Minimum Salary in Australia: The Weekly Packet After Tax, Medicare, and Super

As of 1 July 2026, the national minimum wage in Australia is $26.44 per hour or $1,004.90 per week for adult award/agreement-free employees.

Understanding the minimum salary in Australia

When people search for the "minimum salary in Australia", they are usually asking about the legal pay floor. The answer depends on whether you are covered by a modern award, an enterprise agreement, or neither. This guide explains the current rates, how tax and super affect your weekly packet, and how the minimum compares to average earnings.

The national minimum wage

The Fair Work Commission sets the national minimum wage each year. From 1 July 2026, the rate for adult award/agreement-free employees is $26.44 per hour or $1,004.90 per week based on a 38‑hour week. Casual employees receive a 25% loading, making the casual rate $33.05 per hour. These rates are before tax and before super.

Most employees are not on the national minimum wage because they are covered by a modern award or an enterprise agreement. Awards set higher minimum rates for specific industries and occupations. From 1 July 2026, award minimum wages increased by 4.75%, but the lowest ongoing classification cannot fall below the national minimum ($26.44/h). Introductory rates (limited to the first six months) cannot fall below $25.74/h or $978.10/week.

Award and agreement rates

If you are unsure which pay floor applies, start by checking whether a modern award covers your job. The Fair Work Ombudsman provides a Pay and Conditions Tool to help. If you are covered by an enterprise agreement, the agreement must provide base rates at least as high as the relevant award. For award‑free and agreement‑free employees, the national minimum wage applies.

Special rates exist for juniors, apprentices, trainees, and employees with disability. For example, an award‑free 16‑year‑old is entitled to 47.3% of the adult rate: $12.51 per hour ($15.64 casual). These percentages are set by the Fair Work Commission and are not negotiable downwards.

The weekly packet: tax, Medicare, and super

Your gross weekly pay is the starting point. From that, your employer withholds pay‑as‑you‑go (PAYG) tax and sends it to the Australian Taxation Office. For the 2026‑27 income year, a resident earning only the national minimum wage ($1,004.90/week, annualised to $52,254.80) would pay roughly $6,800 in tax after the tax‑free threshold, plus Medicare levy of 2% (about $1,045). That leaves a net weekly take‑home of about $850–$870, depending on your exact circumstances.

Superannuation is an employer cost on top of your gross pay. From 1 July 2026, the super guarantee is 12% of ordinary time earnings. For an employee on the national minimum wage, the employer must contribute an extra $120.59 per week into a super fund. This is not part of your take‑home pay but is a compulsory retirement saving.

How it compares to average earnings

The national minimum wage is a safety net, not a benchmark for typical pay. The Australian Bureau of Statistics reported that in May 2026, average weekly total earnings for all employees was $1,579.20. Full‑time adult ordinary‑time earnings averaged $2,083.70 per week. These figures show that most employees earn well above the minimum.

If you are negotiating a salary, remember that the legal minimum is only one factor. Your skills, experience, and the market rate for your role matter more. Use Which minimum wage applies to check your award, and see Rate tables for current award pay guides.

Key points to remember

  • The national minimum wage is $26.44/h or $1,004.90/week (adult, award‑free).
  • Most workers are covered by an award or agreement with higher rates.
  • Juniors, apprentices, and trainees can be paid less.
  • Super (12%) is paid on top of gross wages.
  • Tax and Medicare reduce your take‑home pay.
  • The minimum is a floor; average earnings are much higher.

For more detail on how rates are set, visit How the figures work. If you need help understanding your entitlements, the Fair Work Ombudsman and Fair Work Commission are the official sources.

Questions people ask next

What is the minimum salary in Australia?

The national minimum wage is $26.44 per hour or $1,004.90 per week for adult employees not covered by a modern award or enterprise agreement. Most workers are covered by an award which sets higher minimum rates. Juniors, apprentices, trainees, and employees on introductory rates may be paid less.

How does the minimum wage compare to average earnings?

The Australian Bureau of Statistics reports that average weekly total earnings for all employees was $1,579.20 in May 2026, well above the national minimum. The minimum wage is a floor, not a typical salary. Many employees earn more due to award classifications, enterprise agreements, or negotiated salaries.

Does the minimum salary include superannuation?

No. The national minimum wage rates are gross pay before tax. Superannuation is paid on top at 12% of ordinary time earnings (from 1 July 2026). For example, an employee earning $1,004.90 per week would receive an additional $120.59 in super, paid by the employer into the employee's super fund.

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