Aerospace engineering salary: what lands in your bank account after tax and Medicare

Your aerospace engineering salary after tax and Medicare

If you're an aerospace engineer in Australia, you want to know how much of your salary actually reaches your bank account each fortnight. This guide uses the latest official data to show you the impact of income tax, the Medicare levy, and superannuation on your take-home pay.

Understanding the aerospace engineering salary landscape

Jobs and Skills Australia reports that the median weekly earnings for the occupation group "Other Engineering Professionals" – which includes aerospace engineers – is $2,649 per week for full-time non-managerial employees. That equates to an annual salary of about $137,748 before tax. However, the specific median for Aeronautical Engineers (ANZSCO 233911) is not published due to small sample sizes, so your individual aerospace engineering salary may vary.

For context, the national minimum wage is $26.44 per hour and $1,004.90 per week, set by Fair Work from 1 July 2026. Aerospace engineers typically earn well above that, but the exact figure depends on your experience, employer, and location.

How tax brackets affect your take-home

Australia uses a progressive tax system. For the 2026–27 income year, the resident tax rates are:

• Up to $18,200: nil
• $18,201 – $45,000: 15c for each $1 over $18,200
• $45,001 – $135,000: $4,020 plus 30c for each $1 over $45,000
• $135,001 – $190,000: $31,020 plus 37c for each $1 over $135,000
• Over $190,000: $51,370 plus 45c for each $1 over $190,000

On a $137,748 salary, you fall into the 37% bracket. The tax calculation is:

• Tax on first $135,000: $31,020
• Plus 37c on the $2,748 above $135,000: $1,016.76
• Total tax before offsets: $32,036.76

You may also be eligible for the Low Income Tax Offset (LITO), but at this income level the offset phases out completely (it reduces by 1.5c per dollar over $45,000 and ends at $66,667). So no LITO applies here.

The Medicare levy

The Medicare levy is 2% of your taxable income, but only if you earn above the single-person thresholds. The latest published thresholds are $28,011 (lower) and $35,013 (upper). If your income is below $28,011 you pay nothing; between $28,011 and $35,013 you pay 10c per dollar over the lower threshold; above $35,013 you pay the full 2%. Since your aerospace engineering salary is well above $35,013, you pay the full 2%: $2,754.96 on $137,748.

Superannuation – not deducted from your salary

From 1 July 2026, the super guarantee rate is 12%. This is paid by your employer on top of your salary, not taken out of your pay. So if your contract says "$137,748 plus super", your employer contributes an additional $16,529.76 to your super fund. Your take-home pay is based on the $137,748, not the total package. Super

Fortnightly take-home example

Let's calculate your fortnightly take-home for a $137,748 annual aerospace engineering salary, assuming no HELP/HECS, no salary sacrifice, and no Medicare levy surcharge.

• Annual gross: $137,748
• Income tax: $32,036.76
• Medicare levy: $2,754.96
• Total deductions: $34,791.72
• Annual net: $102,956.28
• Fortnightly net (26 fortnights): $3,959.86

This is what lands in your bank account every two weeks. Remember, this is an estimate – actual payroll rounding may vary slightly. Take-home pay

Key considerations

• Salary packaging: If you salary sacrifice (e.g., for a car or super), your taxable income reduces, lowering your tax and Medicare. But your take-home pay also reduces because the sacrificed amount goes to the benefit provider. Salary packaging
• HELP/HECS repayments: If you have a student loan, additional deductions apply once your income exceeds the repayment threshold.
• Medicare levy surcharge: If you don't have appropriate private hospital cover and earn above $93,000 (single), you pay an extra 1% to 1.5%.
• State taxes: No state income tax in Australia, but payroll tax may affect employer decisions.

For more on how tax and Medicare work, see Tax and Medicare. For the official ATO guide on engineer-specific deductions, visit .

Final thought

Your aerospace engineering salary is competitive, but understanding what changes your fortnightly pay – tax brackets, the Medicare levy, and super – helps you budget accurately. Use the Clearance tool to run your own numbers.