Australia Minimum Wage in 2026: Updated Guide for Students and Working Professionals

Australia minimum wage in 2026 is a big topic for anyone planning to work, study, or settle in the country. It sets the legal base pay for employees and plays a major role in shaping living standards across different industries.

As of January 2026, Australia’s minimum wage is set to AUD 24.95 per hour and is reviewed every year by the Fair Work Commission. The rate applies to full-time, part-time, and casual workers, with casuals earning extra through a loading amount. In this blog, we’ll break down how the hourly rate in Australia works, who it applies to, and what it means for your take-home pay.

Updated Australia Minimum Wage 2026

For 2026, Australia’s minimum wage stays at AUD 24.95 per hour, which equals AUD 948 per week for a standard 38-hour workweek (before tax). These rates reflect a 3.5% increase introduced in July 2025, and no additional rise has been announced for 2026. The wage levels are reviewed every year by the Fair Work Commission, which assesses economic conditions, cost of living, and employment trends before making any changes.

Current National Minimum Wage Rates

Who the Minimum Salary Australia Applies to

• Employees working full-time or part-time without a specific award or enterprise agreement fall under the national minimum wage.
• Workers covered by industry awards must be paid at least the award rate, which often sits above the national base wage.
• Casual workers generally earn extra pay on top of the base rate to balance the lack of job benefits.
• Youth employees, trainees, and apprentices are paid according to age-based or training-level wage brackets.

 Also Read: Pros and Cons of Living in Australia in 2026

Australia Minimum Wage Increase History (Updated)

Under the Fair Work Act 2009, since 2010, the Australia minimum wage has been set by the Fair Work Commission Expert Panel of 7 members, considering the previous year wage reviews followed by the updated changes that are to take effect from July 1 ever year.

The summary of changing minimum wages shows a progressive rise of the minimum wages in Australia highlighting the efforts of the nation in balancing worker’s rights and fostering a thriving economy. The minimum wage increase history Australia since 2007 is as follows

Quick Read: Australia’s Economy

Increased Basic Salary in Australia for Employers

Awards refer to the minimum entitlements for wages and conditions applicable for employment, tailored to specific industries and occupations. Awards include aspects like Australia minimum wage rates, annual leaves, work hours, allowances, penalty rates, and other fundamental employment conditions.

Some employees might not be covered for the award or enterprise agreement are however safeguard by the Australian minimum wage annual salary, ensuring no unfair pay practice happens.

Minimum Wage in Australia: Pay Categorization Details

The Fair Work Commission categorizes the minimum wages in Australia with basic factors like employment types, qualifications, industries, and work capacities. Based on these factors they are categorized into three major types. They are:

1. Apprentice and Employment Pay rates
2. Employees with disability pay rates
3. Junior Pay rates

Apprentice and Employment Pay Rates in Australia

Apprentice pay rates in Australia are determined based on specific criteria, including the type of apprenticeship and the level of training completed. You can use the Fari Work Ombudsman calculator to calculate pay rates for various types of apprentices, such as adult apprentices (those 21 years or older) and school-based apprentices (those still attending high school).

It's important to note that formal training contracts registered with state or territory training authorities are required for eligibility.

1. Pay Progression in Australia: Apprentices progress to the next pay level through either a time-based or competency-based approach. Time-based progression occurs after a specified duration (e.g., 12 months), while competency-based progression is tied to achieving a set portion of the apprenticeship's training requirements. The specific progression mechanism depends on the applicable award, which can be selected on the Apprentice entitlements page.
2. Post-Apprenticeship Pay in Australia: Upon completing an apprenticeship, individuals are entitled to receive pay rates equivalent to those of skilled tradespeople.
3. Trainee Pay Rates in Australia: Trainees in Australia have their pay rates determined based on factors such as the nature of their training and the award that covers them.
4. Different Types of Traineeships: Traineeships are divided into three types based on factors like age, hours of work per day, and industries. Here are the types,

• Full-time Trainee: Employed under a training contract for a standard 38-hour workweek.
• Part-time Trainee: Part-time traineeships are possible with the agreement of both the employee and employer. Duration and terms of part-time training contracts vary and should be verified with the relevant training authority.
• School-based Trainee: This type of traineeship allows high school students to simultaneously train for a qualification while completing their education.

