Weekly compensation for shareholder-employees

Visual 

A navy blue background features the white ACC logo. Text appears alongside the logo: He Kaupare. He Manaaki. He Whakaora. Prevention. Care. Recovery. The background wipes to a peach/pink colour. A small tag in the top right corner reads: shareholder-employees. Large text appears on-screen: Weekly compensation explained for shareholder-employees. 

Transcript 

Upbeat, gentle instrumental music plays in the background. 

Visual 

A male presenter with a beard and curly hair tied in a bun, wearing a cream sweater, sits in an armchair in a modern office room with wood-panelled walls, a potted palm and couch in the background — there is an open laptop and mug on a wooden side table beside him. He speaks directly to the camera. 

Transcript 

Kia ora! There are several ways we can manaaki — or support you — in your recovery. If you've been injured and can't work, ACC can help by replacing some of your lost income through weekly compensation. 

This episode is for shareholder-employees — people who own shares in a limited company and also work there as an employee — even if they're the only person in the business. This also includes family-owned and small businesses. 

Because a company is a separate legal entity, you may be a shareholder-employee even if you think of yourself as self-employed. For ACC purposes, your business structure affects how your weekly compensation is calculated. 

Visual 

A white panel with a rounded, angled top corner slides in from the left, partly overlapping the presenter, who remains visible on the right of the screen. A heading appears in navy text: Weekly compensation is up to 80% of your average weekly earnings. Below the heading, a pie chart appears, showing a small navy segment against a larger orange segment. 

Transcript 

Weekly compensation is generally up to 80% of what you earned before your injury. Tax and deductions still apply, like student loans, KiwiSaver, or child support. 

If you have CoverPlus Extra, weekly compensation is based on an agreed cover amount, and the information in this video doesn't apply to you. 

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The video cuts back to a full shot of the presenter sitting in the chair in the office. 

Transcript 

Only income you earn by working is included when working out weekly compensation — for example, PAYE salary, wages, or scheduler payments. Passive income, like dividends, interest, or rental income, is not included. 

Filing your tax return on time with Inland Revenue helps us calculate your payments accurately and reduces the risk of overpayment — which you'd need to pay back. 

Your first weekly compensation payment covers the period from when you become eligible — usually day 8 after your injury, not the day you applied. It's paid once we've processed and approved your application. We'll let you know when this happens, and you can check MyACC for payment details. 

Visual 

An orange, rounded lozenge graphic appears on the left side of the screen, over the office setting, reading: Visit MyACC, my.acc.co.nz. 

Transcript 

Here's the key thing to remember. Weekly compensation for shareholder-employees depends on your company structure, how you report income, and how you pay levies. Contact us if you're unsure — we're here to help. 

Here's a summary of what we've covered:

• A shareholder-employee owns shares in a company and also works there
• Eligibility for weekly compensation usually starts day 8 after your injury  
• Filing your tax return on time means accurate and faster payments 

Visual 

The screen switches to a graphic on a white background, with the office setting faintly visible behind it. On the left, the heading 'Key takeaways' appears above an orange pencil icon. A vertical line divides the panel. On the right, a numbered list appears line by line, each point separated by a thin horizontal rule:

1. Shareholder-employee = owns shares in a company + works there
2. You're usually eligible for weekly compensation from day 8 after your injury
3. Filing tax returns on time = accurate and faster payments 

The video cuts back to a full shot of the presenter in the office for the closing statement. 

Transcript 

In the next episode, we'll look at what can affect the amount of weekly compensation you receive. To learn more, visit our website. 

Hoki mai āno. 

Visual 

The screen returns to the navy blue background with the ACC logo in the top left. Large text in the centre reads: Use MyACC to apply for weekly compensation and manage your claim. Contact details appear at the bottom of the screen, in the following order: website www.acc.co.nz, email address claims@acc.co.nz, and the free call phone number 0800 101 996. 

Transcript 

The upbeat, gentle instrumental music fades out. 

Visual 

A navy-blue background features the white ACC logo. Text appears alongside the logo: He Kaupare. He Manaaki. He Whakaora. Prevention. Care. Recovery. The background wipes to a peach/pink colour. A small tag in the top right corner reads: shareholder-employees. Large text appears on-screen: What affects weekly compensation for shareholder-employees.  

Transcript 

Upbeat, gentle instrumental music plays in the background.  

Visual 

A male presenter with a beard and curly hair tied in a bun, wearing a cream sweater, sits in an armchair in a modern office room with wood-panelled walls, a potted palm and couch in the background — there is an open laptop and mug on a wooden side table beside him. He speaks directly to the camera. 

