The switch-off for analogue signals will begin on the West Coast and Hawkes Bay in June with Auckland the last region to switch over in September next year.
To keep watching TV, everyone will need to go digital by getting Freeview, Sky or TelstraClear. Virtually all TV sets on sale now include a Freeview digital tuner.
The Government expects nearly 90 per cent of viewers will have gone digital by May next year.
Sky TV chief executive John Fellet said the targeting of the free scheme towards elderly people meant it would not have much impact.
To be eligible for the deal, people must be watching only analogue television and be either:
75 or over with a community services card; or
Receiving an invalid's benefit or a veteran's pension.
Or be former recipients of an invalid's benefit or veteran's pension who have converted to NZ Super.
The package will provide a set-top box, an aerial or satellite dish if necessary, installation, training and access to a technical support line.
The scheme will be administered by Hills Signal Masters.
Digital and related assistance packages have occurred around the world as part of a global shift to digital technology.
The change will free up radio spectrum that may be sold on to telecommunications companies.