Main benefit rate used to calculate the emergency housing contribution using net weekly income
When a client gets a main benefit, their emergency housing contribution is worked out using the net main benefit rate, before any other sanctions, redirections, or deductions (e.g. child support, Ministry debt or court fines).
However, the client or their partner's net main benefit rate may have been reduced due to income. In this case, MSD needs to use the reduced rate in the contribution calculation. This includes when the client's main benefit rate has been reduced because the client gets weekly compensation for loss of earnings or potential earning capacity (from either ACC or an insurer under the Accident Compensation Act 2001).
Example - Main benefit rate has been reduced
A client applying for an Emergency Hosing Grant is getting Sole Parent Support. This is paid at the net rate of $521.52 a week (as at 1 April 2026).
They also earn income of $250.00 net a week.
The client's income has reduced their Sole Parent Support rate by $27.00 to $494.52 net a week.
MSD needs to use $494.52 (rate of benefit reduced by income) when calculating the contribution:
Client's net weekly income is: $494.52 + $250 = $744.52
- 25% of $744.52 = $186.13 (don't round until the daily rate is worked out)
Note this example does not include 25% of the client's family tax credit entitlement. This still needs to be included when calculating the total contribution.
Student Allowance rate reduced due to income
When a client gets a Student Allowance and the net rate of Student Allowance is reduced due to their income, MSD needs to use the reduced rate of Student Allowance, together with the client’s other income, in the contribution calculation.
