Income Tax Calculator Australia 2026-27
Work out income tax and the Medicare levy on any salary, and see exactly which bracket each dollar falls into. Most calculators give a total. This one shows the working. To start from a take-home figure instead, the Reverse Pay Calculator works back to the salary.
Your income
Income tax
$17,520
Before the levy
Medicare levy
$1,800
2% once above the threshold
Total tax
$19,320
21.5% of your income
After tax
$70,680
What is left
How that total is reached
Australian income tax is progressive, so each slice of income is taxed at its own rate. Only the slice above a threshold is taxed at the higher rate.
| Bracket | Rate | Taxed here | Tax |
|---|---|---|---|
| $0 to $18,200 | 0.0% | $18,200 | $0.00 |
| $18,200 to $45,000 | 15.0% | $26,800 | $4,020.00 |
| $45,000 to $135,000 | 30.0% | $45,000 | $13,500.00 |
| Income tax before offsets | $17,520.00 | ||
Your marginal rate is 30.0%. That is what the next dollar is taxed at, not what your whole income is taxed at.
Worked examples, with the arithmetic.
The same sums the tool runs, on real figures. Every number below is computed by the tested engine from the published rates, so the prose and the tool can never disagree.
How much tax do I pay on $90,000?
$0 to $18,200 nil $18,201 to $45,000 15c = $4,020.00 $45,001 to $90,000 30c = $13,500.00 income tax = $17,520.00 Medicare levy, 2% = $1,800.00 total tax = $19,320.00
$90,000 attracts $19,320 in income tax and Medicare levy for 2026-27, leaving $70,680. The marginal rate is 30c but the effective rate is 21.5%, because the first $18,200 is tax free and the next slice is taxed at 15c.
What does the same working look like on $60,000 and $150,000?
$60,000 total tax $9,720.00 effective 16.2% $150,000 total tax $39,570.00 effective 26.4%
The effective rate climbs with income but never reaches the marginal rate. On $150,000 the marginal rate is 37c while the effective rate is 26.4%, because only the slice above $135,000 is taxed at 37c.
Is this accurate, and how does it work?
The method is published rather than described. Nothing here is a black box, and the limits are listed as plainly as the workings.
- 1Tax each slice at its own rate. Income is cut at the bracket thresholds and each piece is taxed at that bracket rate. Nothing is taxed at a single flat rate, which is why quoting a marginal rate as though it applied to a whole salary overstates the tax badly. A bonus is taxed at the rate of the slice it lands in, which the Tax on Bonus Calculator works through.
- 2Apply the Medicare levy to taxable income. Two per cent of taxable income, with a shade-in band across the low-income thresholds rather than a switch that flips at one dollar.
- 3Leave the offset off by default. PAYG withholding from your payslip does not include the Low Income Tax Offset, so leaving it off matches what you see during the year. Tick it to see the position at assessment instead. The amount taken from each pay is set by the ATO tax tables, reproduced row for row on the Weekly Tax Table, Fortnightly Tax Table and Monthly Tax Table.
- 4Round only at the end. No intermediate step is rounded. Rounding inside the calculation is how a calculator drifts a few dollars away from a real assessment.
The 2026-27 tax brackets this runs on.
Resident rates. Income is taxed in slices, so only the part inside a bracket pays that bracket rate. The Medicare levy of 2% applies on top of these.
| Taxable income | Rate on this slice |
|---|---|
| $0 to $18,200 | Nil |
| $18,201 to $45,000 | 15c per dollar |
| $45,001 to $135,000 | 30c per dollar |
| $135,001 to $190,000 | 37c per dollar |
| $190,001 and over | 45c per dollar |
What this does not cover.
- It assumes you are an Australian resident for tax purposes for the full year. Part-year residents and foreign residents are taxed on different scales.
- It does not include a HELP or HECS debt, which is worked out on repayment income and can change the amount withheld noticeably. The HECS Repayment Calculator works out the repayment and the year the debt is paid off.
- It does not include the Medicare levy surcharge, private health rebate, or any offset other than the low income tax offset. The surcharge is worked out on the Medicare Levy Surcharge Calculator. The seniors and pensioners tax offset is worked out on the SAPTO Calculator.
- It does not model salary sacrifice, fringe benefits, deductions, or investment income. It taxes the figure you enter as though it were your whole taxable income. Salary packaging through a hospital, ambulance service or charity is worked through on the Salary Packaging Calculator.
