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Australia lowest salary: How the minimum wage compares to the national full-time average

The national minimum wage of $52,255 a year is about 48% of the national full-time adult average ordinary-time earnings of $108,352.

This sits on the Australian full-time average.

Week, hour, and a tax sketch

$2,084 a week · $54.83 an hour if spread over 38 hours

About $83,159 after resident income tax and a 2% Medicare levy.

2026–27 resident rates and a 2% Medicare levy. Not a tax assessment.Open the full line

Australia lowest salary: the national minimum wage

When people ask about the lowest salary in Australia, they are usually referring to the National Minimum Wage – the legal floor for pay. As of 1 July 2026, that rate is $26.44 per hour or $1,004.90 per week, according to Fair Work. On a standard 38-hour week, that works out to about $52,255 a year before tax.

This minimum applies to employees who are not covered by an award or enterprise agreement. Most workers, however, are covered by an industry or occupation award, which typically sets higher minimum rates. Award minimums also increased by 4.75% in the latest annual wage review.

How the lowest salary compares to the full-time average

The national full-time adult average ordinary-time earnings – the figure used on this site as the line – is $2,083.70 per week or about $108,352 a year, from the ABS Average Weekly Earnings for May 2026. That means the minimum wage is roughly 48% of the full-time average.

For context, the full-time median (from ABS Employee earnings, August 2025) is about $90,532 a year, and the all-employees median is about $74,100 a year. So the lowest legal salary sits well below both the average and the typical worker’s pay.

State and territory differences

Full-time average earnings vary across Australia. The lowest state average is Tasmania at about $96,008 a year, followed by South Australia at about $102,450. The highest is the ACT at about $119,090. The national minimum wage is the same everywhere, but in lower-average states like Tasmania, the minimum wage is a larger share of the local average (about 54%) than in higher-average states like Western Australia (about 45%).

See how your state compares on the line

What about after tax?

For the 2026–27 financial year, the resident tax rates are:

  • Nil on the first $18,200
  • 15% on income from $18,201 to $45,000
  • 30% on income from $45,001 to $135,000
  • 37% on income from $135,001 to $190,000
  • 45% on income above $190,000

Plus a 2% Medicare levy (with reductions for low-income earners).

On the minimum wage of $52,255, the tax would be roughly:

  • $0 on the first $18,200
  • 15% on the next $26,800 = $4,020
  • 30% on the remaining $7,255 = $2,176.50
  • Total tax before Medicare levy: about $6,196.50
  • Medicare levy (2% of taxable income): about $1,045.10
  • Total tax and Medicare: about $7,241.60
  • Net pay: about $45,013 a year, or about $865 a week.

Place a salary on the line to see your own after-tax figure

Why the minimum wage matters

The National Minimum Wage is reviewed annually by the Fair Work Commission. It sets the floor for the entire labour market. While most employees earn more, the minimum wage is a benchmark for the lowest acceptable pay. It also influences award rates, enterprise agreements, and even some contract rates.

If you are paid the minimum wage, you are earning about half of what the average full-time worker earns. That gap has narrowed slightly in recent years as minimum wage increases have sometimes outpaced average earnings growth, but the difference remains substantial.

Where to find more

For detailed pay data by occupation or industry, see the job medians and industry medians pages. For an explanation of how the figures are set, visit How the figures are set.

A note on sources

  • The full-time average is from the ABS Average Weekly Earnings, May 2026.
  • Medians are from the ABS Employee earnings, August 2025.
  • The minimum wage is from Fair Work, effective 1 July 2026.
  • Tax rates are from the ATO for 2026–27.

These are the most current official figures available. The ABS releases Average Weekly Earnings twice a year, in May and November.

Questions

What is the lowest salary you can legally be paid in Australia?

The lowest legal salary is the National Minimum Wage, set by the Fair Work Commission. From 1 July 2026, it is $26.44 per hour or $1,004.90 per week, which works out to about $52,255 a year on a 38-hour week. This applies to employees not covered by an award or registered agreement. Most employees are covered by an award, which often has higher minimum rates.

How does the minimum wage compare to the full-time average?

The national full-time adult average ordinary-time earnings, as measured by the ABS Average Weekly Earnings for May 2026, is $2,083.70 per week or about $108,352 a year. The minimum wage is roughly 48% of that average. The full-time median (from ABS Employee earnings, August 2025) is about $90,532 a year, so the minimum wage is about 58% of the median.

Can you be paid less than the national minimum wage?

Generally no. The Fair Work Act requires that all employees receive at least the National Minimum Wage, unless a specific award or registered agreement allows a lower rate (for example, introductory rates for new employees in some industries). Even then, the rate cannot fall below the national minimum. Award minimums rose by 4.75% in the 2025–26 Annual Wage Review.

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