2024–25 Australian Income Tax Brackets
Income range
Rate
Tax on this portion
Marginal rate
$18,201 – $45,000
16c per $1
up to $4,288
16%
$45,001 – $135,000
30c per $1
up to $31,288
30%
$135,001 – $190,000
37c per $1
up to $51,638
37%
$190,001 and over
45c per $1
$51,638+
45%
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Medicare Levy
Most Australian residents pay a 2% Medicare levy. A shade-in threshold applies for low incomes. The Medicare Levy Surcharge (1–1.5%) applies if you earn over $93k without private hospital cover.
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HELP / HECS Repayments
Compulsory repayments start at $54,435. Rates scale from 1% to 10% of your income. Debt is indexed to CPI annually on 1 June.
- 1% from $54,435
- 5% from $79,447
- 10% from $159,406+
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Superannuation
Employer must contribute 11.5% of ordinary earnings in FY2024–25 (rises to 12% in FY2025–26). Annual concessional contributions cap is $30,000.
Frequently asked questions
How is income tax calculated in Australia?
Australian income tax is progressive. You pay 0% on the first $18,200, 19% from $18,201–$45,000, 32.5% from $45,001–$120,000, 37% from $120,001–$180,000, and 45% above $180,000. The Low Income Tax Offset (up to $700) reduces your tax further.
What is the Low Income Tax Offset (LITO)?
The LITO reduces tax owed for incomes under $66,667. Maximum $700 for incomes up to $37,500, phasing out to nil at $66,667. It is applied automatically in this calculator.
Is super included in my salary or on top?
By default in Australia, super is on top of your salary (super-exclusive). If you earn $80,000, your employer also pays $9,200 in super separately. However some employers quote a total package (super-inclusive) — use the toggle in this calculator to match your situation.
What does effective tax rate mean?
Your effective rate is total tax divided by total income. Your marginal rate is the rate on your last dollar. Someone earning $90,000 has a 32.5% marginal rate but only about a 21% effective rate, because lower brackets are taxed at lower rates.
Can I use this for a second job?
Yes. For a second job, select "Australian resident — not claiming threshold" since you can only claim the tax-free threshold from one employer. Your withholding will be calculated at the standard rate.