Australia · 2026–27 financial year
Australia Income Tax & Take-Home Calculator
Work out your 2026–27 take-home pay — the resident tax brackets, the 2% Medicare levy and surcharge, the Low Income Tax Offset, the new marginal HECS-HELP repayments, and your 12% super.
How Australian income tax works
Residents pay tax in slices: the first $18,200 is tax-free, then 15% to $45,000, 30% to $135,000 (the wide bracket most workers sit in), 37% to $190,000, and 45% above. On top of income tax, most residents pay the 2% Medicare levy, and lower earners get the Low Income Tax Offset of up to $700, which trims the tax bill directly.
HECS-HELP — a new system from July 2025
If you have a student loan, repayments changed fundamentally in 2026–27. The old "percentage of your whole income" system is gone. Now it's marginal: nothing under $69,528, then 15c for each dollar above it, rising in steps. Earning a dollar over the threshold no longer triggers a repayment on your entire salary — it removes the old "cliff."
The Medicare Levy Surcharge and super
High earners without private hospital cover pay an extra 1–1.5% surcharge — often more than a basic policy costs, which is the point. Separately, your employer pays 12% super on top of your wage (the rate reached 12% on 1 July 2025); it doesn't reduce your take-home, it builds your retirement savings.
Frequently asked questions
Is super taken out of my pay?
No. The 12% super guarantee is paid by your employer on top of your salary, into your super fund. Unless you salary-sacrifice extra, it doesn't reduce your take-home pay.
Why is my effective rate lower than my bracket?
Because the lower brackets still apply to your first dollars. On $80,000 the marginal rate is 30% but the effective income-tax rate is about 18.5% — the Medicare levy and HECS are separate on top.
Does HECS come off before or after tax?
It's a compulsory repayment collected through the tax system, calculated on your repayment income above $69,528. This tool shows it alongside income tax and the Medicare levy.
Related
Educational estimate — not tax advice. Australia 2026–27 (ATO): resident rates 0% to $18,200, 15% / 30% / 37% / 45%; 2% Medicare levy with low-income shade-in (no levy under ~$27,222, phasing to full by ~$34,027); Low Income Tax Offset up to $700; Medicare Levy Surcharge 1–1.5% for singles over $101,000 without private hospital cover; HECS-HELP marginal repayments (15c over $69,528, then $9,028 + 17c over $129,717, then 10% over $186,051); super guarantee 12%. It assumes a single Australian resident claiming the tax-free threshold, and uses taxable income as a proxy for repayment/surcharge income. It excludes non-resident and working-holiday rates, SAPTO, family thresholds, and other offsets. Confirm with the
ATO or a registered tax agent.