Minimum wage in Victoria: what it is and how it compares to the national average

Minimum wage in Victoria: what it is and how it compares

When people ask about the minimum wage in Victoria, they are usually referring to the national minimum wage that applies across Australia, including Victoria. There is no separate Victorian minimum wage – the Fair Work Ombudsman sets a single national floor. From 1 July 2026, that floor is $26.44 per hour, $1,004.90 per week for a full-time adult worker, or $52,255 per year.

Where does that sit on the salary index?

The Salary Index measures gross annual earnings against the national line of 100, which is full-time adult ordinary-time earnings of $108,352 per year (ABS Average Weekly Earnings, May 2026). The national minimum wage of $52,255 gives an index of 48.2. That means a worker on the minimum wage earns about 48% of the national average.

For context, Victoria’s overall average earnings index is 98 (annualised $106,137). So while the typical Victorian full-time worker earns close to the national line, someone on the minimum wage earns roughly half that. The gap reflects the difference between a legal floor and what the market pays for skilled or experienced roles.

How the minimum wage works in practice

The national minimum wage applies to employees not covered by a modern award or enterprise agreement. Most Victorian workers are covered by an award, which often sets higher rates. For example, the entry-level award floor from 1 July 2026 is $25.74 per hour – slightly below the minimum wage, but awards typically have higher classifications. Award rates rose by 4.75% from 1 July 2026.

Casual employees get a loading of at least 25% on top of the minimum wage. That works out to $33.05 per hour for an adult casual on the national minimum. The loading compensates for not receiving paid leave.

Junior and apprentice rates

Junior employees (under 21) are paid a percentage of the adult minimum wage. The national minimum wage order sets these percentages:

• Under 16: $9.73/hr
• 16 years: $12.51/hr
• 17 years: $15.28/hr
• 18 years: $18.06/hr
• 19 years: $21.81/hr
• 20 years: $25.83/hr

A modern award can set different junior rates, so always check the specific award. Apprentices and trainees also have their own wage schedules.

Superannuation and tax

From 1 July 2026, the super guarantee is 12% on top of your gross pay, up to a maximum contribution base of $270,830. So a full-time minimum wage worker earning $52,255 would receive $6,270.60 in super contributions per year.

For a resident taxpayer claiming the tax-free threshold, the 2026–27 tax rates are:

• Nil on the first $18,200
• 15% on income from $18,201 to $45,000
• 30% on income from $45,001 to $135,000
• 37% on income from $135,001 to $190,000
• 45% on income above $190,000

Plus a 2% Medicare levy. On $52,255, the estimated tax (including Medicare) is about $7,600, leaving a take-home of roughly $44,655 per year, or $859 per week. This estimate ignores HELP repayments, salary sacrifice, or the Medicare levy surcharge.

How Victoria compares to other states

Victoria’s average earnings index of 98 is slightly below the national line. For comparison, states like New South Wales (101.2) and Western Australia (106.9) are above, while Tasmania (88.6) is lower. The minimum wage itself is the same across all states, but the cost of living and typical wages vary. The how the index works page explains how we calculate these benchmarks.

What if you earn above the minimum?

Most full-time workers in Victoria earn above the minimum wage. The industries page shows that sectors like professional services (index 114.7) and mining (154.7) pay well above, while retail (75.9) and accommodation (72.5) are closer to the floor. Even in low-paying industries, award rates often exceed the national minimum.

Key takeaway

The minimum wage in Victoria is the national minimum of $26.44 per hour, index 48.2. It is a floor, not a target. Most workers are covered by awards or agreements that pay more. If you are unsure what you should be paid, check your award or the Fair Work Ombudsman website. For more on how pay compares across Australia, see our topics page.