1. Employer Advisory Service: The Employer Advisory Service (EAS) offers free tailored advice to eligible small businesses on pay and entitlement matters. The EAS assists in understanding National Employment Standards, award provisions, and other employee entitlements under the Fair Work Act. Small business employers can access this service to make informed decisions about workplace issues.

Check Out: Part Time Jobs in Australia for International Students

Employees with Disability Pay Rates in Australia

Employees with disabilities are entitled to the same minimum wage as others, except when they fall under the Supported Wage System.

The Supported Wage System allows employers to create a customized pay structure based on the productivity of employees with disabilities. The system assesses an employee's work capacity to determine their pay rate.

The Department of Social Services provides eligibility and application details for the Supported Wage System. Employers interested in this system can find more information on the Job Access website.

Criteria for Supported Wage Payment: The Fair Work Commission of Australia states certain criteria for supported wage payment. They are:

• A supported wage can be paid if the award or agreement has relevant provisions and the employee is eligible.
• An eligible employee receives a percentage of the minimum pay rate based on their assessed work capacity.
• The minimum payment for employees under this system is 102 per week, applicable to casual and junior employees.

For accurate work capacity assessments and further details, qualified independent assessors play a vital role in these arrangements. It's important to note that employees cannot be paid less than 102 per week.

Junior Pay Rates in Australia

Minimum pay rates for award-free employees below 21 years are linked directly to the national minimum wage. Instead of a fixed amount, their earnings are calculated as a set percentage of the adult rate. This system ensures wages increase steadily with age and experience.

Special Rates for Alcohol-Related Work: In certain industries like hospitality and restaurants, juniors engaged in selling or serving alcohol may be subject to unique pay rates. These sectors, covered by the Hospitality and Restaurant Awards, mandate that juniors performing alcohol-related tasks receive the adult rate for their classification, regardless of their age.

Explore: Working Hours for International Students in Australia

Australia Minimum Wages: Superannuation for Employees

Australia Minimum Wages also come with an important superannuation component that employees should understand clearly. The national minimum pay is set at AUD 24.95 per hour or AUD 948 for a 38-hour week, and this amount does not include super contributions. Employers are required to pay the Superannuation Guarantee (SG) on top of regular wages. From 1 July 2025, the Superannuation Guarantee percentage stands at 12% of an employee’s ordinary time earnings. Most workers qualify for this benefit, including casual employees who are aged 18 and above.

• The contribution eligibility is based on factors like age above 18 and their ordinary time earning.
• Employees aged below 18 years are also entitled to superannuation in Australia, given that they work for more than 30 hours per week.

Minimum Wage in Australia for International Students

International students in Australia are entitled to the same minimum pay protections as local workers. As of the latest rates, the minimum wage is AUD 24.95 per hour, which comes to AUD 948 per week for a full-time schedule, while casual roles pay AUD 31.19 per hour (including 25% casual loading). These rates apply across most industries unless a higher award rate is set.

Students holding a subclass 500 visa are allowed to work up to 48 hours per fortnight during academic sessions and can work unlimited hours during official study breaks. Along with fair wages, international students are legally entitled to payslips, applicable penalty rates, and employer-paid superannuation, ensuring proper workplace rights and protections.

Also Read: Benefits of Studying in Australia for Indian Students

Build Your Pathway to Global Career in Australia with GetGIS!

Embark on your transformative journey and cultural immersion in Australia with GetGIS by your side. As a leading Australia PR assistance partner, we offer unparalleled support and guidance to help you pursue your dreams in one of the world's most renowned immigrant destinations.

Whether you envision studying in Sydney or Melbourne, or look for work and PR opportunities in Australia we have the expertise to make it happen. Don't miss out on this incredible opportunity to enrich your life and future.

Book Your Free Consultation

Quick Links for You:

• 10 Highest Paying Jobs in Australia To Maximize Your Income
• How to Get a Job in Australia from India
• Cost of Living in Australia
• Top Universities in Australia for MBA