Record keeping

Good record keeping protects you if a dispute arises, and ensures that an employee's entitlements are correctly met. You need to maintain a holiday and leave record for employees and a wage and time record. It’s up to you whether to keep records electronically or on paper.

What you must do

  • For each employee you must record:
    • Their name and the date they started working for you.

    • Their age if they are under 20 years.

    • The hours and days they work, including start time, finish time and any non-paid breaks taken such as meal breaks.

    • The days of employment in each pay period.

    • The wages paid each pay day and how you calculated them.

    • Their current entitlement to annual holidays and sick leave.

    • The dates and amount of payment for any annual holidays, sick or bereavement leave, or leave taken for education and training.

    • The portion of any annual holiday cashed up as well as the dates and amounts paid.

    • If your employee worked on a public holiday, you must record the date, number of hours worked, payment and the date they became entitled to any alternative holiday for a public holiday worked.

    • If your employee did not work on a public holiday but had an entitlement to payment, you need to record the date and payment.

    • If you agreed to transfer a public holiday to another date, you need to keep a record of the date (or 24 hour period) to which it has been transferred.

    • The cash value of any alternative holidays they gave up for payment.

    • For any board and lodgings provided, record the cash value.

    • The details of their work permit, if applicable.

    • The date of termination of employment, and the amount of pay for holidays they received on termination of employment.

    • You should also keep copies of any agreements to transfer public holidays and any requests to cash up holidays or requests for alternative holidays even if these were not agreed to.

  • If your employee is a new entrant, record their start date and number of hours worked so you know when they have completed 200 hours or three months of employment to qualify for the adult minimum wage.
  • For any additional provisions in your employee’s employment agreement, record the dates these will take effect.
  • Record any salary deductions, such as PAYE, student loan deductions, and superannuation contributions. Keep a copy of your employee’s tax code declaration (IR330).
  • You must keep wages and time records and holidays and leave records for each employee for six years, even if that person has left your business.
  • Note that your employee has the right to know everything you are recording on their file and has the right to see these records.
  • You also need to record how your business complies with its obligations under the Health and Safety in Employment Act. See the Manage Health & Safety section for more information.

What you could do

  • Use the Wage/Time and Holidays/Leave Record Spreadsheet [XLS 61kB] as a template to help you set up records for wages and time, and holidays and leave for each employee.
  • Keep a copy of their personal contact details, such as their postal address, email addresses, home phone number and mobile phone number.
  • Record next of kin details in case of an emergency.
  • Record the employee's bank account details if this is the method of payment you both agreed on.