Can I be paid less than the national minimum wage?

Yes, in some circumstances. Junior employees (under 21), apprentices, trainees, and employees with a disability may be paid a percentage of the national minimum wage. Some awards also have introductory rates for the first six months. However, once you are classified at the lowest ongoing level in an award, the rate cannot fall below $26.44 per hour or $1,004.90 per week from 1 July 2026.

Does the national minimum wage include superannuation?

No. The national minimum wage is gross pay before tax. Superannuation is paid on top of ordinary time earnings. From 1 July 2026 the super guarantee rate is 12%, and employers must pay it at the same time as wages (payday super). For example, an adult earning the national minimum wage of $26.44 per hour would also attract an additional $3.17 per hour in super, making the total employment cost about $29.61 per hour.

Smart salary: understanding your pay floor and how to compare

Q: What is a smart salary?

A smart salary is one that reflects your legal entitlements and market value. It means knowing the minimum you must be paid under the Fair Work system, then comparing that to industry averages or award rates to negotiate a fair outcome. It is not a specific product or portal; rather, it is an approach to understanding your pay.

From 1 July 2026 the national minimum wage is $26.44 per hour or $1,004.90 per week for award-free adults, but most workers are covered by a modern award that may set a higher rate.

What is a smart salary?

A smart salary is one you understand from the ground up. It starts with knowing the legal minimum you are entitled to, then comparing that to what others in your industry earn, and finally negotiating a rate that reflects your skills and experience. This guide explains the building blocks of a smart salary in Australia, using the latest figures from the Fair Work Ombudsman, the Fair Work Commission, and the Australian Bureau of Statistics.

The legal minimum floor

The Fair Work Commission sets the national minimum wage each year. From 1 July 2026, the adult national minimum wage is $26.44 per hour or $1,004.90 per week for a 38‑hour week. This applies to employees who are not covered by a modern award or an enterprise agreement. If you are award‑free and agreement‑free, this is your absolute floor.

However, most Australian workers are covered by a modern award. Awards set minimum pay rates for specific industries or occupations. From 1 July 2026, award minimum wages increased by 4.75%, but the lowest ongoing classification in any award cannot be less than the national minimum wage ($26.44 per hour or $1,004.90 per week). Some awards have introductory rates for the first six months of employment; those rates must be at least $25.74 per hour or $978.10 per week.

Casual employees receive a 25% loading on top of the minimum rate. For award‑free adults, the casual minimum is $33.05 per hour. Award casual loadings may differ, but the 25% is the default for award‑free workers.

Junior employees (under 21) who are award‑free are paid a percentage of the national minimum wage based on age. For example, a 17‑year‑old gets 57.8% = $15.29 per hour, or $19.11 casual. Apprentices and trainees have their own special rates under the Miscellaneous Award. Always check your award or the Fair Work Ombudsman’s Pay and Conditions Tool for the exact rate.

How the average compares

The Australian Bureau of Statistics (ABS) publishes average earnings data. In May 2026, full‑time adult ordinary‑time earnings averaged $2,083.70 per week. All employees (including part‑time and casual) averaged $1,579.20 per week in total earnings. These are survey averages, not a legal minimum. A smart salary means recognising that the average is much higher than the minimum, but your personal circumstances and industry matter more.

Negotiating above the floor

A smart salary is rarely the minimum. If you are covered by a modern award, your award classification may set a rate above the national minimum. For example, a skilled tradesperson under the Manufacturing Award or a registered nurse under the Nurses Award will have a higher minimum. Enterprise agreements can also set higher rates. When you negotiate, consider your experience, qualifications, and the market rate for your role.

Remember that superannuation is paid on top of your salary. From 1 July 2026, the super guarantee is 12% of ordinary time earnings. So if your base salary is $60,000, your employer must also contribute $7,200 in super. That is part of your total remuneration, but it is not cash in hand.

Putting it together

To build a smart salary:

Identify your award using the Which minimum wage applies guide.
Check the exact pay rates in Rate tables for your classification.
Compare with ABS averages for your occupation.
Factor in super, penalties, and allowances.
Negotiate from a position of knowledge.

This site does not provide a pay determination or legal advice. Always confirm your entitlements with the Fair Work Ombudsman or a workplace relations professional.

For the published floors, see the rate tables and how the figures work.