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Go Figure 2005 Limited is a CPA Practice
Go Figure 2005 Limited is a CPA Practice
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8 March 2021

The minimum wage increases on April 1st 2021

From April 1 2021, the adult mimimum wage will increase from the current rate of $18.90 per hour to $20 per hour.

There are 3 types of minimum wage — adult, starting-out and training.

The adult minimum wage β€“ applies to employees aged 16 years or older.

The starting out minimum wage β€“ applies to workers who are:

  • 16 and 17 years old and have been with their current employer for less than 6 months
  • 18 and 19 years old:
    • have been paid a benefit for 6 months or more
    • haven’t worked for 1 employer for longer than 6 months since being on a benefit, and
    • have been with their current employer for less than 6 months
  • 16 to 19-year-olds whose employment agreement requires them to do at least 40 credits a year of industry training.

The training minimum wage β€“ applies to workers who:

  • are 20 years or older
  • under their employment agreement, have to do at least 60 credits a year of industry training.

The training and starting-out minimum wages will also both increase. The new rate from April 1 will be $16.00 per hour, remaining at 80% of the adult minimum wage. This is a rise from the current minimum rate of $15.12 per hour.

Talk to us about how this will impact your business.

Posted in Tips    Tagged: Accountant, minimum wage 2021, Training Minimum Wage, Xero Accountant
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