Transcript 

Kia ora! 

If you're a shareholder-employee receiving weekly compensation, here's what can affect the amount you receive.  

Visual 

The screen switches to a graphic on a white background, with the office setting faintly visible behind it. On the left, the heading ‘What can affect your payments’ appears above an orange clipboard icon. A vertical line divides the panel. On the right, a list appears line by line, each point separated by a thin horizontal rule.  

The first point appears: Your declared liable earnings.  

Transcript 

Your declared liable earnings. 

Weekly compensation is based on earnings you've declared for ACC levies, sourced from Inland Revenue records. 

PAYE salary or wages and end-of-year salary allocations count as liable earnings.  

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A second point appears below the first:  

Filing your tax return. 

Transcript 

Filing your tax return. 

If you haven't filed your last completed tax return, we may make estimated payments for up to three months. 

Once you file, we'll reassess and adjust for any overpayment or underpayment.  

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A third point appears below the second:  

Income differs from last financial year. 

Transcript 

If your income differs from last financial year. 

Weekly compensation is based on up to 80% of your declared earnings from the last completed financial year, not what you're earning right now. 

This means changes to your income during the year may not be reflected in your payments. 

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A fourth point appears below the third:  

Minimum and maximum amounts.  

Transcript 

Minimum and maximum weekly compensation amounts. 

If your compensation is below the minimum, we may be able to increase it to the full-time minimum rate, if you qualify. 

These limits are set by law and updated each year. Check our website for the latest figures.  

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A fifth point appears below the fourth:  

Earning while receiving weekly compensation. 

Transcript 

If you work or earn while getting weekly compensation, we adjust your payments, so your total income doesn't go over what you'd normally earn. 

This adjustment is called abatement. It keeps things fair and reduces the risk of overpayment. 

If you have multiple income sources, we recommend talking to Inland Revenue about a secondary tax code to make sure you pay the correct tax.  

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A sixth point appears below the fifth, completing the list:  

CoverPlus Extra.  

Transcript 

And finally, if you have CoverPlus Extra, which is optional paid cover where payments are based on your agreed cover amount before tax and deductions, not your filed earnings. 

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The video cuts back to a full shot of the presenter sitting in the chair in the office. 

Transcript 

This can be useful if your income varies from year to year. 

Your CoverPlus Extra policy must be active both when you're injured and while you're unable to work.  

Here's the key thing to remember: payments can change based on your earnings, if you've filed your tax return, and if you've worked since your injury. Contact us if you're unsure — we're here to help. 

Visual 

The screen switches to a graphic on a white background, with the office setting faintly visible behind it. On the left, the heading 'Key takeaways' appears above an orange pencil icon. A vertical line divides the panel. On the right, a numbered list appears line by line, each point separated by a thin horizontal rule: 

1. Payments may be based on an estimate or your filed earnings. 
2. There are minimum and maximum amounts we can pay. 
3. CoverPlus Extra lets you tailor the level of income you want covered.  

Transcript 

Here's a summary of what we've covered: 

• Payments may be based on an estimate or your filed earnings. 
• There are minimum and maximum amounts we can pay. 
• CoverPlus Extra lets you tailor the level of income you want covered.  

Visual 

The video returns to a full shot of the presenter in the office. 

Transcript 

In the next episode, we'll show you how weekly compensation is calculated if you're a shareholder-employee. 

To learn more, visit our website. 

Hoki mai āno.  

Visual 

The screen returns to the navy-blue background with the ACC logo in the top left. Large text in the centre reads: Use MyACC to apply for weekly compensation and manage your claim. Contact details appear at the bottom of the screen, in the following order: website www.acc.co.nz, email address claims@acc.co.nz, and the free call phone number 0800 101 996. 

Transcript 

The upbeat, gentle instrumental music fades out. 

If you receive regular shareholder wages through PAYE, your weekly compensation is usually based on the PAYE wages you earned before your injury. 

f you don't receive shareholder PAYE wages, your weekly compensation is usually based on your shareholder salary from your most recent completed tax year, plus any employee income earned in the 52 weeks before your injury.

If you receive both shareholder PAYE wages and end-of-year shareholder salary allocations, we usually combine these earnings when calculating your weekly compensation. If using only your PAYE earnings would result in a higher payment, we'll use that calculation instead

Visual 

A navy-blue background features the white ACC logo, centred on screen. Text appears alongside the logo: He Kaupare. He Manaaki. He Whakaora. Prevention. Care. Recovery. The background wipes to a peach/pink colour. A small tag in the top right corner reads: shareholder-employees. Large text appears on-screen: Calculating weekly compensation for shareholder-employees.   

