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Using the ATO Salary Sacrifice Calculator with the National Minimum Wage and Award Rates

For a 38-hour week, the National Minimum Wage of $26.44 per hour gives an annual gross of about $52,261 before tax and super.

Converting Your Hourly Rate to an Annual Salary

When you have an hourly rate or a salary offer, understanding the annual equivalent is essential. The basic formula is straightforward: multiply your hourly rate by the number of hours you work each week, then multiply by 52 weeks. For most full-time employees, the standard week is 38 hours. So, if you earn $30 per hour, your annual gross pay would be $30 × 38 × 52 = $59,280.

But there’s more to consider: the National Minimum Wage, award rates, casual loading, superannuation, and tax. And if you’re looking at salary packaging, the ATO salary sacrifice calculator can help you estimate the tax and super effects of your arrangements.

The National Minimum Wage vs Award Rates

From 1 July 2026, the National Minimum Wage is $26.44 per hour, or $1,004.90 per week for a 38-hour week. This is the minimum pay rate for employees not covered by an award or registered agreement. However, many workers are covered by an award – a legal document that sets minimum pay rates and conditions for a specific industry or occupation. Award rates are often higher than the National Minimum Wage. For example, a retail employee might have a higher base rate under the Retail Award. Always check your award or enterprise agreement to find your correct minimum rate. The Fair Work Ombudsman provides pay guides for each award.

If you’re a casual employee, you’re entitled to a casual loading – typically 25% on top of the base rate. For the National Minimum Wage, that means $33.05 per hour. On the timesheet, you can enter your base hourly rate and check a box to add the 25% casual loading. Never type a rate that already includes casual loading; the calculator adds it for you.

Superannuation: Paid on Top

Superannuation is an additional 12% of your ordinary earnings, paid by your employer on top of your gross pay. For the National Minimum Wage, that’s an extra $3.17 per hour (12% of $26.44), but it’s not included in your take-home pay. The super guarantee applies up to a maximum contribution base of $270,830 per year. Use the super and packaging page to learn more about how super interacts with salary sacrifice.

Tax and Take-Home Pay

Your annual gross pay is before tax. For the 2026–27 financial year, the resident tax rates are:

  • Nil on the first $18,200
  • 15% on income between $18,201 and $45,000
  • 30% on income between $45,001 and $135,000
  • 37% on income between $135,001 and $190,000
  • 45% on income above $190,000

Plus a Medicare levy of 2% (unless you’re eligible for a reduction or exemption). For a single person earning the National Minimum Wage annual gross of $52,261, the tax would be approximately $5,191 (using the 2026–27 rates) plus Medicare of $1,045, leaving a take-home pay of about $46,025. But this is an estimate – it doesn’t include HELP repayments, the Medicare levy surcharge, or salary packaging.

Using the ATO Salary Sacrifice Calculator

If you’re considering salary packaging – for example, a car, laptop, or super contributions – the ATO salary sacrifice calculator can show you how it affects your taxable income and take-home pay. It’s a separate tool from our hourly-to-annual conversion, but it’s useful once you know your gross annual salary. Remember, salary sacrifice reduces your taxable income but also reduces your super guarantee base (in some cases). Always check with your employer or a tax professional.

Fortnightly and Weekly Pay

Many Australians are paid fortnightly. To find your fortnightly gross, multiply your weekly pay by 2. For the National Minimum Wage, weekly pay is $1,004.90, so fortnightly is $2,009.80. After tax and Medicare, your fortnightly take-home would be roughly $1,770 (estimate). This can help with budgeting.

A Note on Averages

The Australian Bureau of Statistics reports Average Weekly Earnings. For May 2026, full-time adult ordinary time earnings were $2,083.70 per week. That’s an average across all industries, not a median for any specific job. If you’re comparing your pay, remember that averages can be skewed by high earners. For more detailed data, see our reference tables and average pay pages.

Important Assumptions

The annual pay shown here is calculated as hourly rate × hours per week × 52. It assumes you work the same rate every week, with no unpaid overtime, penalty rates, allowances, or salary sacrifice. Super is estimated at 12% of ordinary earnings, paid on top, and stops at the $270,830 maximum contribution base. Tax uses the 2026–27 resident scale with the full tax-free threshold. Medicare uses the 2025–26 single reduction thresholds because the 2026–27 thresholds were not confirmed in this estimate. This is an estimate, not a determination of your pay or tax. For personalised advice, consult a qualified professional.

Next Steps

Use the timesheet to convert your hourly rate to annual, weekly, and fortnightly figures. Check your award on the Fair Work Ombudsman website, and if you’re considering salary packaging, try the ATO salary sacrifice calculator to see the impact on your tax. For more on minimum wages, see our minimum wage page.

Open the same rate on the home timesheet. Read the reference tables before treating a figure as your pay.

Try the rate on a timesheet

Adjust the timesheet

Year, gross$52,245.4452 weeks at this rate

Starts at the adult National Minimum Wage. Change the rate if the job pays more.

Level with the adult National Minimum Wage.

Mon$200.947.6 h
Tue$200.947.6 h
Wed$200.947.6 h
Thu$200.947.6 h
Fri$200.947.6 h
One fortnight$2,009.44 gross
  • Take-home
  • Tax
  • Medicare
Super 12%, paid on top$6,269.45 a year
Week
$1,004.72
Fortnight
$2,009.44
Take-home a year
$45,006.90
Tax + Medicare
$7,238.54

$52,245.44 gross a year, $2,009.44 a fortnight.

  • 16 h$21,998
  • 20 h$27,498
  • 24 h$32,997
  • 30 h$41,246
  • 38 h$52,245
  • 40 h$54,995

Resident tax for 2026–27 with the tax-free threshold. Medicare uses the 2025–26 single reduction thresholds. No HELP, no salary sacrifice, no Medicare levy surcharge. Super is 12% of ordinary earnings only, capped at the maximum contribution base.

Questions people ask next

How do I convert my hourly rate to annual salary?

Multiply your hourly rate by the number of hours you work each week (usually 38 for full-time), then multiply by 52 weeks. For example, $30/hour × 38 × 52 = $59,280 gross per year. This assumes the same rate every week with no unpaid overtime or allowances.

Does the National Minimum Wage include casual loading?

No. The base National Minimum Wage is $26.44 per hour. Casual employees receive an additional 25% loading, making it $33.05 per hour. Superannuation is paid on top of the base rate, not the loaded rate.

How does the ATO salary sacrifice calculator help with my pay?

The ATO salary sacrifice calculator estimates the tax and super effects of salary packaging arrangements, such as a car or additional super contributions. It is a separate tool from the basic hourly-to-annual conversion, but useful once you know your gross annual salary.

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