Minimum wage increases
Effective April 1, 2025, the adult minimum wage will increase to $23.50 per hour, replacing the current rate of $23.15 per hour. Employers must ensure that eligible employees’ working hours are paid accordingly.
Automatic Updates in Crystal Payroll
Crystal Payroll will automatically adjust pay rates for employees who meet the following criteria:
- Hourly rate is between $23.15 and $23.49.
- Employee is 18 years or older, with their date of birth recorded in the system.
Manual Updates Required for Starting-Out and Training Rates
The starting-out and training minimum wage rates will also rise—from $18.52 to $18.80 per hour—effective April 1, 2025. These changes are not updated automatically in Crystal Payroll, so you will need to make these adjustments manually.
Special Cases to Consider
In some situations, you may prefer not to have Crystal Payroll automatically update an employee’s pay rate to $23.50. For example:
- If an employee qualifies for the training rate but is already paid between $23.15 and $23.49, it would not be a legal requirement to increase their rate to $23.50.
- If you wish to manually manage these updates based on specific employment agreements or circumstances.
Opt-Out Option for Automatic Updates
If you’d like to manage the adult minimum wage update yourself, please contact us at support@crystalpayroll.co.nz to request exemption from this automatic adjustment.
Note that it’s important to ensure all employees are paid at least the new legal minimum wage. Failing to adjust wages correctly could result in non-compliance with employment law and potential penalties. Keeping your payroll up to date helps protect your business and ensures employees receive the correct pay in line with legal requirements.
Quick Summary: What You Need to Do
✅ Check if your employees’ hourly rates need adjustments
✅ Manually update starting-out & training wage rates
✅ Contact Crystal Payroll support if you want to opt out of automatic updates
✅ Double check all your employee wages and salary are in line with the new minimum wage
At Crystal Payroll, we’re committed to making payroll management as seamless as possible for you. By handling these updates automatically, we aim to save you the hassle of manual adjustments and ensure compliance with wage regulations. After all, our goal is to make payroll truly crystal clear.
