How is super calculated on casual loading?

Superannuation is 12% of your ordinary earnings, which includes the casual loading. For example, if your casual rate is $33.05 per hour (base $26.44 plus 25% loading), your super is 12% of that hourly rate, paid on top. The super guarantee is capped at the maximum contribution base of $270,830 per year.

What is the difference between the National Minimum Wage and award rates?

The National Minimum Wage ($26.44 per hour from 1 July 2026) applies to award/agreement-free employees. Award rates are higher minimums set for specific industries and occupations, found in the Modern Awards Pay Database. Most employees are covered by an award, so their FRV salary will be the award rate, not the National Minimum Wage.

Understanding Your FRV Salary: Casual Loading and Super Paid on Top

Q: What is an FRV salary?

FRV stands for Fair Work Reference Value. It refers to the minimum pay rates set by the Fair Work Commission and the Fair Work Ombudsman, including the National Minimum Wage, award rates, and casual loadings. Your FRV salary is the base amount you should expect before any penalties, allowances, or superannuation.

Based on the National Minimum Wage of $26.44 per hour (38-hour week), a casual employee earning $33.05 per hour (including 25% loading) would have an annual gross of approximately $65,327 before super.

What Is an FRV Salary?

Your FRV salary – short for Fair Work Reference Value – is the minimum pay you should receive under Australian workplace laws. It draws on the rates published by the Fair Work Commission and the Fair Work Ombudsman. Whether you are full-time, part-time, or casual, understanding your FRV salary helps you check that you are being paid correctly, especially when casual loading and super are added on top.

The National Minimum Wage

From 1 July 2026, the National Minimum Wage is $26.44 per hour for a 38-hour week, or $1,004.90 per week. This is the base rate for adult employees not covered by an award or agreement. If you are a casual employee, you receive an additional 25% loading, making your minimum casual rate $33.05 per hour.

Award Rates

Most employees are covered by a modern award, which sets higher minimum rates than the National Minimum Wage. The Modern Awards Pay Database contains the official classification rates, allowances, and penalty rates for each award. Your FRV salary should be based on the award that applies to your industry and role, not the National Minimum Wage.

How to Calculate Your Annual FRV Salary

The standard formula is:

Annual gross = hourly rate × hours per week × 52

We assume a 38-hour week unless your award specifies otherwise. For a casual employee on the National Minimum Wage:

Base rate: $26.44/hour
Casual rate (with 25% loading): $33.05/hour
Annual gross: $33.05 × 38 × 52 = $65,326.80

This figure does not include super, which is paid on top (see below).

Fortnightly and Weekly Figures

To see your pay in more manageable chunks:

Weekly: hourly rate × hours per week
Fortnightly: weekly × 2

For the casual example above:

Weekly: $33.05 × 38 = $1,255.90
Fortnightly: $1,255.90 × 2 = $2,511.80

Use our hourly conversion tool to try different hourly rates and hours.

Casual Loading: What It Covers

Casual loading of 25% compensates for entitlements that permanent employees receive, such as paid leave and notice of termination. It is paid on top of the base hourly rate. Never enter a rate that already includes casual loading into our timesheet; instead, enter the base rate and tick the casual loading checkbox.

Superannuation Paid on Top

Superannuation is calculated at 12% of your ordinary earnings, which includes the casual loading. For the casual example above:

Ordinary earnings per hour: $33.05
Super per hour: $33.05 × 12% = $3.97
Annual super: $3.97 × 38 × 52 = $7,839.22

Super is paid on top of your gross pay and is capped at the maximum contribution base of $270,830 per year. If your earnings exceed that, super is only paid on the first $270,830.

Tax and Take-Home Pay

Your FRV salary is your gross pay before tax. Using the 2026–27 resident tax rates:

Nil tax on the first $18,200
15% on income from $18,201 to $45,000
30% on income from $45,001 to $135,000
37% on income from $135,001 to $190,000
45% on income above $190,000

Plus the Medicare levy of 2% (using 2025–26 single reduction thresholds).

For the casual example earning $65,327 annually:

Tax: approximately $9,467
Medicare: approximately $1,307
After-tax annual: $54,553

See our take-home pay page for more detailed estimates.

Award Rates vs National Minimum Wage

If you are covered by an award, your FRV salary will be higher than the National Minimum Wage. For example, the Health Services Award and the SCHADS Award have recently updated rates (see pay guides). Always check your award classification in the Modern Awards Pay Database or use the Fair Work Ombudsman’s Pay and Conditions Tool.

Example: Award Rate with Casual Loading

Suppose your award rate is $28.00 per hour. As a casual:

Casual rate: $28.00 × 1.25 = $35.00/hour
Annual gross: $35.00 × 38 × 52 = $69,160
Super (12%): $8,299.20

Summary

Your FRV salary is the minimum you should earn based on your award or the National Minimum Wage. Casual loading adds 25%, and super is paid on top at 12%. Use our reference tables to compare rates, and remember that this is an estimate – always check your pay slip and consult the Fair Work Ombudsman if you have concerns.

For more on super and salary packaging, visit our super and packaging page.