Point-of-sale (POS) systems are integral to business infrastructure in New Zealand (NZ), facilitating more than 60% of payment interactions in 2024. They shape how businesses accept payments, track goods and services tax (GST), manage inventory, and report revenue. The right POS system can simplify compliance, reduce manual work, and give businesses a clearer view of performance across channels.

Below, we’ll explain how POS systems work in NZ, how they integrate with payments and accounting, and what businesses should consider when selecting and managing POS systems.

What’s in this article?

• What is a POS system in NZ?
  
• How do POS systems integrate with payments, accounting, and inventory in NZ?
  
• What regulatory, tax, and GST considerations affect POS system use in NZ?
  
• What costs, limitations, and risks should businesses consider when selecting a POS system?
  
• How can NZ businesses evaluate, implement, and manage a POS system effectively?
  
• How Stripe Terminal can help
  

What is a POS system in New Zealand?

A point-of-sale (POS) system records a sale and accepts payment. It connects transactions, tax, inventory, and reporting into a single flow that reflects how New Zealand businesses actually operate day to day.

A typical POS setup combines software with physical hardware, such as a tablet or terminal, receipt printer, cash drawer, or an Electronic Funds Transfer at Point of Sale (EFTPOS) device. When a sale is processed, the POS system calculates the total, applies GST, sends the amount to the payment terminal, confirms authorization, and records the transaction automatically. That record becomes part of the business’s financial and tax history.

Many POS systems in NZ are cloud-based. These store data centrally, update automatically, and allow owners to access sales and inventory data remotely. They also support multi-location setups and are easier to scale as businesses grow.

Here are the main types of POS systems in NZ:

Traditional counter-based POS systems

These are fixed POS terminals commonly used in supermarkets, large retail stores, and high-volume environments. They’re designed for speed, durability, and consistent throughput, especially where multiple checkout lanes are in use.

Tablet-based and mobile POS systems

Many small and mid-sized businesses use tablets or smartphones as their main POS interface. These systems are popular in smaller cafés, hospitality, boutiques, food trucks, and service businesses because they’re portable, relatively low-cost, and quick to deploy. They’re typically cloud-based and rely on internet connectivity.

Hospitality-focused POS systems

Restaurants, bars, and cafés often use POS systems built specifically for hospitality workflows. These hospitality or restaurant POS systems support table management, split bills, modifiers, kitchen printing, and high transaction volumes during peak periods.

Retail POS systems with inventory depth

Retailers that manage large or complicated inventories often choose POS systems with advanced stock tracking, barcode support, and supplier management. These systems prioritize accuracy, real-time stock updates, and integration with online storefronts.

Self-service and kiosk POS systems

Self-checkout terminals and ordering kiosks are common in supermarkets, fast food, and high-traffic venues. They reduce queue pressure and staffing costs while integrating directly into the same POS backend as staffed terminals.

How do POS systems integrate with payments, accounting, and inventory in New Zealand?

A POS system is most useful when it connects payments, accounting, and inventory.

Here’s how:

Payments integration

When a sale is entered, the POS sends the amount directly to the EFTPOS or card terminal, receives real-time confirmation, and automatically records the result. This removes manual entry, speeds up checkout, and reduces reconciliation issues.

Providers such as Stripe allow in-person payments to run through the same payment infrastructure as online transactions, which simplifies refunds, reporting, and customer support. Instead of managing separate systems for different channels, businesses can view and manage all payments in one place.

Accounting integration

In New Zealand, POS systems commonly connect directly to accounting software so that daily sales data flows through automatically. Each transaction includes GST, payment method, and timing details, which reduces the need for manual entry and lowers the risk of errors.

This setup makes GST reporting easier. With sales data already structured and categorized, businesses can reconcile accounts faster and prepare GST returns with more confidence.

Inventory integration

Inventory integration connects selling and stock management. When a product is sold, the POS updates inventory levels immediately. This is critical for retailers, hospitality businesses, and any operation managing physical goods across multiple channels.

Real-time inventory data helps prevent overselling, keeps online listings accurate, and supports smarter purchasing decisions. Integrated POS systems ensure all stores operate from the same inventory data, which reduces inconsistencies and manual stock adjustments.

What regulatory, tax, and GST considerations affect POS system use in New Zealand?

A POS system in NZ is part of a business’s compliance infrastructure. The way it calculates tax, stores records, and handles payments affects regulatory exposure and audit readiness.

Here’s how it works:

GST calculation and display

POS systems are expected to automatically apply New Zealand’s 15% GST, present GST-inclusive pricing to customers, and show the tax component on receipts and transaction records. Since NZ shifted to more flexible “taxable supply information” rules in 2023, POS systems must reliably capture supplier details, transaction dates, totals, and GST amounts, and produce compliant invoices for GST-registered buyers upon request.

