Calculator methodology and sources
Every one of our Australian tax & pay calculators applies published formulas for the 2026-27 financial year (1 July 2026 to 30 June 2027). Rates come from the Australian Taxation Office (ATO), the Fair Work Ombudsman, the ABS, Services Australia and the Department of Social Services, last checked on 1 November 2026.
By Calculatax
Calculation methods by calculator family
Income tax and offsets
Resident income tax is the base amount for the bracket plus the marginal rate on each dollar above its lower threshold.
| Taxable income | Tax |
|---|---|
| $0 to $18,200 | Nil |
| $18,201 to $45,000 | 15c for each $1 over $18,200 |
| $45,001 to $135,000 | $4,020 plus 30c for each $1 over $45,000 |
| $135,001 to $190,000 | $31,020 plus 37c for each $1 over $135,000 |
| $190,001 and over | $51,370 plus 45c for each $1 over $190,000 |
Net tax is income tax, minus LITO, plus the Medicare levy, plus any HELP repayment.
How LITO and the Medicare levy are applied
The low income tax offset (LITO) is $700 up to $37,500. It falls by 5c per $1 from $37,501 to $45,000, leaving $325. It then falls by 1.5c per $1 above $45,000 and reaches nil at $66,667.
LITO is non-refundable, so we cap it at the income tax payable.
The Medicare levy is 2% of taxable income. Above the low-income threshold, we apply the shade-in rule: the levy is the lower of 2% of income and 10c for each $1 above the threshold.
We use the latest announced thresholds, which are for 2025-26: $28,011 for singles, $47,238 for families plus $4,338 per child, and $44,268 for single SAPTO recipients. At $30,000, the levy is $198.90 under the shade-in.
PAYG withholding
Withholding follows the ATO Schedule 1 formula y = ax − b. Here x is weekly earnings in whole dollars plus 99 cents, and a and b are the ATO Schedule 1 coefficients for weekly payments (opens in a new tab) for the earnings band and scale. We round y to the nearest dollar, with 50 cents rounded up, as the ATO formula rules require.
Other pay cycles convert to and from a weekly figure:
- Fortnightly: halve the earnings, find the weekly withholding, then double it.
- Monthly: add 1 cent if the amount ends in 33 cents, multiply by 3 and divide by 13. Multiply the weekly withholding by 13, divide by 3, and round to the nearest dollar.
- Quarterly: divide the earnings by 13, then multiply the weekly withholding by 13.
Worked example: $6,500 a month on Scale 2
$6,500 a month on Scale 2 (tax-free threshold claimed) converts to x = $1,500.99. Then y = 0.3200 × 1,500.99 − 181.7319 = $298.58, rounded to $299. Monthly withholding is $299 × 13 ÷ 3 = $1,296.
HELP repayments
HELP and other study loan repayments use the 2026-27 marginal system. Nothing is repaid up to $69,528. Above that, it's 15c per $1 to $129,717, then $9,028 plus 17c per $1 to $186,050.
Above $186,050, the repayment is 10% of total repayment income, including the first $186,050. Withholding for study loans uses the ATO Schedule 8 formula in the same y = ax − b form.
Super
Super guarantee is 12% of qualifying earnings, up to the annual maximum contribution base of $270,830. Contribution cap checks use $32,500 concessional and $130,000 non-concessional.
Division 293 applies above $250,000. The co-contribution matches 50c per $1 up to $500, falling evenly to nil between $49,293 and $64,293.
GST
Adding GST multiplies the GST-exclusive price by 1.1. Removing it divides the GST-inclusive price by 11 to find the GST. On a BAS, GST on sales (1A) is taxable sales including GST ÷ 11, and GST credits (1B) are claimable purchases including GST ÷ 11.
Rounding and assumptions
Annual tax figures are worked out to the cent. Withholding amounts are whole dollars, as set out above. Take-home pay per period divides the annual result by 12, 26 or 52.
Unless you change an input, each calculator assumes:
- You're an Australian resident for tax purposes for the whole year.
- The income you enter is your taxable income, with no other income.
- You pay the Medicare levy at the single rate and have no exemption.
- You have no HELP debt and no Medicare levy surcharge to pay.
