What is the minimum hourly wage in Australia for 2026-27?

The National Minimum Wage from 1 July 2026 is $26.44 per hour, or $1,004.90 per week for 38 ordinary hours. This rate applies to award/agreement-free employees. Most employees are covered by an award or enterprise agreement, which may set higher minimum rates. The Fair Work Commission reviews these rates annually. Casual employees receive a 25% loading on top of the minimum wage, making the casual minimum rate $33.05 per hour.

How does casual loading affect the minimum hourly wage?

Casual employees under the National Minimum Wage are entitled to a 25% casual loading on top of the base rate. This means the minimum casual hourly rate is $33.05 (base $26.44 plus 25%). The loading compensates for entitlements like paid leave that casuals don't receive. When using [the timesheet](/), you can check a box to add the 25% casual loading to your base hourly rate – do not enter a rate that already includes loading.

Is superannuation paid on top of the minimum wage?

Yes, superannuation is paid on top of your ordinary earnings. The super guarantee rate is 12% for 2026-27, and it applies to most employees. For example, on the National Minimum Wage of $26.44 per hour, your employer must contribute an additional 12% super (about $3.17 per hour) into your super fund. Super is not deducted from your pay; it's an extra cost for the employer. The maximum contribution base is $270,830 per year – super is not required on earnings above that threshold.

Understanding the Minimum Hourly Wage Australia: Rates, Calculations, and What You Need to Know

As of 1 July 2026, the National Minimum Wage is $26.44 per hour for a 38-hour week, equating to $1,004.90 per week or $52,254.80 per year before tax and super.

What is the minimum hourly wage Australia?

The minimum hourly wage Australia is the lowest rate an employer can legally pay an employee for ordinary hours of work. For the 2026-27 financial year, the National Minimum Wage (NMW) is $26.44 per hour or $1,004.90 per week based on a 38-hour week, as set by the Fair Work Commission. This rate applies to employees not covered by an award or registered agreement.

Most Australian employees are covered by a modern award or enterprise agreement, which often sets higher minimum pay rates. The Fair Work Ombudsman explains that award wages increased by 4.75% from 1 July 2026, with the lowest ongoing award rate now at least $26.44 per hour. Entry-level rates (first six months) must be at least $25.74 per hour.

How to convert hourly rate to annual salary

The standard formula for annual gross pay is:

Annual gross = hourly rate × hours per week × 52

For a full-time employee working 38 hours per week, this becomes:

$26.44 × 38 × 52 = $52,254.80 per year (National Minimum Wage)

If you work different hours, adjust the weekly figure. For example, a part-time employee on 20 hours per week at the same rate would earn $26.44 × 20 × 52 = $27,497.60 per year.

Fortnightly pay

Fortnightly pay is simply weekly pay multiplied by two. For the NMW:

Weekly: $1,004.90
Fortnightly: $2,009.80

Many employers pay fortnightly, so this figure helps with budgeting. Use the timesheet to calculate your own pay periods.

National Minimum Wage vs award rates

It's important to distinguish between the National Minimum Wage and award minimum wages. The NMW is the legal floor for award/agreement-free employees. Awards cover specific industries and occupations, and their rates are often higher. For example, a hospitality award may have a higher base rate plus penalty rates for weekends and nights.

If your award rate is lower than the NMW (e.g., introductory rates), the NMW applies instead. The Fair Work Ombudsman's pay guides provide current award rates.

Casual loading

Casual employees receive a 25% loading on the base rate to compensate for not receiving paid leave. The casual minimum hourly rate is:

$26.44 × 1.25 = $33.05 per hour

When using the timesheet, tick the casual loading checkbox to add 25% on top of your base hourly rate. Never enter a rate that already includes casual loading.

Superannuation on minimum wage

Superannuation is paid on top of your ordinary earnings. The super guarantee rate is 12% for 2026-27. For an employee earning the NMW:

Hourly super contribution: $26.44 × 12% = $3.17
Weekly super: $1,004.90 × 12% = $120.59
Annual super: $52,254.80 × 12% = $6,270.58

Super is not deducted from your pay; it's an additional employer contribution. The maximum contribution base is $270,830 per year – earnings above that don't attract super. For more details, see super and packaging.

Tax on minimum wage

Tax is calculated on your gross annual earnings using the 2026-27 resident tax rates:

$0 – $18,200: nil
$18,201 – $45,000: 15% of excess over $18,200
$45,001 – $135,000: $4,020 plus 30% of excess over $45,000
$135,001 – $190,000: $31,020 plus 37% of excess over $135,000
$190,001+: $51,420 plus 45% of excess over $190,000

Plus the Medicare levy of 2% (with reductions for low-income earners). For a full-time minimum wage earner ($52,254.80):

Tax: $4,020 + 30% × ($52,254.80 – $45,000) = $4,020 + $2,176.44 = $6,196.44
Medicare: $52,254.80 × 2% = $1,045.10
Total tax: $7,241.54
Take-home pay: $52,254.80 – $7,241.54 = $45,013.26 per year (before any tax offsets)

Use take-home pay for a more detailed estimate.

Average earnings comparison

According to the Australian Bureau of Statistics (May 2026), full-time adult average weekly ordinary time earnings are $2,083.70 per week, or about $108,352 per year. All employees (including part-time) average $1,579.20 per week. The minimum wage is significantly lower than these averages, reflecting its role as a safety net. See average pay for more data.

Key points to remember

The minimum hourly wage Australia for 2026-27 is $26.44 per hour (NMW).
Most employees are covered by an award with higher rates.
Casual employees get a 25% loading – use casual loading to calculate.
Super is 12% paid on top, not deducted from your pay.
Tax and Medicare reduce your take-home pay.
The formula annual = hourly × hours × 52 assumes consistent hours and no unpaid overtime.

For personalised calculations, visit the timesheet or reference tables. Always check your award or agreement for your exact minimum rate.