Furniture and equipment funding for state schools

State school boards receive funding for furniture and equipment across three streams: upgrades and modernisation, new space, and learning support needs.

Level of compliance Main audience Other


  • Boards
  • Principals and Tumuaki
  • Administrators

Boards must follow our accounting and recording rules when receiving funding for, or buying, furniture and equipment. 

Key information about the funding

What it is: There are three types of furniture and equipment funding, each with different priorities.

What it is for: Upgrades and modernisation, new space, and special education needs.

Who it is for: State schools only. For state-integrated schools, visit our Furniture and equipment for integrated schools page.

Upgrades and modernisation projects

You'll receive a budget to upgrade and modernise furniture and equipment based on the amount of your 5YA funding.

To work out how much funding for furniture and equipment you'll receive, multiply your 5YA budget by the rate for your type of school using the following tables, depending on which year your school's Five-year Agreement commenced.

Budget 2022 significantly increased the funding for furniture and equipment upgrades through 5YA. From 2022/23 onwards, all schools commencing their Five-Year Agreement will receive funding for furniture and equipment at increased rates compared with previous years./

Schools whose Five-Year Agreement commenced from 2019/20 are entitled, through the Three-Year Review process, to receive funding at these increased rates for the final two years of their 5YA (Years 4 and 5).

5YA funding rates for each type of school – for funding years up to the 2021/22 5YA and the 2018/19 3-Year Review

School type Funding rate
Contributing primary (Years 1–6) 4.0%
Full primary (Years 1–8) 4.3%
Intermediate (Years 7–8) 5.0%
Composite (Years 1–15) 4.5%
Restricted composite (Years 7–10) 5.0%
Secondary (Years 7–15) 5.0%
Secondary (Years 9–15) 5.0%
Special school 4.5%

5YA funding rates for each type of school – for funding years from 2022/23 5YA and 2019/20 3-Year Review

School type Funding rate
Contributing primary (Years 1–6) 10.64%
Full primary (Years 1–8) 11.44%
Intermediate (Years 7–8) 13.33%
Composite (Years 1–15) 11.97%
Restricted composite (Years 7–10) 13.33%
Secondary (Years 7–15) 13.33%
Secondary (Years 9–15) 13.33%
Special school 11.97%

Funding timeline

5YA funding
Year 1 of 5YA Schools receive 2/3 of 5YA F&E funding  
Year 3 of 5YA Schools receive final 5YA F&E funding (for years 4 and 5) Following the Year 3 5YA review, and inclusive of any increases to your budget.
Furniture and equipment grant
1 July Schools receive 2/3 of the funding contribution Allocated with your 5YA budget, paid in the year that you enter your new 5YA cycle.
1 February Schools receive 3/3 of the funding contribution Following the Year 3 5YA review, paid automatically on (or just after)

Replacing furniture and equipment

When replacing furniture take the opportunity to update it in line with curriculum changes and modern teaching practices. For example, buy chairs and tables specially designed for use in Flexible Learning Spaces.

Designing learning environments

Funding for new space

If your school is getting additional space, you'll get funding for furniture and equipment to fit it out. This funding is for projects to increase:

  • teaching space under the new teaching space funding programme
  • new non-teaching space under the non-teaching space (NTS) programme.

New teaching space and SPG rates

The following table sets out the rates for different types of spaces, which vary according to the type of building area.

Type of building space Funding rate ($ per net m²)
Regular space (roll growth and NTS deficiencies) including gymnasiums $160
Specialist teaching space $450

Note the following about the funding rates for new space.

  • The funding rates are based on the net square metre of the space. The net square metres exclude corridors, circulation space, toilets etc where furniture and equipment are not needed.
  • The regular area rate applies to all types of schools (including specialist schools and satellites), both new and existing, and schools changing to a different school type, such as from primary to composite (a school with both primary and secondary levels).
  • You get the full furniture and equipment funding for new regular net area even if you build something like a storage room as part of the project.
  • For projects funded using 5YA funding, the new square metre funding rate does not apply. The 5YA furniture and equipment grant should be used instead.

How to get the new space funding

Send an invoice to your local Ministry office to receive the furniture and equipment funding for the building project. We'll pay it in the project budget. When you undertake the project, you must meet our project management requirements.

Funding for redevelopments, rebuilds or relocations

School buildings that are undergoing a redevelopment, rebuild or relocation are eligible for funding to replace furniture & equipment that is no longer suitable for the updated learning environment. This funding is provided to assist furnishing redeveloped spaces, alongside the re-use of existing furniture.

The rate for furnishing redevelopments, rebuilds or relocations is 50% of the rate for furnishing new regular and specialist teaching spaces.

This does not apply to Redevelopments which are funded with 5YA funding. You must use the 5YA furniture and equipment grant for this.

Spending rules 

Furniture and equipment funding doesn't apply to:

  • fire alarm upgrade
  • property rationalisation (disposal)
  • insurance projects
  • site extensions
  • structural mitigation, such as earthquake strengthening
  • unforeseen work like urgent plumbing repairs
  • rooms being rebuilt, because you'll have ongoing funding for them in your operational and 5YA funding.

