Hourly to Annual Pay: Including Retirement Savings Salary Sacrifice and Casual Loading

Understanding Your Hourly to Annual Pay

Converting your hourly rate to an annual figure helps you compare job offers, budget, and plan for tax and super. The basic formula is simple: hourly rate × hours per week × 52 weeks. This article assumes a standard full-time week of 38 hours, as used by the Fair Work Commission for the National Minimum Wage. If you work different hours, adjust the weekly figure.

The Formula and Fortnightly Pay

For a 38-hour week, annual gross pay = hourly rate × 38 × 52. For example, at the National Minimum Wage of $26.44 per hour (from 1 July 2026), the annual gross is $26.44 × 38 × 52 = $52,265.44. Your fortnightly pay is simply your weekly pay multiplied by 2. So weekly pay = hourly × 38, fortnightly = hourly × 76. This is useful if you're paid every two weeks, which is common in many industries.

National Minimum Wage, Award Rates, and Casual Loading

The Fair Work Commission sets the National Minimum Wage each year. From 1 July 2026, it is $26.44 per hour for permanent employees, or $1004.90 per week for 38 hours. Casual employees receive an additional 25% loading, making the casual rate $33.05 per hour. This loading compensates for the lack of paid sick leave and annual leave. Many awards and enterprise agreements set higher minimum rates for specific jobs. Always check your award or agreement with the pay guides or the Fair Work Ombudsman. When using the timesheet, enter your base hourly rate and tick the casual loading checkbox if applicable. Never enter a rate that already includes casual loading.

Superannuation Paid on Top

Employers must pay superannuation guarantee of 12% of your ordinary earnings, on top of your salary. This is not deducted from your pay; it's an additional contribution to your super fund. The maximum earnings base for super guarantee is $270,830 per year (2026–27). For example, if your annual gross is $52,265.44, your employer contributes an extra $6,271.85 to super. This is separate from your take-home pay. You can also make voluntary contributions, including through retirement savings salary sacrifice, where you ask your employer to put some of your pre-tax pay into super. This reduces your taxable income and can boost your retirement savings. The calculator on this site does not deduct salary sacrifice, but you can estimate its effect using the super and packaging page.

Estimating Tax and Medicare

Your annual gross pay is subject to income tax and the Medicare levy. For 2026–27, the resident tax rates are:

• $0 – $18,200: nil
• $18,201 – $45,000: 15%
• $45,001 – $135,000: 30%
• $135,001 – $190,000: 37%
• Over $190,000: 45%

Medicare levy is generally 2% of your taxable income. The tax-free threshold is included. The calculator uses the 2025–26 single reduction thresholds for Medicare because the 2026–27 thresholds were not confirmed here. It does not deduct HELP repayments, the Medicare levy surcharge, or salary packaging. For a more precise estimate, use the take-home pay page or consult the Australian Taxation Office.

Average Weekly Earnings and Comparisons

The Australian Bureau of Statistics publishes Average Weekly Earnings. In May 2026, full-time adult ordinary time earnings were $2083.70 per week. All employees total earnings (including part-time) averaged $1579.20 per week. These are averages across the workforce, not medians for a specific job. If you are looking at a particular occupation, check industry or state averages on the average pay page. Do not assume the average equals your job's median.

Using the Timesheet

The the timesheet, our home page, lets you enter your base hourly rate. A checkbox adds 25% casual loading on top. The calculator then shows your annual, fortnightly, and weekly gross pay, plus estimated super and tax. 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 uses the 2026–27 resident scale with the full tax-free threshold. Medicare uses the 2025–26 single reduction thresholds. This is an estimate, not a determination of your pay or tax.

Fortnightly Pay in Practice

Many employers pay fortnightly. To find your fortnightly gross, multiply your weekly pay by 2. For a casual at $33.05 per hour (including loading) working 38 hours, weekly pay is $1255.90, fortnightly $2511.80. Your super is still calculated on your ordinary earnings (base rate) and paid on top. Remember that tax is withheld each pay period based on your estimated annual earnings.

Retirement Savings Salary Sacrifice

A popular way to boost super is through retirement savings salary sacrifice. You agree with your employer to forgo some salary in exchange for additional super contributions. This reduces your taxable income, so you pay less tax now, but the money is locked away until retirement. The calculator does not model salary sacrifice, but you can use it to see your gross pay and then estimate the effect. For example, if you sacrifice $100 per week, your taxable income drops by $5,200 per year, potentially saving you tax at your marginal rate. Always check the concessional contributions cap with the ATO.

Disclaimer

This article and the calculator provide estimates only. Annual pay 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.

For more detailed information, visit the reference tables or about the timesheet.