Overpayments, benefit debt and what Work and Income checks

How debts happen

• Overpayment: you were paid too much because income or a change (job, partner, address, overseas trip) wasn't reported or was recorded wrongly.
• Agreed repayable payments: advance payments or recoverable assistance such as a school uniform or washing machine.
• Work and Income error: they made the mistake. Check against their write-off criteria.
• Late back-payments: for example ACC weekly compensation paid for weeks you also got a benefit.

Find out exactly what you owe

• If you receive a benefit: in MyMSD you can see a breakdown of debts from 2018 onwards. For older debts, contact Work and Income.
• If you don't receive payments: ask the Client Support Debt Management Team for a breakdown (see the phone numbers page on workandincome.govt.nz).
• Complex breakdowns may take a few days and may come in writing.
• To let someone talk to Work and Income for you (a budgeter, advocate or whānau), complete a form nominating them as your agent.

Repaying it

Repayment terms depend on whether you receive a main benefit, NZ Super or Veteran's Pension, or Accommodation Supplement, and Work and Income has separate pages for those on and off payments. Work and Income says it sets the repayment amount based on your circumstances and wants it to be affordable: they consider your budget, upcoming expenses, other debts and how long you want to take. They do not publish a standard weekly deduction rate, so ask what they propose and say what you can afford. Repayments come out of your benefit, pension or Accommodation Supplement, you can pay extra at any time, and if you move into full-time work and qualify for Assistance to Transition into Employment you may be able to pause repayments for 3 months.

• Budgeting help: free MoneyTalks 0800 345 123 (text 4029), or Work and Income's money management support.
• Repayments can sometimes be set up as regular payments, deductions from wages or bank payments; ask for the options.

What can Work and Income check?

To work out entitlement they can ask for evidence of income, assets, living costs and relationship status, such as payslips, bank statements and tenancy or mortgage documents. They also share information with Inland Revenue: for example, Inland Revenue shares most child support payment information with MSD, and Budget 2026 says wage and salary data from Inland Revenue will be used automatically from 3 July 2028.

• You should be told what information is needed and why. Ask what particular period and accounts they need.
• Provide what is relevant; you can black out unrelated transactions if they aren't needed (ask first).
• Under the Privacy Act you can ask for your information, and ask for corrections. Contact the Office of the Privacy Commissioner if you think your privacy was breached.
• If you're alleged to have committed fraud, get legal advice from Community Law or a lawyer before responding. I haven't covered prosecution rules here.

If you disagree with a debt

1. Contact the Client Support Debt Management Team: they can explain the debt, consider new information and start a review of the decision if you ask.
2. Apply for a Review of Decision within 3 months. See the review guide.
3. If someone has died, the debt becomes part of their estate rather than a personal debt of relatives or friends, and usually not of a surviving partner unless it was a shared benefit fraud debt. If the estate can't cover it, it may be written off. Call 0800 558 008 (Mon to Fri 8am to 5pm) or email Client_Support_Debt_Management@msd.govt.nz.