What our calculators do not model
Results are estimates, as our Disclaimer sets out, and will differ from your notice of assessment when any of these apply:
- Part-year residency, foreign income or capital gains.
- Tax offsets other than LITO, and SAPTO outside the SAPTO calculator.
- Franking credits, business income and PAYG instalments.
- Termination payments, lump sums and other payments taxed under special rules.
- Medicare levy exemptions and private health insurance rebates.
Some 2026-27 figures are not yet published. The Medicare levy low-income thresholds and the SAPTO table use the latest published 2025-26 values until the ATO confirms new ones.
The working-from-home fixed rate for 2026-27 is not yet confirmed. The working Australians tax offset (WATO) starts in 2027-28, so it's not in 2026-27 results.
Version history
The changelog lists rate and rule changes, with their pages and sources.
Every source in our rates files
| Covers | Source | Years | Last checked |
|---|---|---|---|
| Income tax, low income tax offset and Medicare levy | ATO: Tax rates: Australian residents (ato.gov.au) | 2025-26, 2026-27 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Low income tax offset (ato.gov.au) | 2025-26, 2026-27 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Medicare levy reduction for low-income earners (ato.gov.au) | 2025-26, 2026-27 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Medicare levy reduction for family income (ato.gov.au) | 2026-27 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Medicare levy surcharge income thresholds (ato.gov.au) | 2026-27 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Standard deduction for work-related expenses (ato.gov.au) | 2026-27 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Working from home fixed rate method (ato.gov.au) | 2026-27 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Personal income tax: new tax cuts for every Australian taxpayer (ato.gov.au) | 2026-27, 2027-28 | 1 November 2026 |
| Income tax, low income tax offset and Medicare levy | ATO: Working Australians Tax Offset (ato.gov.au) | 2027-28 | 1 November 2026 |
| HECS-HELP and other study loan repayments | ATO: Study and training support loans: rates and repayment thresholds (ato.gov.au) | 2025-26, 2026-27 | 1 November 2026 |
| HECS-HELP and other study loan repayments | ATO: Study and training loan indexation rates (ato.gov.au) | 2026-27 | 1 November 2026 |
| Foreign resident tax rates | ATO: Tax rates: foreign residents (ato.gov.au) | 2025-26, 2026-27 | 1 November 2026 |
| Working holiday maker tax rates | ATO: Tax rates: working holiday makers (ato.gov.au) | 2025-26 | 1 November 2026 |
| Working holiday maker tax rates | ATO: Schedule 15 tax table for working holiday makers (ato.gov.au) | 2026-27 | 1 November 2026 |
| Superannuation | ATO: Super guarantee rates and thresholds (ato.gov.au) | 2025-26, 2026-27 | 1 November 2026 |
| Superannuation | ATO: Contributions caps (ato.gov.au) | 2026-27 | 1 November 2026 |
| Superannuation | ATO: Non-concessional contributions cap (ato.gov.au) | 2026-27 | 1 November 2026 |
| Superannuation | ATO: Transfer balance cap (ato.gov.au) | 2026-27 | 1 November 2026 |
| GST | ATO: Registering for GST (ato.gov.au) | 2025-26, 2026-27 | 1 November 2026 |
| GST | ATO: Due dates for lodging and paying your BAS (ato.gov.au) | 2026-27 | 1 November 2026 |
| GST | ATO: Types of GST errors (ato.gov.au) | 2026-27 | 1 November 2026 |
| GST | ATO: Choosing an accounting method (ato.gov.au) | 2026-27 | 1 November 2026 |
| GST | ATO: When you can claim a GST credit (ato.gov.au) | 2026-27 | 1 November 2026 |
| Minimum wage | Fair Work Ombudsman: Minimum wage increase media release, 1 July 2026 (fairwork.gov.au) | 2026-27 | 1 November 2026 |
| PAYG withholding | ATO: Schedule 1 coefficients for weekly payments (ato.gov.au) | 2026-27 | 1 November 2026 |
