What is the minimum hourly rate for a carpenter under the Building and Construction Award?

From 1 July 2026, the minimum hourly rate for a Level 4 carpenter (CW/ECW 4) is $30.38 per hour, plus an industry allowance of $67.15 per week. When the allowance is included, the effective ordinary hourly rate is about $32.15. For a Level 5 carpenter, the rate is $31.31 per hour, rising to about $33.07 with the allowance. These rates apply to full-time and part-time weekly hire employees. Casual employees receive a 25% loading on top.

How do I calculate my annual carpentry salary from my hourly rate?

Multiply your hourly rate by the number of hours you work each week, then by 52. For a standard 38-hour week, the formula is: hourly rate × 38 × 52. For example, at $32.15 per hour, annual gross pay is $32.15 × 38 × 52 = $63,528.40. This assumes no unpaid overtime, penalty rates, or allowances beyond the base rate. Superannuation of 12% is paid on top by your employer.

How much tax and Medicare levy will I pay on a carpentry salary?

For the 2026–27 financial year, resident tax rates are: nil on the first $18,200, 15% on income up to $45,000, 30% up to $135,000, 37% up to $190,000, and 45% above that. The Medicare levy is generally 2% of taxable income. For a gross salary of $63,528, tax would be approximately $8,667 plus Medicare of $1,271, leaving about $53,590 after tax. This is an estimate and does not include HELP repayments or the Medicare levy surcharge.

Carpentry Salary: How to Convert Your Hourly Rate to Annual, Fortnightly, and Take-Home Pay

A full-time carpenter under the Building and Construction General On-site Award earns between $30.38 and $33.07 per hour (plus industry allowance), working 38 hours per week, giving an annual gross salary of roughly $60,000 to $65,400 before tax and super.

Understanding Your Carpentry Salary Under the Building Award

If you're working in the construction industry as a carpenter, your pay is likely covered by the Building and Construction General On-site Award 2020. This award sets minimum hourly rates, allowances, and penalty rates. To work out your annual carpentry salary, you need to start with your classification level and the correct hourly rate.

Award Rates for Carpenters

Under the award, carpenters are typically classified at Level 4 (CW/ECW 4) or Level 5 (CW/ECW 5). From 1 July 2026, the minimum weekly rates are:

Level 4: $1,154.40 per week (hourly $30.38)
Level 5: $1,189.60 per week (hourly $31.31)

But that's not the full story. The award also requires an industry allowance of $67.15 per week for general building and construction work. This allowance is part of your ordinary hourly rate. So the effective hourly rate for a Level 4 carpenter becomes:

($1,154.40 + $67.15) ÷ 38 = $32.15 per hour

For Level 5: ($1,189.60 + $67.15) ÷ 38 = $33.07 per hour

These rates are the minimum. Many employers pay above award, and you may also receive allowances for tools, travel, or special conditions.

Converting Hourly to Annual Salary

The standard formula to estimate your annual gross pay is:

Hourly rate × hours per week × 52

For a full-time carpenter working 38 ordinary hours per week, that's:

At $32.15/hour: $32.15 × 38 × 52 = $63,528.40 per year
At $33.07/hour: $33.07 × 38 × 52 = $65,346.32 per year

This calculation assumes you work every week of the year with no unpaid time off. It does not include overtime, penalty rates, or allowances beyond the base rate and industry allowance. For a more detailed breakdown of your specific situation, use our pay guides or reference tables.

Fortnightly and Weekly Pay

Most construction workers are paid weekly or fortnightly. To find your fortnightly gross pay, multiply your weekly pay by 2:

Weekly: $32.15 × 38 = $1,221.70
Fortnightly: $1,221.70 × 2 = $2,443.40

If you're a casual employee, you receive a 25% loading on top of the ordinary hourly rate. For a Level 4 carpenter, that's $32.15 × 1.25 = $40.19 per hour. Casual loading compensates for not receiving paid leave or public holiday benefits. Learn more about casual loading.

National Minimum Wage vs Award Rates

The National Minimum Wage from 1 July 2026 is $26.44 per hour (or $1,004.90 for 38 hours). This is the legal floor for award-free employees. However, most carpenters are covered by the Building Award, which pays significantly more. The award rates above are the minimum; your actual carpentry salary may be higher depending on your employer and experience.

Tax and Medicare on Your Carpentry Salary

Once you have your annual gross figure, you can estimate your take-home pay using the 2026–27 resident tax rates:

$0 – $18,200: Nil
$18,201 – $45,000: 15c for each $1 over $18,200
$45,001 – $135,000: $4,020 plus 30c for each $1 over $45,000
$135,001 – $190,000: $31,020 plus 37c for each $1 over $135,000
Over $190,000: $51,370 plus 45c for each $1 over $190,000

Plus the Medicare levy of 2% of taxable income (with possible reductions for low-income earners).

For a gross salary of $63,528:

Tax: $4,020 + 30% × ($63,528 – $45,000) = $4,020 + $5,558.40 = $9,578.40
Medicare: 2% × $63,528 = $1,270.56
Total deductions: $10,848.96
Estimated take-home: $52,679.04 per year

This is an estimate. It does not include the Medicare levy surcharge, HELP repayments, or salary packaging. For a more personalised estimate, see our take-home pay guide.

Superannuation Is Paid on Top

Your employer must pay superannuation guarantee of 12% of your ordinary earnings into a super fund. This is on top of your salary, not deducted from it. For a $63,528 salary, that's an extra $7,623.36 per year. The super contribution is capped at the maximum contribution base of $270,830 (2026–27). Learn about super and packaging.

Other Factors That Affect Your Pay

Overtime: Paid at 150% for the first 2 hours and 200% after that on weekdays, with higher rates on weekends.
Penalty rates: Saturday work before noon is 150%, after noon 200%; Sunday is 200%.
Casual loading: 25% added to ordinary hourly rate, and overtime penalties are adjusted accordingly.
Allowances: Tool allowance, travel allowance, and site-specific allowances may apply.

For a full list of rates and conditions, check the minimum wage page or the official award summary.

Using the Hourly to Annual Calculator

Our timesheet tool lets you enter your base hourly rate and optionally add casual loading. It calculates annual, monthly, fortnightly, and weekly gross pay, plus estimated tax and super. Remember: the calculator assumes a consistent 38-hour week with no overtime or penalties. It's a starting point for understanding your carpentry salary.

Summary

A full-time carpenter under the Building Award earns roughly $32–$33 per hour including the industry allowance.
Annual gross salary: $63,500–$65,300 for 38 hours/week.
Casual employees get 25% loading: $40–$41 per hour.
Tax and Medicare reduce take-home pay by about 17–20%.
Super of 12% is paid on top.

For more detailed information, refer to the average pay data from the Australian Bureau of Statistics or the hourly conversion guide.