What is the national minimum wage from 1 July 2026?

The Fair Work Commission set the national minimum wage at $26.44 per hour or $1,004.90 per week for a 38-hour week. This applies to award-free and agreement-free employees in the national system. Casual employees receive a 25% loading, making the casual rate $33.05 per hour.

Do all workers get $26.44 per hour?

No. Junior employees (under 21), apprentices, trainees, and supported wage employees may be paid less. For award-free juniors, rates are a percentage of the national minimum based on age (e.g., under 16: $9.73 per hour). Also, most employees are covered by a modern award or enterprise agreement, which can set higher minimum rates than the national minimum.

How does the salary increase 2026 affect award-covered employees?

Modern award minimum wages increased by 4.75% from the first full pay period on or after 1 July 2026. However, the lowest ongoing classification in any award cannot fall below the national minimum of $26.44 per hour or $1,004.90 per week. Introductory rates (first 6 months) are capped at $25.74 per hour or $978.10 per week. Check your specific award using the Fair Work Ombudsman's Pay and Conditions Tool.

Salary Increase 2026: Award Coverage vs Award-Free Rates

From 1 July 2026, the national minimum wage is $26.44 per hour or $1,004.90 per week, but most employees are covered by a modern award which may set a higher rate.

Salary Increase 2026: Know Your Pay Floor

The salary increase 2026 from the Fair Work Commission raised the national minimum wage and modern award rates from 1 July 2026. Understanding which pay floor applies to you is essential, especially when comparing award coverage versus award-free rates.

The Legal Minimum: National Minimum Wage

For employees not covered by a modern award or enterprise agreement, the national minimum wage is set by the Fair Work Commission. From 1 July 2026, the rate is:

$26.44 per hour
$1,004.90 per week (based on 38 ordinary hours)
$33.05 per hour for casual employees (including 25% loading)

These figures come from the Fair Work Ombudsman and the Fair Work Commission. The national minimum wage applies to national-system employees who are award-free and agreement-free. Most private-sector employees are in the national system, but some state public sector and local government workers may be covered by state awards.

Award Coverage: Higher Rates for Most Workers

Most Australian employees are covered by a modern award. Awards are legal documents that set minimum pay rates and conditions for specific industries or occupations. From 1 July 2026, minimum award wages increased by 4.75%, but with important backstops:

The lowest ongoing classification in any award must be at least $26.44 per hour or $1,004.90 per week.
Any introductory rate limited to the first 6 months of employment must be at least $25.74 per hour or $978.10 per week.

If you are covered by an award, your minimum pay is likely higher than the national minimum wage. Use the Which minimum wage applies guide or the Fair Work Ombudsman's Pay and Conditions Tool to check your award.

How the Salary Increase 2026 Compares to Average Earnings

The national minimum wage is a floor, not a benchmark for typical pay. According to the Australian Bureau of Statistics (ABS) May 2026 data:

Full-time adult ordinary-time earnings: $2,083.70 per week
All employees average total earnings: $1,579.20 per week

The national minimum wage of $1,004.90 per week is about 64% of the all-employees average. This gap highlights that most workers earn above the minimum, often due to award rates, enterprise agreements, or individual negotiation.

Superannuation: An Employer Payment on Top

When discussing pay, remember that employers must pay superannuation guarantee contributions on top of ordinary time earnings. From 1 July 2026, the super guarantee rate is 12%. For an employee earning the national minimum wage of $1,004.90 per week, the employer must contribute an additional $120.59 to super. This is not deducted from the employee's wage; it is an extra cost for the employer.

Award-Free Juniors, Apprentices, and Trainees

Not every worker receives $26.44 per hour. For award-free employees under 21, junior rates apply as a percentage of the national minimum wage:

Age	% of NMW	Hourly rate	Casual rate (incl. loading)
Under 16	36.8%	$9.73	$12.16
16	47.3%	$12.51	$15.64
17	57.8%	$15.29	$19.11
18	68.3%	$18.06	$22.58
19	82.5%	$21.82	$27.28
20	97.7%	$25.84	$32.30
21+	100%	$26.44	$33.05

Apprentices and trainees who are award-free follow rates in the Miscellaneous Award, not the junior percentages. Supported wage employees may also receive a percentage based on their productivity.

Enterprise Agreements and Negotiated Salaries

If you are covered by an enterprise agreement, your base pay rate cannot be less than the relevant award rate. The salary increase 2026 may flow through to agreement rates if they reference award rates. However, many agreements set higher rates through bargaining. A negotiated salary can be above both the award and the national minimum wage, but it must still meet the legal minimums.

How to Check Your Pay

To determine which pay floor applies to you:

Check if you are covered by a modern award using the Rate tables or the Fair Work Ombudsman's list of awards.
If no award applies, the national minimum wage is your floor (unless you are a junior, apprentice, etc.).
If an enterprise agreement covers you, compare its rates to the relevant award.

Remember, an award or agreement can require a higher rate than the national minimum. The figures on this site are for orientation only and are not a pay determination or legal advice.

Summary

The salary increase 2026 raised the national minimum wage to $26.44 per hour and increased award rates by 4.75%. Most workers are covered by an award that sets a higher minimum. Always check your specific award or agreement to know your correct pay rate. For more details, see our Guides and How the figures work pages.