How do I convert my hourly rate to an annual salary?

Multiply your hourly rate by the number of hours you work each week, then by 52 weeks. For a standard full-time role, we assume 38 hours per week, so annual gross = hourly × 38 × 52. This gives a base figure before tax, super, or any salary sacrifice arrangements.

What is casual loading and how does it affect my pay?

Casual loading is an extra 25% paid on top of the base hourly rate to compensate for lack of paid leave. For example, the National Minimum Wage from 1 July 2026 is $26.44 per hour, and with casual loading it becomes $33.05 per hour. When using our timesheet, you enter the base rate and check the casual loading box; do not enter a rate that already includes loading.

How does salary sacrifice with car companies work?

Salary sacrifice car companies allow you to use pre-tax income to pay for a vehicle, reducing your taxable income. This arrangement is separate from the basic hourly-to-annual conversion. Our estimate does not include salary sacrifice; you would need to adjust your taxable income and tax calculations accordingly. Always check with your employer or the Australian Taxation Office for specific rules.

Hourly to Annual Pay: Salary Sacrifice Car Companies and the 38-Hour Week

Annual pay is your hourly rate multiplied by 38 hours per week and 52 weeks, assuming no overtime or penalties.

How to Convert Your Hourly Rate to Annual Pay

If you earn an hourly wage or have a salary offer, the simplest way to estimate your annual gross pay is to multiply your hourly rate by the hours you work each week, then by 52 weeks. For a standard full-time role, we assume a 38-hour week, as set by the Fair Work Ombudsman. The formula is:

Annual gross ≈ hourly rate × hours per week × 52

For example, if you earn $30 per hour and work 38 hours each week, your annual gross is $30 × 38 × 52 = $59,280. This figure does not include superannuation, which is paid on top, or any deductions like tax.

The 38-Hour Week and Fortnightly Pay

Many employees are paid fortnightly. To find your fortnightly gross, multiply your weekly pay by 2. Weekly pay is your hourly rate × 38 hours. So fortnightly gross = hourly × 38 × 2. Using the same $30 rate, that’s $30 × 38 × 2 = $2,280 per fortnight before tax and super.

National Minimum Wage and Award Rates

The Fair Work Commission sets the National Minimum Wage. From 1 July 2026, it is $26.44 per hour, or $1,004.90 per week for 38 hours. Casual employees receive an additional 25% loading, making the casual rate $33.05 per hour. This is the minimum; many awards and enterprise agreements set higher rates. Our minimum wage page has more details.

If you are covered by an award, your minimum hourly rate may be higher than the national minimum. Always check the relevant pay guide or award on the Fair Work Ombudsman website. Our pay guides can help you find the right classification.

Casual Loading and Your Timesheet

When using our timesheet, you enter your base hourly rate. There is a checkbox to add 25% casual loading on top. Do not enter a rate that already includes casual loading – the tool adds it automatically. This ensures your annual estimate reflects the correct casual pay.

Superannuation: Paid on Top

Under the Super Guarantee, your employer must pay superannuation equal to 12% of your ordinary earnings, on top of your gross pay. For 2026–27, the maximum contribution base is $270,830. Super is not deducted from your pay; it is an additional cost to your employer. Our super and packaging page explains salary sacrifice options, including arrangements with salary sacrifice car companies that let you use pre-tax income for a vehicle. These arrangements reduce your taxable income but are not included in our basic estimate.

Tax and Medicare Levy

Your annual gross pay is taxed 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

You also pay the Medicare levy, generally 2% of your taxable income. The 2025–26 single reduction thresholds are used here because the 2026–27 thresholds were not confirmed. Our take-home pay calculator can estimate your net pay after tax and Medicare.

Average Earnings vs. Your Job

The Australian Bureau of Statistics reports Average Weekly Earnings. For May 2026, full-time adult ordinary time earnings were $2,083.70 per week. All employees total earnings (including part-time) averaged $1,579.20 per week. These are averages across all industries and states, not the median for your specific job. To compare your role, see our average pay page or job pay for industry-specific data.

Important Assumptions

Our annual pay estimate uses the formula hourly × hours per week × 52. It assumes:

The same rate every week, no unpaid overtime
No penalty rates, allowances, or shift loadings
No salary sacrifice arrangements (such as those offered by salary sacrifice car companies)
Super is estimated at 12% of ordinary earnings only, paid on top, and stops at the $270,830 maximum contribution base
Tax uses the 2026–27 resident scale with the full tax-free threshold
Medicare uses the 2025–26 single reduction thresholds
HELP, Medicare levy surcharge, and salary packaging are not deducted

This is an estimate, not a determination of your pay or tax. For personalised advice, consult a tax professional or use our reference tables for more detailed calculations.

Using the Timesheet

Our timesheet is the home page. You type your base hourly rate, and a checkbox adds 25% casual loading if applicable. The tool then shows your annual, fortnightly, and weekly gross pay, plus estimated tax and super. It is designed for quick conversions without needing to remember the formula.

Summary

Annual gross = hourly × 38 × 52 (for full-time)
Fortnightly gross = hourly × 38 × 2
National Minimum Wage: $26.44/hr, casual $33.05/hr
Super is 12% on top, up to $270,830
Tax brackets and Medicare levy apply
Salary sacrifice with car companies can reduce taxable income but is not included in basic estimates

For more information, see our hourly conversion guide or casual loading page.