Masterton residents will be forking out an extra 2.4 per cent in a rates increase approved by Masterton District Council on Wednesday.
The increase is down on an earlier prediction of 4.5 per cent and a recent prediction of 2.7 per cent and gives the council nearly $25 million in rates for the next financial year.
Mayor Garry Daniell said he considered the increase to be "very satisfactory".
The key driver of the rates rise is a 5.2 per cent increase in roading costs, partly as a result of subsidy changes.
Typically, urban ratepayers and rural ratepayers will be facing the same increase.