Minimum Wage Sydney: What You Earn in 2026-27

What is the minimum wage in Sydney?

If you work in Sydney and earn the legal minimum, you are paid the national minimum wage set by the Fair Work Ombudsman. From 1 July 2026, that rate is $26.44 per hour, which works out to $1004.90 per week or $52,255 per year for a full-time employee working 38 hours a week. This is the floor – no employer in Sydney can legally pay you less than this, unless you are a junior or under a special training arrangement.

Sydney is in New South Wales, where the overall pay level is slightly above the national average. According to the Salary Index, NSW has an index of 101.2, meaning typical full-time adult ordinary-time earnings annualise to about $109,658. The minimum wage sits at index 48.2 – less than half the state average. That gap shows how far the minimum is from the typical Sydney salary.

How the minimum wage compares to award rates

Many Sydney workers are covered by a modern award, which sets a minimum pay rate for their industry or occupation. Award rates are almost always higher than the national minimum wage. For example, the retail trade award has an index of 75.9, and the accommodation and food services award sits at 72.5. If you work in one of those industries, your minimum hourly rate will be above $26.44. The entry-level award floor from 1 July 2026 is $25.74 per hour, but most classifications pay more.

If you are a casual worker, you get a 25% loading on top of the minimum wage, making it $33.05 per hour. That loading compensates for not receiving paid leave.

Superannuation on the minimum wage

From 1 July 2026, the super guarantee is 12% of your ordinary earnings. Your employer must pay this on top of your gross wage. For a full-time minimum wage earner in Sydney:

• Gross annual wage: $52,255
• Super guarantee (12%): $6,270.60
• Total cost to employer: $58,525.60

Super is not part of your take-home pay – it goes into a super fund that you can access when you retire. The maximum super contribution base for 2026-27 is $270,830, so the minimum wage is well below that cap.

Tax and take-home pay

Your gross wage is what you earn before tax and the Medicare levy. For the 2026-27 financial year, the resident tax rates (excluding Medicare) are:

• $0 – $18,200: nil
• $18,201 – $45,000: 15%
• $45,001 – $135,000: 30%
• $135,001 – $190,000: 37%
• $190,001 and above: 45%

Plus a 2% Medicare levy on your entire taxable income.

Let’s work out the take-home pay for a full-time minimum wage earner in Sydney earning $52,255:

• Tax on first $18,200: $0
• Tax on $18,201 to $45,000 ($26,800): 15% = $4,020
• Tax on $45,001 to $52,255 ($7,255): 30% = $2,176.50
• Total tax: $6,196.50
• Medicare levy (2% of $52,255): $1,045.10
• Total deductions: $7,241.60
• Take-home pay: $45,013.40 per year (about $865 per week)

This estimate assumes you claim the tax-free threshold and have no other deductions. It ignores HELP repayments, salary sacrifice, the Medicare levy reduction, and the Medicare levy surcharge. Your actual take-home may differ.

Junior rates and the minimum wage in Sydney

If you are under 21, the national minimum wage has special junior percentages. For example, a 16-year-old earns $12.51 per hour, and a 20-year-old earns $25.83 per hour. However, a modern award can set different junior rates. Always check the applicable award for your job. The pay guides on this site can help you find the right rate.

How the minimum wage fits into the bigger picture

The Salary Index measures gross yearly earnings against the national line of 100. The national minimum wage at index 48.2 shows how far it is from the typical full-time adult ordinary-time earnings of $108,352 per year. In Sydney, the NSW index of 101.2 means the typical worker earns more than the national average. But for minimum wage earners, the gap is wide.

If you are looking for a job in Sydney, remember that many employers pay above the minimum, especially in industries like professional, scientific and technical services (index 114.7) or education and training (index 105.5). Even in health care and social assistance (index 97.8), rates are often above the minimum.

What about casual and part-time workers?

Casual employees get the 25% loading, so their minimum hourly rate is $33.05. Part-time workers are paid the same hourly rate as full-time workers but work fewer hours. The national minimum wage applies per hour worked.

Key takeaways

• The minimum wage in Sydney is the national minimum wage: $26.44 per hour from 1 July 2026.
• It sits at index 48.2, well below the NSW average of 101.2.
• Award rates are usually higher – check your award.
• Super guarantee is 12% on top of your gross wage.
• Take-home pay for a full-time minimum wage earner is about $45,013 per year after tax and Medicare.

For more details, see the states page for NSW comparisons, or how the index works to understand the benchmarks. If you need to find the right award rate, the topics section has guides for different industries.