Australia Take-Home Pay Calculator 2026-27
Enter your gross annual salary to estimate your 2026-27 take-home pay — after Australian income tax and the Medicare levy. Your numbers never leave your browser.
Calculate Your Take-Home Pay
⚡ 2026-27 Quick Facts
- Tax-free threshold: first $18,200 at 0%
- Brackets: 15% · 30% · 37% · 45% (second bracket cut to 15% from 1 July 2026)
- Medicare levy: 2% of taxable income
- 30% bracket: applies from $45,001 to $135,000
- Simplified model: full Medicare rate; low-income reduction not modeled
How Australian Take-Home Pay Works
Australia's system is refreshingly simple compared to most countries: one set of national brackets, a generous tax-free threshold, and a flat Medicare levy. There are no state income taxes to worry about.
1. The tax-free threshold. The first $18,200 you earn each year is taxed at 0% — but only if you claim the tax-free threshold from your employer (most employees do via their TFN declaration). From 1 July 2026, the second bracket rate drops from 16% to 15%, so income between $18,201 and $45,000 now costs a little less in tax.
2. Marginal brackets. Above the threshold, rates climb: 15% to $45,000, then 30% all the way to $135,000 — the widest single bracket in the system, covering most full-time professional salaries. After that, 37% to $190,000 and 45% beyond. As always with marginal rates, only the income inside each band is taxed at that band's rate.
3. The Medicare levy. On top of income tax, most taxpayers pay a flat 2% Medicare levy on their whole taxable income, funding Australia's public health system. Low-income earners get a reduction or exemption — this calculator uses the full 2% for simplicity, so treat results as a slight overestimate of tax if your income is modest.
4. What's left = your take-home pay. Superannuation (currently 12%) is paid by your employer on top of your salary rather than deducted from it, so it doesn't reduce your take-home figure here. HECS/HELP repayments, salary-sacrifice arrangements and union fees are separate and not included.
📝 Example: $90,000 salary, paid fortnightly
Tax-free threshold covers the first $18,200.
Income tax: 15% × $26,800 + 30% × $45,000 = $17,520.00 · Medicare levy: 2% × $90,000 = $1,800.00
Take-home ≈ $2,718.46 per fortnight ($70,680.00 per year, an effective rate of about 21.5%). Try it above — nudge the salary to $135,001 and see the 37% bracket kick in.
Frequently Asked Questions
What is the tax-free threshold and do I need to claim it?
The tax-free threshold means the first $18,200 of your yearly income isn't taxed. You claim it through the Tax File Number declaration you give your employer when you start a job. If you have two jobs, you can generally only claim it from one.
What is the Medicare levy?
A 2% levy on taxable income that helps fund Australia's public healthcare system. Most workers pay the full 2%; people on low incomes, and some exemption categories, pay a reduced rate or nothing. This calculator applies the full 2%.
What changed on 1 July 2026?
The second income-tax bracket rate was cut from 16% to 15%. If you earn between $18,201 and $45,000, you keep a little more of each dollar than in 2025-26. This calculator already uses the new 15% rate.
Is superannuation deducted from my take-home pay?
No. Super is paid by your employer in addition to your salary (currently 12% of ordinary earnings), so it doesn't reduce the take-home figure shown here. It's your retirement money, just routed separately.
Does this include HECS/HELP repayments?
No. Student loan repayments through the tax system depend on your income and HELP balance, so they're excluded. If you have a HELP debt, subtract your repayment rate from the result for a more accurate picture.
Is this tax advice?
No. This is an educational estimate based on published 2026-27 ATO brackets and the standard Medicare levy. For decisions with real money on the line, check ato.gov.au or speak to a tax agent.
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