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

Multiply your hourly rate by the number of hours you work each week, then by 52. For a standard full-time week of 38 hours, annual gross = hourly × 38 × 52. This gives your gross pay before tax and super. Super is paid on top at 12% of ordinary earnings.

What is the National Minimum Wage in Australia?

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 an additional 25% loading, making it $33.05 per hour. This rate applies to award-free employees.

What is a salary sacrifice super contribution?

A salary sacrifice super contribution is an arrangement where you agree to forgo part of your pre-tax salary, and your employer pays that amount into your super fund. These contributions are taxed at 15% (up to the concessional cap), which may be lower than your marginal tax rate. It can boost your super savings but reduces your take-home pay.

Annual Salary from Hourly Rate: Tax, Super, and Salary Sacrifice Super Contribution

For a 38-hour week, annual gross pay is hourly rate × 38 × 52. Super is 12% on top, and tax is based on 2026–27 rates.

Understanding the Conversion from Hourly to Annual Pay

When you're offered an hourly rate or a salary, it's helpful to know what that means over a year. The standard formula is simple: multiply your hourly rate by the number of hours you work each week, then by 52 weeks. But there are important details to consider, such as the 38-hour week, casual loading, tax, superannuation, and even options like a salary sacrifice super contribution.

The Basic Formula: Hourly × Hours per Week × 52

The core calculation for annual gross pay 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 pay is $30 × 38 × 52 = $59,280.

This formula assumes you work the same number of hours every week, with no unpaid overtime, penalty rates, or allowances. It's a starting point for comparing offers.

Why 38 Hours?

The Fair Work Ombudsman considers 38 hours as the standard full-time week in Australia. Many awards and agreements are based on this. When using our the timesheet calculator, you can adjust the hours, but we often assume 38 hours for full-time comparisons.

The Fortnightly View

Your pay might be fortnightly. To get your gross fortnightly pay, simply multiply your weekly pay by two. Using the example above: weekly pay = $30 × 38 = $1,140; fortnightly = $2,280. This can help you budget, especially if your bills are due fortnightly.

National Minimum Wage vs Award Rates

From 1 July 2026, the National Minimum Wage is $26.44 per hour, or $1,004.90 per week for 38 hours. This rate applies to employees not covered by an award or registered agreement. However, many workers are covered by an award that sets higher minimum rates for their industry or role. Award rates are determined by the Fair Work Commission and can include specific classifications and allowances. Always check your award or agreement. Our minimum wage page has more details.

If you are a casual employee, you are entitled to a casual loading – typically 25% on top of the base rate. For the National Minimum Wage, that means $33.05 per hour. This loading compensates for not receiving paid leave. Our casual loading guide explains further.

Award Rates vs Minimum Wage

Award rates are often higher than the National Minimum Wage. For example, the Hospitality Industry General Award may have higher rates for specific roles. The Fair Work Ombudsman provides pay guides for each award. These rates are minimums; your employer may pay above them. When comparing job offers, it's important to know whether the rate is award-based or above award.

Casual Loading: What It Means for Your Pay

Casual loading is an additional 25% paid on top of the base hourly rate for casual employees. This loading is part of your ordinary earnings and super is calculated on it. When using our the timesheet calculator, you can check a box to add 25% casual loading. Never enter a rate that already includes casual loading – use the checkbox instead.

Tax and Medicare: What You Take Home

Your take-home pay depends on tax and the Medicare levy. For the 2026–27 financial year, the resident tax rates are:

$0 – $18,200: nil
$18,201 – $45,000: 15% for each dollar over $18,200
$45,001 – $135,000: 30% for each dollar over $45,000
$135,001 – $190,000: 37% for each dollar over $135,000
Over $190,000: 45% for each dollar over $190,000

Medicare levy is generally 2% of taxable income. The thresholds for the single reduction in 2025–26 are used here as 2026–27 figures were not confirmed. This estimate does not include the Medicare levy surcharge or HELP repayments.

Our take-home pay page can help you estimate your net income.

Superannuation: Paid on Top

Employers must pay superannuation guarantee contributions of 12% of your ordinary earnings, on top of your salary. This is not deducted from your pay. For example, if your annual gross is $59,280, your employer adds $7,113.60 in super. The super guarantee is capped at the maximum contribution base of $270,830 per quarter (so for annual earnings above that, super stops). Super is paid on ordinary time earnings, including casual loading but not overtime.

Salary Sacrifice Super Contribution: A Way to Boost Your Super

You may choose to make additional contributions to your super through salary sacrifice. This is an arrangement where you forgo part of your pre-tax salary, and your employer pays that amount into your super fund instead. The benefit is that these contributions are taxed at only 15% (up to the concessional cap), which is often lower than your marginal tax rate. However, salary sacrifice reduces your take-home pay and is not included in the standard annual estimate we provide. If you are considering a salary sacrifice super contribution, check your super fund's rules and the concessional contributions cap. The Australian Taxation Office sets the cap each year. For more on super and packaging, see our super and packaging page.

Average Pay Comparisons

The Australian Bureau of Statistics publishes Average Weekly Earnings. For May 2026, full-time adult ordinary time earnings averaged $2,083.70 per week, while all employees (including part-time) averaged $1,579.20 per week. These are averages across all industries and states, not medians for a specific job. Use them as a general benchmark, not as a target for your role. Our average pay page has more context.

Using the Timesheet Calculator

Our the timesheet tool lets you enter your base hourly rate and optionally add 25% casual loading. It then calculates your weekly, fortnightly, and annual gross pay, as well as estimated tax and super. Remember: never enter a rate that already includes casual loading – use the checkbox instead. The calculator follows the same assumptions outlined here.

Conclusion

Converting your hourly rate to an annual salary is straightforward with the formula hourly × hours per week × 52. But understanding the nuances – such as the 38-hour standard, casual loading, tax brackets, super guarantee, and options like salary sacrifice super contributions – gives you a clearer picture of your total compensation. Always refer to your award or agreement for your specific entitlements. For more detailed data, see our reference tables and pay guides.