinesses.png) Established Businesses](https://balanceca.nz/established-businesses) [![Agricultural](https://balanceca.nz/hs-fs/hubfs/raw_assets/public/codfina/images/image_web/agriculturalbusinesses.png?width=60&name=agriculturalbusinesses.png) Agricultural Businesses](https://balanceca.nz/agricultural-businesses) - [About](https://balanceca.nz/about-us) - [Services](https://balanceca.nz/services) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_1.png) Annual Accounting & Tax Services](https://balanceca.nz/services#nav_f4) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_2.png) Business Support Services](https://balanceca.nz/services#nav_f4) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_3.png) Business Development](https://balanceca.nz/services#nav_f4) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_4.png) Business Planning](https://balanceca.nz/services#nav_m4) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_5.png) Cashflow Management](https://balanceca.nz/services#nav_m4) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_6.png) Accountability Coaching](https://balanceca.nz/services#nav_m4) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_7.png) Succession Planning](https://balanceca.nz/services#nav_m4) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services_8.png) Organisational Review](https://balanceca.nz/services#nav_b3) [![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services%20icon-9.png) Governance](https://balanceca.nz/services#nav_b3) [![](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/services-10-01.png) Specialist Māori Sector Services](https://balanceca.nz/services#nav_f4) [![](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/11_Connections.png) Connections](https://balanceca.nz/services#nav_b3) # BALANCE Take control of your finances with BalanceCA, your trusted partner for all your accounting and financial needs. 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[Learn More](https://balanceca.nz/income-tax-cal) - [Payment](https://balanceca.nz/Payments) - [Contact us](https://balanceca.nz/contact-us) [![](https://balanceca.nz/hubfs/raw_assets/public/codfina/assets/imgs/page/image_web/Coffee.png) Grab a coffee](https://balanceca.nz/Booking) [![IORI](https://balanceca.nz/hubfs/raw_assets/public/codfina/assets/imgs/page/image_web/Logo1.png)](https://balanceca.nz/) - Home - [About](https://balanceca.nz/about-us) - Services - [Blogs](https://balanceca.nz/blogs) - Calculators - [Payment](https://balanceca.nz/Payments) - [Contact us](https://balanceca.nz/contact-us) - [My Profile](https://balanceca.nz/blogs/login.html) - Work Preferences - My Boosted Shots - My Collections - Account Settings - Go Pro - [Sign Out](https://balanceca.nz/blogs/register.html) ## MINIMUM WAGE: EXPECT MORE INCREASES Tags: [Marketing](https://balanceca.nz/blogs/tag/marketing) [Business](https://balanceca.nz/blogs/tag/business) --- ![Balance CA](https://balanceca.nz/hubfs/kamato-1.png) [Balance CA](https://balanceca.nz/blogs/author/balance-ca) Updated: June 05, 2023 Jan 20, 2024 5:41:50 PM --- With the minimum wage having recently increased to $20, you might be thinking that it won’t go up again for a while. But in fact you should probably plan for the minimum wage to keep rising. In 2000, New Zealand’s minimum wage was $7.55. Since then it has [increased every year](https://web.archive.org/web/20230127064747/https://www.employment.govt.nz/hours-and-wages/pay/minimum-wage/previous-rates/), under both National and Labour governments, sometimes by as little as 15 cents (in 2001), or by as much as $1.20 (in 2019).  **Costs are increasing** Even if you don’t employ one of the 175,000 Kiwis who earn minimum wage, this may impact your business. Wages rise steadily over time, and employees who missed out on a pay rise this year will probably expect one next, if your business has been thriving. In addition to the rising cost of labour, inflation is forecast to put upward pressure on everyday items. That will likely increase your general running costs and the price of materials. Petrol prices are up, for instance, and supply chain issues have driven up the cost of many imported products. **Time to review your pricing** Is it time to put your prices up? Ideally, your business should increase costs by a tiny amount each year, rather than by a big jump every five years, for instance. Small increases help prevent price shocks for customers, and keep your business in line with the rest of the market. **Can you also cut costs?** If you don’t think increasing your prices is an option, or you still need to make more of a change, you may need to cut back your spending. We look at your business line by line, so we can help you identify areas where you might be able to trim the fat.  Give us a call or drop us a note – we’re here to help. ![image](https://balanceca.nz/hubfs/raw_assets/public/codfina/images/image_web/Logo_1.png) ##### Balance Whanganui - [0800 480 062](tel:+640800480062) [06 348 0062](tel:+64063480062) - [whanganui@balanceca.nz](mailto:whanganui@balanceca.nz) - 10 Dublin Street, Whanganui, 4500 PO Box 670, Whanganui, 4540 ##### Balance New Plymouth - [06 769 5389](tel:+64067695389) - [newplymouth@balanceca.nz](mailto:newplymouth@balanceca.nz) - 141 Powderham Street PO Box 593, New Plymouth Central, New Plymouth 4310 ##### Balance Stratford - [06 765 6156](tel:+64067656156) - [stratford@balanceca.nz](mailto:stratford@balanceca.nz) - 199 Broadway, Stratford, 4352 PO Box 670, Stratford, 4352 Balance Official 2026. All rights reserved. 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