Do I need ACC as a self-employed builder in NZ?
Short answer
Yes — every NZ resident gets basic ACC cover automatically (no opt-out). Self-employed tradies pay ACC levies based on income via the annual tax return. If you want enhanced cover (higher weekly compensation if injured), enrol in ACC CoverPlus or CoverPlus Extra. Most working tradies should look into CoverPlus Extra — your earnings are protected at a set level regardless of seasonal income variation.
Source: ACC — acc.co.nz/im-injured/self-employed. Updated May 2026.
Want to check the builder you're talking to? Check any NZ company, no signup.
Check a builderKey facts
- Basic ACC is automatic — no opt-out
- Levies paid via annual tax return as Income from self-employment
- Levy rate depends on classification (BIC code)
- CoverPlus Extra — agree weekly income in advance, regardless of actual
- ACC vs sick leave: ACC covers injury only, not illness
The three options for self-employed tradies
CoverPlus (standard): basic income protection at 80% of last year's taxable income. Cheapest. Good for tradies with relatively stable annual income.
CoverPlus Extra: you choose a weekly income amount up front and pay levies on that. ACC pays that amount if you're injured — regardless of what you actually earned this year. Best for tradies with variable income (newer business, seasonal).
CoverPlus Extra also lets you exclude the ACC stand-down period and start sooner — useful if you can't afford to be off for the first week.
Levy rates for tradies
ACC uses BIC (Business Industry Classification) codes. Builders fall under E301110 (Building, House Construction) or similar. The work levy rate for builders is among the higher classifications because of injury risk.
Typical levy: $4-7 per $100 of income for builders. Sparkies and plumbers a bit less. Painters and tilers similar. Exact rate per year is on acc.co.nz.
Knowing the rules is half the job. The other half is knowing who you're hiring. Check any NZ builder against the public record: company status, licensing and insolvency notices, from the official NZ sources.
Sources: ACC — acc.co.nz/im-injured/self-employed; Inland Revenue — self-employed obligations. General information for NZ homeowners, not legal advice. Building rules change and vary by council, so confirm critical details on the official source before acting. Last updated 2026-05.