Is $42,000 a good salary in Australia?

The full-time median salary in Australia is around $80,000 (ABS Employee Earnings 2024, full-time employees). $42,000 is roughly 48% below that figure.

How much is $42,000 per hour?

Around $21.26 per hour gross, or $18.90 per hour after tax, assuming a 38-hour week.

How much tax do I pay on $42,000?

On $42,000 in Australia, you pay approximately $3,808 in income tax and $840 in Medicare Levy.

$42,000 After Tax in Australia (2026-27)

If you earn $42,000 per year in Australia, your take-home pay is $37,352 per year — $3,113 per month, $718 per week, or $18.90 per hour after Income Tax and Medicare.

Net pay per month

$3,113

88.9% of gross — $37,352 per year

Income Tax

$3,808

9.1%

Medicare Levy

$840

2.0%

Effective rate

11.1%

of gross

Marginal rate

16%

on next $1

$42,000 after tax by pay period

Period	Gross	Tax	Medicare	Take-home
Yearly	$42,000	$3,808	$840	$37,352
Monthly	$3,500	$317	$70	$3,113
Weekly	$808	$73	$16	$718
Daily (260 days)	$162	$15	$3	$144
Hourly (38h week)	$21.26	$1.93	$0.43	$18.9

Daily assumes 260 working days. Hourly assumes a 38-hour week.

How your tax is calculated

The first $18,200 is tax-free. Income is then taxed at 19% to $45,000, 32.5% to $135,000, 37% to $190,000 and 45% above that. The 2% Medicare levy applies on top. Employer superannuation is paid separately, on top of your salary. Your marginal rate is 16% — every additional $1 you earn keeps roughly $0.84 after tax and Medicare.

What if…

$43,000 instead? Your take-home rises by roughly $68/month — see $43,000 after tax.
With a 5% pension contribution, your monthly take-home would be $2,966 but you'd save around $336 in income tax over the year.
10 hours of overtime a month at time-and-a-half would add about $268 to your monthly take-home.

Frequently asked questions

Is $42,000 a good salary in Australia?: The full-time median salary in Australia is around $80,000 (ABS Employee Earnings 2024, full-time employees). $42,000 is roughly 48% below that figure.
How much is $42,000 per hour?: Assuming a 38-hour week over 260 working days, $42,000 a year is around $21.26 per hour gross, or $18.90 per hour after tax.
How much tax do I pay on $42,000?: On $42,000 a year in Australia, you would pay approximately $3,808 in income tax and $840 in Medicare Levy — an effective rate of 11.1%.