Australian tax rates 2026–27
Resident income tax brackets, the Medicare levy, HELP repayment thresholds and the super guarantee for the year beginning 1 July 2026, with the figures each PayLens calculator uses.
Rule set — · rules from the PayLens rule set · Australia, resident rates · estimate only, not financial advice
Resident income tax rates
| Taxable income | Rate on the excess | Tax at the top of the band |
|---|
Rates exclude the Medicare levy. Foreign residents and working-holiday makers use separate scales; select the residency setting in the calculator to apply them.
Medicare levy
Who pays the levy
—
When the levy is reduced or removed
Low-income thresholds reduce or remove it at the bottom of the scale, and exemptions apply to some visa holders and defence personnel.
How the surcharge is treated
The Medicare levy surcharge for higher earners without private hospital cover is a separate charge and is not included in PayLens estimates.
HELP and study loan repayments
When repayments start
—
How the rate is applied
From 1 July 2026 repayments are calculated marginally rather than on a single whole-of-income rate: 15% of repayment income between $67,000 and $125,000, and 17% of the amount above $125,000.
Super guarantee
What the guarantee is paid on
—
Plus super against including super
A package quoted “plus super” pays this on top of the salary; a package quoted “including super” contains it, so the taxable base is lower. On $150,000 the difference between the two readings is about $16,000 a year of employer contribution.
What changed from 2025–26
| Rule | 2025–26 | 2026–27 |
|---|---|---|
| Second bracket rate | — | — |
| Bracket thresholds | — | — |
| HELP repayment | — | — |
| Super guarantee | — | — |
| Medicare levy | — | — |
| Super guarantee | 12% | 12%, unchanged |
| Bracket thresholds | $18,200 / $45,000 / $135,000 / $190,000 | Unchanged |
Worked examples on 2026–27 rules
Resident, no HELP debt, salary quoted plus super. Employer super is shown separately because it is not part of take-home pay.
| Salary | Tax + levy | Take-home, year | Per month | Marginal | Super |
|---|---|---|---|---|---|
| $80,000 | — | — | — | — | — |
| $120,000 | — | — | — | — | — |
| $150,000 | — | — | — | — | — |
| $200,000 | — | — | — | — | — |
The worked examples are answered by the engine from the 2026–27 rule set. Run your own figure in the pay calculator.
Methodology and limitations
How the figures are calculated
Income is annualised on the ATO PAYG pay-period basis of 52 weeks or 26 fortnights, then brackets, the Medicare levy and HELP repayments are applied in that order. Employer super is calculated on ordinary time earnings and reported separately from cash pay. Amounts are rounded to the dollar for display and calculated unrounded.
What is not modelled
Modelled: the resident brackets, the low income tax offset, the Medicare levy and its low-income phase-in, the Medicare levy surcharge (from your cover and dependants), compulsory study-loan repayments and employer super. Not modelled: private health rebates, fringe benefits, investment income and deductions. Payslip withholding follows the ATO schedules and can differ from an annual liability, which is why the pay calculator shows both.