| PAYG withholding | ATO: Schedule 8 study and training support loan components (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: Fringe benefits tax rates and thresholds (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: Taxable value of a car fringe benefit (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: Reportable fringe benefits (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: Taxation Determination TD 93/142 on lease residuals (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: Purchasing a motor vehicle, GST and the car limit (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: Luxury car tax rate and thresholds (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: Electric cars exemption from FBT (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | ATO: GST and vehicles purchased under novated leases (ato.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | Treasurer: Fairer tax treatment to encourage affordable EVs (ministers.treasury.gov.au) | 2026-27 | 1 November 2026 |
| Novated leases and FBT on cars | Treasurer: Second reading speech, Tax Reform No. 4 Bill (ministers.treasury.gov.au) | 2026-27 | 1 November 2026 |
| Sole traders | ATO: Small business income tax offset (ato.gov.au) | 2026-27 | 1 November 2026 |
| Sole traders | Federal Register of Legislation: Income Tax Assessment Act 1997, volume 7 (legislation.gov.au) | 2026-27 | 1 November 2026 |
| Sole traders | ATO: Starting PAYG instalments (ato.gov.au) | 2026-27 | 1 November 2026 |
| Sole traders | ATO: When PAYG instalments are due (ato.gov.au) | 2026-27 | 1 November 2026 |
| Payday Super | Federal Register of Legislation: Payday Superannuation Act 2025 (legislation.gov.au) | 2026-27 | 1 November 2026 |
| Payday Super | ATO: What payments are qualifying earnings (ato.gov.au) | 2026-27 | 1 November 2026 |
| Payday Super | ATO: Payment deadlines for Payday Super (ato.gov.au) | 2026-27 | 1 November 2026 |
| Seniors and pensioners tax offset | ATO: Seniors and pensioners tax offset (ato.gov.au) | 2026-27 | 1 November 2026 |
| Private health insurance rebate | ATO: Income thresholds and rates for the private health insurance rebate (ato.gov.au) | 2026-27 | 1 November 2026 |
| Private health insurance rebate | Department of Health, Disability and Ageing: Modernising the Private Health Insurance Rebate (health.gov.au) | 2026-27 | 1 November 2026 |
| Super rules | ATO: Division 293 tax (ato.gov.au) | 2026-27 | 1 November 2026 |
| Super rules | ATO: Concessional contributions cap (ato.gov.au) | 2026-27 | 1 November 2026 |
| Super rules | ATO: When you can withdraw your super (ato.gov.au) | 2026-27 | 1 November 2026 |
| Super rules | Services Australia: Who can get Age Pension (servicesaustralia.gov.au) | 2026-27 | 1 November 2026 |
| Super rules | ATO: Work out if you have to pay super (ato.gov.au) | 2026-27 | 1 November 2026 |
| Super rules | ATO: Payday Super: how to manage super during the changeover (ato.gov.au) | 2026-27 | 1 November 2026 |
| Super rules | ATO: Government contributions (ato.gov.au) | 2026-27 | 1 November 2026 |
| Age Pension, deeming and retirement income | Services Australia: How much Age Pension you can get (servicesaustralia.gov.au) | 2026-27 | 1 November 2026 |
| Age Pension, deeming and retirement income | Services Australia: Assets test for Age Pension (servicesaustralia.gov.au) | 2026-27 | 1 November 2026 |
| Age Pension, deeming and retirement income | Services Australia: Income test for Age Pension (servicesaustralia.gov.au) | 2026-27 | 1 November 2026 |
| Age Pension, deeming and retirement income | Services Australia: Deeming provisions (operational.servicesaustralia.gov.au) | 2026-27 | 1 November 2026 |
| Age Pension, deeming and retirement income | ATO: Payments from super (ato.gov.au) | 2026-27 | 1 November 2026 |
| Age Pension, deeming and retirement income | ATO: Transfer balance cap (ato.gov.au) | 2026-27 | 1 November 2026 |
| Age Pension, deeming and retirement income | ABS: Life expectancy, 2022-2024 (abs.gov.au) | 2026-27 | 1 November 2026 |
| Super balances by age | ATO: Individuals statistics for Taxation statistics 2023-24 (ato.gov.au) | 2026-27 | 1 November 2026 |
| Super balances by age | ABS: Employee earnings, August 2025 (abs.gov.au) | 2026-27 | 1 November 2026 |
Other sources we check
Each page links its five most relevant sources. We also check these against the pages they support.
