🇦🇺 COUNTRY A Australia VS 🇳🇿 COUNTRY B New Zealand

New Zealand has no tax-free threshold — 10.5% tax applies from dollar one. Australia's $18,200 tax-free threshold gives a clear advantage at lower incomes. At NZ$100,000, Australians pay approximately $22,520 (including Medicare levy); New Zealanders pay approximately $24,630 (income tax plus ACC levy). However, New Zealand's 39% top rate beats Australia's 45% for high earners above NZ$180,000 (though total tax including Medicare and ACC levies only becomes lower in NZ at roughly $199,000). The hidden trap: New Zealand has NO tax-free threshold—you pay 10.5% from dollar one. Australia gives you $18,200 tax-free. At NZ$100,000, an Australian pays ~$22,520 (including Medicare levy) while a Kiwi pays ~$24,630 (income tax plus ACC levy). Australia has the lower total tax at most income levels up to about $200,000 (NZ only wins narrowly above that), and compulsory Superannuation widens the retirement gap: employers contribute 12% in Australia (from 1 July 2025) but only 3.5% KiwiSaver minimum in NZ. Choose Australia if: you want guaranteed retirement savings. Choose NZ if: you're self-employed (no ACC earner levy on non-PAYE income) or earn about $200K+ (total tax is lower in NZ from roughly $199K) where NZ's 39% cap beats Australia's 47%.