After-tax salary.au

What is minimum wage in Australia and how much take-home pay you can expect

The national minimum wage is $26.44 per hour or $1,004.90 per week, but your take-home pay depends on income tax, the Medicare levy, and your tax offsets.

Fortnight that clears

$1,740

Keeps 87% of taxable pay

Super
  • Nil to $18,200
  • 15%
  • 30%
  • 37%
  • 45% over $190,000

The next dollar of taxable pay is taxed at 30%, before the Medicare levy.

  • Clears
  • Income tax
  • Medicare levy
Income tax
$5,980
Medicare levy
$1,045
Super
$6,271
Week that clears
$870
Hour, 38h week
$22.89

Low income offset reduces tax by $216.

Super of $6,271 is on top of this salary. It is not taken out of the fortnight.

  • This salary$1,740
  • Minimum wage$1,740
  • Full-time ordinary$3,198

National minimum wage, $1,005 a week times 52, to the nearest dollar.

What is minimum wage in Australia for 2026–27

If you are wondering what is minimum wage in Australia, the Fair Work Ombudsman sets the national minimum wage at $26.44 per hour and $1,004.90 per week for a full‑time adult employee working 38 hours a week. This rate applies from 1 July 2026. The annualised figure is $52,255.

Your take‑home pay – what actually lands in your bank account – is lower because of income tax and the Medicare levy. Superannuation is not taken out of this wage; your employer must pay an additional 12% super on top (from 1 July 2026), up to a maximum contribution base of $270,830.

How much tax and Medicare you pay on the minimum wage

For the 2026–27 tax year, the Australian Tax Office applies these rates to a resident earning $52,255:

  • Tax on first $18,200: nil
  • Tax on $18,201 to $45,000: 15 cents per dollar ($4,020)
  • Tax on $45,001 to $52,255: 30 cents per dollar ($2,176.50)
  • Total gross tax: $6,196.50
  • Low Income Tax Offset (LITO): reduces tax by up to $700. At $52,255, the offset is about $216, so net tax is $5,980.50
  • Medicare levy: 2% of $52,255 = $1,045.10
  • Total deductions: $7,025.60
  • Estimated annual take‑home: $45,229.40 (about $870 per week or $1,740 per fortnight)

This is an estimate only. It excludes HELP/HECS repayments, the Medicare levy surcharge, salary sacrifice, and payroll tax‑table rounding. For a personalised calculation, use the Clearance tool on this site.

Where the minimum wage sits against other benchmarks

The national minimum wage is the legal floor. Compare it to the average earnings of all employees (including part‑time) at $82,118 a year, and full‑time adult ordinary time earnings at $108,352 a year. After tax and Medicare, the average full‑time worker takes home about $83,160 – nearly double the minimum wage take‑home.

For more context on how your pay stacks up, see the Benchmarks page.

Understanding your pay slip: super, Medicare, and the levy thresholds

Your pay slip will show your gross pay, then deductions for tax and Medicare. Super is listed separately as an employer contribution – it is not deducted from your take‑home. The Medicare levy is a flat 2% for most full‑time workers. The latest single‑person thresholds ($28,011 and $35,013) mean that if you earn below $28,011 you pay no levy; between $28,011 and $35,013 you pay a reduced rate (10 cents per dollar over the lower threshold). Full‑time minimum wage is well above $35,013, so you pay the full 2%.

If you are on a salary that includes super in the quoted figure (common in job ads), your take‑home will be lower because the super component is not available as cash. Always check whether a salary is “plus super” or “including super”.

How to use this information

This guide gives you a clear picture of what the minimum wage means for your pocket. For a more detailed breakdown of tax brackets and offsets, visit the Tax and Medicare topic. To see how your own salary compares, explore the Take-home pay section.

Remember: the figures here are based on the 2026–27 rates and are not a tax assessment. Your actual take‑home may vary due to your specific circumstances.

Questions

How much take-home pay do I get from the minimum wage after tax and Medicare?

For a full‑time worker on the national minimum wage of $52,255 a year, your estimated take‑home pay is about $45,230 annually, or roughly $870 per week. This is after income tax (including the Low Income Tax Offset) and the 2% Medicare levy. Superannuation is not deducted from this amount – it is paid on top by your employer.

How does the Medicare levy affect my take-home pay on the minimum wage?

The Medicare levy is 2% of your taxable income. For the minimum wage of $52,255, that is $1,045.10 a year. The latest single‑person Medicare thresholds are $28,011 and $35,013 – if your income is below the lower threshold you pay no levy, and between the thresholds you pay a reduced rate. Full‑time minimum wage is well above both thresholds, so you pay the full 2%.

How does the minimum wage compare to the average full‑time ordinary time earnings?

The national minimum wage of $52,255 a year is about half the average full‑time ordinary time earnings of $108,352. After tax and Medicare, the minimum wage take‑home is roughly $45,230, while the average full‑time worker takes home about $83,160. The gap reflects the progressive tax system and the higher tax brackets for higher incomes.