What is the salary seek? Understanding gross pay, super and tax in Australia

What is the salary seek?

When you ask “what is the salary seek”, you are really asking: how do I work out what pay to aim for, and how does that figure compare to what other Australians earn? The answer starts with a benchmark – the national line – and then adds the layers of gross pay, superannuation and tax that turn a dollar figure into real take-home income.

The national line: index 100

The Australian Bureau of Statistics publishes Average Weekly Earnings each year. As of May 2026, full-time adult ordinary-time earnings sit at $2,083.70 per week. Annualised, that is $108,352. The Salary Index sets this as 100 – the reference point for every other pay figure. If you earn exactly that, your index is 100. Earn less and your index is below 100; earn more and it is above.

For example, the national minimum wage from 1 July 2026 is $26.44 per hour, or $1,004.90 per week. Annualised that is $52,255, which gives an index of 48.2. That tells you the minimum wage is roughly half the full-time average. On the other hand, the mining industry average weekly ordinary-time earnings are $3,224.20, annualised to $167,658, giving an index of 154.7 – well above the national line.

Gross pay: what you see in the offer

Gross pay is the dollar amount before any deductions. It is the figure you negotiate and the one that appears on your employment contract. When you seek a salary, you are usually seeking a gross figure. But gross pay alone does not tell you what you will actually receive in your bank account each week.

Superannuation: the 12% on top

Since 1 July 2026, the superannuation guarantee is 12% of your ordinary-time earnings. This is paid by your employer on top of your gross salary – it is not deducted from it. So if you are offered a gross salary of $100,000, your employer will also contribute $12,000 to your super fund, making your total remuneration $112,000. The Salary Index uses gross ordinary-time earnings only, so super is not included in the index calculation. But when you compare job offers, always consider the super component.

Tax: what comes out

Your gross pay is reduced by income tax and the Medicare levy. For the 2026–27 financial year, the tax rates for residents (using the tax-free threshold) 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 flat 2% Medicare levy (unless you qualify for a reduction or exemption).

Let’s take a person earning the national line of $108,352. Their tax (excluding Medicare) would be roughly:

• $0 on first $18,200
• 15% on $26,800 = $4,020
• 30% on $63,352 = $19,005.60 Total tax = $23,025.60. Add Medicare levy of 2% on $108,352 = $2,167.04. Total deductions = $25,192.64. Take-home pay = $83,159.36 per year, or about $1,599 per week. That is the cash you actually receive.

How awards and minimum wages fit in

Most employees are covered by a modern award that sets minimum pay rates for their industry or occupation. The Fair Work Commission updates these each year. From 1 July 2026, award minimum rates rose by 4.75%. The entry-level award floor is $25.74 per hour. If you are covered by an award, your gross pay cannot be less than the award rate for your classification. The national minimum wage ($26.44/hr) applies only if no award covers you.

Using the index to seek a salary

The Salary Index helps you answer “what is the salary seek” by giving you a single number to compare any pay figure against the national average. For example:

• A retail trade worker on average weekly earnings of $1,581.60 (annualised $82,243) has an index of 75.9.
• A professional in scientific and technical services on $2,389.60 per week (annualised $124,259) has an index of 114.7.
• A teacher in education and training on $2,197.90 per week (annualised $114,291) has an index of 105.5.

You can also compare by state. The ACT has the highest index at 109.9 (annualised $119,090), while Tasmania is lowest at 88.6 (annualised $96,008).

Putting it all together

When you seek a salary, start with the gross figure. Check where it sits on the Salary Index. Then add 12% super to understand total remuneration. Finally, estimate your take-home pay using the tax brackets and Medicare levy. This gives you a complete picture of what a job offer really means.

For more detail, see our Salary Index, pay guides for award rates, and how the index works. You can also explore industries and states to see how different sectors and locations compare.