Blog / Fees Free is ending

Fees Free ends in 2026. Here's what it means for you

By Michael Zwiener · For students · Updated 3 October 2026 · 4 min read

Since 2018, Fees Free has helped New Zealanders pay for study and training. It's now ending. If you're studying or doing an apprenticeship, here's whether you can still get it – and how to plan if you can't.

The short version

• Fees Free ends on 31 December 2026. You must complete your qualification or programme by then to be eligible (Inland Revenue).
• It covers up to $12,000 for your final year of study or the final 24 months of work-based learning, like an apprenticeship.
• You apply after you finish, through Inland Revenue, within 1 year – so by 31 December 2027 at the latest for study finished in 2026 (Ministry of Education).
• Finished in 2025? Your deadline to apply is 31 December 2026 (Inland Revenue).
• If you start study in 2027, plan for full fees.

Can I still get Fees Free?

You may be eligible if all of these are true:

1. You started your final year on or after 1 January 2025.
2. You complete and pass your qualification or programme by 31 December 2026.
3. It's your first eligible qualification or programme – you can only get Fees Free once.
4. You meet the residency requirements.

You may not be eligible if you've already studied or done work-based learning before, have already had Fees Free, or used Training Incentive Allowance for your final-year fees. Check the details on ird.govt.nz before you count on it.

What “final year” means

• Study: your final 1 EFTS – usually 120 credits or points. If you're part-time, you can still get a full year's worth.
• Work-based learning (apprenticeships): your final 24 months of active learning.

Your final year can stretch across 2025 and 2026 – as long as you finish by 31 December 2026.

How to apply

1. Enrol and pay your fees as normal (many people use a student loan).
2. Complete and pass your qualification or programme.
3. Apply for Fees Free through Inland Revenue (myIR) within 1 year of finishing.

If you have a student loan, the money goes onto your loan balance. If not, it's paid into your bank account. It isn't taxable income.

Why it's ending

Fees Free started in 2018 and first covered people's first year of study. From 2025 it moved to the final year. In May 2026 the government confirmed it would end after 2026. Ministers said it cost nearly $350 million a year without lifting enrolments or reaching the disadvantaged students it was meant to help (1News, 9 May and 11 May 2026).

Budget 2026 closes the scheme at the end of 2026 and moves the money into more fees-free vocational education at secondary and foundation level – including 1,000 extra Youth Guarantee places for 16 to 24-year-olds from 1 July 2026 (Ministry of Education). The same Budget funds doubling trades academy places for secondary students to 20,000 by 2030 (Ministry of Education). There's no like-for-like replacement for degree or apprenticeship fees (checked 3 October 2026).

Paying for study or training from 2027

Budget 2026 also lets providers raise tuition and training fees by up to 6% in 2027 (Ministry of Education), so check the actual fees for your programme on the provider's website.

• Student loan: covers fees, and it's interest-free if you stay in New Zealand (StudyLink). You repay 12% of every dollar you earn over $24,128 a year (Inland Revenue) – the threshold that applies from 1 April 2026 (Work and Income).
• StudyLink: student allowances and living-cost support if you're eligible (studylink.govt.nz). If you're studying in 2027, apply before 16 December for the best chance of everything being ready when your course starts (Tahatū).
• Scholarships: universities, polytechnics, community trusts, councils, employers and industry bodies all offer them. Apply for several.
• Earn while you learn: apprentices are paid from day one, and some employers help pay programme costs – ask before you sign up (Tahatū). See our guides to electrical, building, mechanic and plumbing apprenticeships.

Does this change whether uni is worth it?

For some people, yes. Without Fees Free, starting a degree “to figure things out” costs more. If you're sure about where a degree leads, it can still be a great investment. If you're not, read is university worth it in NZ? first – and maybe test your direction with a job or an apprenticeship before you borrow.

Questions

Sources

1. Inland Revenue, New to Fees Free (last updated 28 May 2026, checked 3 October 2026)
2. Tertiary Education Commission, Final-year Fees Free entitlement
3. Ministry of Education, Budget 2026: tertiary education initiatives (checked 3 October 2026)
4. Ministry of Education, Budget 2026: investing in secondary achievement (checked 3 October 2026)
5. 1News (9 May 2026), End of fees-free scheme confirmed (checked 3 October 2026)
6. 1News (11 May 2026), Fees-free scheme failed to get more students into tertiary education – Govt (checked 3 October 2026)
7. StudyLink, What happens to your loan (checked 3 October 2026)
8. Inland Revenue, Repaying my student loan when I earn salary or wages (checked 3 October 2026)
9. Work and Income, Student loan repayment thresholds from 1 April 2026 (checked 3 October 2026)
10. Tahatū, Ways to pay for study and training (checked 3 October 2026)
11. StudyLink

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