ECE Funding Handbook
Welcome to the ECE Funding Handbook. This handbook is issued under section 548(5) of the Education and Training Act 2020.
Funding of certain services and certified playgroups – NZ Legislation(external link)
The funding paid to licensed services is paid subject to the terms and conditions set out under this handbook and must be complied with. The terms used in this handbook are based in the Education (Early Childhood Services) Regulations 2008.
This handbook is designed to be a 'one-stop-shop' of everything you need to know about early childhood funding, including:
- the ECE Funding Subsidy
- 20 Hours ECE funding
- equity funding
- the annual top-up for isolated services
This information does not apply to certificated playgroups
The information in the Funding Handbook does not apply to certificated playgroups.
These services should contact their Ministry regional office for further information.
Download the ECE Funding Handbook
If you would like to print a copy of this handbook, refer to the list of downloads in the contents section where you will find downloadable PDF versions of each chapter.
ECE Funding Handbook downloads
Appendix 4
This appendix contains the salary scales for education and care services, including minimum salary scales from 1 January 2023 and updates that will be available from 1 November 2023.
Minimum Salary Scales before 1 November 2023
The following salary scales should be used by services with regard to the minimum salary amounts from 1 January 2023 but prior to 1 November 2023. By paying at least these salary amounts to all employed certificated teachers, Education and Care and Hospital-based services are eligible for higher funding rates.
Minimum Salary Scale for Certificated Teachers
| Step | Qualification Group Notations | Salary from 1 January 2023 | Indicative hourly rate* |
|---|---|---|---|
| 1 | P1E, P2E, P3E | $51,358 | $24.69 |
| 2 | $53,544 | $25.74 | |
| 3 | P3+E | $55,948 | $26.90 |
| 4 | P4E | $58,133 | $27.95 |
| 5 | P5E | $61,794 | $29.71 |
| 6 | $65,776 | $31.62 | |
| 7 | $68,103 | $32.74 | |
| 8 | $70,431 | $33.86 | |
| 9 | $72,758 | $34.98 | |
| 10 | P1M, P2M, P3M | $75,230 | $36.17 |
| 11 | P3+M, P4M, P5M | $79,413 | $38.18 |
Minimum Salary Scale for Management Positions
| Step | Salary from 1 January 2023 | Indicative hourly rate* |
|---|---|---|
| K2, K3, K4 | $79,413 | $38.18 |
- Base Funding Rates are available to services who pay at least Step 1
- Parity Funding Rates are available to services who pay at least Steps 1 to 6
- Extended Parity Funding Rates are available to services who pay at least Steps 1 to 11 and the management salary step
Only services who wish to receive the extended parity funding rates are required to pay a minimum salary to certificated teachers employed in a management position.
Minimum Salary Scales from 1 November 2023
The following four salary scales should be used by services with regard to the minimum salary amounts from 1 November 2023:
- Base Salary Scale
- Parity Salary Scale
- Extended Parity Salary Scale
- Full Parity Salary Scale
By paying at least the salary amounts specified in these four salary scales to all employed certificated teachers, Education and Care and Hospital-based services are eligible for higher funding rates. Please note the updated names for the salary scales and the addition of the Full Parity Salary Scale.
Base Salary Scale (Step 1)
Education and Care and Hospital-based services who pay all employed certificated teachers at least the amount described in the Base Salary Scale will be eligible to receive the Base Funding Rates
Minimum Salary Scale for Certificated Teachers
| Step | Qualification Group Notations | Salary from 1 November 2023 | Indicative hourly rate* | Salary from 1 December 2023 | Indicative hourly rate* |
|---|---|---|---|---|---|
| 1 | P1E, P2E, P3E | $51,358 | $24.69 | $57,358 | $27.58 |
Note: The Base Salary Scale is only effective from 1 November 2023.
Parity Salary Scale (Step 1-6)
Education and Care and Hospital-based services who pay all employed certificated teachers at least the amount described in the Parity Salary Scale will be eligible to receive the Parity Funding Rates.
Minimum Salary Scale for Certificated Teachers
| Step | Qualification Group Notations | Salary from 1 November 2023 | Indicative hourly rate* | Salary from 1 December 2023 | Indicative hourly rate* |
|---|---|---|---|---|---|
| 1 | P1E, P2E, P3E | $51,358 | $24.69 | $57,358 | $27.58 |
| 2 | $53,544 | $25.74 | $59,544 | $28.63 | |
| 3 | P3+E | $55,948 | $26.90 | $61,948 | $29.78 |
| 4 | P4E | $58,133 | $27.95 | $64,133 | $30.83 |
| 5 | P5E | $61,794 | $29.71 | $67,794 | $32.59 |
| 6 | $65,776 | $31.62 | $71,869 | $34.55 |
Note: The Parity Salary Scale is only effective from 1 November 2023
Extended Parity Salary Scale (Partial Step 1-11+ Partial Management Step)
Education and Care and Hospital-based services who pay all employed certificated teachers at least the amounts described in the Extended Parity Salary Scale will be eligible to receive the Extended Parity Funding Rates.
