Skilled Migrant Category two months on

21 Oct Skilled Migrant Category two months on

Skilled Migrant Category two months on: the wage threshold tool, the grace period and what INZ is querying

The new Skilled Migrant Category (SMC) settings took effect on 24 August 2026. Our earlier article explains the three pathways. This update covers what Immigration New Zealand (INZ) added at its webinar for immigration professionals on 24 September 2026, and a related change made on 5 October.

The first month in numbers

According to figures presented at the webinar, INZ had received 2,234 SMC applications by 20 September. Of these, 2,064 were under the Points-based pathway, 131 under the Skilled Work Experience pathway and 39 under the Trades and Technician pathway.

By the same date, INZ had decided 101 applications and approved 99. That is too few to indicate an approval rate. It is also too early to say why fewer people have applied under the new pathways.

Why applications are being queried

INZ said it had reviewed the first 300 applications and identified common reasons for requesting further information.

Employment agreements were a frequent issue. Some lacked the hours of work, the pay rate or a start date. Others named the wrong legal employer or gave no reason for a fixed term.

Earnings evidence was another. INZ pointed to incomplete IRD summaries of earnings, missing payslips and pay that did not match the rate declared in the application. INZ also raised the age of some overseas police certificates.

Many of these gaps can be addressed before lodging. Pay often varies for ordinary reasons, such as leave or a change in hours. If it does, include the explanation and supporting documents with the application. Waiting for INZ to ask adds time to the process.

The new Wage Threshold Tool

INZ demonstrated its new SMC Wage Threshold Tool. It works out which historical wage threshold applies to an applicant.

The tool asks for the pathway and, under the Points-based pathway, the points being claimed. It also asks for the dates of each period of New Zealand skilled work, pay history and any pay changes, work visa grant dates, any change of employer or occupation, and the intended expression of interest date.

The tool does not decide eligibility. It does not confirm that the work is skilled, that the occupation is correctly classified, or that you have enough qualifying experience. Those questions still turn on the instructions and the evidence. The result is only as reliable as the dates and pay figures entered, so they should match the employment records.

How the five-month grace period works

Applicants who need New Zealand skilled work experience generally need to meet the wage threshold that applied when that experience began. They do not need to meet a higher threshold introduced later.

The grace period adds a further concession. If skilled work began within five months of a work visa being granted, you can use the threshold in effect on the grant date instead. This helps people whose start date was delayed after their visa was approved, during which time the threshold rose.

INZ’s instructions give an example. A work visa was granted on 14 January 2023, when the threshold was $27.76 an hour. The applicant started work on 13 June 2023 at $28 an hour. By then, the threshold had risen to $29.66. Because work began within five months of the grant, the $27.76 threshold applies. The applicant must keep their pay at or above that rate.

The same approach now applies to the Green List, Care Workforce and Transport Work to Residence visas.

Two dates, two different tests

The grace period fixes the wage threshold. It does not extend the time allowed to gain experience.

Each pathway requires experience to fall within a set period counted back from the date you submit your residence application. That is not the date of the expression of interest. For example, the Skilled Work Experience pathway requires two years of New Zealand experience within the previous four years. The Trades and Technician pathway requires 18 months within the previous three years.

A delay between invitation and lodging can therefore push older experience outside the period, even where the wage threshold is unaffected. Applicants close to the edge of a period should plan their lodgement date with this in mind.

What counts as directly relevant experience

Both new pathways require directly relevant work experience. At the webinar, INZ described this as experience in the same industry or field, in the same or a closely related role. A practical test is whether the current job could reasonably have been offered or done without that experience.

A letter from the current employer helps, but it does not decide the question. The immigration officer must also be satisfied.

Using the same experience twice

INZ confirmed that the same experience can show both direct relevance and that the applicant is suitably qualified for the job. Applicants do not need extra years only to prove suitability.

The same period cannot count towards two separate time components of a pathway. The directly relevant experience and the additional New Zealand experience must be different periods.

Overseas bachelor’s degrees

A question at the webinar concerned applicants with a New Zealand master’s degree and an overseas bachelor’s degree. If the bachelor’s degree is only a supporting qualification, you generally don’t need a separate International Qualification Assessment. The certificate and academic transcript are still required. An applicant claiming 5 points for a New Zealand master’s degree does not need a supporting bachelor’s degree at all.

Self-employment: guidance still to come

Self-employment cannot count as directly relevant experience under either new pathway. At the webinar, INZ acknowledged open questions about how some working arrangements are classified. It said further guidance is being developed.

Contract work is not automatically self-employment, and some contract work can count as New Zealand skilled work experience. Anyone who has worked as a contractor, or through a company they control, should have the arrangement checked before relying on it.

The 5 October Green List change

From 5 October 2026, INZ narrowed a wage exemption for 18 Green List Work to Residence occupations. It now applies only to people who applied for a visa before 29 September 2023 and gained some of their experience on that visa. Where it applies, it covers either the work experience or the job at the time of the residence application, not both.

Before you lodge

The tool helps with one part of an SMC application. You still need to check experience dates, occupation classification, and supporting evidence against the instructions. MK Law can review your employment and wage history before you submit an expression of interest. Contact us.

This article draws on INZ’s webinar of 24 September 2026 and INZ’s update of 7 October 2026, and reflects the position at those dates.

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