Convert Your Hourly Rate to Annual Salary: ATO Salary Guide with Casual Loading and Super
For a full-time employee working 38 hours per week, annual gross pay is hourly rate × 38 × 52; the National Minimum Wage from 1 July 2026 is $26.44 per hour ($1004.90 per week).
Convert Hourly to Annual: Understand Your ATO Salary
Whether you are negotiating a salary offer or checking your pay as an employee, knowing how to convert an hourly rate to an annual figure is essential. This guide uses the latest Fair Work Commission and Australian Taxation Office figures to help you work out your gross annual pay, your fortnightly earnings, and what you can expect after tax and super. We focus on casual loading (25% on top) and superannuation paid on top of your salary.
How to Convert Hourly Rate to Annual Salary
The standard formula is straightforward:
Annual gross pay = hourly rate × hours per week × 52
For a full-time employee working 38 ordinary hours per week, the calculation becomes:
Annual gross pay = hourly rate × 38 × 52
This assumes you work the same number of hours every week, with no unpaid overtime, penalty rates, or allowances. If you are a casual employee, you first add the 25% casual loading to your base rate before applying the formula. Never enter a rate that already includes casual loading into our calculator – use the checkbox to add it automatically.
National Minimum Wage and Award Rates
From 1 July 2026, the National Minimum Wage (NMW) set by the Fair Work Commission is $26.44 per hour, or $1004.90 per week for 38 hours. This is the minimum rate for adult employees not covered by an award or agreement. Most employees, however, are covered by an industry or occupation award, which may set higher minimum rates. You can find the correct award rate using the pay guides from the Fair Work Ombudsman.
For casual employees, the NMW includes a 25% loading, making the casual rate $33.05 per hour. Award rates also typically include casual loadings, but the percentage may vary. Always check your specific award.
Casual Loading and Superannuation Paid on Top
Casual loading is an extra payment to compensate for not receiving paid sick leave or annual leave. It is applied on top of the base hourly rate. For example, if your base rate is $30.00 per hour, your casual rate is $37.50 per hour ($30.00 × 1.25).
Superannuation is paid by your employer on top of your ordinary earnings. From 1 July 2026, the Super Guarantee rate is 12% of your ordinary time earnings, up to the maximum contribution base of $270,830 per year. Super is not deducted from your salary – it is an additional contribution to your retirement fund. For instance, if your annual gross pay is $80,000, your employer must contribute an extra $9,600 into your super account.
Using the ATO Salary Tax Scale for 2026–27
Once you have your gross annual salary, you can estimate your take-home pay using the 2026–27 resident tax rates from the Australian Taxation Office (ATO):
- Nil tax on income up to $18,200
- 15% on income from $18,201 to $45,000
- 30% on income from $45,001 to $135,000
- 37% on income from $135,001 to $190,000
- 45% on income above $190,000
In addition, the Medicare levy generally applies at 2% of your taxable income. The 2025–26 single reduction thresholds are used here because the 2026–27 thresholds were not confirmed. This estimate does not include HELP repayments, the Medicare levy surcharge, or salary packaging.
Fortnightly Pay and Weekly Breakdown
If you are paid fortnightly, your gross pay is simply your weekly pay multiplied by 2. For a full-time employee on the NMW:
- Weekly: $1004.90
- Fortnightly: $2009.80
- Annual: $52,254.80 (before tax and super)
For a casual on the NMW:
- Weekly: $33.05 × 38 = $1255.90
- Fortnightly: $2511.80
- Annual: $65,306.80
Knowing your fortnightly amount can help with budgeting and comparing salary offers.
Important Considerations
- Award vs award-free: The NMW applies only if no award or agreement covers you. Most employees have higher minimum rates under an award. Use the reference tables to check.
- Annualised wages: Some employers pay an annual salary that covers penalties and allowances. The Fair Work Ombudsman explains that such arrangements must be reviewed to ensure the employee receives at least the award minimum.
- ABS Average Weekly Earnings: According to the Australian Bureau of Statistics, full-time adult ordinary time earnings were $2083.70 per week in May 2026. This is well above the NMW and reflects the average across all industries.
- Our calculator: Use the timesheet to enter your base hourly rate. Tick the casual loading checkbox if applicable. The tool will show your weekly, fortnightly, and annual gross pay, plus an estimate of tax and super. Remember, super is paid on top, not deducted.
Disclaimer
Annual pay here is hourly rate × hours per week × 52. It assumes the same rate every week, no unpaid overtime, no penalty rates, no allowances, and no salary sacrifice. Super is estimated at 12% of ordinary earnings only, paid on top, and stops at the $270,830 maximum contribution base. Tax is the 2026–27 resident scale with the full tax-free threshold. Medicare uses the 2025–26 single reduction thresholds because the 2026–27 reduction thresholds were not confirmed here. HELP, the Medicare levy surcharge, and salary packaging are not deducted. This is an estimate, not a determination of your pay or tax.
Open the same rate on the home timesheet. Read the reference tables before treating a figure as your pay.