Income Tax & Take-home Pay Calculator

For Australian residents, the 2025–26 brackets are:

• $0 – $18,200: 0% (tax-free threshold)
• $18,201 – $45,000: 16% on the excess
• $45,001 – $135,000: $4,288 + 30% on the excess
• $135,001 – $190,000: $31,288 + 37% on the excess
• $190,001+: $51,638 + 45% on the excess

These rates were locked in by the Stage 3 tax cut amendments passed in early 2024. They came into effect 1 July 2024 and apply for 2024–25 and 2025–26.

Take-home pay = gross income − income tax − Medicare levy − HECS withholding (if any) + Low Income Tax Offset (if eligible).

Each component:

• Income tax: applied progressively across the brackets above.
• Medicare levy: 2% of taxable income above ~$27,222 (with a shading-in zone between $27,222 and $34,027).
• HECS-HELP withholding: under the new 2025–26 marginal system, 15% of income above $67,000 and 17% above $125,000.
• LITO (Low Income Tax Offset): up to $700 if your taxable income is under $37,500; phases out by $66,667.

This calculator does all of this automatically when you enter your gross income.

Your marginal tax rate is the rate applied to your next dollar earned. So if you earn $80,000 and your marginal rate is 30%, earning an extra $1,000 means $300 of it goes to tax.

Your effective tax rate is your total tax as a percentage of your total income. It's always lower than your marginal rate because not all your income is taxed at the top bracket — the lower brackets (and tax-free threshold) bring the average down.

Example: someone on $90,000 has a 30% marginal rate but an effective rate of about 21–22% after Medicare and offsets.

Salary sacrifice (called "concessional contributions" by the ATO) can be very tax-effective if you're on the 30% bracket or higher. Money packaged into super is taxed at 15% inside the fund instead of your marginal rate — saving 15% (or 22%, or 30%) in tax.

The 2025–26 concessional cap is $30,000 per year (up from $27,500 in prior years), and includes the 11.5% super your employer pays plus any additional sacrifice.

Trade-off: the money is locked in super until preservation age (60+ for most). For high-income earners with capacity to wait, it's typically the most tax-effective single move available. Use this calculator to see the immediate take-home pay impact.

The Medicare Levy Surcharge (MLS) is an additional 1–1.5% on top of the standard Medicare levy, applied to higher-income earners who don't have private hospital cover.

2025–26 thresholds (singles):

• Below $97,000: no MLS
• $97,001–$113,000: 1% MLS
• $113,001–$151,000: 1.25% MLS
• $151,001+: 1.5% MLS

This calculator doesn't include MLS — it depends on whether you have private health cover. If you're a high-income earner without hospital cover, factor in an extra 1–1.5% of your taxable income.

Non-residents for tax purposes don't get the $18,200 tax-free threshold, and they don't pay the Medicare levy. Their brackets:

• $0 – $135,000: 30% from the first dollar
• $135,001 – $190,000: $40,500 + 37% on the excess
• $190,001+: $60,850 + 45% on the excess

Working holiday makers (417/462 visa) have separate brackets starting at 15% from the first dollar.

No. This calculator gives your tax payable on the gross income you enter, before any deductions. Common deductions like work-from-home expenses, professional development, donations, investment property losses, etc. would reduce your taxable income.

For an accurate result with deductions, subtract your expected deductions from your gross income before entering it here, or use a tax agent / ATO myTax for your actual tax return.