Minimum wage Australia yearly: Where it sits against the full-time average
The national minimum wage is the legal floor for pay in Australia. For the 2026–27 financial year, Fair Work set the rate at $26.44 an hour, which works out to $1004.90 a week and about $52,255 a year on a standard 38-hour week. That figure is roughly half the national full-time adult ordinary-time average of $108,352 a year (ABS Average Weekly Earnings, May 2026).
This article explains how the minimum wage yearly figure is determined, how it compares to other benchmarks, and what economic or policy changes could move it above or below the average.
How the minimum wage is set
Fair Work Australia conducts an annual review of the national minimum wage. The 2026 decision increased the hourly rate by 4.75%, consistent with the rise for award minimums. The rate applies to employees who are not covered by a modern award or enterprise agreement. For those on awards, the minimum wage is effectively higher because awards typically pay above the national minimum.
The yearly figure of $52,255 assumes a 38-hour week and 52 weeks of work. Part-time or casual employees may receive less, though casuals get a loading. The figure is before tax.
How it compares to the full-time average
The national full-time average is $2083.70 a week or $108,352 a year. The minimum wage is about 48% of that average. It is also below the full-time median of about $90,532 and the all-employees median of about $74,100 (ABS Employee Earnings, August 2025).
State full-time averages vary. For example, the Australian Capital Territory has the highest average at $119,090, while Tasmania has the lowest at $96,008. The minimum wage is below every state average, meaning that even in the lowest-paying state, the typical full-time worker earns nearly double the minimum.
[Place a salary on the line](/line] to see how any pay compares to the national average.
What would move the minimum wage above or below the average?
Several factors influence the gap between the minimum wage and the full-time average:
- Fair Work decisions: If the annual review lifts the minimum wage faster than average earnings growth, the gap narrows. Slower increases widen it.
- Award minimums: Award rates rose 4.75% in 2026. If award wages outpace the minimum, more workers are covered by higher floors, but the national minimum itself may lag.
- Average earnings growth: The full-time average is driven by higher-paid industries like mining, finance, and professional services. Strong growth in those sectors can pull the average up even if minimum wages rise modestly.
- Hours and employment patterns: The minimum wage yearly figure assumes 38 hours a week. Many minimum-wage workers work fewer hours, so actual annual earnings may be lower. Conversely, overtime or multiple jobs can increase earnings.
- Tax and transfers: The tax-free threshold of $18,200 and the low-income tax offset mean that a minimum-wage earner pays little or no tax. The Medicare levy of 2% applies but may be reduced for low incomes. After tax, the gap to the average may be slightly smaller.
States and territories shows how state averages differ and how minimum wage compares locally.
Medians and other benchmarks
The minimum wage is a floor, not a median. The all-employees median of $74,100 is about 42% higher than the minimum wage. The full-time median of $90,532 is about 73% higher. Most workers earn above the minimum.
For award-covered workers, the minimum wage is effectively higher because awards typically pay above the national minimum. But many awards pay above the minimum.
Conclusion
The national minimum wage yearly figure of $52,255 is a useful benchmark for understanding the lowest legal pay. It is well below the full-time average and median. To see how any pay compares to the national average, use How the figures are set.