Tax calculator: How much tax do I pay this financial year?
Use our tax calculator to see how much tax you'll pay this year, and what your tax refund may look like.
We’re reader-supported and may be paid when you visit links to partner sites. We don’t compare all products in the market, but we’re working on it!
Using the calculator below, enter your gross annual income (this figure will be on your income statement or latest payslip) and click 'Calculate'. The 'Tax' figure is the tax you need to pay based on your income. Compare this to how much tax you have actually paid as stated on your income statement or payslip. The difference between these will give you an indication of how much tax you'll get back.
Please note outcomes provided are based only on the information you give, and you should only use it as general advice. It doesn't take into account your personal or financial situation, any Medicare levy, HECS-HELP debt or any capital gains tax you need to pay, and is just for your standard, annual income. The calculator doesn't take into account any deductions you're eligible to claim. If you have tax deductions to claim, a tax agent can help you claim these correctly to help increase the amount of tax you get back (and you can claim the tax agent fee as a deduction, too).
Disclaimer: Whilst every effort has been made to ensure the accuracy of this calculator, the results should only be used as an indication. They are neither a recommendation nor an eligibility test for any product and should not be construed as financial advice, investment advice or any other sort of advice.
Get help with your tax return by choosing a registered tax agent.
How much tax will I get back?
The calculator will tell you how much tax you'll need to pay. If you've paid more tax than you need to (as stated on your group certificate or payment summary as the amount of tax withheld) you should get the difference back as a tax return. Alternatively, if you have not paid the correct amount of tax you will need to make up the difference and pay this to the ATO. Just make sure you are looking at the correct financial year when using the calculator.
Emma uses finder's calculator to figure out her tax return
Emma wants to get an idea of how much tax she'll receive this year in her tax return. For six months of the year she worked full time as a waitress at a cafe, and did not work the other six months as she was studying. Emma looks at the payment summary her boss gave her for the previous financial year and sees that she earned a total of $21,750 over the year. This is displayed as her gross payments on her payment summary. Using the calculator, Emma selects the correct financial year and enters $21,750 into the gross payments box and hits calculate.
The table tells her that she is required to pay $674.50 in tax to the Australian Taxation Office. However, looking at her payment summary, Emma can see that she has paid $4,845 in PAYG tax. Emma calculates the difference to be $4,170. This means that Emma has overpaid tax, and she should expect potential return of around $4,170 in her tax return. However, given that the calculator DOES NOT take into account the Medicare levy or her HECS-HELP debt, Emma ensures she factors this into final result. She calculates that her return will likely be just under $4,170.
*The above is a fictional case study only.
What are the tax thresholds for the 2020–21 financial year?
To better understand how your tax is calculated, refer to the tax threshold table below. Each year, income tax rates depend on your income and your residency status. Non-residents are taxed at a high rate and are not entitled to a tax-free threshold. So if you're a non-resident, you'll need to pay tax on all income earned from an Australian source.
|Taxable income||Tax on this income|
|0 – $18,200||Nil|
|$18,201 – $45,000||19 cents for each $1 over $18,200|
|$45,001 – $120,000||$5,092 plus 32.5 cents for each $1 over $45,000|
|$120,001 – $180,000||$29,467 plus 37 cents for each $1 over $120,000|
|$180,001 and over||$51,667 plus 45 cents for each $1 over $180,000|
What if I use an Australian Business Number (ABN)? Are the tax rates different?
If you're self-employed or a sole trader, you still pay the same income tax rates. For example, if you've earned $100,000 as a sole trader, you would need to pay $
I've already paid tax this year. Do I have to pay more?
This depends on your income. Maintaining the example above, if you earn $100,000 in the financial year and you've already paid $20,000 in PAYG tax, then you'll still need to pay the remaining $4,632. You can work out of you need to pay additional tax using our calculator above, by working out the difference between how much tax you need to pay and how much you've already paid, as stated on your payment summary.