| Source | Published at |
|---|---|
| ABS: Average Weekly Earnings, Australia, May 2026 | abs.gov.au |
| ABS: Life expectancy, 2022-2024 | abs.gov.au |
| ATO: Be ready for new tax on large and very large super balances | ato.gov.au |
| ATO: Cents per kilometre method | ato.gov.au |
| ATO: Concessional contributions cap | ato.gov.au |
| ATO: Contributions caps | ato.gov.au |
| ATO: D4 Work-related self-education expenses 2026 | ato.gov.au |
| ATO: Division 293 tax | ato.gov.au |
| ATO: Goods and services tax (GST) | ato.gov.au |
| ATO: Government contributions | ato.gov.au |
| ATO: Guide to foreign income tax offset rules 2026: offset limit | ato.gov.au |
| ATO: Low income tax offset | ato.gov.au |
| ATO: Medicare levy reduction for low-income earners | ato.gov.au |
| ATO: Medicare levy reduction: family income | ato.gov.au |
| ATO: Medicare levy surcharge income thresholds and rates | ato.gov.au |
| ATO: myTax 2026: Super contributions on behalf of your spouse | ato.gov.au |
| ATO: myTax 2026: Zone or overseas forces | ato.gov.au |
| ATO: Other payment options | ato.gov.au |
| ATO: Payday Super | ato.gov.au |
| ATO: PAYG withholding Schedule 1 coefficients | ato.gov.au |
| ATO: Payments from super | ato.gov.au |
| ATO: Registering for GST | ato.gov.au |
| ATO: Schedule 1: about this schedule | ato.gov.au |
| ATO: Schedule 15 tax table for working holiday makers | ato.gov.au |
| ATO: Schedule 5: back payments, commissions, bonuses | ato.gov.au |
| ATO: Schedule 8 | ato.gov.au |
| ATO: Standard deduction for work-related expenses | ato.gov.au |
| ATO: Study and training support loans rates and repayment thresholds | ato.gov.au |
| ATO: Super guarantee | ato.gov.au |
| ATO: T5 Invalid and invalid carer 2026 | ato.gov.au |
| ATO: Tax rates for foreign residents | ato.gov.au |
| ATO: Tax rates, Australian residents | ato.gov.au |
| ATO: Taxation statistics 2023-24, Snapshot Table 5 (data.gov.au) | data.gov.au |
| ATO: Transfer balance cap | ato.gov.au |
| ATO: Using a formula | ato.gov.au |
| ATO: Working from home fixed rate method | ato.gov.au |
| Australian Business Register: Your ABN details on the ABR | abr.gov.au |
| Australian Government: Budget tax explainer | budget.gov.au |
| DSS: Social Security Payment Parameters, 1 July 2026 | dss.gov.au |
| DSS: Social Security Payment Parameters, 20 September 2026 | dss.gov.au |
| Fair Work Commission: Annual Wage Review 2026 decision | fwc.gov.au |
| Fair Work Ombudsman: Minimum wage increase, 1 July 2026 | fairwork.gov.au |
| Federal Register of Legislation: Treasury Laws Amendment (Payday Superannuation) Act 2025 | legislation.gov.au |
| Federal Register of Legislation: Treasury Laws Amendment (Tax Reform No. 1) Act 2026 | legislation.gov.au |
| Services Australia: Assessment of adjusted taxable income | operational.servicesaustralia.gov.au |
| Services Australia: Income test for Age Pension | servicesaustralia.gov.au |
| Services Australia: Who can get Age Pension | servicesaustralia.gov.au |
Incomes our tests check
| Income | Total tax | Take-home |
|---|---|---|
| $18,200 | $0 | $18,200 |
| $30,000 | $1,268.90 | $28,731.10 |
| $40,000 | $3,495 | $36,505 |
| $45,000 | $4,595 | $40,405 |
| $80,000 | $16,120 | $63,880 |
| $100,000 | $22,520 | $77,480 |
| $135,000 | $33,720 | $101,280 |
| $190,000 | $55,170 | $134,830 |
| $250,000 | $83,370 | $166,630 |
Figures still provisional
- Medicare levy low-income thresholds for 2026-27: carried over from the previous year until the ATO publishes the new figures.
Keep going
Sources