Universal Basic Income (UBI)

"21st-century incomes are insecure. It's time for a 21st-century tax and welfare system."

Summary

TOP is proposing a fundamental overhaul of the tax and welfare systems in Aotearoa New Zealand to make it modern, simple and fair. 

TOP's UBI and tax reform is fully costed and will save millions in bureaucracy. 

Those on welfare transfers larger than the UBI will be topped up to the original.

The problem:

  • The cost of living is skyrocketing.
  • Jobs, incomes and the gig economy are increasingly insecure.
  • We have an undignified, punitive and expensive welfare system, that forces people into a welfare trap.
  • We need to recognise critical unpaid labour such as childcare and volunteer work.
  • We need to enable people to take time out to retrain.

TOP's solutions:

  • $16,500 tax-free annual income to everyone.
  • $2,340 tax-free annual child universal basic income (paid to parents).
  • Simplify income tax with a 35% tax on all income sources (including companies and trusts). 
  • This will create a highly progressive tax system.

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Page last updated on 10-Sep 2020