Why do I only keep 60 cents of each dollar from my raise?

At salaries between $45,001 and $135,000, the marginal tax rate is 30% plus 2% Medicare = 32%. Above $135,000 it's 37% + 2% = 39%. The 'retention rate' shown tells you exactly how much you keep.

Does this include superannuation?

The take-home calculation excludes super (since it doesn't hit your bank account). However, the results show the super increase separately so you can see the full picture.

What if my raise crosses a HELP threshold?

Check the 'I have a HELP/HECS debt' box and the calculator will factor in the change in compulsory repayment rate. This can sometimes make a small raise feel smaller than expected.

Pay Rise Calculator Australia

Find out exactly how much of your pay rise actually reaches your bank account

Enter your current and new salary to see the real after-tax increase, factoring in marginal tax rates, Medicare levy and HELP/HECS repayments.

Pay Rise Details

Current Annual Salary ($)

New Annual Salary ($)

Tax Year

Residency Status

I have a HELP/HECS debt

I have private hospital cover

Pay Rise Impact

Your actual take-home increase

$6,800/year

$567/month

$262/fortnight · $131/week

Of every extra dollar you earn

68.0¢

reaches your bank account (the rest goes to tax, Medicare)

Before

Gross salary

$80,000

Take-home pay

$64,200

Income tax

$14,220

Medicare levy

$1,580

Effective tax rate

19.8%

After

Gross salary

$90,000

Take-home pay

$71,000

Income tax

$17,220

Medicare levy

$1,780

Effective tax rate

21.1%

Super impact

Your employer super contributions increase by $1,200 per year ($9,600 → $10,800)

How to Use This Calculator

1Enter your current annual salary (before tax)
2Enter your new annual salary after the pay rise
3Adjust tax year, residency and HELP/HECS status if applicable
4See your real take-home increase, marginal retention rate and before/after breakdown

Why Doesn't My Full Raise Reach My Bank Account?

Australia's tax system is progressive — the more you earn, the higher your marginal tax rate. When you get a pay rise, the extra income is taxed at your marginal rate, not your average rate.

For example, if you earn $100,000 and get a $10,000 raise, that extra $10,000 is taxed at your 30% marginal rate plus the 2% Medicare levy. Without private hospital cover you keep about $5,710 of it, because the raise also pushes your income over the Medicare Levy Surcharge threshold; with hospital cover you'd keep about $6,800. This calculator shows you the exact figures for your own numbers.

What Affects Your Take-Home Increase?

Marginal tax rate: Higher salaries push income into higher brackets. The 2026–27 brackets are $0–$18,200: 0%, $18,201–$45,000: 15%, $45,001–$135,000: 30%, $135,001–$190,000: 37%, $190,001+: 45% — derived from the same table the calculator uses, so this list cannot fall behind it.
Medicare levy: 2% of taxable income applies to most Australian residents.
HELP/HECS repayments: If you have a HELP debt, crossing a repayment threshold can add 1-10% of your income as an additional deduction.
Medicare Levy Surcharge: If you earn above $105,000 without private hospital cover, an extra 1-1.5% surcharge may apply.

What a pay rise changes besides your pay

•Salary-sacrificed super is taxed at 15% in the fund rather than at your marginal rate, so the gap between those two rates is the tax difference. The amount sacrificed does not reach your bank account, it counts towards the concessional cap, and it is preserved until preservation age.
•Crossing a HELP repayment threshold increases the compulsory repayment rate applied to your whole repayment income, not only to the amount above the threshold.
•Above the Medicare levy surcharge threshold, the surcharge applies for every day without an appropriate level of private hospital cover. Whether a policy costs more or less than the surcharge depends on the premium and on how far above the threshold you are.
•A raise is taxed at your marginal rate, so the increase in take-home pay is smaller than the increase in salary. The calculator above shows both figures.

Frequently Asked Questions

Official Sources

Rates checked against the ATO — verified 18 August 2026

Estimates only. Not financial or tax advice. Full disclaimer for your rights and our limitations of liability.

Rates and thresholds last updated for the 2026–27 financial year.

About this calculator

This calculator exists to show you the arithmetic. It applies published Australian rates, thresholds and formulas to the numbers you enter and shows the working, so you can check it. That is all it does — it produces a number and describes what the number is. It does not recommend anything and it holds no opinion about any financial product.

What can move this result

It only knows the figures you type in. Offsets, deductions, prior-year losses, other income, your partner's position and anything you have not entered are not in the result, and any of them can move it a long way.
Rates and thresholds change, sometimes mid-year and occasionally with retrospective effect. Each calculator shows the financial year and the verification date it is working from — outside that year the result is wrong rather than approximate.
Assumptions are set to a reasonable default and every non-statutory one can be changed. Defaults are not predictions, and a small change to a growth or inflation assumption compounds into a large change in a long projection.
Where a result reaches two or more years into the future it is shown in today's dollars as well as future dollars, because a future-dollar figure overstates what the money will actually buy.
It is a generic calculator. It is not built around any particular product, it does not compare the market, and it cannot tell you whether a product is suitable for you.

This calculator is not intended to be relied on for the purposes of making a decision in relation to a financial product. Before you make a financial decision, consider obtaining advice from someone who holds an Australian Financial Services Licence. We do not, and we cannot advise you.

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About this calculator

What can move this result

It only knows the figures you type in. Offsets, deductions, prior-year losses, other income, your partner's position and anything you have not entered are not in the result, and any of them can move it a long way.
Rates and thresholds change, sometimes mid-year and occasionally with retrospective effect. Each calculator shows the financial year and the verification date it is working from — outside that year the result is wrong rather than approximate.
Assumptions are set to a reasonable default and every non-statutory one can be changed. Defaults are not predictions, and a small change to a growth or inflation assumption compounds into a large change in a long projection.
Where a result reaches two or more years into the future it is shown in today's dollars as well as future dollars, because a future-dollar figure overstates what the money will actually buy.
It is a generic calculator. It is not built around any particular product, it does not compare the market, and it cannot tell you whether a product is suitable for you.