The $35 Median Wage & Your NZ Residency: Why You Might Not Need a Pay Rise Yet

If you are a skilled migrant working toward residency in New Zealand, recent  announcements have likely caused some anxiety. 

With significant changes coming to Immigration New Zealand (INZ) policies in both  March and August 2026, many of our clients at Immigration Chambers are asking the  same urgent question: "Do I need my employer to immediately raise my pay to $35.00  per hour to keep my residency dream alive?" 

A lot of misleading information is circulating at the moment. The good news is that for many of  you already working in skilled roles, the answer is likely no. 

Here is a clear, easy-to-understand breakdown of the upcoming changes and how the  crucial "grandfathering" rule protects your hard-earned work experience. 

The Key Dates and Changes You Must Know 

Two major updates are scheduled for 2026 that will reshape the pathway to residence. 

1. March 9, 2026: The Median Wage Increases 

The official New Zealand immigration  median wage will rise from the current $33.56 per hour to $35.00 per hour. 

This new rate immediately affects: 

• New applications for Accredited Employer Work Visas (AEWV). 

• Pay thresholds for Green List straight-to-residence pathways. 

• Income requirements for sponsoring partners on work visas. 

2. August 2026: The New Skilled Migrant Category (SMC) 

The government is launching  a completely restructured Skilled Migrant Category Resident Visa. This new system will  change how points are awarded and introduce new pathways for skilled work  experience and tradespeople. 

The "Grandfathering" Rule: Why You Don't Need to Panic 

The biggest concern for migrants is whether their past work experience will still count  toward residence if they aren't currently earning the future $35.00 rate.

Under the rules governing the upcoming August 2026 SMC changes, INZ has confirmed  a vital principle often called "grandfathering." 

Here is the rule in plain English: To claim points for skilled work experience, your pay  only needs to meet the median wage threshold that was in effect at the time your  qualifying work experience started. 

You are generally not required to secure a pay raise to match every new annual  increase of the median wage just to keep your past experience valid for a future  residency application. 

Real-World Examples: Do You Need $35.00 Per Hour? 

Let’s look at two scenarios to make this crystal clear. 

Scenario A: The Existing Worker (Reassuring) 

Meet Priya. Priya started working as a Marketing Specialist in February 2024. At that  time, the required median wage was $29.66 per hour. She is still in the same job with  the same employer today. 

Question: 

When Priya applies for residency under the new rules in late 2026, does she  need to be earning $35.00 per hour to claim her two years of experience? 

Answer: 

No. Because Priya’s pay met the legal requirement when she started, INZ will  accept her experience gained at $29.66 (and subsequent rates like $31.61 or $33.56) as  valid skilled work experience. She does not need to ask her boss for a raise to $35.00  just to claim that past time. 

Scenario B: The New Starter (Important Caution) 

Meet Leo. Leo is offered a new job as a Chef. His first day of paid work will be March 15,  2026. 

Question: 

What is the minimum hourly rate Leo must earn for this job to eventually  count toward residency? 

Answer: 

$35.00 per hour. Because Leo is starting his new job after the March 9 cut-off  date, his starting pay must meet the new median wage threshold of $35.00 to be  considered "skilled employment" for residency purposes. 

Read more: New NOL Roles for AEWV and Median Wage Hike Explained

When DOES the New $35.00 Rate Matter? 

While current workers have some protection for past experience, the new $35.00 rate is  still very important. You will likely need to meet this new threshold if:

• You are applying for a new Accredited Employer Work Visa on or after March 9,  2026. 

• You change employers or jobs after March 9, 2026. 

• You are renewing an existing work visa after that date. 

• You are relying on specific Green List pathways where the pay requirement is  indexed to the current median wage (e.g., roles requiring 1.5x or 2x the median  wage). 

As of today 23rd February 2026, under the current SMC Resident Visa settings, applicants must  meet the current median wage at the time they apply: 

1. SMC lodged on or before 8 March 2026: at least $33.56/hour (The median wage  before 9 March 2025) 

2. SMC lodged on or after 9 March 2026: at least $35.00/hour (The median wage on 9  March 2025 onwards) If a pay rise is not possible, you may prefer to wait until August 2026, when the updated SMC RV  policy takes effect and removes the requirement to meet the current median wage at  application. Until then, the existing rule remains: applicants must be paid at least the applicable  to current median wage at the time their SMC application is submitted.

This given blog is already published here