Minimum wage hike: How much will you now be earning?

New Zealand's adult minimum wage has risen to $20 an hour, a move which the Government says will see the incomes of 175,500 Kiwis lifted.

But what does the hike mean in terms of money in hand?

Before Thursday, the minimum wage for an adult sat at $18.90. With the jump to $20 being an increase of $1.10, that's roughly $44 a week for someone working on the minimum wage for 40 hours a week. 

If someone works every week of the year, they'll be earning an extra $2288. 

However, remember that is before tax. 

For someone working 40 hours a week and earning minimum wage at $20 an hour, that's an annual income of $41,600. That assumes, however, they are paid to work every week of the year, which many on minimum wage and in casual employment may not be. 

Of the $41,600, $14,000 is taxed at 10.5 percent and the remaining $27,600 is taxed at 17.5 percent. That's an annual tax of $6300, bringing income after tax to $35,300.

On the current $18.90 minimum wage, annual income after tax would be $33,412.

That means Kiwis on the new minimum wage working 40 hours a week every week are making an extra $1888 per year after tax.