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What is the minimum wage in Australia? State and industry differences explained
Find out what the minimum wage is in Australia, how it compares across states and industries, and what it means for your take-home pay. National minimum wage $26.44/hr, index 48.2.
The national minimum wage is $26.44 per hour, giving an index of 48.2 against the national line of 100, but state and industry differences can change what you actually earn.
What is the minimum wage in Australia?
The national minimum wage is the legal floor for pay in Australia. From 1 July 2026, it is $26.44 per hour, which works out to $1,004.90 per week or $52,255 per year. On the Salary Index, where 100 equals full-time adult ordinary-time earnings of $108,352, the minimum wage sits at 48.2 — just under half the national line.
But the minimum wage is not a one-size-fits-all figure. State and industry differences mean that what you actually earn can vary significantly. This article explains how the minimum wage works, how it compares across states and industries, and what it means for your take-home pay.
How the national minimum wage is set
The Fair Work Commission reviews the national minimum wage each year. The 2026 increase of 4.75% brought it to $26.44 per hour. This rate applies to employees not covered by a modern award or enterprise agreement. Most workers, however, are covered by an award that sets higher minimum rates. For example, the entry-level award floor is $25.74 per hour — slightly below the national minimum, but awards typically have higher classifications.
Casual employees get a loading of 25% on top of the base rate, making the casual minimum wage $33.05 per hour. Junior employees (under 21) are paid a percentage of the adult rate. For instance, a 16-year-old gets $12.51 per hour, while a 20-year-old gets $25.83 per hour. Awards can set different junior rates, so always check the relevant award.
State differences in pay
While the national minimum wage is the same everywhere, average earnings differ by state. The states page shows indices for each state and territory:
- ACT: 109.9 ($119,090 annualised)
- WA: 106.9 ($115,825)
- NSW: 101.2 ($109,658)
- VIC: 98.0 ($106,137)
- QLD: 97.9 ($106,064)
- NT: 95.2 ($103,173)
- SA: 94.6 ($102,450)
- TAS: 88.6 ($96,008)
These indices reflect average full-time adult ordinary-time earnings, not the minimum wage. But they show how local labour markets push pay above the floor. In Tasmania, for example, average earnings are 11.4% below the national line, while in the ACT they are nearly 10% above. The minimum wage itself is the same, but award rates and employer practices may adjust to local conditions.
Industry differences and the minimum wage
Industry is a major factor in how much you earn above the minimum. The industries page lists indices for key sectors:
- Mining: 154.7 — well above the national line
- Professional, scientific and technical: 114.7
- Education and training: 105.5
- Health care and social assistance: 97.8
- Retail trade: 75.9
- Accommodation and food services: 72.5
Workers in retail or hospitality are often on award rates close to the minimum wage. For example, a retail employee at Level 1 might earn around $25 per hour, just above the national minimum. In contrast, a mining worker might earn $50 per hour or more. The minimum wage is the floor, but industry awards and enterprise agreements lift pay much higher in some sectors.
Take-home pay after tax and super
Your take-home pay depends on tax and the super guarantee. For the 2026–27 year, resident tax rates are:
- Nil on first $18,200
- 15% on $18,201–$45,000
- 30% on $45,001–$135,000
- 37% on $135,001–$190,000
- 45% above $190,000 Plus a 2% Medicare levy.
On the national minimum wage of $52,255, tax would be about $5,092 plus Medicare $1,045, leaving around $46,118 take-home. Super guarantee of 12% adds $6,271 to your super account, but that is not take-home pay.
How the Salary Index works
The Salary Index compares any gross yearly figure to the national line. For example, the minimum wage of $52,255 divided by $108,352 times 100 equals 48.2. This tells you that the minimum wage is about 48% of the average full-time adult ordinary-time earnings. You can use the index to compare any role or industry to the national benchmark.
What if your role isn't listed?
If you are looking for a specific role or employer, the figures here are based on broad averages. For precise award rates, check the pay guides on Fair Work's website. The national minimum wage is a starting point, but most workers are covered by awards that pay more.
Summary
The minimum wage in Australia is $26.44 per hour, index 48.2. State and industry differences mean that actual earnings can be much higher. Use the topics page to explore other pay questions, or see how your state or industry compares on the index.
Questions people ask
What is the current national minimum wage in Australia?
From 1 July 2026, the national minimum wage is $26.44 per hour, $1,004.90 per week, or $52,255 per year. This gives an index of 48.2, meaning it is just under half of the full-time adult ordinary-time earnings benchmark of $108,352.
How does the minimum wage differ by state?
State indices show how average earnings compare to the national line. For example, Western Australia has an index of 106.9 (annualised $115,825), while Tasmania is 88.6 ($96,008). The national minimum wage itself is the same across all states, but award rates and local labour markets can affect actual pay.
Which industries pay above the minimum wage?
Industries like Mining (index 154.7) and Professional services (114.7) pay well above the national line. In contrast, Retail trade (75.9) and Accommodation and food services (72.5) are below the line, but still above the minimum wage due to award rates. The national minimum wage is a floor, not a typical wage.