An Australia-specific calculator with the official 2026-27 brackets, Superannuation, and GST threshold. See your true net profit after tax — and exactly how much to set aside per invoice.
🇦🇺 FY 2026-27 (1 Jul 2026 – 30 Jun 2027)
Pick your country, enter your gross income and expenses — the math updates live in AUD.
In Australia, sole traders are taxed as individuals on their net business profit (gross income minus deductions) for the financial year ending 30 June. FY 2026-27 resident brackets are 0% to $18,200 (the tax-free threshold), 15% to $45,000, 30% to $135,000, 37% to $190,000, and 45% above. The Medicare Levy of 2% of taxable income is added on top, with a low-income shade-in that reduces it to nil below $28,011 for singles and phases up to the full 2% by $35,013 (2025-26 thresholds, the latest published by the ATO). The Low Income Tax Offset (LITO) of up to $700 further reduces income tax for lower earners, phasing out above $37,500.
Unlike employees, sole traders have no compulsory superannuation obligation to themselves — the Superannuation Guarantee is an employer-paid contribution, and as your own employer you are not required to pay it. However, voluntary personal super contributions are tax-deductible up to the $32,500 concessional cap for 2026-27, which lowers your taxable income while building retirement savings. This is one of the most overlooked tax-planning levers for Australian freelancers, and this calculator lets you model it directly with the optional super field.
The ATO collects tax during the year through Pay As You Go (PAYG) instalments, usually quarterly, once you have an income-tax liability from a prior year. Instalments are due 28 October, 28 February, 28 April, and 28 July. You can pay the ATO-calculated amount or use the GDP-adjusted method. Lodge your return and pay any balance by 31 October if you self-lodge (later if using a registered tax agent). GST registration is compulsory once GST turnover reaches $75,000/year.
Deductible expenses include equipment, software, a home-office portion (either actual running costs or the fixed-rate method), professional fees, insurance, and travel/vehicle costs. Personal expenses are not deductible, and some capital items are depreciated over their effective life. Keep records for five years. The payment calendar on this page lists the PAYG dates.
Australian sole traders pay income tax on net profit (gross minus deductions) using the 2026-27 resident brackets: 0% to $18,200, 15% to $45,000, 30% to $135,000, 37% to $190,000, and 45% above. The Medicare Levy of 2% is added on top (with a low-income shade-in below ~$28,011, 2025-26 thresholds, the latest published by the ATO). The Low Income Tax Offset (LITO) of up to $700 reduces income tax for lower earners. This calculator applies all three.
No — the Superannuation Guarantee is an employer obligation, and as your own employer you are not required to pay it for yourself. However, voluntary personal super contributions are tax-deductible up to the $32,500 concessional cap for 2026-27, which lowers your taxable income while building retirement savings. Enter an amount in the super field to see the tax effect.
The Medicare Levy is 2% of taxable income, funding the public health system. For low-income earners it shades in: nil below $28,011 (singles, 2025-26 thresholds, the latest published by the ATO), then 10¢ per dollar up to $35,013, then the full 2%. There is also a Medicare Levy Surcharge for high earners without private hospital cover, which this calculator does not model.
You must register for GST if your GST turnover reaches $75,000/year ($150,000 for non-profits). Registration is voluntary below that. Once registered, you charge 10% GST on sales, claim GST credits on business purchases, and remit the difference to the ATO via a Business Activity Statement. GST collected is not your income. This calculator flags the $75,000 threshold.
The ATO requires Pay As You Go (PAYG) instalments — usually quarterly — once you have a tax liability from a prior year. The ATO calculates a suggested instalment from your previous income tax, or you can use the GDP-adjusted rate. Instalments are due 28 October, 28 February, 28 April, and 28 July. See the payment calendar on this page.
Sole traders can deduct expenses incurred in earning business income: equipment, software, a home-office portion (running costs or the fixed-rate method), professional fees, insurance, and travel/vehicle costs. Personal expenses are not deductible. Some capital items are depreciated over time. Keep records for five years.
Your estimate subtracts your business expenses from your gross income to get net profit, then applies Australia's official 2026-27 income tax brackets and Superannuation, using the GST threshold flag for your gross income. The result shows your take-home pay and how much to set aside per invoice.