ATO Salary: How State and Industry Differences Affect Your Pay
ATO salary means the gross income you report to the Australian Taxation Office. See how state and industry benchmarks compare to the national line using the Salary Index.
The national full-time adult ordinary-time earnings line is $108,352 per year (index 100). State indices range from 88.6 (Tasmania) to 109.9 (ACT), while industry indices vary from 72.5 (accommodation and food services) to 154.7 (mining).
What does 'ATO salary' mean?
When people talk about their ATO salary, they mean the gross income they report to the Australian Taxation Office each year. It’s the number on your payment summary or income statement before tax, super, and any salary sacrifice are taken out. The ATO uses this figure to work out how much tax you owe, but it’s also a useful benchmark for comparing pay across jobs, states, and industries.
In Australia, the national line for full-time adult ordinary-time earnings is $2,083.70 per week, which annualises to $108,352. That’s the index 100 on the Salary Index. If your ATO salary is exactly that, your index is 100. If it’s lower, your index is below 100; if higher, above 100. This makes it easy to see where you sit against the average.
How the Salary Index helps compare ATO salaries across states
Where you live has a big impact on your ATO salary. The states page shows indices for each state and territory based on average full-time earnings. For example:
- Australian Capital Territory: index 109.9 – annualised $119,090
- Western Australia: index 106.9 – $115,825
- New South Wales: index 101.2 – $109,658
- Victoria: index 98 – $106,137
- Queensland: index 97.9 – $106,064
- Northern Territory: index 95.2 – $103,173
- South Australia: index 94.6 – $102,450
- Tasmania: index 88.6 – $96,008
These differences reflect the mix of industries, cost of living, and local labour markets. If you’re a professional in Canberra, your ATO salary is likely to be higher than the national average, partly because of the high concentration of public sector jobs. In Tasmania, the lower index reflects a different industry mix – more hospitality and retail, fewer high-paying mining or professional roles.
When you check your own ATO salary, compare it to the state index rather than the national line. A salary of $100,000 in Tasmania is above the state average (index 104), but in the ACT it’s below (index 84). The how the index works page explains the calculation in more detail.
Industry differences in ATO salary
Your industry is often the biggest driver of your ATO salary. The industries page lists indices for major sectors:
- Mining: index 154.7 – annualised $167,700
- Professional, scientific and technical services: index 114.7 – $124,300
- Education and training: index 105.5 – $114,300
- Health care and social assistance: index 97.8 – $106,000
- Retail trade: index 75.9 – $82,200
- Accommodation and food services: index 72.5 – $78,500
These are averages. A retail manager might earn more than the retail average, while a graduate mining engineer might earn less than the mining average. But the industry index gives you a quick sense of whether your field typically pays above or below the national line.
For example, if you work in accommodation and food services, your ATO salary might be around $78,500 – that’s index 72.5. That’s still above the national minimum wage (index 48.2), but well below the national average. On the other hand, a mining worker on $150,000 has an index of 138 – well above the line.
Using the index to understand your pay
The Salary Index is a tool, not a judgement. It helps you see where your ATO salary fits in the broader picture. If your index is below 100, you’re earning less than the average full-time worker. That might be fine if you’re in a lower-paying industry or a junior role. But if you’re in a high-paying industry and your index is low, it could be a sign to negotiate or look for other opportunities.
Remember that the index uses gross ordinary-time earnings. Your actual ATO salary might include overtime, bonuses, or allowances. And your take-home pay depends on tax, the Medicare levy (2%), and any deductions. For a resident earning $80,000 in 2026–27, the estimated tax (excluding Medicare) is about $17,267, leaving around $62,733 after tax and Medicare. But that’s a rough guide – your situation may differ.
ATO salary and the minimum wage
The national minimum wage from 1 July 2026 is $26.44 per hour or $1,004.90 per week, annualised to $52,255. That’s index 48.2. Most employees are covered by a modern award, which sets higher minimum rates. Award wages rose by 4.75% from 1 July 2026. For example, the entry-level rate under many awards is around $25.74 per hour. Casual employees get a loading (often 25%), so a casual on the minimum wage earns about $33.05 per hour.
Junior rates apply for workers under 21. For a 16-year-old, the national minimum wage is $12.51 per hour; for a 20-year-old, $25.83 per hour. These are based on percentages set by the Fair Work Ombudsman. Awards can set different junior rates, so always check the relevant award.
Putting it all together
Your ATO salary is more than a number on a tax return. It reflects where you live, what industry you work in, and how your pay compares to the national average. The Salary Index gives you a clear benchmark: index 100 is $108,352. Use the state and industry indices to see if you’re above or below the line, and to understand the factors that shape your pay.
For more detail, explore the topics page, or check the pay guides for award rates. The Australian Bureau of Statistics and Fair Work Ombudsman are the official sources for earnings data and minimum wage information.
Questions people ask
What does 'ATO salary' mean for my pay?
ATO salary is the gross income you report to the Australian Taxation Office. It includes wages, salaries, allowances, and bonuses before tax and super. The Salary Index compares your ATO salary to the national full-time adult ordinary-time earnings line ($108,352 per year). For example, if your ATO salary is $80,000, your index is about 74 – below the national average. State and industry differences mean the same job title can have a very different ATO salary depending on where you work and in which sector.
How do state differences affect my ATO salary?
State indices show how average full-time earnings compare to the national line. For instance, Western Australia has an index of 106.9 (annualised $115,825), while Tasmania is 88.6 ($96,008). That means a typical full-time worker in WA reports about 21% more ATO salary than a similar worker in TAS. The Australian Capital Territory is highest at 109.9 ($119,090), partly due to public sector employment. When you look at your own ATO salary, check the state benchmark to see if you're above or below the local average.
Which industries pay the highest and lowest ATO salaries?
The mining industry has the highest index at 154.7, meaning the average full-time ATO salary is about $167,700 per year. At the other end, accommodation and food services index is 72.5 ($78,500) and retail trade is 75.9 ($82,200). Professional, scientific and technical services (114.7, $124,300) and education and training (105.5, $114,300) sit above the national line. Health care and social assistance is slightly below at 97.8 ($106,000). These are averages – individual ATO salaries within each industry vary by role, experience, and location.