What's the salary you actually take home after tax and Medicare in Australia
Your take-home pay depends on your taxable income, tax brackets, the Low Income Tax Offset, and the Medicare levy. For a full-time worker on the average ordinary time earnings of $108,352, the estimated annual take-home is around $83,160.
What's the salary you take home after tax and Medicare?
When you see a salary figure in a job ad or benchmark, the amount that lands in your bank account is always less after income tax and the Medicare levy. This guide explains how to estimate your take-home pay using the latest tax rates and offsets for the 2026–27 tax year.
National minimum wage
The Fair Work Ombudsman sets the national minimum wage at $26.44 per hour and $1,004.90 per week. For a full-time worker earning the minimum wage of $52,255 a year, the estimated take-home pay after income tax and the Medicare levy is around $46,320. This includes the Low Income Tax Offset (LITO) of about $216. The Medicare levy applies at the full 2% rate because the income is above the single-person upper threshold of $35,013.
Full-time ordinary time earnings
The Australian Bureau of Statistics reports full-time adult ordinary time earnings at $2,083.70 per week, or $108,352 a year. For this salary, your estimated annual take-home is approximately $83,160. At this income level, LITO does not apply. The Medicare levy is the full 2%, and the tax is calculated using the 30 cent bracket for income between $45,001 and $135,000.
How to use the benchmarks
The benchmarks page shows the national minimum wage and full-time ordinary time earnings. You can compare your own salary against these figures. Remember that superannuation at 12% (from 1 July 2026) is not deducted from your take-home pay if the salary is advertised as plus super. The take-home pay guide explains how to adjust for salary packaging and other deductions.
Tax and Medicare details
The Australian Taxation Office publishes the resident tax rates for 2026–27. The first $18,200 is tax-free. Income between $18,201 and $45,000 is taxed at 15 cents per dollar. Between $45,001 and $135,000 the rate is 30 cents per dollar. The Medicare levy is a flat 2% for most full-time workers, but the latest published single-person thresholds are $28,011 and $35,013. If your taxable income is below $28,011 you pay no Medicare levy; between $28,011 and $35,013 you pay a reduced amount.
What's the salary you should expect to receive?
If you're wondering what's the salary you actually get after deductions, use the clearance tool to enter your taxable income and see an estimate. The tool applies the tax brackets, LITO, and Medicare levy automatically. It does not include HELP/HECS repayments, the Medicare levy surcharge, or salary sacrifice. Always treat the result as an estimate, not a tax assessment.
Fortnightly and weekly take-home
Most employers pay fortnightly. For the minimum wage, your fortnightly take-home is about $1,782. For full-time ordinary time earnings, it is about $3,198. These figures assume no other deductions and that you are a resident for tax purposes.
Superannuation
Super is not part of your take-home pay. From 1 July 2026 the super guarantee rate is 12% on earnings up to $270,830. If your salary is quoted as a total package including super, the super component is deducted before you receive your pay. Always check the wording of your employment contract.
Final note
This guide uses the official benchmarks and tax rates. For a personalised estimate, visit the clearance tool. Remember that the figures here are estimates only and do not constitute a tax assessment.
Questions
How is the Medicare levy calculated on my salary?
The Medicare levy is 2% of your taxable income. If your income is below the single-person lower threshold of $28,011, you pay no levy. Between $28,011 and $35,013 you pay a reduced rate of 10 cents per dollar over the lower threshold. Above $35,013 you pay the full 2%.
Does the Low Income Tax Offset (LITO) reduce my tax bill?
Yes, LITO can reduce the tax you owe. The maximum offset is $700 for taxable incomes up to $37,500. It phases out at 5 cents per dollar between $37,500 and $45,000, then at 1.5 cents per dollar between $45,000 and $66,667. Above $66,667 you receive no LITO.
Is superannuation deducted from my take-home pay?
If a job advertisement says 'plus super', the super contribution is on top of your salary and does not reduce your take-home pay. If the salary is quoted as a total package including super, the super component is deducted before you receive your pay. Always check how the salary is advertised.