What is a salary certificate and when do I need one?

A salary certificate is an official document from your employer confirming your income, often required for rental applications, loans, or visa sponsorship. It typically states your annual salary or hourly rate and hours worked. If you are paid by the hour, the certificate may show your base rate and average weekly hours, which you can use to verify your annualised pay.

How do I calculate my annual salary from an hourly rate?

Multiply your hourly rate by the number of hours you work per week (usually 38 for full-time) and then by 52 weeks. For example, the National Minimum Wage of $26.44 per hour gives $26.44 × 38 × 52 = $52,254.80 per year. If you are casual, add the 25% loading first: $33.05 × 38 × 52 = $65,318.80. Always check your award or agreement for the correct minimum rate.

Does the National Minimum Wage apply to everyone?

No. The National Minimum Wage set by the Fair Work Commission applies only to award/agreement-free employees. Most employees are covered by a modern award or enterprise agreement that sets higher minimum rates. For example, the SCHADS Award has specific rates for home care workers. Use the Fair Work Ombudsman pay guides to find the correct award rate for your job.

How to Use a Salary Certificate to Verify Your Hourly Rate Against the National Minimum Wage and Award Rates

Using a 38-hour week, the National Minimum Wage of $26.44 per hour equates to $52,254.80 annually, with casual loading at $33.05 per hour.

Understanding Your Hourly Rate and Annual Pay

When you receive a job offer or need to verify your income for a rental application, a salary certificate is often required. This document confirms your earnings, but if you are paid by the hour, you need to convert that rate into an annual figure. The standard method is to multiply your hourly rate by the number of hours you work each week and then by 52 weeks. For full-time employees, the typical week is 38 hours, as defined by the Fair Work Commission for the National Minimum Wage.

The National Minimum Wage vs Award Rates

The Fair Work Commission sets the National Minimum Wage each year. From 1 July 2026, it is $26.44 per hour, or $1004.90 per week for 38 hours. This is the minimum for employees not covered by an award or agreement. However, most Australian workers are covered by a modern award, which often provides higher rates. For example, the Social, Community, Home Care and Disability Services (SCHADS) Award has specific classifications with higher minimum pay. The Fair Work Ombudsman provides pay guides for each award, listing the correct rates for full-time, part-time, and casual employees.

If you are comparing a salary offer to an hourly rate, always check which award applies to your role. A salary certificate from your employer should state the award or agreement that governs your pay. If it only shows the National Minimum Wage, you may be underpaid if your award requires more.

Casual Loading and Superannuation

Casual employees receive a 25% loading on top of the minimum hourly rate, as per the Fair Work Commission. For the National Minimum Wage, this means $33.05 per hour. When calculating annual pay for a casual worker, use the loaded rate. For example, $33.05 × 38 × 52 = $65,318.80. However, casuals do not receive paid leave, so the loading compensates for that.

Superannuation is paid on top of your gross earnings. From 1 July 2026, the super guarantee is 12% of your ordinary time earnings, up to the maximum contribution base of $270,830. This means if your annual salary is $52,254.80, your employer must contribute an additional $6,270.58 to your super fund. The super is not deducted from your pay; it is an extra cost for the employer. When you see a salary certificate, it may show your base salary excluding super, or it may include super as a separate line. Always clarify which figure is used.

Using a Salary Certificate for Verification

A salary certificate typically includes your name, employer, employment type (full-time, part-time, casual), and your pay rate. If you are paid hourly, the certificate should state your hourly rate and average weekly hours. You can then calculate your annual gross pay using the formula: hourly rate × hours per week × 52. For a part-time employee working 20 hours per week at $30 per hour, that is $30 × 20 × 52 = $31,200 per year. The fortnightly equivalent is $31,200 ÷ 26 = $1,200 per fortnight.

When you use our the timesheet tool, you can enter your base hourly rate and optionally add the 25% casual loading to see your annualised pay. The tool assumes a 38-hour week unless you adjust it. It then estimates your tax using the 2026–27 resident rates and Medicare levy, and calculates super at 12% on top. This gives you a realistic picture of your take-home pay and total remuneration.

Why the National Minimum Wage Matters

Even if you are covered by an award, the National Minimum Wage serves as a safety net. No employee can be paid less than this, regardless of their award or agreement. The Fair Work Ombudsman enforces these minimums. If you suspect you are being underpaid, you can request a salary certificate from your employer and compare it to the relevant award rate. The Fair Work Ombudsman’s Pay Calculator can also help you check your minimum entitlements.

For more detailed reference tables, see our reference tables page. If you need to understand how tax and super affect your pay, visit take-home pay and super and packaging.

Summary

Converting an hourly rate to an annual salary is straightforward: multiply by hours per week and 52. The National Minimum Wage of $26.44 per hour gives $52,254.80 per year for a 38-hour week. Casual employees add 25% loading. Award rates may be higher. A salary certificate should clearly state your rate and hours, allowing you to verify your pay. Always check the Fair Work Ombudsman pay guides for your award, and remember that super is paid on top of your gross earnings.