MyCalcToolkit
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Australia Tax Calculator

Calculate your Australian income tax with latest Stage 3 rates. Includes Medicare Levy, Medicare Levy Surcharge, and HECS/HELP repayment. See breakdown by year, month, fortnight, and week.

Financial Year:Latest
A$

Take-home

A$70,412

A$5,868/mo

Income Tax

A$17,788

Medicare Levy

A$1,800

Effective Rate

21.8%

ItemYearlyMonthly
Gross IncomeA$90,000A$7,500
Income TaxA$17,788A$1,482
Medicare Levy (2%)A$1,800A$150
Net PayA$70,412A$5,868

💡 Tax-free threshold: First A$18,200 is tax-free. Latest Stage 3 tax cuts applied.

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Tax Rules Current As Of: June 2026

This calculator uses Australia tax rates for 2025-26. Tax rules are sourced from Australian Taxation Office (ATO). Rates are periodically verified but may not reflect the most recent changes.

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Estimate Only — Not Tax Advice

This calculator provides simplified estimates for informational purposes only. Results may not account for all deductions, credits, surcharges, or individual circumstances applicable to your situation. Always consult a qualified tax professional or chartered accountant for accurate tax filing.

Assumptions

  • Taxpayer is a resident individual
  • Only employment/salary income is considered
  • Standard deduction is applied automatically
  • No capital gains, business income, or foreign income
  • Australian resident for tax purposes
  • Employment income only
  • Stage 3 tax cuts applied (from 1 July 2024)
  • Medicare Levy of 2% applied above threshold
  • HECS/HELP uses current repayment thresholds

Limitations

  • This is an estimation tool — results may differ from official calculations
  • Does not account for all possible credits, exemptions, or surcharges
  • State/local tax rules may not be fully represented
  • Tax laws change frequently — verify against official sources before filing
  • Not a substitute for professional tax advice
  • Does not calculate LITO (Low Income Tax Offset)
  • Does not include SAPTO (Seniors and Pensioners Tax Offset)
  • Non-resident and working holiday maker rates not supported
  • Superannuation contributions not factored into calculations
  • Medicare Levy Surcharge income thresholds are simplified

How the Australia Tax Calculator Works

This calculator applies the ATO's 2025-26 resident tax rates (including Stage 3 cuts), the 2% Medicare Levy, Medicare Levy Surcharge (MLS) for higher earners without private health cover, and HECS/HELP compulsory repayment thresholds. It shows your take-home pay across annual, monthly, fortnightly, and weekly periods.

ATO Tax Rates 2025-26 (Stage 3)

$0–$18,200: 0% | $18,201–$45,000: 16% | $45,001–$135,000: 30% | $135,001–$190,000: 37% | $190,001+: 45%

+ Medicare Levy 2% | MLS 1–1.5% (if no private health & income > $93K) | HECS 1–10% (income > $54,435)

Worked Example — A$90,000 with HECS Debt, No Private Health

  • • Gross Income: A$90,000
  • • Tax-Free Threshold: $18,200 at 0%
  • • $18,201–$45,000 at 16%: $4,288
  • • $45,001–$90,000 at 30%: $13,500
  • • Income Tax: $17,788
  • • Medicare Levy (2%): $1,800
  • • Medicare Levy Surcharge (no private health, <$93K): $0
  • • HECS Repayment (4.5% on $90K): $4,050
  • • Total Deductions: $23,638 | Take-Home: ~$66,362/year ($5,530/month)

How to Interpret Results

The Stage 3 tax cuts (effective July 2024) lowered the 32.5% rate to 30% and raised the threshold from $120K to $135K. This saves most taxpayers $1,000–$4,500 annually compared to prior rates. Your HECS repayment is NOT a tax — it reduces your debt, but it does reduce your take-home pay. The Medicare Levy Surcharge only applies if you earn above $93,000 AND do not hold private hospital cover.

Practical Use Cases

  • Private health insurance decision — compare MLS cost vs basic hospital cover premiums above $93K
  • Salary packaging — understand how novated leases or super sacrifice reduce taxable income
  • HECS repayment planning — see how income above each threshold triggers progressively higher repayments
  • Overtime/bonus impact — determine if additional income pushes you into the next HECS or MLS bracket
  • Comparing job offers — Australian salaries are quoted as "Super-inclusive" or "Super on top" which significantly affects take-home

Common Mistakes

  • Not getting private health above the MLS threshold ($93K) — the surcharge (1–1.5%) often costs more than basic hospital cover
  • Ignoring HECS in take-home calculations — compulsory repayments reduce your pay but many forget to account for them
  • Forgetting super is NOT included in take-home — the 11.5% Super Guarantee is employer-paid on top of salary
  • Not claiming the Low Income Tax Offset (LITO) — eligible taxpayers under $66,667 get up to $700 offset automatically
  • Confusing "repayment income" with taxable income — HECS repayment income includes fringe benefits, super contributions, and net investment losses

Frequently Asked Questions

What are the Australian tax rates for 2025-26?

For FY 2025-26 (Stage 3 cuts): 0% on $0-$18,200 (tax-free threshold), 16% on $18,201-$45,000, 30% on $45,001-$135,000, 37% on $135,001-$190,000, and 45% above $190,000. These rates include the Stage 3 tax cuts that took effect 1 July 2024.

What is the Medicare Levy and Medicare Levy Surcharge?

The Medicare Levy is 2% of taxable income (exempt if income < ~$24,276). The Medicare Levy Surcharge (MLS) is an additional 1-1.5% if you earn above $93,000 and do NOT have private hospital cover. Getting private health insurance exempts you from MLS.

How is HECS/HELP repayment calculated?

HECS-HELP repayments are based on your repayment income (not debt balance). For 2025-26, repayments start at 1% when income exceeds $54,435 and increase progressively up to 10% for income above $159,663. The ATO calculates this through your tax return.

What is the tax-free threshold?

The first $18,200 of income is tax-free for Australian residents. If you earn below this amount, you pay no income tax. Non-residents do not receive the tax-free threshold and are taxed from the first dollar at different rates.

Is this calculator accurate for my tax return?

This calculator estimates tax using 2025-26 resident rates with Stage 3 cuts applied. It does not account for the Low Income Tax Offset (LITO), non-resident rates, capital gains, work deductions, or private health insurance rebate tiers. Use for planning and lodge via myGov/myTax for actual returns.