What Is the Average Salary in Australia? A Guide to Your Take-Home Pay

Understanding the Average Salary in Australia

When you see a job ad or a salary guide, you might wonder what the average salary in Australia actually means. The figure you see is usually the gross annual salary, but your take-home pay will be less after income tax and the Medicare levy. This guide breaks down the key benchmarks and explains how to estimate what lands in your bank account.

Gross Salary vs Package vs Take-Home

A gross salary is the total amount before any deductions. A salary package often includes super, which is 12% from 1 July 2026. If an ad says "$100,000 plus super", your total package is $112,000, but your gross salary for tax purposes is $100,000. Super is not deducted from your take-home pay in that case. The take-home pay is what you receive after the Australian Taxation Office takes income tax and the Medicare levy.

The Average Salary in Australia

The Australian Bureau of Statistics (ABS) publishes several measures. The latest seasonally adjusted figures (May 2026) are:

• All employees average weekly total earnings: $1,579.20 per week, annual rounded $82,118. This includes part-time workers.
• Full-time adult ordinary time earnings: $2,083.70 per week, annual rounded $108,352. This excludes overtime and employer super.

These are gross figures. To estimate your take-home pay, you need to apply the 2026–27 tax rates and the Medicare levy.

Tax and Medicare for 2026–27

For a resident, the tax brackets are:

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

You may also be eligible for the Low Income Tax Offset (LITO). The maximum LITO is $700 at taxable income up to $37,500, then reduces by 5c per $1 until $45,000, then $325 minus 1.5c per $1 over $45,000 until $66,667. LITO can only reduce tax to zero.

The Medicare levy is 2% of your taxable income. The latest published single-person thresholds are $28,011 and $35,013. If your income is below $28,011, you pay no Medicare levy. Between $28,011 and $35,013, you pay a shade rate of 10c per $1 over the lower threshold. Above $35,013, you pay the full 2%.

Example: Full-Time Average Salary

Take the full-time ordinary time earnings of $108,352. Using the tax brackets:

• Tax on first $18,200: $0
• Tax on $18,201 to $45,000: ($45,000 - $18,200) × 0.15 = $4,020
• Tax on $45,001 to $108,352: ($108,352 - $45,000) × 0.30 = $19,005.60
• Total tax before offsets: $4,020 + $19,005.60 = $23,025.60
• LITO: At $108,352, LITO is $325 minus 1.5c per $1 over $45,000. That's $325 - 0.015 × ($108,352 - $45,000) = $325 - $950.28 = negative, so LITO is $0.
• Medicare levy: 2% of $108,352 = $2,167.04
• Total deductions: $23,025.60 + $2,167.04 = $25,192.64
• Take-home pay: $108,352 - $25,192.64 = $83,159.36 per year, or about $1,599.22 per week.

This is an estimate only. It excludes HELP/HECS, the Medicare levy surcharge, salary sacrifice, and payroll tax-table rounding. Not an assessment.

The Minimum Wage

Fair Work Ombudsman sets the national minimum wage at $26.44 an hour and $1,004.90 a week from 1 July 2026. The annual rounded figure is $52,255. For a full-time worker on minimum wage, take-home pay would be lower after tax and Medicare.

How to Calculate Your Own Take-Home

Use the Take-home pay guide to estimate your net pay. The Clearance tool can help you compare gross and net amounts. Remember that super is not part of your take-home if the ad says "plus super".

Common Mistakes

Many people confuse the average salary in Australia with their take-home pay. The ABS figures are gross. Your bank account will show a lower amount. Also, job ads often quote a package including super, so the gross salary is less than the package number.

Summary

The average salary in Australia for full-time workers is around $108,352 gross. After income tax and the Medicare levy, the take-home is about $83,159 per year. Always check whether a salary is quoted as gross or as a package. Use the Average pay page for more details.