The national line and what it measures
The site’s line is set at the national full-time adult ordinary-time average: $2,083.70 a week, or about $108,352 a year. This figure comes from the ABS Average Weekly Earnings survey for May 2026. It represents the average gross (before tax) weekly earnings of full-time employees, excluding overtime and irregular payments. Importantly, it also excludes amounts that employees salary sacrifice.
When you place a salary on the line, the tool shows your weekly and hourly equivalent on a 38-hour week, plus how far you sit above or below the national average. But that comparison can be misleading if your pay package includes salary sacrifice arrangements, because the national average does not.
What can be salary sacrificed?
Salary sacrifice is an agreement between you and your employer to forgo part of your pre-tax salary in exchange for benefits. The most common items include:
- Additional superannuation contributions – above the compulsory Super Guarantee (11.5% from 1 July 2026). These are taxed at 15% in the fund, which can be lower than your marginal rate.
- Novated car leases – a lease on a vehicle where lease payments and running costs are taken from your pre-tax salary.
- Work-related equipment – laptops, tools, or uniforms that are used mainly for work.
- Other fringe benefits – such as health insurance, childcare, or gym memberships, though these may attract Fringe Benefits Tax (FBT) unless exempt.
The ATO sets the rules on what can be salary sacrificed and how FBT applies. Not all benefits are tax-free; some reduce your taxable income but trigger FBT, which your employer may pass on to you.
Why the national average excludes salary sacrifice
The ABS Average Weekly Earnings survey asks employers to report gross earnings before any salary sacrifice deductions. The ordinary-time earnings series (AWOTE) is designed to measure the level of earnings from award, standard, or agreed hours. Salary sacrifice is excluded because it is not a cash payment to the employee. The ABS does publish a separate “cash earnings” series that includes salary sacrifice, but the site’s line uses the standard AWOTE figure.
This means that if your salary package includes a salary sacrifice component, your pre-tax salary (the number you enter into the tool) may be higher than the cash you actually receive. For example, if you earn $120,000 a year but salary sacrifice $15,000 into super, your taxable income is $105,000. The tool compares your $120,000 to the $108,352 average, showing you above the line. But your cash earnings of $105,000 are below the average. The site’s line is a useful benchmark, but it does not capture the full picture of your take-home pay.
How state and award can move the figure off the line
Your pay relative to the national average also depends on where you work and what award or agreement covers you. The ABS publishes state-by-state full-time averages. For May 2026:
- New South Wales: about $109,658
- Victoria: about $106,137
- Queensland: about $106,064
- South Australia: about $102,450
- Western Australia: about $115,825
- Tasmania: about $96,008
- Northern Territory: about $103,173
- Australian Capital Territory: about $119,090
If you work in Western Australia, the state average is higher than the national line, so being at the national average might feel below the local norm. In Tasmania, the opposite is true. You can explore these differences on the States and territories page.
Awards and enterprise agreements also set minimum pay rates that can be above the national minimum wage. From 1 July 2026, the national minimum wage is $26.44 an hour, or $52,255 a year on 38 hours. Award minimums rose by 4.75% in the same decision. Many awards have higher rates for specific classifications, and some include allowances or penalty rates that push pay above the national average. If your job is covered by an award, your minimum pay may be set by that award, not by the national minimum. The Job medians and Industry medians pages show typical earnings for different roles, which can help you see where your pay sits within your field.
The role of tax and the Medicare levy
Your take-home pay is also affected by tax. For 2026–27, the 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
- 45% above $190,000
Plus the Medicare levy of 2% (with reductions for low-income earners). Salary sacrifice reduces your taxable income, which can lower your tax bill. But it also reduces your cash flow and may affect your superannuation or other entitlements.
Putting it all together
The national line is a useful starting point, but your actual position depends on your state, industry, award coverage, and whether you salary sacrifice. The Guides section has more detail on how to interpret these figures, and How the figures are set explains the methodology behind the averages. For a deeper understanding of the site’s approach, see About this site.
Remember: the line is an average, not a target. Many people earn less, and many earn more. The tool is designed to give you a sense of where your pay sits in the broader landscape, not to judge whether it is “enough.”