Minimum Salary Scale for Certificated Teachers
| Step | Qualification Group Notations | Salary from 1 November 2023 | Indicative hourly rate* | Salary from 1 December 2023 | Indicative hourly rate* |
|---|---|---|---|---|---|
| 1 | P1E, P2E, P3E | $51,358 | $24.69 | $57,358 | $27.58 |
| 2 | $53,544 | $25.74 | $59,544 | $28.63 | |
| 3 | P3+E | $55,948 | $26.90 | $61,948 | $29.78 |
| 4 | P4E | $58,133 | $27.95 | $64,133 | $30.83 |
| 5 | P5E | $61,794 | $29.71 | $67,794 | $32.59 |
| 6 | $65,776 | $31.62 | $71,869 | $34.55 | |
| 7 | $68,103 | $32.74 | $74,152 | $35.65 | |
| 8 | $70,431 | $33.86 | $76,403 | $36.73 | |
| 9 | $72,758 | $34.98 | $78,715 | $37.84 | |
| 10 | P1M, P2M, P3M | $75,230 | $36.17 | $81,112 | $39.00 |
| 11 | P3+M, P4M, P5M | $79,413 | $38.18 | $85,457 | $41.09 |
Minimum Salary Scale for Management Positions
| Step | Salary from 1 January 2023 | Indicative hourly rate* | Salary from 1 December 2023 | Indicative hourly rate* |
|---|---|---|---|---|
| K2, K3, K4 | $79,413 | $38.18 | $85,457 | $41.08 |
Note: The Extended Parity Salary Scale is only effective from 1 November 2023.
Full Parity Salary Scale (Full Step 1-11+ Full Management Steps)
Education and Care and Hospital-based services who pay all employed certificated teachers at least the amount described in the Full Parity Salary Scale will be eligible to receive the Full Parity Funding Rates.
Minimum Salary Scale for Certificated Teachers
| Step | Qualification Group Notations | Salary from 1 November 2023 | Indicative hourly rate* | Salary from 1 December 2023 | Indicative hourly rate* |
|---|---|---|---|---|---|
| 1 | P1E, P2E, P3E | $51,358 | $24.69 | $57,358 | $27.58 |
| 2 | $53,544 | $25.74 | $59,544 | $28.63 | |
| 3 | P3+E | $55,948 | $26.90 | $61,948 | $29.78 |
| 4 | P4E | $58,133 | $27.95 | $64,133 | $30.83 |
| 5 | P5E | $61,794 | $29.71 | $67,794 | $32.59 |
| 6 | $65,776 | $31.62 | $71,869 | $34.55 | |
| 7 | $70,040 | $33.67 | $76,261 | $36.66 | |
| 8 | $75,190 | $36.15 | $81,566 | $39.21 | |
| 9 | $79,413 | $38.18 | $85,915 | $41.31 | |
| 10 | P1M, P2M, P3M | $85,490 | $41.10 | $92,175 | $44.31 |
| 11 | P3+M, P4M, P5M | $90,000 | $43.27 | $96,850 | $46.56 |
Minimum Salary Scale for Management Positions
| Step | Salary from 1 November 2023 | Indicative hourly rate* | Salary from 1 December 2023 | Indicative hourly rate* |
|---|---|---|---|---|
| K2 | $94,175 | $45.28 | $101,120 | $48.62 |
| K3 | $99,327 | $47.75 | $106,427 | $51.17 |
| K4 | $107,770 | $51.81 | $115,123 | $55.35 |
Note: The Full Parity Salary Scale is only effective from 1 November 2023. Full Parity Funding Rates are a higher set of funding rates available to education and care and hospital-based services who pay all employed certificated teachers according to the Full Parity Salary Scale.
Entry and Maximum Salary Steps
The Qualification Group notation used in the minimum salary scales denotes the:
- Entry (E) salary step for that qualification group
- Maximum (M) salary step for that qualification group
For the qualification groups please see Chapter 3-B-2(external link)
Indicative Hourly Rates
The minimum salaries in this appendix represent a yearly salary calculated on the basis of a 40-hour employed week.
Where a teacher generally works more or less than 40 hours per week, the salary should be calculated to ensure the required hourly rate is maintained.
An indicative hourly rate can be found by dividing the minimum salary level by 2080 (40 hours x 52 weeks), rounding is to be applied to at least two decimal places.
* Please note, rounding to two-decimal places has been applied to the indicative hourly rates in the Minimum Salary Scales.