Pay Calculator

Take-home pay is gross cash income less income tax, the Medicare levy and any surcharge, and any compulsory study-loan repayment, using the brackets and thresholds in the ATO-sourced rule pack for the financial year selected. This calculator works out the annual position first and then reports the pay-cycle figures alongside it. Employer super sits on its own line because it is paid to a fund rather than received as cash.

The tax you owe is the annual liability assessed on your income for the whole financial year; the tax withheld is what an employer sends to the ATO each pay under the published PAYG schedule for that pay cycle. These are two separate engines here, and the annual figure is never divided by the number of pays to produce the withheld one. The results show annualised withholding, annual liability and the variance between them, which is the amount that settles when a return is lodged. The PAYG withholding calculator shows the schedule coefficients behind the withheld figure.

No. Employer super is paid to a super fund and never reaches you as cash, so it is reported separately from the net figure rather than inside it. If the amount entered is a total package that already includes super, switching on the package toggle derives the base salary from it, applying the maximum contribution base where the rule pack says it applies.

Salary sacrifice is a pre-tax deduction, so it lowers the taxable income the annual engine assesses and therefore lowers income tax, while also lowering the cash received. The sacrificed amount is added back for the Medicare levy surcharge and study-loan repayment income tests, so those obligations are not reduced by it. Enter an annual amount under super and packaging in advanced mode to see every line move, or use the super contributions calculator to check the concessional cap at the same time.

The Medicare levy surcharge is an extra levy that applies to people without private hospital cover whose income for surcharge purposes exceeds the thresholds published for the year. It is distinct from the ordinary Medicare levy and appears on its own line in the annual tax position. Set the private hospital cover toggle and the family status fields to see whether the surcharge applies at the thresholds in the resolved rule pack.

SAPTO is the seniors and pensioners tax offset, a non-refundable offset for Australian residents who meet the ATO age and pension eligibility conditions. It is applied against income tax after the low income tax offset and cannot on its own produce a refund. Switching on the SAPTO field and choosing the matching status includes it in the annual liability at the amounts in the rule pack for the selected year.

A sole trader pays the same individual marginal rates on business profit that an employee pays on salary, because business income is assessed in the individual's own tax return. The difference is collection: there is no employer withholding tax each payday, so the tax is typically prepaid through PAYG instalments and settled when the return is lodged. The sole-trader mode here shows the annual position on business profit and applies the small business income tax offset where it is claimed.

It is an offset for sole traders and for individuals with a share of net small business income from a partnership or trust. It is computed on the proportion of income tax attributable to that business income and is capped at the maximum published for the year. Eligibility, including the aggregated turnover threshold, is assessed on the tax return rather than here, and every value used comes from the active ATO-sourced rule pack.