How a super calculator salary estimate reveals what changes your fortnight

What changes your fortnight: tax brackets, Medicare levy, and super

When you look at your payslip, the number that lands in your bank account is your take-home pay after income tax and the Medicare levy. But two other factors—superannuation and how your salary is advertised—can change what you actually receive each fortnight. This guide explains the key components using the latest 2026–27 rates and thresholds.

Income tax brackets and the Low Income Tax Offset

The Australian Taxation Office provides a Tax withheld calculator that employers use to deduct the correct amount from your pay. For 2026–27, the resident tax 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

In addition, the Low Income Tax Offset (LITO) gives you up to $700 if your taxable income is $37,500 or less. It then reduces by 5c per dollar until $45,000, and by 1.5c per dollar from $45,000 to $66,667. The offset can only reduce your tax to zero—it won’t create a refund on its own.

For example, a full-time worker on the national minimum wage ($52,255 a year) would pay about $5,980 in income tax after LITO. That’s roughly $230 per fortnight. The Take-home pay page shows how these brackets apply to different incomes.

Medicare levy: the 2% that hits most salaries

The Medicare levy is a separate 2% charge on your taxable income. Most full-time workers pay the full amount, but low-income earners get relief. The latest ATO single-person thresholds are $28,011 and $35,013. If you earn below $28,011, you pay no levy. Between $28,011 and $35,013, the levy is 10c per dollar over the lower threshold. Above $35,013, you pay the full 2%.

For the minimum-wage worker, the Medicare levy adds about $1,045 a year, or $40 per fortnight. Combined with income tax, total deductions are roughly $270 per fortnight. The Tax and Medicare guide explains how to estimate your own levy.

Superannuation: is it deducted from your pay?

Super is not always taken out of your salary. The super guarantee rate is 12% from 1 July 2026, but it’s usually paid on top of your base salary. If a job ad says “$80,000 plus super”, your take-home is based on $80,000, and the employer adds $9,600 to your super account. If it says “$80,000 including super”, then your cash salary is about $71,429 and the employer contributes $8,571 to super. A super calculator salary estimate helps you compare these scenarios.

Using a super calculator salary tool, you can see how different salary packaging or super guarantee rates affect your fortnightly cash flow. For example, on a $100,000 salary plus super, your take-home after tax and Medicare is roughly $73,000 a year, or $2,808 per fortnight. If that same $100,000 were inclusive of super, your cash salary would be about $89,286, giving you a lower take-home of about $65,500 a year.

Putting it all together: a fortnightly example

Let’s take the national minimum wage of $52,255 a year (based on $26.44 per hour, 38 hours a week). Using the Moneysmart income tax calculator, the annual tax is about $5,980 and Medicare levy $1,045, leaving $45,230 after tax. That’s $1,740 per fortnight. If your employer pays 12% super on top, your total remuneration is $58,526, but your bank account still gets $1,740.

Now compare a full-time average earner at $108,352 (ABS full-time ordinary time earnings). Tax after LITO is about $24,500, Medicare $2,167, leaving $81,685 a year, or $3,142 per fortnight. Super at 12% adds $13,002 to your super account.

Why your fortnight can vary

Several factors change your net pay each fortnight:

• Tax bracket creep: As your income rises, more of your pay is taxed at higher rates.
• Medicare levy phase-in: If you earn between $28,011 and $35,013, your levy increases gradually.
• Super structure: Whether super is on top or included changes your cash salary.
• Salary packaging: Items like a car or laptop can reduce your taxable income.

The Clearance tool and Benchmarks pages let you compare your situation to typical Australian salaries.

Use the right calculator

The ATO’s tax withheld calculator and Moneysmart’s income tax calculator both give estimates for 2026–27. Remember, these are not tax assessments—they don’t include offsets like the Medicare levy surcharge or HELP repayments. For a personalised estimate, check the Guides section.