Income Tax Calculator

What this tells you

Type in what you earn before tax and the calculator works out the two things the tax office takes automatically: income tax and the Medicare levy. What is left is the number that actually matters, the money that lands in your account.

You can enter your income per year, month, fortnight or week, so there is no need to do the conversion in your head first. The answer comes back as a year, a month, a fortnight and a week, alongside a breakdown of where the rest went.

How the tax is worked out

Australia taxes income in slices. Each slice has its own rate, and a higher rate only ever applies to the part of your income sitting inside that slice. These are the resident rates for the 2026-27 income year:

• The first $18,200 you earn: no tax at all.
• $18,201 to $45,000: 15c in the dollar on that part.
• $45,001 to $135,000: $4,020, plus 30c in the dollar on that part.
• $135,001 to $190,000: $31,020, plus 37c in the dollar on that part.
• Over $190,000: $51,370, plus 45c in the dollar on that part.

On top of that sits the Medicare levy, which is 2% of your income. People on low incomes pay a reduced levy or none at all, and the calculator applies that reduction rather than charging everyone the flat 2%.

Your real tax rate is lower than the bracket you are in

Ask someone on $110,000 what tax rate they pay and most will say 30%, because that is the bracket they are in. It is not what they pay. On $110,000 the tax and the levy together come to about $25,720, which is 23.4% of the whole lot. The 30% only ever applied to the money above $45,000.

That gap between the bracket and the real rate is the most misunderstood thing about Australian tax, and it is why the result shows you both numbers instead of just one.

The pay rise question

People ask whether a pay rise can push them into a higher bracket and leave them worse off. It cannot. Only the extra money is taxed at the higher rate, so more money in always means more money out. On $110,000 an extra $1,000 leaves you about $680 better off. On $200,000 the same $1,000 leaves you about $530.

Every result here shows what you would keep from a $1,000 rise on your own income, so you can see it for yourself rather than take our word for it.

If you have a HECS-HELP debt

Tick the study loan box and the calculator takes the compulsory repayment out as well. From the 2025-26 year the repayment is worked out the way tax is, on the slices of your income above each threshold, not on the whole lot. For 2026-27 you pay nothing under $69,528, then 15c in every dollar above that, and 17c in every dollar above $129,717. Once you earn $186,051 or more the repayment goes back to a flat 10 per cent of your whole income. The thresholds move every year. For 2025-26 they were $67,000, $125,000 and $179,286.

The repayment is not a separate bill. It comes out of your pay through the year and is settled when you lodge your return.

Super, and picking the right year

If the figure on your contract includes super, tick that box. The calculator takes the 12 per cent out before it works out your tax, because super is not taxed as your income. You can also switch between 2026-27 and 2025-26. The rates changed on 1 July 2026: the first bracket above the tax-free threshold dropped from 16c to 15c, so the same salary costs a little less tax this year than last.

What this calculator does not include

• The Medicare levy surcharge. An extra 1% to 1.5% for higher earners with no private hospital cover. For plenty of people it costs more than basic hospital cover would have.
• Salary sacrifice and super. Money sacrificed into super is taxed at 15% instead of your marginal rate, which is the whole reason it works. Employer super is paid on top of your salary, not taken out of it.
• Deductions and offsets. Work expenses, the low income tax offset, investment losses, franking credits. These are the reason two people on the same salary end up with very different refunds.

Questions people ask

Is this what my employer will actually withhold?

Close, but not identical. Employers use the tax office withholding tables, which are built to leave you slightly ahead so you get a small refund rather than a bill. Across a full year the two figures land in much the same place.

Does it work for contractors and sole traders?

The tax and the levy are the same. What is different is that nobody withholds it for you along the way, so you need to set money aside yourself, usually through quarterly PAYG instalments. Enter your expected profit after expenses, not the total you invoice.

What about a second job?

There is no special second job tax rate. Add both incomes together and enter the total, because that is how the tax office sees it. Second jobs feel heavily taxed because the tax-free threshold is usually claimed on the first job only, so the second one is withheld at a higher rate all year and evens out at tax time.

What if I am not an Australian resident for tax purposes?

Then this is not your answer. Non-residents get no tax-free threshold, pay a different set of rates from the first dollar, and do not pay the Medicare levy. This calculator uses resident rates only.

Why is my refund different every year?

Because a refund is not a bonus, it is the gap between what was withheld from your pay and what you actually owed. Change jobs, work overtime, claim different deductions or start a study debt and the gap changes with it.

Once you know your take-home pay

Your net income is the figure a lender starts from when working out what you can afford. If a home loan is next, our borrowing power calculator uses the same tax maths to estimate what a bank might lend you, and the loan repayment calculator shows what the repayment on that would be.