Work From Home Tax Deduction Calculator Australia

Under the ATO fixed rate method, you can claim 70 cents per hour worked from home for the 2025–26 income year (the rate was 67 cents in 2022–23 and 2023–24). For example, working 30 hours per week for 48 weeks gives a deduction of $1,008 — plus depreciation on any work equipment you purchased. The tax saving depends on your marginal rate (e.g. $323 saving at 32%).

No — not under the fixed rate method. You simply need to be performing work duties from home. However, occupancy expenses (rent, mortgage interest, insurance on the home) are only deductible if you have a dedicated space used exclusively for work.

You must keep a record of your WFH hours for the full income year — diary entries, timesheets, calendar notes or employer records all work. You also need evidence of one bill from each expense type covered (e.g. one electricity bill, one internet bill).

Under the fixed rate method (70c/hour), your internet and phone costs are already included in that rate — you cannot claim them separately as well. If you want to claim actual internet/phone costs, you must use the actual cost method instead.

Yes. Assets like a desk, chair, monitor or laptop used for work can be claimed as depreciation under either method. Items costing $300 or less can be immediately deducted. Items over $300 are depreciated over their effective life (e.g. 5 years for a desk at 20% per year).