Payment Terms, Explained
Every common payment term you'll see on a New Zealand trade invoice or supplier account — what it means, how the due date is actually calculated, and how it compares to the others.
Payment Terms NZ Businesses Actually Use
Payment terms set out when an invoice is due, and the exact wording matters more than it looks. Some terms count from the invoice date (Net 30, Net 60). Others count from the calendar month instead (EOM 30, "20th of the month following"), which can make the actual wait for payment weeks longer or shorter than it first appears. This guide covers every common New Zealand term in plain English, with worked examples.
Every Payment Term, Explained
Invoice-Date Terms
- What Does Net 30 Mean? — due 30 days after the invoice date, the most common NZ default
- What Does Net 60 Mean on an Invoice? — due 60 days after the invoice date, typically for larger buyers
- Net 30 vs Net 60: Which Should Your Business Use? — a decision framework for choosing between them
Calendar-Based Terms
- What Does EOM 30 Mean on an Invoice? — due 30 days after the end of the invoice month
- What Does "20th of the Month Following" Mean? — our flagship, most-visited explainer
Reference
- The Complete NZ Payment Terms Abbreviations Cheat Sheet — every term in one table, including Net 7/14/90, CIA, PIA, CWO and COD
Related Reading
Whatever Your Terms Say, Get Paid Faster
PaidTerms Capital pays suppliers upfront, regardless of the payment term offered to the customer — Net 30, EOM 30, or a calendar-based term.
