How do I convert my hourly rate to an annual salary?

Multiply your hourly rate by the number of hours you work each week, then multiply by 52 weeks. For a standard full-time role of 38 hours per week, the formula is: hourly rate × 38 × 52. This gives your gross annual pay before tax and other deductions. For example, at the National Minimum Wage of $26.44 per hour, the annual figure is $26.44 × 38 × 52 = $52,254.80.

What is the difference between the National Minimum Wage and award rates?

The National Minimum Wage ($26.44 per hour from 1 July 2026) applies to employees not covered by an award or registered agreement. Most employees are covered by an industry or occupation award, which sets higher minimum rates, penalty rates, and allowances. Award rates often exceed the National Minimum Wage, so you should check your specific award using the Fair Work Ombudsman's Pay and Conditions Tool.

How is casual loading calculated and does it affect super?

Casual employees receive a 25% loading on top of the base hourly rate. For the National Minimum Wage, that means $26.44 × 1.25 = $33.05 per hour. Superannuation (12% of ordinary earnings) is paid on the base rate plus casual loading, because the loading is part of ordinary earnings. The super is paid on top of your gross pay, not deducted from it.

Understanding the USA Minimum Wage vs Australian Pay: How to Convert Hourly to Annual Salary

Based on a 38-hour week, the Australian National Minimum Wage is $26.44 per hour, yielding $1004.90 per week or $52,254.80 annually before tax.

Converting Hourly to Annual Pay in Australia

When you're comparing job offers or planning your budget, converting an hourly rate to an annual salary is essential. In Australia, the standard full-time week is 38 ordinary hours per week, so the formula is straightforward: hourly rate × 38 hours × 52 weeks. This gives your gross annual gross pay before tax and other deductions. For example, the USA minimum wage in the US is set at a different level, but in Australia the National Minimum Wage from 1 July 2026 is $26.44 per hour, which equals $1004.90 per week or $52,254.80 per year. The fortnightly equivalent is weekly × 2, so $1004.90 × 2 = $2009.90 per fortnight.

The National Minimum Wage and Award Rates

The National Minimum Wage applies to award/agreement-free employees. Most workers are covered by an award or enterprise agreement, which often higher rates. For instance, the Australian Bureau of Statistics reports full-time adult ordinary time earnings average $2083.70 per week (May 2026), while all employees including part-time average $1579.20 per week. These figures are significantly above the minimum. Use the minimum wage page for current rates.

Casual Loading and Super

Casual employees get a 25% loading on top of their base rate. For the National Minimum Wage, that's $33.05 per hour. Superannuation Guarantee is 12% of ordinary earnings, paid on top of your gross pay, up to the maximum contribution base of $270,830. The super is not deducted from your pay. See casual loading for more details.

Tax and Medicare

Resident tax for 2026-27: nil up to $18,200; 15% from $18,201 to $45,000; 30% to $135,000; 37% to $190,000; 45% above. Medicare levy is 2% of taxable income. The tax-free threshold is included. For a full-time minimum wage earner ($52,254.80), the tax would be approximately $5,092 plus Medicare $1,045. Use the take-home pay tool to estimate.

Using the Hourly to Annual Converter

Our hourly conversion tool lets you enter your base hourly rate. A checkbox adds 25% casual loading on top. Never enter a rate that already includes casual loading. The tool 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 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.

Comparing with the USA Minimum Wage

While the USA minimum wage varies by state and is set at a federal level of $7.25 per hour (unchanged since 2009), Australia's National Minimum Wage is $26.44 per hour. That's over three times the US federal rate. However, cost of living and social benefits differ. Always check local conditions. For more on award rates, see pay guides or reference tables.

Fortnightly Pay and Budgeting

Many Australian employers pay fortnightly. To find your fortnightly gross, multiply your weekly pay by 2. For a minimum wage worker, that's $2009.80 per fortnight before tax. After tax and Medicare, you'd take home around $1,700 depending on your circumstances. Use the super and packaging page to understand how salary sacrifice affects your take-home.

Summary

Converting hourly to annual is simple: hourly × hours per week × 52. For a 38-hour week, the National Minimum Wage gives $52,254.80 per year. Add casual loading if applicable, and remember super is paid on top. Tax and Medicare reduce your take-home. Always check your award or agreement for the correct minimum rate. The about the timesheet page explains our assumptions.