Record-keeping requirements

Inland Revenue requires sales and GST records to be retained for at least seven years, which means POS systems must store transaction data in a durable and retrievable format. Cloud-based storage and detailed reporting make it easier to reconstruct daily sales, GST collected, and payment methods during audits or reviews.

Payment rules and surcharging

EFTPOS debit transactions are typically not surcharged, while credit and contactless payments might carry a visible surcharge. POS systems must accurately calculate surcharges, disclose them at checkout, and remain adaptable as payment network rules and fee structures evolve.

Data protection and security

Since POS systems process sensitive payment and customer data, security is a baseline requirement. Systems should support Payment Card Industry (PCI)-compliant payment processing and protect stored customer information in line with New Zealand’s Privacy Act to reduce legal and reputational risk.

What costs, limitations, and risks should businesses consider when selecting a POS system?

Choosing a POS system is a long-term decision that should account for ongoing costs, system constraints, and how well the setup holds up under real-world conditions.

Here are some factors to consider:

Setup and ongoing costs

With any POS system, you’ll face costs associated with setup as well as ongoing ones that affect the long-term sustainability of your business.

Common costs to keep in mind:

• Hardware and setup costs: POS systems often require physical components. These might be purchased outright, leased, or bundled into monthly plans, and costs vary widely depending on durability, scale, and whether the setup is single-location or multi-site. Virtual POS systems might not require additional hardware beyond a smartphone or a tablet.

• Software and subscription fees: Many modern POS systems operate on monthly or annual subscriptions, with pricing tied to features, the number of registers, or the number of locations. Advanced reporting, integrations, loyalty tools, or multi-store support can be priced as add-ons, which increase long-term costs.

• Payment processing fees: Transaction fees are a major ongoing cost, particularly for card and contactless payments. Some POS providers offset low software pricing with higher payment fees.

• Implementation and training overhead: Consider the time spent configuring products, tax rules, inventory, and integrations. Complicated or unintuitive systems increase onboarding time and the risk of checkout errors.

Limitations and potential risks

POS systems play an important role in operations, so you’ll want to plan for their limitations and risks.

Watch out for:

• Reliance on connectivity: Cloud-based POS systems depend on stable internet access for payments and syncing data. While many systems have offline modes, functionality might be limited, which makes connectivity failures a meaningful risk without backup options.

• Integration reliability: POS systems sit at the center of multiple integrations, and communication failures between systems can lead to data mismatches or missing records. Poorly maintained integrations can undermine accounting accuracy or inventory visibility if not monitored.

• Security and data risk: POS systems handle sensitive payment and customer information, so businesses must update systems regularly and practice strong payment security practices.

• Scalability and flexibility limits: A POS system that works well for a single location might struggle if there are limits on users, locations, inventory size, or pricing structures. Make sure to confirm its scalability potential.

• Vendor dependency and support quality: Businesses rely heavily on their POS provider for uptime and support. Poor customer support, limited local coverage, or inflexible contracts can turn small technical issues into major disruptions.

How can New Zealand businesses evaluate, implement, and manage a POS system effectively?

Well-defined requirements, careful setup, and ongoing attention make the difference between a successful system and one that breaks down. Businesses should map how sales actually happen, including peak volumes, payment types, inventory complications, and reporting needs. Industry-specific workflows, such as hospitality service patterns or retail stock turnover, should drive system selection.

Make sure to confirm that your POS system supports the New Zealand dollar (NZD), GST, and local payment methods such as EFTPOS and contactless cards. Compliance with New Zealand business tax rules and record-keeping expectations should be built into your flow. Evaluate integrations early, including accounting, inventory, and online sales systems. This will reduce reconciliation work and prevent data gaps that surface months later.

Setup should always include product data, tax configuration, payment testing, and staff training before going live. Scheduling it during quieter periods reduces risk and allows time to resolve issues. Train staff and document your processes. Even intuitive systems benefit from structured training and clear procedures.

As businesses add locations, sales channels, or new payment methods, the POS system should scale with them. Consistent reconciliations, inventory counts, sales reports, and system reviews support sustainable growth without unnecessary challenges.

How Stripe Terminal can help

Stripe Terminal allows businesses to grow revenue with unified payments across in-person and online channels. It supports new ways to pay, simple hardware logistics, global coverage, and hundreds of POS and commerce integrations to design your ideal payments stack.

Stripe powers unified commerce for brands like Hertz, URBN, Lands’ End, Shopify, Lightspeed, and Mindbody.

Stripe Terminal can help you:

• Unify commerce: Manage online and in-person payments on a global platform with unified payments data.

• Expand globally: Scale to 24 countries with a single set of integrations and popular payment methods.

• Integrate your way: Develop your own custom POS app or connect with your existing tech stack using third-party POS and commerce integrations.

• Simplify hardware logistics: Easily order, manage, and monitor Stripe-supported readers, wherever they are.

Learn more about Stripe Terminal, or get started today.