Payroll Tax Calculator
Calculate your monthly and annual payroll tax liability across all Australian states and territories. Includes current thresholds, rates, and mental health levies.
Calculate Your Payroll Tax
Select your state or territory, enter your total annual taxable wages, and optionally your number of employees to estimate your payroll tax.
About This Tool
Calculate your monthly and annual payroll tax liability across all Australian states and territories. Includes current thresholds, rates, and mental health levies.
Payroll tax is a state and territory tax on wages paid by employers. Unlike income tax, payroll tax is levied on the employer based on total wages paid to all employees. Each state sets its own threshold and rate, meaning businesses operating across multiple states may face different obligations in each jurisdiction.
Why This Matters for Australian Businesses
If your total Australian wages exceed the threshold in any state where you employ workers, you must register for payroll tax in that state. Failing to register or underpaying can result in penalties plus interest. Group employers — businesses that are part of a corporate group — share a single threshold across all entities, which can significantly increase liability.
State-by-State Thresholds & Rates (2025–26)
Payroll tax is only payable on the portion of total wages that exceeds the threshold in each state or territory.
| State / Territory | Annual Threshold | Rate |
|---|---|---|
| NSW | $1,200,000 | 5.45% |
| VIC | $900,000 | 4.85% |
| QLD | $1,300,000 | 4.75% |
| SA | $1,500,000 | 4.95% |
| WA | $1,000,000 | 5.50% |
| TAS | $1,250,000 | 4.00% |
| NT | $1,500,000 | 5.50% |
| ACT | $2,000,000 | 6.85% |
How to Use This Tool
- Select the state or territory where your employees work
- Enter your total annual taxable wages for that state
- Indicate whether you are part of an employer group
- Review the estimated monthly and annual payroll tax liability
Key Rules & Thresholds
- Thresholds range from $900,000 (VIC) to $2,000,000 (ACT) — check the table below for your state
- Rates range from 4% (TAS lower tier) to 6.85% (ACT)
- Victoria and Queensland apply additional mental health levies above $10 million in wages
- Tasmania has a two-tier rate: 4% on wages between $1.25M and $2M, then 6.1% above $2M
- Group employers share one threshold across all entities in the group
- Payroll tax is deductible for income tax purposes
How Results Are Calculated
This calculator uses the latest published rates and thresholds for the 2025–26 financial year. Results are estimates only — always verify with the relevant authority before making financial decisions.