What is the average salary in Sydney? Your take-home pay after tax

Understanding the average salary in Sydney

When you hear about the average salary in Sydney, it helps to know which figure people are using. The Australian Bureau of Statistics (ABS) provides two key measures for Greater Sydney: the median employee income of $66,619 and the mean of $83,795 (2022-23 data). The median is the middle point – half of workers earn more, half earn less. The mean adds up all incomes and divides by the number of workers, so it is pulled up by high earners. For full-time workers across New South Wales, the average ordinary time earnings are $109,658 a year (May 2026). That figure excludes overtime and employer super.

How to work out your take-home pay

Your take-home pay is what lands in your bank account after your employer deducts income tax and the Medicare levy. The Australian Taxation Office sets the tax rates for residents. For the 2026-27 tax year, the rates are:

• $0 – $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
• $190,001 and over: $51,370 plus 45c for each $1 over $190,000

On top of that, most people pay the Medicare levy of 2% of your taxable income. If your income is below $28,011 (single), you pay no Medicare levy. Between $28,011 and $35,013, the levy is reduced at 10c per dollar over the lower threshold. Above $35,013, you pay the full 2%. These are the latest published single-person thresholds.

Example: take-home on the NSW full-time average

If you earn the NSW full-time average of $109,658, your tax (excluding Medicare) is calculated as:

• First $18,200: $0
• Next $26,800 (up to $45,000): $4,020
• Remaining $64,658 (up to $109,658): $19,397.40
• Total tax: $23,417.40
• Medicare levy (2% of $109,658): $2,193.16
• Total deductions: $25,610.56
• Take-home pay: about $84,047 a year, or $3,232.58 a fortnight.

This is an estimate using the 2026-27 rates and does not include HELP/HECS, the Medicare levy surcharge, or salary sacrifice. Use our Take-home pay calculator for your exact situation.

The national minimum wage as a benchmark

Fair Work sets the national minimum wage at $26.44 an hour and $1,004.90 a week (from 1 July 2026). That works out to about $52,255 a year for a full-time worker. The average salary in Sydney is well above this, but the minimum wage is a useful floor for comparing roles. See our Minimum wage page for details.

What about superannuation?

Employer super contributions are not part of your take-home pay. From 1 July 2026, the super guarantee is 12% of your ordinary time earnings, up to a maximum contribution base of $270,830. If a job ad says "$100,000 plus super", your take-home is calculated on the $100,000, and the super is paid into your fund separately. Learn more on our Super page.

Salary packaging and deductions

You can reduce your taxable income through salary packaging (salary sacrifice) – for example, arranging to receive less salary in exchange for super or a car. Tax offsets like the Low Income Tax Offset (LITO) can also reduce your tax. LITO gives a maximum $700 if your taxable income is $37,500 or less, then phases out. For more, see Salary packaging and Tax and Medicare.

Why the average salary in Sydney varies by area

The ABS also publishes income by suburb. The highest-earning area in Sydney is North Sydney and Hornsby, with a median of $81,308. The lowest is the Central Coast at $59,400. If you are job hunting, consider that the average salary in Sydney can differ significantly depending on where you work and live. Our Average pay guide breaks down these figures.

Final thoughts

The average salary in Sydney is a useful starting point, but your actual take-home pay depends on your exact income, deductions, and tax situation. Use the ABS data as a guide, then run your numbers through our Clearance tool to see what you keep after tax.