Rates, Thresholds and Caps
The 2025–26 and 2026–27 numbers behind your tax: brackets, Medicare levy, LITO, HELP, super caps and CGT.
income tax calculator Australia
Personal tax in Australia, worked out line by line
Plain-English guides and calculators for individuals: how your tax, Medicare levy and HELP repayment are calculated, and which legal tax-saving options fit your situation.
- 2025–26 and 2026–27 rates, thresholds and super caps in one place
- Worked examples with the arithmetic shown
- General information only, with links to the ATO and other official sources
Start hereIncome tax calculator 2026–27 (Australian residents)
Explore by topic
Worked Examples and Checklists
Step-by-step calculations for take-home pay, salary sacrifice, work-from-home claims, rental losses, shares and HELP.
Deadlines, Pitfalls and Official Sources
Lodgment deadlines, penalties, the mistakes the ATO looks for, fixing a return and where to complain.
Start here
Rates, Thresholds and Caps
HELP repayment thresholds 2026–27 and the 2025 marginal repayment reform
How compulsory HELP and other study loan repayments work since the 2025 reform: the $69,528 threshold for 2026–27, marginal bands, repayment income, indexation and the 20% debt cut.
Worked Examples and Checklists
How to calculate your Australian income tax step by step (with a worked example)
Go from gross income to taxable income, tax, offsets, Medicare levy and HELP repayment, then compare with PAYG withheld to see whether you get a refund or owe tax.
Rates, Thresholds and Caps
Australian income tax rates for 2025–26 and 2026–27 explained
Resident tax brackets for 2025–26 and 2026–27, the cut from 16% to 15% and then 14%, how marginal rates work and what sits on top of the brackets.
Worked Examples and Checklists
Is salary sacrifice into super worth it? Worked examples at four incomes
Worked 2026–27 examples showing the tax saved, the fall in take-home pay and the net gain from salary sacrificing into super at $44,000, $60,000, $85,000 and $150,000.
Rates, Thresholds and Caps
Super contribution caps for 2026–27: concessional, non-concessional and bring-forward
The concessional cap rises to $32,500 and the non-concessional cap to $130,000 from 1 July 2026. How each cap works, bring-forward thresholds and what counts toward them.
Deadlines, Pitfalls and Official Sources
Common tax return mistakes in Australia and the official sources to check
The individual tax return errors that most often trigger ATO adjustments, what happens if you get it wrong, how to avoid scams, and a directory of official sources.
Tools
Income tax calculator 2026–27 (Australian residents)
Work out income tax for 2026–27 using the resident tax rates: nil to $18,200, then 15%, 30%, 37% and 45%, after deductions and offsets.
Take-home pay calculator
Estimate annual take-home pay from your income tax (from the income tax calculator), Medicare levy and HELP repayment.
Salary sacrifice into super calculator
See how much income tax a salary sacrifice amount saves and how much your take-home pay actually falls.
Work-from-home fixed rate calculator
Calculate a fixed-rate working-from-home deduction from your hours and see your taxable income after deductions.
HELP debt payoff estimator
Estimate the monthly amount needed to clear a HELP debt in a chosen number of years at an assumed indexation rate.
Tax return checklist for individuals
Documents and checks to tick off before you lodge your individual tax return in myTax or with a tax agent.
Legal ways to reduce personal tax compared
| Strategy | How it reduces tax | Usually suits | Watch out for |
|---|---|---|---|
| Salary sacrifice into super | Pre-tax salary taxed at 15% in the fund instead of your marginal rate | Employees on a 32% or higher marginal rate who can lock money away | Concessional cap ($32,500 in 2026–27) and Division 293 above $250,000 |
| Personal deductible super contribution | Contribute after-tax money, then claim a deduction after a notice of intent | People whose employer offers no salary sacrifice, or with irregular income | Notice must be acknowledged before lodging or rolling over; counts toward the cap |
| Carry-forward concessional cap | Use unused cap from up to five earlier years in one higher-income year | Total super balance under $500,000 with a bonus, capital gain or career break | Each unused amount expires after five years; in 2026–27 the oldest usable year is 2021–22 |
| Spouse contribution | Contribute to a low-income spouse's super and claim an offset of up to $540 | Couples where one partner earns under $40,000 | Offset only, not a deduction; spouse income test applies |
Frequently asked questions
What are the income tax rates for 2026–27?
For Australian residents: nil to $18,200, 15% from $18,201 to $45,000, 30% to $135,000, 37% to $190,000 and 45% above that, plus the 2% Medicare levy. The 15% rate replaced 16% on 1 July 2026 and is legislated to fall to 14% from 1 July 2027. See the rates guide.
When is my tax return due?
If you lodge yourself, the 2025–26 return is due by 31 October 2026. Because that date falls on a Saturday, the ATO generally accepts lodgment on the next business day. If you are on a registered tax agent's client list before 31 October, a later date under the agent lodgment program usually applies. See the deadline guide.
How much do I repay on my HELP debt?
Since 2025–26, compulsory repayments are calculated only on repayment income above the threshold, not on your whole income. For 2026–27 the threshold is $69,528, with 15c per dollar above it in the first band. The HELP guide shows all bands.
Is salary sacrifice worth it?
It usually saves tax if your marginal rate (including Medicare levy) is above the 15% contributions tax, which means income above $45,000. The trade-off is that the money stays in super until you retire or meet another condition of release. Try the salary sacrifice calculator.
What is the work-from-home fixed rate?
It is 70 cents for each hour you work from home in 2024–25 and 2025–26, covering energy, internet, phone and stationery. You need a record of actual hours for the whole year. See the work-from-home guide.
What happens if I lodge late?
The ATO can apply a failure-to-lodge penalty of one penalty unit for each 28 days late, up to five units, and charges the general interest charge on unpaid tax. The ATO often does not apply the penalty to people who lodge as soon as they can and contact it early. See late lodgment penalties.
Is this site tax advice?
No. It is general information to help you understand how Australian personal tax works and to check your own calculations. It does not consider your circumstances. For advice, use a registered tax agent and always confirm figures with the ATO.
How this site is made
Bracket & Offset is an independent information project. Guides are drafted with the help of AI writing tools and checked against official and primary sources before publication; see our Editorial Policy. We are not affiliated with any provider mentioned on the site and do not sell products or services.