Minimum Wage Australia 2025–26 — Rates, Casual Loading and Penalty Rates
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Contents
The national minimum wage in Australia is $24.10 per hour or $915.90 per week (based on a 38-hour week), effective from 1 July 2025. This is the minimum rate that applies to employees who are not covered by a modern award or enterprise agreement setting a higher rate.
Most Australian workers are covered by a modern award, which sets minimum rates by industry and occupation — often higher than the national minimum.
Key Takeaways
- National minimum wage: $24.10/hour | $915.90/week (38 hours) | $47,626.80/year
- Set by the Fair Work Commission and reviewed annually in July
- Casual loading: minimum wage workers on casual contracts receive at least 25% loading on top of the base rate = $30.13/hour
- Most workers receive higher minimums under their applicable modern award
- The minimum wage applies to employees only — not to contractors or self-employed workers
National Minimum Wage 2025–26
| Pay Period | Minimum Wage |
|---|---|
| Per hour | $24.10 |
| Per day (7.6 hrs) | $183.16 |
| Per week (38 hrs) | $915.90 |
| Per fortnight | $1,831.80 |
| Per month (avg) | $3,968.90 |
| Per year | $47,626.80 |
Effective 1 July 2025. Set by the Fair Work Commission Annual Wage Review 2025.
Casual Employees: Minimum Casual Rate
Casual employees covered by the national minimum wage receive a 25% casual loading on top of the base rate, as compensation for not having entitlements such as annual leave, personal leave, or notice of termination.
| Rate | |
|---|---|
| Casual hourly rate (minimum) | $30.13/hour |
| Casual weekly (38 hrs, indicative) | $1,144.94 |
Casual loading under modern awards varies — some awards set higher loadings for specific industries or shift types.
History of the National Minimum Wage
| Year | Per Hour | Per Week | Increase |
|---|---|---|---|
| 2020–21 | $19.84 | $753.80 | +1.75% |
| 2021–22 | $20.33 | $772.60 | +2.5% |
| 2022–23 | $21.38 | $812.60 | +5.2% |
| 2023–24 | $23.23 | $882.80 | +8.6% |
| 2024–25 | $24.10 | $915.90 | +3.75% |
| 2025–26 | $24.10 | $915.90 | Under review |
The Fair Work Commission announces the annual minimum wage decision in June each year, effective 1 July.
Modern Awards: Industry Minimum Rates
Most Australian employees are covered by one of 121 modern awards, which set minimum pay rates by classification and experience level. These are often higher than the national minimum wage.
Common award minimum rates (Grade 1 / entry level, FY2025–26):
| Award | Minimum Rate |
|---|---|
| Hospitality Industry (General) Award | $26.08/hour (Level 1) |
| Retail Industry Award | $25.06/hour (Grade 1) |
| Clerks Private Sector Award | $26.64/hour (Grade 1) |
| Building and Construction General On-site Award | $32.89/hour (CW1) |
| Health Professionals Award | $31.49/hour (Grade 1) |
| Social, Community, Home Care and Disability Services Award | $31.00/hour (Level 1) |
Award rates are updated annually from 1 July. Check your specific award at fairwork.gov.au.
Penalty Rates
Penalty rates apply when employees work outside standard hours. Common penalty rates under national awards:
| When You Work | Typical Penalty Rate |
|---|---|
| Monday–Friday (ordinary hours) | 100% (ordinary rate) |
| Saturday | 125–150% |
| Sunday | 150–200% |
| Public holiday | 225–250% |
| Early morning / late night shift | 115–130% |
| Overtime (first 3 hrs) | 150% |
| Overtime (after 3 hrs) | 200% |
Rates vary by award. Your employer must pay at least the penalty rate set in your award or enterprise agreement.
Superannuation on Top of Minimum Wage
Employers must pay the Superannuation Guarantee (SG) on top of the minimum wage. In FY2025–26 the SG rate is 11.5%.
| Amount | |
|---|---|
| Minimum wage annual salary | $47,626.80 |
| Super (11.5% on top) | $5,477.08 |
| Total employment cost | $53,103.88 |
Super is paid in addition to wages — it does not reduce your take-home pay.
Frequently Asked Questions
What is the minimum wage in Australia in 2025?
The national minimum wage is $24.10 per hour or $915.90 per week (38 hours), effective 1 July 2025. Most workers covered by a modern award will receive a higher minimum rate set by their award.
What is the casual minimum wage in Australia?
Casual employees on the national minimum wage receive at least $30.13 per hour — the base rate of $24.10 plus 25% casual loading.
Is the minimum wage the same in every state?
Yes. The national minimum wage set by the Fair Work Commission applies across all states and territories. State-based minimum wages were absorbed into the national system when the Fair Work Act 2009 took effect.
Does minimum wage include superannuation?
No. Superannuation of 11.5% (FY2025–26) is paid by the employer on top of your minimum wage. It does not come out of your wages.
When is the minimum wage reviewed?
The Fair Work Commission reviews the minimum wage each year through the Annual Wage Review, with decisions typically announced in June and taking effect on 1 July.
Related Guides
- Average Salary in Australia 2025–26
- What Is a Good Salary in Australia?
- Penalty Rates Australia — By Industry
- Superannuation Guarantee Rate 2025–26
Minimum wage rates sourced from the Fair Work Commission. Always verify your specific rate at fairwork.gov.au, as modern award rates may apply.