The appropriate source of funding can vary

As a general rule, if you're installing items like security cameras use your:

  • 5YA funding for items that cost over $5000
  • new square metre furniture and equipment funding for items being installed as part of a larger project
  • operational funding for items that cost less than $5000, are able to be unplugged and moved, and aren't part of a larger project.

Furniture and equipment for students with learning support needs

You may be able to get funding for furniture and equipment for students with learning support needs from the:

  • Ministry of Education — first time enrolment property funding; operational grant funding; assistive technology
  • Ministry of Health — assistive equipment funding
  • Accident Compensation Corporation — assistive technology funding.

Each organisation has its own criteria for this funding. Contact the Learning Support teams in our local offices for advice.

Property funding when a student enrols in your school

When a student with learning support needs enrols in your school, additional funding may be available to pay for things like a changing table, adapted workbench or a hoist.

There's no set rate — we provide furniture and equipment to meet the needs of the student. We provide it as part of your property modification project budget.

Learning support property modifications budget

  • If a student needs specialist furniture or equipment, but not property modifications, they won’t be eligible for this funding.
  • You can still apply for funding for furniture and equipment through the Ministry of Education’s assistive technology programme.
  • This funding doesn't cover washing machines or dryers. You need to fund these items from your furniture and equipment grant.

There may be additional help provided through the Ministry of Health, Accident Compensation Commission and other organisations. Contact our local office for advice.

Operational grant funding

We may be able to provide an operational grant for a student who's supported through any of the special education initiatives.

Contact the Learning support team in your local Ministry of Education office for advice.

Insuring furniture and equipment

To insure your furniture and equipment, you can either:

  • arrange your own cover through your choice of insurance company and use your operational funding to pay the premiums
  • seek cover under our Risk Management Scheme, where we deduct your costs quarterly from your school's operational funding.

The Ministry’s School Buildings Insurance Programme doesn't cover replacement of furniture and equipment damaged or destroyed in a fire or other disaster.

Risk Management Scheme

School Buildings Insurance Programme

Accounting for and recording furniture and equipment

Identifying ‘furniture and equipment’ items

For funding and accounting purposes, it's important that you know which items we classify as furniture or equipment.


  • Includes moveable furniture items that aren't permanently fixed to a building’s structure, like tables, chairs and desks.


  • Includes all loose items of teaching, administrative and maintenance equipment like blackboards, photocopiers and computers.

Items that aren't furniture and equipment include

  • Capital items — assets that are part of the building and increase the building’s value. Typically these are built into the building, for example fixed, built in shelving, and built-in wall ovens.
  • Consumable items — items that are likely to be used in their year of purchase and do not add value to the building where they are used, such as stationery and books.

Use the flow chart to help you work out whether an item is furniture and equipment, capital or consumable. These classifications are from our insurance provider’s definition of furniture and equipment.

 Flowchart furniture and equipment.

Flow chart for classifying items as furniture and equipment, capital or consumable.

Accounting rules for furniture and equipment

Follow these accounting and recording rules, when receiving funding for or buying furniture and equipment.

  • You get furniture and equipment funding through one of the Ministry’s capital funding programmes. This means there's no GST included, and you don’t have to account for GST when recording it in your accounts.
  • You can claim back the GST when you use the funding to buy furniture and equipment.
  • Credit furniture and equipment funding you receive to your school's capital equity account in the Statement of Financial Position. Don’t credit it as revenue in the Statement of Financial Performance.
  • You must have an asset management plan showing how you'll use the furniture and equipment funding.
  • When you buy an item, you must record it in a fixed asset register. 

Fixed asset register

You must keep an accurate fixed asset register of all furniture and equipment. You use this register: 

  • as the basis for a proper asset management (replacement and repair) plan
  • to work out values for insurance purposes
  • for accounting purposes. 

For each item in the asset register you must record: 

  • its purchase price and date, or who donated it
  • a description, including its asset classification, such as furniture and equipment
  • its estimated useful life
  • its residual value, which is the value after it has been fully depreciated (depreciation is an accounting exercise that writes off the value of the asset over the period of its useful life)
  • its annual depreciation expense, depreciation rate and accumulated depreciation
  • its book value (its purchase price less accumulated depreciation)
  • its condition
  • its location in the school
  • when you dispose of it. 

Store a copy of the asset register in a safe place off the school site in case of a disaster like a fire or flood.

Do a regular stocktake

At least once each year, you must do a stocktake of the fixed asset register. You check that the items listed: 

  • still exist
  • haven't been ‘borrowed’ or stolen
  • are in working order. 

All-of-government (AoG) procurement for schools

You may be able to make significant savings when purchasing equipment for your school through the all-of-government contracts.

New Zealand Government Procurement website(external link)

Maintaining furniture and equipment

You need to maintain your furniture and equipment to keep it safe and fit for purpose. Use your operational funding to pay for maintenance. Maintenance involves:

  • keeping items clean and in good repair
  • replacing them when they're past repair.

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