Transcript 

Upbeat, gentle instrumental music plays in the background.  

Visual 

A male presenter with a beard and curly hair tied in a bun, wearing a cream sweater, sits in an armchair in a modern office setting. A wooden side table with an open laptop and mug sits beside him. He speaks directly to the camera.  

Transcript 

Kia ora! 

In this episode, we'll explain how weekly compensation might be calculated for a shareholder-employee.  

There are different ways payments are worked out, depending on your company structure, how you report income, and how you pay levies. 

Tax and other deductions also apply to weekly compensation payments.  

Visual 

A white panel with a rounded, angled top corner slides in from the left, with the office setting faintly visible behind it. An orange circular icon with an exclamation mark appears at the top, followed by the heading 'Important' in orange text. Below it, navy text reads: Receiving other income? Let us know.  

Transcript 

You can still receive some weekly compensation if you're working reduced hours or different work while you recover. 

We need to know how much you're working so we can adjust your payments to reduce the risk of overpayment. 

This is called abatement and makes sure what you earn is fair and consistent. 

Log your work details in MyACC or call us.  

Visual 

The video cuts back to a full shot of the presenter in the office.   

Transcript  

Shareholder-employees generally fall into three categories. 

Visual  

A white panel with a rounded, angled top corner slides in from the left, with the office setting faintly visible behind it. On the left, the heading 'Shareholder-employee categories' appears above an orange clipboard icon. A vertical line divides the panel. On the right, a list appears line by line as each is discussed, with a thin horizontal rule separating each new point:  

PAYE shareholder-employees  

Transcript  

PAYE shareholder-employees — your weekly compensation payments are based on the PAYE wages you earned before your injury stopped you from working.  

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A second point appears below the first:  

Tax year shareholder-employees  

Transcript  

Tax year shareholder-employees — your weekly compensation payments are based on your shareholder salary from your most recent tax year, plus any employee income you earned in the 52 weeks before your injury.  

Visual  

A third point appears below the second, completing the list:  

Shareholder-employees with mixed earnings  

Transcript  

If you're a shareholder-employee with mixed earnings, we'll add together shareholder PAYE and end of year shareholder allocations to work out your payment amounts.  

Visual  

The graphic changes to a calculation example. On the left, under the heading 'Example', orange text reads: Total tax year earnings of $120,000. Below it: Made up of: Shareholder salary = $52,000. Dividends = $68,000. An orange circular icon with a dollar sign appears beneath this text. On the right, a table sets out the calculation steps, each row highlighting in turn as it's explained:  

1. Earnings of $52,000 ÷ 52 weeks = $1,000  
2. ACC pays 80% = $800 
3. Minus tax and deductions − $200  

A final row, shaded navy, reads: Payment received = $600.  

Transcript  

Let's look at a quick calculation example. You received $120,000 in the tax year, made up of $52,000 from shareholder salary and $68,000 from dividends.  

We calculate weekly compensation by using your shareholder salary of $52,000, then dividing it by 52 weeks in the year. 

Visual  

The video cuts back to a full shot of the presenter in the office.  

Transcript  

Here's a key thing to remember: dividends and other passive income aren't included as earnings because they aren't earned from the work you personally do.  

Here's a summary of what we've covered.  

Visual  

The screen switches to a graphic on a white background, with the office setting faintly visible behind it. On the left, the heading 'Key takeaways' appears above an orange pencil icon. A vertical line divides the panel. On the right, a numbered list appears line by line, each point separated by a thin horizontal rule: 

1. There are different calculations depending on your situation 
2. Passive income is not included as earnings 
3. You can work and still receive some weekly compensation 
4. Tell us about any work or income changes so we can adjust payments  

Transcript  

Instrumental music continues while the key takeaways are shown on screen.  

Visual  

The video cuts back to a full shot of the presenter in the office for the closing statement.  

Transcript  

Thanks for watching! For more details on weekly compensation for shareholder-employees, visit our website.  

Haere rā.  

Visual  

The screen cuts to the navy-blue background with the ACC logo in the top left. Large text in the centre reads: Use MyACC to apply for weekly compensation and manage your claim. Contact details appear at the bottom of the screen, in the following order: website www.acc.co.nz, email address claims@acc.co.nz, and the free call phone number 0800 101 996.  

Transcript  

The upbeat, gentle instrumental music fades out.