Understanding the National Full-Time Average and the Advantage of Salary Packaging
The national full-time adult ordinary-time average is $2,083.70 a week, about $108,352 a year (ABS Average Weekly Earnings, May 2026, × 52). This is the line on the site. The advantage of salary packaging is that it can change how much of that salary you keep after tax. The ATO governs salary packaging rules, and Fair Work sets the minimum wage.
How Salary Packaging Works
Salary packaging lets you sacrifice part of your pre-tax salary to pay for benefits such as a car, laptop, or superannuation above the guarantee. This reduces your taxable income, so you pay less income tax and Medicare levy. For example, if you earn $108,352 and package a car worth $15,000, your taxable income drops to $93,352. You still receive the car's value as a benefit, but your take-home pay may be higher than if you had bought the car with after-tax dollars. The advantage is that you can effectively increase your disposable income without a pay rise.
Reading the Same Pay as a Year, Week, and Hour
The site shows your yearly salary before tax, then converts it to a week and an hour on a 38-hour week. If you have salary packaging, the gross salary (before packaging deductions) is still the figure used for the line. For instance, a gross salary of $108,352 a year is $2,083.70 a week and $54.79 an hour. The packaging arrangement does not change these numbers; it only affects the tax outcome. To see where your pay sits against the line, [Place a salary on the line, use the tool on the [Place a salary on the line](/line] page. The advantage of packaging means that even if your gross pay is below the average, your net pay could be closer to or above it.
How Salary Packaging Affects the Comparison
The ABS average is gross pay before tax and before any salary packaging. The advantage is that employees who use packaging often have a lower taxable income but a higher standard of living from the packaged items. For example, a nurse earning $90,000 with a salary-packaged car may have a taxable income of $80,000, but their total compensation (salary plus benefit) is still $90,000. The median full-time employee earnings is $90,532 (ABS Employee earnings, August 2025), so this nurse is near the median. The national minimum wage from 1 July 2026 is $26.44 an hour, $1,004.90 a week, $52,255 a year. Salary packaging is not available for minimum wage earners because it requires a salary above the minimum.
The National Context
State full-time averages vary: New South Wales $109,658; Victoria $106,137; Queensland $106,064; South Australia $102,450; Western Australia $115,825; Tasmania $96,008; Northern Territory $103,173; Australian Capital Territory $119,090. The advantage of salary packaging is most beneficial in higher-tax brackets, such as the 30% bracket ($45,001–$135,000) or 37% bracket ($135,001–$190,000). The 2026–27 tax rates apply: nil to $18,200; 15% to $45,000; 30% to $135,000; 37% to $190,000; 45% above. Medicare levy is 2% before reductions. If your gross salary is near the national average, packaging can save you thousands in tax. For more details on how salaries compare across industries, see Industry medians. For a broader view of how your pay fits, see Guides.
Summary
The advantage of salary packaging is not a salary figure but a tax-effective strategy. When comparing your pay to the national full-time average, use your gross salary before packaging. The site's line is $108,352 a year. Your packaged salary may give you more take-home pay than someone earning the same gross without packaging. Always consult the ATO or a tax professional for your situation.