What Is the Australian Average Salary? A Plain Explanation Using the Salary Index
The Australian average salary sits at index 100 on the Salary Index, equal to $108,352 per year for full-time adult ordinary-time earnings. Learn how it compares across states and
The Australian average salary, as measured by full-time adult ordinary-time earnings, sits at index 100, equivalent to $108,352 per year.
What the Australian Average Salary Really Means
The phrase "australian average salary" often comes up when people want to know if their pay is fair or typical. On the Salary Index we set that average as the national line: index 100. That line is based on the Australian Bureau of Statistics' measure of full-time adult ordinary-time earnings. As of May 2026, that figure is $2,083.70 per week, which annualises to $108,352. This is the benchmark against which all other pay figures are compared.
How the Salary Index Works
The index is simple: take a yearly gross salary, divide it by the national line ($108,352), and multiply by 100. A result of 100 means you earn exactly the average. Above 100 means above average; below 100 means below average. For example, the national minimum wage of $52,255 gives an index of 48.2. A professional earning $150,000 would have an index of about 138. The index helps you see where your pay sits without getting lost in dollar amounts.
State-by-State Differences
Where you live makes a big difference. The states page shows how each state's average earnings compare. The Australian Capital Territory leads at index 109.9 ($119,090 annualised), driven by public sector and professional jobs. Western Australia is next at 106.9 ($115,825), boosted by mining. New South Wales is slightly above the national line at 101.2 ($109,658). Victoria (98, $106,137) and Queensland (97.9, $106,064) are close to average. South Australia (94.6, $102,450) and the Northern Territory (95.2, $103,173) sit below. Tasmania has the lowest index at 88.6 ($96,008). These figures are averages; individual pay within each state can vary widely by occupation and industry.
Industry Benchmarks
Your industry also shapes what "average" means for you. The industries page lists indexes for major sectors. Mining is the highest at 154.7, meaning the typical full-time worker in mining earns about 55% more than the national average. Professional, scientific and technical services sit at 114.7. Education and training is at 105.5, slightly above average. Health care and social assistance is at 97.8, just below. At the lower end, retail trade is at 75.9 and accommodation and food services at 72.5. These indexes reflect ordinary-time earnings, not total compensation including overtime or tips.
What the Average Salary Doesn't Tell You
The australian average salary is a useful reference, but it's not a promise. It covers only full-time adult employees who work ordinary hours. Part-time, casual, and overtime earnings are not included. The figure is also before tax and before the super guarantee. From 1 July 2026, the super guarantee is 12% of ordinary-time earnings, up to a maximum contribution base of $270,830. So an employee earning the average salary would also receive $13,002 in super contributions per year, on top of the $108,352.
Tax and Take-Home Pay
For a resident earning the average salary of $108,352 in 2026–27, the tax (excluding Medicare) would be calculated on these brackets: nil on the first $18,200, 15% on the next $26,800, 30% on the next $90,000, and 37% on the amount above $135,000 up to $190,000. The average salary falls in the 30% bracket. After adding the 2% Medicare levy, the estimated take-home pay is about $80,000 per year, depending on individual circumstances. This ignores HELP repayments, salary sacrifice, or the Medicare levy surcharge.
Awards and Minimums
Most employees are covered by a modern award or an enterprise agreement. The Fair Work Ombudsman sets award rates that are often higher than the national minimum wage. For example, the entry-level award floor from 1 July 2026 is $25.74 per hour, slightly below the national minimum wage of $26.44. Junior rates apply for workers under 21, based on percentages of the adult minimum. A 20-year-old, for instance, earns $25.83 per hour under the national minimum order. Modern awards can set different junior rates.
Using the Average Salary as a Guide
When you hear "australian average salary", think of it as the centre line. It helps you compare your pay to the broader market. If you're considering a job offer, you can check where the offered salary sits on the index. If it's well below 100, you might ask why. If it's above, you're ahead of the typical full-time worker. The pay guides and topics pages offer more detail on specific roles and how they compare.
Final Thoughts
The australian average salary is not a fixed number for every worker. It's a statistical benchmark that changes over time as the ABS updates its Average Weekly Earnings survey. The index makes it easy to see where any salary stands relative to the national line. Whether you're an employee, a job seeker, or an employer, understanding the index helps you make sense of pay in Australia.
For more on how the index is calculated, see how the index works.
Questions people ask
What is the Australian average salary?
The Australian average salary is the national line on the Salary Index, set at index 100. It represents full-time adult ordinary-time earnings of $108,352 per year, or $2,083.70 per week, as measured by the Australian Bureau of Statistics in its Average Weekly Earnings survey.
How does the average salary compare across Australian states?
State indexes show how each state's average earnings compare to the national line. For example, the ACT has the highest index at 109.9 (annualised $119,090), while Tasmania has the lowest at 88.6 ($96,008). New South Wales is slightly above average at 101.2, and Victoria is just below at 98.
Is the Australian average salary the same as the minimum wage?
No. The national minimum wage from 1 July 2026 is $26.44 per hour, $1,004.90 per week, or $52,255 per year, which gives an index of 48.2. The average salary is more than double that figure. Most workers are covered by modern awards or enterprise agreements that pay above the minimum.