The national line and where you stand
The Australian Bureau of Statistics (ABS) reports that full-time adult average weekly ordinary time earnings were $2,083.70 in May 2026. That works out to about $108,352 a year (× 52). This is the line this site uses as a benchmark. But your actual pay – and the value of a smart salary car – can sit well above or below that figure depending on where you work, what award covers you, and how you structure your salary.
State differences move the line
The national average hides big state-by-state variation. According to the same ABS release, full-time average weekly ordinary time earnings range from $1,846.30 in Tasmania (about $96,008 a year) to $2,290.20 in the ACT (about $119,090 a year). Western Australia ($2,227.40 a week, $115,825 a year) and New South Wales ($2,108.80 a week, $109,658 a year) also sit above the national line. If you work in a high-earning state, your base salary is already above average, which affects how much you can salary sacrifice for a car and the tax benefit you get.
Awards and enterprise agreements set the floor
Even if you earn above the national average, your award or enterprise agreement may set minimum rates that influence your salary packaging capacity. The national minimum wage from 1 July 2026 is $26.44 an hour, $1,004.90 a week, or about $52,255 a year on a 38-hour week (Fair Work). Award minimums rose by 4.75% from that date. If you are on an award, your base rate is the starting point for salary sacrifice calculations. A smart salary car arrangement cannot reduce your pay below the award minimum, so the room to sacrifice depends on how much above the award you earn.
Tax brackets and the smart salary car
The 2026–27 resident tax rates are: nil up to $18,200; 15% from $18,201 to $45,000; 30% from $45,001 to $135,000; 37% from $135,001 to $190,000; and 45% above $190,000. The Medicare levy adds 2% (before any reductions). A smart salary car – typically a novated lease – lets you pay for the car and running costs from pre-tax income, lowering your taxable income. For example, if you earn $108,352 (the national average), salary sacrificing $15,000 for a car could drop your taxable income to $93,352, moving you from the 30% bracket to a lower effective rate. However, the ATO applies fringe benefits tax (FBT) on the private use of the car. The statutory formula method uses a flat 20% of the car's value for the 2026–27 FBT year (as set by the ATO). That means the FBT liability can reduce the net benefit, so it's important to compare the tax saved with the FBT payable.
Gender pay gap and salary packaging
The ABS also reported that the gender pay gap in average weekly ordinary full-time earnings fell to 11.3% in May 2026. Men's full-time average is about $113,412 a year; women's about $100,594. Because salary packaging benefits are proportional to income, women on average have less capacity to sacrifice salary for a car without falling below award rates. This is one reason why the national line can look different depending on who you are.
Putting your salary on the line
If you want to see where your own pay – with or without a smart salary car – sits against the national average, you can use the tool on this site. Enter your yearly salary before tax, and it will show your weekly and hourly figures (based on a 38-hour week) and the distance from the full-time average. Remember that the average is just one point of reference. Your state, your award, and your salary packaging choices all move the needle.
How the figures are set
The national full-time average comes from the ABS Average Weekly Earnings survey, published twice a year (May and November). The May 2026 release is the most recent. Medians come from the ABS Employee Earnings and Hours survey (August 2025). The minimum wage and award rates are set by Fair Work. Tax rates are from the ATO. All these sources are independent and regularly updated.