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What is Minimum Wage in Australia? A Take-Home Comparison with the National Average

The national minimum wage is about half the full-time average earnings, resulting in a significantly lower take-home pay after tax.

This sits $56,097 under the Australian full-time average, about 51.8% below the line. The closest full-time state average is Tasmania. It is off the left edge of the ruler. This close-up only covers full-time state averages.

Week, hour, and a tax sketch

$1,005 a week · $26.44 an hour if spread over 38 hours

About $45,013 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

What is Minimum Wage in Australia?

The national minimum wage is the legal floor for pay in Australia. As of 1 July 2026, Fair Work sets it at $26.44 per hour, $1004.90 per week, or about $52,255 per year for a full-time worker on a 38-hour week. This rate applies to employees who are not covered by an award or registered agreement. Award minimums rose by 4.75% at the same time.

How It Sits Against the National Full-Time Average

The national full-time adult ordinary-time average is $2083.70 per week, about $108,352 per year (ABS Average Weekly Earnings, May 2026). That means the minimum wage is roughly 48% of the average. The gap is even wider when you consider the full-time median of about $90,532 and the all-employees median of about $74,100 (ABS Employee Earnings, August 2025).

A Resident Take-Home Sketch

Using the 2026–27 tax rates (nil to $18,200; 15% to $45,000; 30% to $135,000; 37% to $190,000; 45% above) and the 2% Medicare levy, here is what a single resident Australian might take home:

  • Minimum wage ($52,255): Tax of about $6,200 plus Medicare of about $1,045 leaves roughly **$45,000 take-home pay.
  • Full-time average ($108,352): Tax of about $23,025 plus Medicare of about $2,167 leaves about **$83,000 take-home.

The difference in take-home is roughly **$38,000 more per year — a significant difference that highlights the gap between the floor and the line.

State-by-State Averages

While the minimum wage is the same across the country, the full-time average varies by state. For example:

  • Western Australia full-time average: $115,825**
  • Australian Capital Territory full-time average: $119,090
  • New South Wales full-time average: $109,658
  • Victoria full-time average: $106,137
  • Queensland full-time average: $106,064
  • South Australia full-time average: $102,450
  • Tasmania full-time average: $96,008
  • Northern Territory full-time average: $103,173

These figures come from the ABS Average Weekly Earnings, May 2026. To see where your own salary sits, you can place a salary on the line or explore states and territories.

Key Distinctions

It is important to keep the minimum wage, the full-time average, and the medians separate:

  • The minimum wage is a legal floor set by Fair Work.
  • The full-time average is the mean ordinary-time earnings of full-time adults (ABS).
  • The full-time median and all-employees median are midpoints from a different ABS survey.

These figures are published on different schedules: the average twice a year (May and November), the medians less frequently (August 2025), and the minimum wage annually from 1 July.

For more detail on how these figures are set, see How the figures are set.

Conclusion

The national minimum wage provides a baseline, but it sits well below the full-time average and the full-time median. For a resident worker, the take-home pay on the minimum is roughly half that of someone earning the average. Understanding where you stand against these benchmarks can help with budgeting and career planning.

Questions

What is the current national minimum wage in Australia?

From 1 July 2026, the national minimum wage is $26.44 per hour, $1004.90 per week, or about $52,255 per year based on a 38-hour week. This rate is set by Fair Work and applies to employees not covered by an award or agreement.

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

The national full-time adult ordinary-time average is $2083.70 per week, about $108,352 per year (ABS Average Weekly Earnings, May 2026). The minimum wage is roughly 48% of that average. The full-time median is about $90,532, and the all-employees median is about $74,100 (ABS Employee Earnings, August 2025).

What is the take-home pay on the minimum wage after tax and Medicare?

For a full-year worker on the minimum wage of about $52,255, the estimated tax (using 2026–27 rates) is approximately $6,200 and the Medicare levy is about $1,045, leaving a take-home of roughly $45,000. By contrast, the take-home on the full-time average of $108,352 is about $83,000 after tax and Medicare.

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