What is the formula to convert hourly rate to annual salary?

Multiply your hourly rate by the number of hours you work each week, then multiply by 52 weeks. For a standard full-time role, we assume 38 hours per week. For example, $30/hour × 38 hours × 52 weeks = $59,280 per year. If you work different hours, adjust the weekly hours accordingly.

How does casual loading affect my pay?

Casual employees are entitled to a 25% loading on top of the base hourly rate under most awards. The National Minimum Wage for casuals from 1 July 2026 is $33.05/hour (including loading). When using the timesheet, enter your base hourly rate and check the casual loading box – the calculator adds 25% on top. Do not enter a rate that already includes loading.

What is the super guarantee rate and how is it paid?

From 1 July 2026, the super guarantee is 12% of your ordinary earnings, paid on top of your salary. Employers must pay super each payday (within 7 business days) under the new Payday Super rules. Super is capped at the maximum contribution base of $270,830 per year. The Australian Taxation Office enforces super compliance.

Can My Salary Be Paid Into a Family Trust? Hourly to Annual Pay Explained

Using a 38-hour week and 52-week year, the National Minimum Wage of $26.44/hour gives an annual gross of $52,270.72, with super and tax estimated on top.

Understanding Your Pay: Hourly to Annual

Converting an hourly rate to an annual salary is straightforward: multiply your hourly rate by the number of hours you work each week, then multiply by 52 weeks. For a standard full-time employee, we assume a 38-hour week, as this is the basis for the National Minimum Wage and many award classifications. This gives a reliable estimate for budgeting, tax planning, and comparing job offers.

For example, if you earn $30 per hour and work 38 hours each week, your annual gross pay is $30 × 38 × 52 = $59,280. If you work part-time or casual hours, adjust the weekly figure accordingly. The same formula works for a fortnightly view: simply multiply your weekly pay by two.

The National Minimum Wage and Award Rates

From 1 July 2026, the National Minimum Wage is $26.44 per hour, or $1,004.90 per week for 38 hours. Casual employees receive a 25% loading, making the casual minimum $33.05 per hour. Many awards and enterprise agreements set higher rates, so always check your applicable award. The Fair Work Ombudsman provides pay guides for each industry.

Casual Loading

Casual loading is an extra 25% paid on top of the base hourly rate to compensate for lack of paid leave and other entitlements. When using the timesheet, enter your base hourly rate (without loading) and tick the casual loading checkbox. The calculator will add 25% automatically. Never enter a rate that already includes casual loading, as this would double-count.

Superannuation Guarantee

Employers must pay super contributions of 12% of your ordinary earnings on top of your salary. From 1 July 2026, these contributions must be paid each payday (within 7 business days) under the Payday Super rules. Super is capped at the maximum contribution base of $270,830 per year. The Australian Taxation Office is the primary enforcement agency for the super guarantee. For more details, see super and packaging.

Tax and Medicare

Income tax for 2026–27 is calculated on a sliding scale: 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. Most residents also pay a Medicare levy of 2% of taxable income. The calculator uses these rates with the full tax-free threshold. If you have a second job or a HELP debt, your tax may differ.

Can My Salary Be Paid Into a Family Trust?

A common question from employees is: can my salary be paid into a family trust? For standard employees, the answer is generally no. Your employer must pay your salary directly to you as an individual, not to a trust or other entity. This is because your tax file number (TFN) declaration and super contributions are linked to your personal identity. The Australian Taxation Office requires employers to report your income and tax under your own TFN. If you are an independent contractor paid mainly for your labour, you may be able to structure payments through a trust, but this is a different employment relationship. For employees, salary sacrifice arrangements can redirect some pre-tax salary into super or fringe benefits, but not into a family trust. If you are considering using a trust for income splitting, seek professional advice from a tax accountant or the ATO.

Using the Timesheet

The the timesheet is designed for quick conversions. Enter your base hourly rate, select whether you are casual (to add 25% loading), and the calculator shows your annual gross, fortnightly pay, estimated tax, Medicare levy, and super contribution. All estimates are based on a 38-hour week and 52-week year, using the latest Fair Work and ATO figures.

Important Disclaimer

Annual pay here is hourly rate × hours per week × 52. It assumes the same rate every week, no unpaid overtime, no penalty rates, no allowances, and no salary sacrifice. Super is estimated at 12% of ordinary earnings only, paid on top, and stops at the $270,830 maximum contribution base. Tax is the 2026–27 resident scale with the full tax-free threshold. Medicare uses the 2025–26 single reduction thresholds because the 2026–27 reduction thresholds were not confirmed here. HELP, the Medicare levy surcharge, and salary packaging are not deducted. This is an estimate, not a determination of your pay or tax.