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Compare · New Zealand vs Philippines

New Zealand vs Philippines for Australians leaving home

New Zealand:Worldwide taxAU tax treatyPhilippines:Territorial taxAU tax treaty

The regimes are genuinely different: New Zealand is a worldwide tax system while Philippines runs territorial tax, which of your income streams each one actually touches matters more than any headline rate.

Both have a tax treaty with Australia, so either way you get a tie-breaker if the ATO contests your departure, and capped withholding (15%/10% vs 15%/10% on unfranked dividends/interest).

Philippines is the cheaper place to live day to day, roughly 45% of Sydney's basket against New Zealand's 90% (indicative, ex-rent), which can outweigh a thinner tax saving over a full household budget.

Personalise this, enter your numbers once and every figure below becomes yours: “your estimated income tax: $14,200”, not “0, 22%”. Open the Country Comparison tool →

2 destinationsNew ZealandNew ZealandPhilippinesPhilippines
Tax
Regimeworldwide, taxes worldwide incometerritorial, worldwide income not taxed
Income tax on salaryProgressive 10.5, 39%. No tax-free threshold at all (the first dollar is taxed) but effective rates at middle incomes land close to Australia's.Progressive 0, 35% on Philippine-source compensation and business income; the 35% band starts at PHP 8m (~A$216k).
Capital gainsNo general CGT: long-term share gains untaxed. Exceptions: traders, property inside the bright-line window, and the FIF deemed-return regime on non-ASX foreign shares over NZ$50k. (0% typical)Foreign share gains: not taxed for resident aliens. Philippine listed shares: 0.6% stock transaction tax on gross sale. Unlisted Philippine shares: 15% CGT. (0% typical)
DividendsDividends taxed at marginal rates. NZ imputation works like franking; Australian franking credits are NOT usable in NZ, a long-standing trans-Tasman sore point.Foreign dividends: outside the Philippine net for resident aliens. Philippine dividends: 10% final withholding.
InterestTaxed locally around 33%Generally untaxed locally
CryptoNo CGT does not mean crypto-free: IRD treats most crypto as bought with intent to sell, making gains taxable income at marginal rates. The onus of proving otherwise is on you.No dedicated crypto tax rules: BIR guidance treats trading profits as taxable income when Philippine-source. Offshore-exchange gains of a resident alien are foreign-source and outside the net, but documentation matters.
Australia tax treatyYes, AU withholding capped at 15% dividends / 10% interest, tie-breaker availableYes, AU withholding capped at 15% dividends / 10% interest, tie-breaker available
Social securityNo social security tax; ACC earner levy (~1.6%) applies to employment income. KiwiSaver is opt-in for migrants.SSS/PhilHealth apply to local employment; retirees and remote workers on their own income are outside them.
Visa
Best pathways
  • Trans-Tasman travel arrangement, Australians receive an Australian Resident Visa on arrival: live, work, study indefinitely. No application, no quota, no conditions.
  • Transitional resident election (tax, not visa), Not a visa, the 4-year tax exemption on foreign income that new residents (10+ years away) get automatically. Listed because it IS the pathway decision that matters.
  • Active Investor Plus visa, Residence via NZ$5m+ (weighted toward direct/active investments) over the investment period.
  • SRRV (Special Resident Retiree's Visa), Indefinite residence via the Philippine Retirement Authority: age 50+ with a US$10k deposit plus US$800/month pension, or US$20k deposit without one.
  • Extended tourist stay (9a), Visa-free entry extendable in-country up to 36 months without leaving, the de facto long-stay route.
  • Digital nomad visa, One-year renewable visa for remote workers with foreign income and clients, created by executive order in 2025.
Visa ease10/108/10
Family on visasDependants covered on main pathwaysDependants covered on main pathways
Fastest timeline~0 months on the quickest pathway~0 months on the quickest pathway
Money
Rent (family home, monthly)$3,300/mo$2,000/mo
Rent (couple, monthly)$2,300/mo$1,100/mo
International school (per child/yr)Free / local system viable$14,000
Health cover (family/yr)$3,000$4,500
Cost of living vs Sydney90% of Sydney (ex-rent)45% of Sydney (ex-rent)
Relocation one-off~$12,000~$12,000
Flights home (return, pp)$500$1,300
Life
Timezone vs AEST2h ahead2h behind
Flight from Sydney~3 hours~8.5 hours
English10/109/10
Safety9/105/10
Healthcare8/105/10
Schooling8/106/10
ClimateTemperate maritime, Auckland is mild and wet; the South Island does real winters.Tropical with a serious typhoon season (June, November); Manila is hot, humid and flood-prone.

Costs, rates and visa figures are country-module data marked indicative until individually verified; FX and rental markets move constantly.

Honest downsides, side by side

Every destination hub on this site carries its downsides in the open. Here are both lists together, because the right question is rarely “which is better?” and usually “which set of problems would you rather live with?”

New Zealand

  • The tax saving is thinner than it looks: no CGT is real, but income rates are Australia-like, there is no tax-free threshold, and salaries are 15, 25% lower for the same role.
  • The ATO treats a hop to Auckland with scepticism, same time zone, 3-hour flights, easy return; your "permanent departure" evidence needs to be stronger, not weaker, than for Dubai.
  • Auckland housing rivals Sydney for unaffordability, and the cost-of-living basket is not meaningfully cheaper.
  • Earthquake and weather-event risk is priced into insurance, and the economy is small, career ceilings arrive quickly outside a few sectors.

Philippines

  • Infrastructure is the weak point: Manila traffic is globally infamous, power and internet reliability vary, and healthcare outside top private hospitals is thin.
  • Safety requires judgment, petty crime in cities, and entire regions (western Mindanao) under standing government travel warnings.
  • Typhoons are not an abstraction: multiple significant hits per year, with flooding even in metro Manila.
  • Foreigners cannot own land (condos yes, land no), long-term settling means leases or a Filipino spouse's title.
  • The banking system is parochial: moving money in is easy, opening accounts and moving it out less so.

Make this comparison yours

The table above shows the general figures. Enter your income and family once and the tax rows become your numbers, “your estimated income tax in Auckland: $14,200”, not a range.