Fix Working For Families (2022)
Join us at Child Poverty Action Group in helping to reshape the future of how the poorest families in New Zealand are supported.
It is time to turn around the policy that discriminates against families in need.
“Not only did I lose my job, I also lost the ability to claim the IWTC. This was a terrible financial blow. As a result, I am now further in debt and face food insecurity and hunger most of the time.”
What is Working for Families?
Working for Families tax credit package is a vital source of income support for children in low-income families. Working for Families is a scheme of tax credits that is paid to eligible families with dependent children aged 18 or younger. It is intended to help with the family's day-to-day living costs.
“When I think back on how much $72.50 would have improved our lives ... it makes me sick to my stomach”
Read more of Serena's story here
What needs fixing?
Working For Families payments are not properly indexed and children in benefit-receiving households are not eligible to receive all payments. This discrimination is deeply flawed and unfair and prevents the package from realising its full potential as a programme to address poverty.
Working for Families discriminates parents who receive benefits and cannot work. These families are currently denied one crucial payment for their children. This is currently assessed at $72.50 per week (or more for larger families). Going without this payment drives these families further into poverty and debt.
“Working for Families doesn’t take into account the changing dynamics of the modern family.”
Read more of Ashleigh's story here
What does Child Poverty Action Group want to change?
When the campaign began in 2016, we made several key policy recommendations:
Abolish all fixed hours of paid work requirements for the payment of any Working For Family tax credits.
Abolish the In-Work Tax Credit and add $72.50 to the first child Family Tax Credit.
Properly index Working For Families payments
Restore Working For Families payments to its former real value.
“Yes I work, I work hard”
Read more of Natalie's story here
Where can I read Child Poverty Action Group’s Submission?
You can read CPAG’s submission here.
Ngā Tāngata Microfinance has also made a submission, which you can read here.
“IRD did not seem to understand their own requirements”
Read more of Marion's story here
We need your help - Get involved
In May 2022 the Child Poverty Action Group spearheaded a campaign to support the review of the Working for Families. We need your help to make change happen.
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Join CPAG to help make a better future
“I don’t know how families on benefits and low wages are expected to manage.”
Read more of Shane's story here
Background papers
CPAG has been working and writing on Working for Families for a number of years. You can read our background material here:
Rethinking Income Support for Children Part 1: Ensuring Adequate Indexation of WFF (2021)
Briefing on reform of the In-Work Tax Credit (2020)
What work counts? Work incentives and sole parent families
The In-Work Tax Credit in Practice: A reality check for the IRD
Family tax credits: Do children get the support in New Zealand that they would get in Australia?
Supporting family incomes in New Zealand and Australia (2017)
Oz Just Does it Better: A comparison between Australian and New Zealand family tax credits (2016)
Working for Families: problems, causes and solutions (2016)
Fix Working for Families FAQ sheet
Fix Working for Families Campaign Part One Summary
“In Australia … we survive the start of the school year because of Government help.”
Read more of Amelia’s story here