Where these figures come from.
- ATO, Tax rates for Australian residents, the source gave its own last updated date as 2026-08-13. Retrieved 2026-09-02.
- ATO, Medicare levy thresholds, the source gave its own last updated date as 2026-06-30. Retrieved 2026-09-02. Not yet published for 2026-27: this is the prior year’s figure carried forward and labelled as such, never estimated. It is corrected as soon as the ATO publishes.
Every rate this site uses is listed on the Methodology page.
Common questions.
How much tax do I pay on $90,000 in Australia?
For 2026-27, $90,000 attracts $19,320 in income tax and Medicare levy, leaving $70,680. That is $17,520.00 of income tax plus $1,800.00 of Medicare levy. The effective rate is 21.5% even though the marginal rate is 30c, because income is taxed in slices. The Hourly Rate Calculator converts the same salary to an hourly rate and every pay cycle.
What is the difference between my marginal rate and my effective rate?
Your marginal rate is the rate that applies to the next dollar you earn. Your effective rate is the total tax divided by your total income, which is always lower. People often quote the marginal rate as though it applied to everything they earn, which overstates their tax substantially. The marginal rate is what decides how much of a rise you keep, which the Pay Rise Calculator works out. For a family on Family Tax Benefit the next dollar also cuts the payment, which the Family Tax Benefit Calculator adds to the tax.
Does this include the low income tax offset?
Only if you tick the box, and it is off by default. That is deliberate. PAYG withholding taken from your payslip does not include the Low Income Tax Offset, so leaving it off matches what you actually see during the year. The offset is applied when your return is assessed, which is part of why a refund appears. To net the tax the year owes against what was withheld and see the refund, use the Tax Return Calculator. Part-way through the year, the YTD Income Calculator projects that refund from the year-to-date figures on a payslip.
Is superannuation taxed here?
No. Employer superannuation is paid on top of your salary and is not part of your taxable income, so it does not appear in this calculation. Contributions are taxed inside the fund at a different rate, which this page does not model. Where a job offer quotes a package with super inside it, the Salary Comparison Calculator takes the super out before comparing it with a base salary. The Wage Calculator shows the super your employer adds on top of take-home pay.
How much tax do I pay on $100,000 in Australia?
For 2026-27, $100,000 attracts $22,520 in income tax and Medicare levy, leaving $77,480. That is an effective rate of 22.5% even though the marginal rate is 30c, because the first $18,200 is untaxed and the slice to $45,000 is taxed at 15c.
Did income tax change for 2026-27?
Yes. The second bracket rate fell from 16c in the dollar in 2025-26 to 15c in 2026-27, which reduces tax for everyone earning above the tax-free threshold. Switch the financial year in the calculator to see the difference on your own income.
Answers for common amounts.
The figures people look up most often, each worked out in full on its own page rather than left for the tool to produce.
- Tax BracketsThe 2026-27 resident income tax brackets and the tax payable at each threshold, sourced from the ATO with the date it last changed.
- Low Income Tax OffsetWork out your low income tax offset for 2026-27. Up to $700, tapering to nil at $66,667, with the tax it saves and why most of it arrives at tax time.
- Zone Tax Offset CalculatorWork out the zone tax offset: $338 in Zone A, $57 in Zone B and $1,173 in a special area, plus a share for children, with the 183-day residence rule.
- STSL ComponentSTSL is the study loan amount withheld from your pay. For 2026-27 it starts at $1,337 a week with the tax-free threshold. See yours per pay and at tax time.
- Tax-Free ThresholdThe tax-free threshold is $18,200 for 2026-27. See the tax withheld from each pay with and without it, who should claim it, and what claiming it twice costs.
- Medicare Levy CalculatorThe Medicare levy is 2% of taxable income. Work out what you pay in 2026-27, where the low-income reduction applies, and who is exempt.
- SAPTO CalculatorWork out the seniors and pensioners tax offset: up to $2,230 single or $1,602 each in a couple, the 2026-27 rebate income thresholds, and the tax left to pay.
- Tax on Bonus CalculatorHow much tax comes out of a bonus in 2026-27: what payroll withholds on a weekly, fortnightly or monthly pay, what it adds at tax time, and what you keep.