8 Different Payment Methods You May Encounter in the NZ Gig Economy

The New Zealand gig economy is booming, to the point that tens of thousands of people are now working as freelance designers or copywriters, part-time Uber drivers, or running market stalls, to provide themselves with a second income stream.

However, while some still rely on cash as their main form of currency, today’s gig workers are now accepting a mix of different payment methods to help their ventures run smoothly and professionally.

In this guide, we’ll walk you through some of the most common (and emerging) payment methods in NZ gig economy, aside from cash. 

Different Payment Methods in NZ Gig Economy

If you are not currently familiar with them, hopefully, this introduction will reduce your chances of a missed sale opportunity. Here are some of the most popular payment methods in NZ gig economy.

1. Smartpay EFTPOS Machine

One of the most popular ways gig workers in New Zealand are now accepting in-person payments is through a Smartpay EFTPOS machine.

These portable payment devices are widely used across both the North and South Islands. They offer a convenient, safe, and reliable way to pay for goods and services.

It doesn’t matter if you’re selling coffee from your van or giving mobile massage therapy. A Smartpay EFTPOS machine makes transactions quick, secure, and professional.

If you’re just starting out and wondering if it’s worth investing in a terminal, it is a good idea to talk to other gig workers who are using it. 

Many find that the upfront cost pays for itself in the long run. More so, when customers are more likely to buy from someone who accepts cards and PayWave.

2. Bank Transfers

Bank transfers are still one of the most common ways to get paid for gig work in New Zealand, especially among freelancers and tradies. This method is low cost, easy to organise and comes with the benefit of zero transaction fees from third parties.

 On the downside, you do have to wait for your money to land. Typically, this can take between a few hours and three days if someone is paying you from a bank that is different from yours. However, if it is the same bank, the transfer is often immediate.

If you are receiving remuneration by a bank transfer, you should make a point of double-checking incoming payments against your invoices, as they can be easy to miss.

3. Mobile Wallets

According to the Australian Banking Association, about 40% of the NZ cousins do not take their wallets with them when they go out.

It is not clear what the figure here in NZ is, but it seems likely that more Kiwis are following suit. Increasingly, more of us are paying with mobile wallets, such as those offered by Apple Pay and Google Pay.

They are fast, secure, and compatible with most modern EFTPOS terminals. These are especially popular among younger customers and city-based clientele.

The good news for those in the NZ gig economy is that if you are using a payment device like the Smartpay EFTPOS machine, you’re already set up to accept these.

4. Online Payment Gateways

Any gig worker who maintains an online presence should consider using an online payment gateway.

Platforms like Stripe, PayPal, and Square offer easy integration into websites or booking systems. This allows you to give your customers a seamless way to pay.

While there are transaction fees involved, the convenience, security, and professional image these platforms provide you with are well worth it.

In addition, many now offer invoicing tools and integration with accounting software. This makes preparing your tax return a lot easier.

5. Buy Now, Pay Later (BNPL) Services

You are probably aware of platforms like Afterpay, Zip, and Laybuy, which enable you to buy a product now. Moreover, you can pay for it in four equal installments. 

However, you might not be aware that many gig workers, particularly those in wellness or beauty, are beginning to offer BNPL options to increase the accessibility of the services they offer.

These services do take a cut (usually higher than standard card fees), but they can help boost your bookings or sales. It removes financial barriers that would otherwise prevent sales from being made.

6. QR Code Payments

OQ code payments are becoming popular because of apps like Alipay and WeChat Pay. These are specifically useful if your client list includes expats or international tourists.

Moreover, some banks and platforms like Square also allow QR code payment options that can be linked directly to the online stores and business accounts. The best thing about this mode of payment is that it does not require any card terminal.

Your customers just have to scan and pay. This is the most cost-effective and easy-to-set-up way for gig workers to take money, especially if they are always on the move.

7. Cryptocurrency

Across the USA and other parts of the world, gig workers widely accept cryptocurrency like Bitcoin or Ethereum. Also, their New Zealand counterparts are slowly starting to explore the idea.

Crypto payments won’t suit everyone. But if your clients are already tech-savvy or international, it might give you a competitive edge.

Moreover, there are several platforms like Pay It Now, Easy Crypto, and Bitget that let you accept crypto payments. Moreover, it converts them instantly to NZD to reduce the risk of volatility. 

8. Peer-to-Peer Payment Apps

While apps like Venmo aren’t big in New Zealand, there are local alternatives like ANZ goMoney, ASB Pay to Mobile, and Westpac One. This allows users to send and receive payments using a phone number or email.

They’re not designed for business use per se, but for small-time or personal gigs. It can be a simple and no-fuss way to get paid without asking for or providing bank details.

Wrapping Up!

Payment methods in NZ gig economy are mostly digital. Real-time payments are becoming more popular to get access to their earnings fast. 

Here are some of the most popular payment methods mentioned that would help you get payments swiftly. This is specifically helpful if you have international clients or expats.