Organ donors should be reimbursed at 100 percent of their income for up to 12 weeks during their recovery, Parliament's health committee has recommended.
The committee has reported back to Parliament on a member's bill, in the name of National MP Chris Bishop, which aims to give further support to those who donate organs.
Currently, donors receive the equivalent of the sickness benefit.
Mr Bishop said the change would mean that those who donated an organ would be left no better - or worse - off, in financial terms.
"That's a significant step forward from the current situation, where people give up 10 to 12 weeks of their life, they give up part of their body, and they're paid the equivalent of the sickness benefit.
"It's just an inadequate situation and the bill significantly strengthens that position."
Mr Bishop said the legislation would improve the country's organ donation rates.
The bill will be set down for the next available members' day in Parliament.