How the New Minimum Wage Affects Your Hourly to Annual Pay
Based on the new minimum wage of $26.44 per hour for a 38-hour week, annual gross pay is approximately $52,270, with super and tax calculated on top.
Understanding the New Minimum Wage
The Fair Work Commission’s new minimum wage from 1 July 2026 is $26.44 per hour for a 38-hour week. This is the National Minimum Wage, the legal floor for most employees not covered by an award or agreement. Many workers are covered by industry or occupation awards that set higher minimum rates. The new minimum wage serves as a benchmark for converting hourly pay to annual salary.
Converting Hourly to Annual Pay
The basic formula is: hourly rate × hours per week × 52 weeks. For a full-time employee working 38 hours per week, annual gross pay equals hourly × 38 × 52. For the new minimum wage: $26.44 × 38 × 52 = $52,269.44 per year. This calculation assumes you work the same hours every week with no unpaid overtime, penalty rates, or allowances. Use our the timesheet to enter your base hourly rate and see the annual equivalent.
Fortnightly Pay
If you are paid fortnightly, multiply your weekly pay by two. For the new minimum wage, weekly pay is $1004.90 (38 hours × $26.44), so fortnightly gross is $2009.80 before tax and super. This can help you budget between pay cycles.
National Minimum Wage vs Award Rates
The National Minimum Wage applies to employees not covered by an award or registered agreement. Award rates are set by the Fair Work Ombudsman for specific industries and occupations, and are often higher. For example, a retail employee may have a higher minimum under the General Retail Industry Award. Always check your award if you have one. See our minimum wage page for more details.
Casual Loading
Casual employees receive a 25% loading on top of the base hourly rate to compensate for lack of paid leave. For the new minimum wage, the casual rate is $33.05 per hour ($26.44 × 1.25). When using our the timesheet, tick the casual loading checkbox to add 25% automatically. Do not enter a rate that already includes casual loading.
Superannuation
Superannuation guarantee is 12% of your ordinary time earnings, paid on top of your salary. For the new minimum wage, annual super would be $6,272.33 (12% of $52,269.44). However, super is only paid up to the maximum contribution base of $270,830 per quarter. Super is not deducted from your pay; it is an additional contribution from your employer. See our super and packaging page.
Tax and Take-Home Pay
For the 2026–27 financial year, resident tax rates are: nil on the first $18,200, 15% on income from $18,201 to $45,000, 30% on $45,001 to $135,000, 37% on $135,001 to $190,000, and 45% above $190,000. Medicare levy is generally 2%. For a full-time worker on the new minimum wage ($52,269.44), estimated tax is about $5,640 plus Medicare $1,045, leaving take-home pay around $45,584. This is an estimate; use our take-home pay page for a more detailed calculation.
Important Notes
This conversion assumes a consistent 38-hour 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 uses the 2026–27 resident scale with full tax-free threshold. Medicare uses the 2025–26 single reduction thresholds because the 2026–27 thresholds were not confirmed. HELP, Medicare levy surcharge, and salary packaging are not deducted. This is an estimate, not a determination of your pay or tax.
Average Weekly Earnings
According to the Australian Bureau of Statistics, average weekly earnings for full-time adult ordinary time were $2,083.70 in May 2026. That is significantly higher than the new minimum wage, reflecting that many workers earn above the legal minimum. For all employees including part-time, average total earnings were $1,579.20 per week. These are averages, not medians for any specific job. See our average pay page for more.
Using Our Tools
Our the timesheet lets you enter your base hourly rate and see annual, monthly, fortnightly, and weekly pay. Tick the casual loading checkbox if applicable. For award rates, refer to the pay guides or reference tables. Always check your specific award or agreement for exact rates. The new minimum wage is a starting point; your actual pay may be higher under an award or agreement.
Open the same rate on the home timesheet. Read the reference tables before treating a figure as your pay.