Knowing how much tax you need to pay can help you budget for the year.
Case study - Max's tax tale
Max earns $45,000 per year. He wants to save 30% of his income but isn’t sure how much of the $45,000 he’ll be able to save each year. Using the calculator, he works out that he will have roughly $38,828 left after taxes. Max calculates that 30% of this total is $11,648.
Max divides this amount by 52 weeks and gets a figure of $224. This is the money he would have to save each week to meet his savings goal. Max figures out that saving this much will only leave him with approximately $522 per week once he deducts his savings. He decides that this is too much money for him to put away given his rent and living expenses, so he reduces the amount to $200 and in a year saves $10,400.
Your general tax questions answered
Do I need to declare interest on my savings account if it’s a small amount?
You’ll need to declare any interest earned in a savings account.
When do I need to lodge my tax return?
You need to lodge your tax returns by 31 October. Keep in mind that the financial year ends on the 30 June.
Is prize money taxable?
Winnings from lotteries, game shows and raffles aren’t taxable, but if you regularly receive winnings from game shows it might be.
Is child support taxable?
You usually don’t have to declare child support payments.
Are cash birthday presents taxable?
These are not taxable, although if the amount received was a large amount or was earned in a business-style transaction they might be.
Are overseas pensions taxable?
If you’re an Australian resident for tax purposes, you’ll be taxed on your foreign pensions, annuities, capital gains from overseas properties and more. Australia has a system to avoid double taxation in the event that you get taxed in the country where your income comes from. If you’re not an Australian resident, you usually won’t need to declare earnings from overseas sources.
Knowing how much tax you’ll pay in a year will help you to budget accurately and to plan your tax strategies. Remember that when planning your tax strategies, you should always seek the advice of a tax expert such as an accountant.
This article discusses individual tax returns for the financial year and how to use the finder Income Tax calculator. Tax calculations and slabs mentioned in this article are validated at the time of publishing and may vary with time. Committing to a Statement of Advice (SOA) is an individual decision. Users are also requested to read all terms and conditions carefully before committing to any Tax Service.
Want more tips on tax?
Use our comprehensive tax guides to stay on top of your finances this tax season.
How to complete a tax return
Whether it’s your first time or you're a seasoned veteran, lodging a tax return can be tricky. Let finder.com.au walk you through the process step-by-step.
The ultimate guide to tax deductions
Deductions are purchases that you can deduct from your total taxable income, meaning you could pay less tax. Find out the general legislation surrounding tax deductions, as well as some specific examples.
More guides on Finder
How to watch Man United vs Arsenal Premier League live and match preview
Manchester United are scrambling to stay in touch with the top 4 as they host Arsenal this week
12-day advent calendars you can still get before Christmas
From toys to socks to beauty items, these are the top 12-day advent calendars you can still enjoy in the lead up to Christmas.
McDonald’s (MCD) share price, company profile and news
Steps to owning and managing McDonald's shares from in Australia.
Reputation + Christmas parties: Why I won’t be having a festive celebration this year
Reputation + Christmas parties: could it be the potential volcano erupting leaving rands, families and individuals to deal with the fallout?
Pay-as-you-groan: On-demand insurance that pays you $2K for a broken arm
Insurtech Flip has shaken up the insurance industry by launching the first on-demand injury cover in the country.
How to invest in the Qualitas Limited IPO
Everything we know about the Qualitas Limited IPO, plus information on how to buy in.
How to invest in the WA1 Resources IPO
Everything we know about the WA1 Resources IPO, plus information on how to buy in.
Today’s ASX top stocks: Australian Pharmaceutical Industries (API ↑18.0%), Over The Wire Holdings (OTW ↑5.6%)
The 10 biggest movers on the ASX for Thursday 2 December 2021.
What is weighing on the Wesfarmers (WES) and Woolworths (WOW) share price?
Shares in the 2 conglomerates have risen around 20% over the last 12 months.
Ask an Expert