This page describes the information found in your invoice pack. There are two types of invoice packs for self-employed people, one for ACC CoverPlus and one for ACC CoverPlus Extra.
ACC CoverPlus
You should receive your invoice pack from ACC within a few months of filing your tax return. It includes a summary of account and a tax invoice. If you don't receive your invoice after two months contact the ACC Business Service Centre.
Summary of account
This summarises your current account balance. The total will include the invoice for the levies in your pack and any other payments you have yet to make for previous invoices.
Tax invoice
Your invoice is made up as follows:
Page 1
Summary of the amount due and payment slip.
Page 2
The levy calculations. There are four parts which make up your total levy:
Page 3
This sets out your claims experience over the three year period April 2007 to March 2010 that is taken into account in applying the No-Claims Discount or Loading. If you do not receive this page it will be because you have no claims over this period and therefore would have received the 10% discount, or have not been in business for the entire three year period.
Page 4
If your invoice is over $500.00 (excluding GST) you will be given an option to pay one lump sum or instalments via direct debit.
ACC CoverPlus Extra
You will receive two invoices each year which are made up as follows.
First Invoice:
Work Levy
The work levy is to cover you for work injuries during the year. It uses your last year’s financial information that you supplied to Inland Revenue to calculate the ‘Adjusted Liable Income’. This is multiplied by the work levy rate for your industry group (ACC classification unit) to give the total work levy.
Earners’ Levy (non-work cover)
This covers you for injuries outside of work (except motor vehicle injuries that are covered by an ACC levy collected as part of motor vehicle registration, and petrol usage). The same pre-approved level of cover used to calculate the work levy is used to calculate the earners’ levy. Together the work and non-work levies give you 24 hour accident cover. Employees pay this same earner levy via their tax payments that is forwarded to ACC by Inland Revenue.
Second Invoice:
Health and Safety in Employment Levy
This levy is collected on behalf of the Department of Labour to enable the Department to fund occupational health and safety services.
Residual Levies
In 1999 the Government changed the way ACC collected levies to a fully-funded basis. Up until that time ACC had only collected enough in levies to pay for cash outgoings in each year. This means there are insufficient funds for the ongoing costs of long-term injuries that occurred prior to 1999, and to pay for these ongoing costs ACC must collect a residual levy for both work and non-work claims. All levy payers have to pay this portion, even if they weren’t in business at that time, or had no injuries. This levy will stop after the 2018/19 year.
Changes to your invoice
You may see a change in your ACC levy invoice this year as a result of the introduction of experience rating. Under experience rating, employers and self-employed people who have lower-than-average injury rates, with better-than-average return to work rates, may receive a discount on the current portion of their ACC Work levy. Those with worse-than-average claims experience may receive a loading on the current portion of their ACC Work levy.
Our invoices page has further information about experience rating and the resulting changes to ACC Work levy invoices.
Last updated: 10 August 2011