Calculator · Central Lending Solutions
Australian Income Tax Calculator
An income tax calculator shows what you actually take home after the Australian Taxation Office takes its share. For 2025-26 the brackets are nil up to $18,200, 16% to $45,000, 30% to $135,000, 37% to $190,000 and 45% above that, plus a 2% Medicare levy. Enter your Perth salary below to see your real net pay.
Next step · use your real take-home
Now that you know your take-home, see what a Perth lender will actually lend you.
Your net income is one input. Your actual borrowing capacity depends on which of 30+ lenders you talk to, how each treats HELP debt, and the buffers they apply. We do that comparison in 15 minutes, free.
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Why this matters
What this calculator is actually telling you.
The 2025-26 Australian tax brackets are tiered. You pay nothing on the first $18,200, 16% on every dollar from $18,201 to $45,000, 30% from $45,001 to $135,000, 37% from $135,001 to $190,000 and 45% on anything above $190,000. On top of that, most working Australians pay a 2% Medicare levy on their full taxable income. Australia has no state income tax, so a Perth borrower is taxed the same as a borrower in Sydney or Melbourne on the same salary.
For a home loan, the number that matters is your net (after-tax) income, not your gross salary on the contract. Lenders run a serviceability assessment that starts with what actually lands in your bank account each pay cycle, then subtracts living expenses, existing debts, the new mortgage repayment at an assessment rate and any HELP debt repayments. The gap is what they will lend on. Two Perth borrowers on the same gross salary can have very different borrowing power once HELP, salary packaging or a second job is run through the tax engine.
As a Perth rule of thumb on 2025-26 brackets, a $90,000 nurse pays roughly $17,788 in income tax plus $1,800 Medicare levy, taking home about $70,412 a year or around $2,708 a fortnight. A $150,000 tradie pays around $36,838 income tax plus $3,000 Medicare, netting about $110,162 a year or around $4,237 a fortnight. Those net figures are what a lender will plug into their borrowing power model, not the headline salary.
This calculator gives you the take-home number to start the conversation. To convert it into an actual borrowing capacity across more than 30 lenders, talk to a Central Lending Solutions broker on 0489 082 257. For confirmed tax rates and your personal tax position, see the Australian Taxation Office or your accountant.
Questions
Frequently asked.
What are the 2025-26 Australian income tax brackets?
For the 2025-26 financial year, residents pay no tax on income up to $18,200. From $18,201 to $45,000 the rate is 16%. From $45,001 to $135,000 it is 30%. From $135,001 to $190,000 it is 37%. Income above $190,000 is taxed at 45%. A 2% Medicare levy applies on top for most working Australians. Australia has no state income tax, so the same brackets apply in Perth as in any other Australian state.
How much income tax do I pay on a $90,000 salary in Perth?
On a $90,000 salary in Western Australia for 2025-26, income tax is roughly $17,788 plus a 2% Medicare levy of $1,800, for a total of about $19,588. That leaves a take-home figure of about $70,412 a year, or roughly $2,708 a fortnight before super and any HELP repayments. WA has no state income tax, so Perth pays the same as Sydney or Melbourne on the same gross figure. The number is indicative only and assumes the standard tax-free threshold is claimed with one employer.
Does HELP or HECS debt affect my home loan borrowing power?
Yes. Lenders treat compulsory HELP or HECS repayments as a fixed monthly liability and subtract them from your assessable income before working out how much you can borrow. On a Perth salary above the repayment threshold this can knock anywhere from $20,000 to $80,000 off your maximum loan, depending on the lender and your other debts. Different lenders apply different buffers, which is one of the main reasons it pays to shop across more than one lender rather than walk into your own bank.
What is the difference between marginal and average tax rate?
Your marginal tax rate is the rate you pay on your next dollar of income. On a $90,000 Perth salary in 2025-26 the marginal rate is 30% because the next dollar still falls inside the $45,001 to $135,000 bracket. Your average (or effective) tax rate is total tax divided by total income, which on $90,000 works out to about 19.8% before Medicare. The average rate is the better figure when you are thinking about take-home pay and serviceability for a home loan.
How does the Medicare levy work?
The Medicare levy is a flat 2% charged on top of income tax for most working Australians, including Perth residents. It funds the public health system. Low income earners get a reduction or full exemption based on annual thresholds, and high income earners without private hospital cover can also be charged an extra Medicare Levy Surcharge of 1% to 1.5%. For mortgage serviceability, lenders calculate take-home pay after both income tax and the Medicare levy have been removed.
Where can I get help applying this to my own home loan?
Call Central Lending Solutions on 0489 082 257 or book a free chat. A Perth broker will take your real net income, factor in HELP debt, existing liabilities and the lender-specific assessment buffers, and tell you what you can actually borrow across more than 30 lenders. For confirmed tax rates or your personal tax position, see the Australian Taxation Office or speak to your accountant.
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