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PAYG Withholding Calculator 2025

See how much tax your employer withholds from your pay each week, fortnight, or month — and what your net take-home pay will be.

Your details
Result FY 2025–26
Net Pay Per Week
$0
Tax Withheld Per Week$0
Gross Pay Per Week$0
Annual Tax Withheld$0
Annual Net Pay$0
Medicare Levy (annual)$0
Effective Tax Rate0%

How PAYG Withholding Works

PAYG withholding is Australia's pay-as-you-go tax collection system. Your employer calculates and deducts an estimated amount of income tax from each pay cheque and sends it directly to the ATO. This means you pay your tax progressively throughout the year rather than in one lump sum at tax time.

How the Amount Is Calculated

Employers use the ATO's withholding tables to determine how much to deduct. The calculation is based on:

  • Your annual salary (or annualised equivalent of your hourly rate)
  • Your pay frequency (weekly, fortnightly, monthly, etc.)
  • Whether you have claimed the tax-free threshold (declared on your TFN declaration)
  • Any HELP/VSL/SSL debts
  • Whether you have a Study and Training Support Loan

Why Your Withheld Amount May Differ

This calculator uses a direct annualised calculation. Your actual PAYG withholding may differ slightly because employers use the ATO's prescribed weekly/fortnightly tax tables, which include rounding and apply the Low Income Tax Offset (LITO) in a specific way. Use this tool as a close guide.

Claiming the Tax-Free Threshold

If you only have one job, you should claim the tax-free threshold on your TFN declaration. This means your employer will withhold less tax because the first $18,200 of your income is not taxed. If you have a second job, do not claim the threshold there — the ATO treats your second income as if the threshold has already been used.

Frequently Asked Questions

What is PAYG withholding in Australia?
PAYG (Pay As You Go) withholding is the system where your employer deducts estimated income tax from each pay cheque and remits it to the ATO on your behalf. At tax time, the ATO reconciles the total withheld against your actual tax liability — you receive a refund or pay a top-up depending on the difference.
How is PAYG withholding calculated?
Your employer uses ATO tax withholding tables to calculate how much to withhold each pay period. This is based on your annual salary, pay frequency, and TFN declaration, including whether you claim the tax-free threshold and whether you have a HELP debt.
What happens if too much PAYG is withheld?
If more tax is withheld throughout the year than your actual liability (after deductions), you receive a refund from the ATO when you lodge your tax return. This is the most common reason Australians receive a refund.
Does PAYG withholding include Medicare levy?
Yes. The PAYG withholding amounts your employer deducts include an estimate of your Medicare levy. The ATO's withholding tables automatically account for the 2% levy for most taxpayers.
Can I ask my employer to withhold more tax?
Yes. You can request additional withholding by completing a Withholding Declaration (NAT 3093) and specifying an additional amount. This can help avoid a tax bill at year end if you have multiple income sources or significant investment income.
Does super come out before or after PAYG?
Super Guarantee contributions (11.5% in 2024–25) are paid by your employer on top of your gross salary and are not deducted from your take-home pay. They are separate from the PAYG withholding calculation shown here.
Disclaimer: This calculator provides an estimate of PAYG withholding based on 2024–25 income tax rates. It does not apply the Low Income Tax Offset, HELP debt withholding adjustments, or ATO rounding rules. Actual withholding by your employer may differ. Not financial advice.

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