1 July 2026 – 30 June 2027 · the year in force
Tax brackets for 2026-27
One rate moved from 2025-26: the rate on $18,201 – $45,000 fell from 16c to 15c. Income tax starts at $22,867, not $18,201, once the low income tax offset is applied.
Rates verified against the official sources — how we check.
- Tax-free threshold
- $18,200
- by law
- Income tax really starts
- $22,867
- once the offset applies
- Top rate
- 45%
- over $190,000
- Medicare levy
- 2%
- on top of income tax
- Super guarantee
- 12%
- of qualifying earnings
- Study loan repayments start above
- $69,528
- rising with income; 10% of the whole at the top
The 2026-27 resident rates
| Taxable income | Tax on this income |
|---|---|
| $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 |
| $190,001 and over | $51,370 plus 45c for each $1 over $190,000 |
Income tax only, as the ATO publishes it for residents. The Medicare levy of 2% is charged on top, and the low income tax offset comes off the bottom.
What you pay at common incomes in 2026-27
| Taxable income | Income tax after the offset | Medicare levy | Total | Average rate | Against 2025-26 |
|---|---|---|---|---|---|
| $20,000 | $0 | $0 | $0 | 0.0% | No change |
| $30,000 | $1,070 | $198.90 | $1,268.90 | 4.2% | $118 less |
| $45,000 | $3,695 | $900 | $4,595 | 10.2% | $268 less |
| $60,000 | $8,420 | $1,200 | $9,620 | 16.0% | $268 less |
| $80,000 | $14,520 | $1,600 | $16,120 | 20.2% | $268 less |
| $100,000 | $20,520 | $2,000 | $22,520 | 22.5% | $268 less |
| $120,000 | $26,520 | $2,400 | $28,920 | 24.1% | $268 less |
| $150,000 | $36,570 | $3,000 | $39,570 | 26.4% | $268 less |
| $200,000 | $55,870 | $4,000 | $59,870 | 29.9% | $268 less |
| $250,000 | $78,370 | $5,000 | $83,370 | 33.3% | $268 less |
A single resident with no other offsets, on taxable income — what is left after deductions, not the salary on a contract. For 2026-27 that includes the $1,000 standard deduction for work expenses, which applies without receipts.
Where tax really starts
The first rate, 15c in the dollar, begins above $18,200. But the low income tax offset takes up to $700 off the bill, and at 15c a dollar that covers the tax on the next $4,666 of income as well. So in 2026-27 no full-year resident pays income tax on a taxable income of $22,866 or less.
The Medicare levy has its own starting line: nothing up to $28,011 for a single person, then 10c for each dollar over it until that reaches 2% of the whole income. The 2026-27 figure is not legislated yet: it is the previous year's carried forward, which is what the ATO's own page still shows.
The offset shrinks as income rises — it starts tapering above $37,500 and is gone by $66,667 — which is why the rate on the next dollar in that range is higher than the bracket rate printed above.
What changed from 2025-26
| What | 2025-26 | 2026-27 |
|---|---|---|
| Band 2 | 16c on $18,201 – $45,000 | 15c on $18,201 – $45,000 |
| Concessional contributions cap | $30,000 | $32,500 |
| Maximum super contribution base | $62,500 a quarter | $270,830 a year |
| Study loan repayments | charged on income above $67,000 | charged on income above $69,528 |
| Standard deduction for work expenses | none | $1,000 |
Worked out by comparing the two years’ figures, so nothing else on this page changed between them. The 2025-26 page has that year in full.
Study loan repayments in 2026-27
A compulsory HECS-HELP or other study loan repayment in 2026-27 is charged like a tax bracket, on repayment income above $69,528, at a rate that steps up with it — until repayment income reaches $186,051, where it becomes 10% of the whole repayment income. Below $69,528 nothing is repaid.
| Repayment income | Repayment |
|---|---|
| $0 – $69,528 | Nil |
| $69,529 – $129,717 | 15c for each $1 over $69,528 |
| $129,718 – $186,050 | $9,028 plus 17c for each $1 over $129,717 |
| $186,051 and over | 10% of repayment income |
Repayment income is taxable income plus reportable fringe benefits, net investment losses and reportable super contributions, so for anyone with those amounts it is higher than taxable income. The HECS repayment calculator works it out from your pay.
The other figures that applied in 2026-27
| Medicare levy | 2%, from $28,011 for a single person |
|---|---|
| Low income tax offset | Up to $700, gone by $66,667 |
| Super guarantee | 12% of qualifying earnings |
| Concessional contributions cap | $32,500 |
| Maximum super contribution base | $270,830 a year |
| Study loan repayments | Above $69,528, charged on income above it; 10% of the whole from $186,051 |
| Standard deduction for work expenses | Up to $1,000 |
| Division 293 threshold | $250,000 of income plus concessional contributions |
Work out your own 2026-27 figures
The pay calculator answers for 2026-27 if you pick it in its tax year box: take-home pay, your study loan and super, all on these rates. What an employer withholds from each pay this year is in the PAYG withholding calculator. Your HECS repayment and any Division 293 tax have their own calculators.
The 15c rate is legislated to fall to 14c from 1 July 2027. The other 2027-28 figures are not published yet, so there is no page for that year.
Every year Payjoey holds
- 2026-27 (this page) — the year in force
- Tax brackets for 2025-26
- Tax brackets for 2024-25
- Tax brackets for 2023-24
How the four years compare, and what each change was worth in dollars, is on the tax brackets overview.
Where these figures come from
- ATO — Tax rates for Australian residents
- ATO — Low income tax offset (QC105020)
- ATO — Standard deduction for work-related expenses (QC107752)
- ATO — Study and training loan repayment thresholds and rates
- ATO — Medicare levy reduction for low-income earners
- ATO — Super guarantee (rates and maximum contribution base)
- ATO — Contributions caps
How we check sets out how every figure on this site is verified.