calx.io/Pay Rise Calculator
See what a pay rise is really worth after tax, Medicare and HECS: the extra take-home per week, fortnight and year, and how much of the raise you keep.
Estimates only, not financial advice. Both salaries are assessed as a resident claiming the tax-free threshold with private hospital cover, using this financial year's ATO rates. For deductions, salary sacrifice or other detail, fine-tune in the pay calculator.
Frequently asked questions
How much of a pay rise do I actually keep?
The rise is taxed at your marginal rate, so most people keep between 55% and 70% of it after income tax and Medicare, less again if a HECS repayment increases. The calculator runs your exact salaries through the current ATO scales and shows the split precisely.
Can a pay rise put me in a higher tax bracket and leave me worse off?
No. Australia uses marginal tax brackets, so only the dollars above each threshold are taxed at the higher rate. A rise always increases your take-home pay. The one nuance is cliff-edge thresholds outside income tax, like the Medicare Levy Surcharge and some government benefits, which can claw back a small rise in narrow bands.
Does the calculator include HECS/HELP?
Yes. Switch on the HECS toggle and it works out the compulsory repayment at both salaries. Because repayments are a percentage of income above each threshold, a rise can lift your repayment rate as well as your tax.
Does a pay rise increase my super?
Yes. Employer super is a percentage of your ordinary earnings, so a rise increases it proportionally. The calculator shows the extra super separately because it goes to your fund, not your bank account.
What assumptions does it make?
Australian resident, tax-free threshold claimed, private hospital cover held, current financial year rates, and salary excluding super. For deductions, salary sacrifice, bonuses or other situations, use the full pay calculator.