TimesheetGuidesSuper and packaging
Convert Hourly Pay to Annual Salary: Including Salary Sacrifice Living Expenses and Tax
For a 38-hour week, annual gross pay is hourly rate × 38 × 52, with super paid on top at 12%.
Understanding the Hourly to Annual Conversion
When you’re offered an hourly rate or a salary, it helps to see the full picture: what you’ll earn in a year, a fortnight, and after tax and super. The standard approach is to multiply your hourly rate by the hours you work each week and then by 52 weeks. For most full-time employees, the typical week is 38 hours, as set by the Fair Work Commission. That gives you:
Annual gross pay = hourly rate × 38 × 52
For example, if your rate is $30 per hour, your annual gross is $30 × 38 × 52 = $59,280. This is before tax, Medicare levy, and super. It also assumes you work every week of the year with no unpaid leave or overtime. If you work a different number of hours, adjust the formula accordingly. Our hourly conversion tool on the timesheet lets you enter any hours per week.
The Fortnightly View
Many employers pay fortnightly. To get your gross fortnightly pay, multiply your weekly pay by two. Weekly pay is hourly rate × hours per week. So for $30 per hour at 38 hours, weekly is $1,140 and fortnightly is $2,280. This can help you budget and compare with salary offers that are quoted per annum.
Minimum Wage, Award Rates, and Casual Loading
The National Minimum Wage from 1 July 2026 is $26.44 per hour, or $1,004.90 per week for 38 hours. If you’re a casual employee, you get a 25% loading on top, making it $33.05 per hour. This loading compensates for not receiving paid leave. Many employees are covered by awards that set higher minimum rates for specific industries or roles. These are called award rates, and they can be above the national minimum. Check your award on the Fair Work Ombudsman website or use our pay guides to find the correct rate for your job.
On the timesheet, you’ll see a checkbox for casual loading. Never type a rate that already includes casual loading – the tool adds it for you. If you’re a permanent employee, leave the box unchecked.
Superannuation: Paid on Top
Your employer must pay super guarantee contributions on top of your ordinary earnings. From 1 July 2026, the rate is 12% of your ordinary time earnings, up to a maximum contribution base of $270,830 per year. Super is not deducted from your pay; it’s an extra cost for the employer. So if your annual gross is $59,280, your super would be about $7,113.60 (12% of $59,280) – but only if your earnings are below the cap. For high earners, super stops once your ordinary earnings exceed $270,830. Learn more about super and packaging.
Tax and Medicare Levy
Your take-home pay depends on tax and the Medicare levy. For the 2026–27 financial year, the resident tax rates are:
- Nil on the first $18,200
- 15% on income from $18,201 to $45,000
- 30% on income from $45,001 to $135,000
- 37% on income from $135,001 to $190,000
- 45% on income above $190,000
The Medicare levy is generally 2% of your taxable income. For 2025–26, single reduction thresholds apply (the 2026–27 thresholds were not confirmed in this estimate, so our calculator uses the 2025–26 figures). This means if your income is below a certain amount, the levy may be reduced or waived. Our take-home pay estimate includes these calculations, but it does not account for HELP repayments, the Medicare levy surcharge, or salary packaging.
Salary Sacrifice Living Expenses
One way to reduce your taxable income is through salary sacrifice living expenses. This is an arrangement where you agree to take a lower gross salary in exchange for your employer paying for certain living costs – such as rent, mortgage payments, or utility bills – directly from your pre-tax income. The benefit is that you pay less tax on that portion of your earnings. However, salary sacrifice can affect your super guarantee (which is based on your reduced salary) and other entitlements like leave loading. It’s a complex area, and our calculator does not model it. Always seek professional advice or refer to the Australian Taxation Office before entering into a salary sacrifice agreement.
Using the Timesheet
Our the timesheet is the home page where you type your base hourly rate. The tool instantly shows your annual, fortnightly, and weekly gross pay, plus estimated tax, Medicare, and super. Remember the assumptions: no unpaid overtime, no penalty rates, no allowances, and no salary sacrifice. The super estimate is 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 because the 2026–27 reduction thresholds were not confirmed here. This is an estimate, not a determination of your pay or tax.
Comparing with Averages
The Australian Bureau of Statistics publishes Average Weekly Earnings. For May 2026, full-time adult ordinary time earnings were $2,083.70 per week. All employees total earnings (including part-time) averaged $1,579.20 per week. These are averages, not medians for your specific job. For industry or state averages, see our average pay page. If you’re looking for a specific occupation, check job pay or reference tables for award rates.
Key Takeaways
- Use the formula: hourly rate × hours per week × 52 for annual gross.
- The standard full-time week is 38 hours.
- Casual loading is 25% on top of the base rate – use the checkbox, don’t enter a loaded rate.
- Super is 12% paid on top, up to the cap.
- Tax and Medicare reduce your take-home pay; our calculator estimates these.
- Salary sacrifice living expenses can lower your tax but is not included in the estimate.
For a quick calculation, visit the timesheet and enter your rate. For more detailed guides, explore our pay guides and about the timesheet page.
Open the same rate on the home timesheet. Read the reference tables before treating a figure as your pay.