Fees Free is ending on 31 December 2026, and the Government has confirmed that there will be no transitional arrangements. This means students cannot rely on having started their study before the end of 2026 to remain eligible. Instead, eligible students must complete their qualification or programme by 31 December 2026 to qualify under the current Fees Free rules.
For students and families planning tertiary study, the Fees Free ending 2026 changes make it important to understand the completion deadline, application requirements and eligibility rules.
The Government has confirmed that the Fees Free scheme will end on 31 December 2026 without transitional arrangements.
This is particularly important because there will not be a special rule protecting students simply because they started their tertiary study before the scheme ended.
In practical terms, the key date is your official completion date.
If you complete an eligible qualification or programme on or before 31 December 2026, you may still be able to receive Fees Free if you satisfy the other eligibility requirements.
If you complete your qualification or programme in 2027 or later, you will not be eligible for Fees Free, even if you began your study in 2025 or 2026.
Fees Free ends on 31 December 2026.
This means eligible learners need to complete their qualification or programme by this date to qualify under the current scheme.
The end of the scheme does not mean that every student currently studying immediately loses eligibility. Students who meet the relevant requirements and complete their eligible qualification or programme in 2026 may still apply after completion.
No. Starting your study before the end of 2026 does not by itself preserve your Fees Free eligibility.
For example, a student who begins an eligible programme in 2026 but does not complete it until 2027 will not qualify for Fees Free under the current rules.
This is why students should check their expected official completion date rather than relying only on their enrolment date.
If you complete an eligible qualification or programme during 2026, you can still apply for Fees Free within 12 months of completing it, provided you meet the other eligibility requirements.
The application is made through myIR.
Students should make sure their qualification completion has been correctly recorded and that they have the information required to complete their application.
If you completed an eligible qualification or programme during 2025 and have not yet applied for Fees Free, the deadline is 31 December 2026.
Missing the application deadline can mean missing out on the entitlement, so eligible students should not leave their application until the final days of the year.
Under the current Fees Free rules, the scheme can provide up to $12,000 towards eligible fees, subject to the applicable eligibility requirements and limits.
Fees Free currently covers the final year of eligible tertiary study or the final two years of eligible work-based learning.
For tertiary study, the maximum entitlement is generally one EFTS of study or up to $12,000 in fees. For eligible work-based learning, the maximum is generally 24 months or up to $12,000.
Fees Free is generally available to people completing their first eligible qualification or programme, subject to the scheme’s qualification, residency and previous-study requirements.
Meeting one requirement does not automatically mean that a student qualifies. Previous tertiary study, previous work-based learning and previous Fees Free payments can affect eligibility.
Students should therefore check their individual circumstances before assuming they will receive Fees Free.
Eligible students apply for Fees Free through myIR after completing their qualification or programme.
The application process may require information such as:
Some information may be pre-filled once Inland Revenue receives the relevant information from the Tertiary Education Commission.
The deadline depends on when you completed your qualification or programme.
| Completion date | Application timing |
|---|---|
| 2025 | Apply by 31 December 2026 |
| 2026 | Generally apply within 12 months of completion |
| 2027 or later | Not eligible for Fees Free under the current scheme |
The end of Fees Free may be relevant when families are planning education costs, student borrowing and household cash flow.
Because Fees Free is paid after the eligible qualification or programme is completed, students generally need to pay their fees when they enrol rather than receiving the Fees Free payment upfront.
If a student has a student loan, their Fees Free entitlement is transferred to their student loan balance. If they do not have a student loan, the entitlement is generally paid to their bank account.
Fees Free payments are not treated as income for income tax purposes. Students do not need to include their Fees Free entitlement as income in their income tax return.
However, students and families should distinguish between Fees Free payments and other forms of financial assistance, scholarships or payments, as different tax rules can apply depending on the nature of the payment.
If you are currently studying or have recently completed your qualification, consider taking the following steps:
Yes. Fees Free ends on 31 December 2026. There are no transitional arrangements for people who are already studying.
Potentially, if you complete your eligible qualification or programme by 31 December 2026 and meet the other eligibility requirements. Starting in 2026 does not by itself guarantee eligibility.
You will not be eligible for Fees Free if you complete your qualification or programme in 2027 or later. This applies even if you started your study in 2025 or 2026.
If you complete an eligible qualification or programme in 2026, you can generally apply within 12 months of completion. If you completed in 2025, you must apply by 31 December 2026.
Fees Free can provide up to $12,000 towards eligible fees, subject to the scheme’s requirements and limits.
No. Fees Free is applied for after you complete your eligible qualification or programme. You generally pay your fees when you enrol and then apply after completion.
Fees Free entitlement is not treated as income for income tax purposes. It does not need to be included as income in your income tax return.
You can check the eligibility requirements through the official Inland Revenue Fees Free information and use myIR to apply when eligible.
The most important point about Fees Free ending 2026 is that there are no transitional arrangements for students who are already studying.
Your completion date matters. If you complete an eligible qualification or programme by 31 December 2026, you may still qualify if you meet the other requirements. If you complete in 2027 or later, the current Fees Free scheme will not apply.
Students who completed their qualification in 2025 should also pay particular attention to the 31 December 2026 application deadline.
For the latest eligibility requirements and application information, always check the official Inland Revenue guidance.
Changes to government schemes can affect individuals, businesses and household financial planning. If you need help understanding your broader New Zealand tax obligations, the team at DFK Orb360 O’Halloran can provide accounting and tax advisory support.
Talk to DFK Orb360 O’Halloran about your accounting or tax requirements.
Disclaimer: This article provides general information based on publicly available Inland Revenue guidance as at September 2026. Fees Free eligibility depends on individual circumstances. Check the latest official Inland Revenue information or obtain professional advice before making decisions.
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