What is a Good Salary in Australia in 2023

Team JagVimal 12 Jun 2023 19602 views
salary

In order to be regarded as above-average earners in the nation, full-time employees must earn more than $91,000 annually. However, this amount fluctuates greatly depending on your location, your line of employment, your gender, your level of education, and your level of experience. For instance, anything over $115,000 is considered a respectable pay for a software engineer living in Sydney, but a woman employed in the public sector has to make more than $1,820 per week to be regarded as a high earner. There are regional variations as well; a CEO in Sydney makes roughly $308,000, whereas a CEO in Melbourne makes $235,000 in the same capacity.

For those who are just starting out in their careers, $4,000 to $5,000 a month should be a reasonable expectation, while those with years of expertise in industries with intense competition should be paid more than $120,000. You should generally strive for a pay that is at least average. Alternatively stated, a decent wage in Australia is anything between $90,000 and $108,000 per year, or $7,500 and $9,000 per month. A decent benchmark for how much you should be making is the median salary, which is $72,000 annually.

What is the Average Australian Salary?

The average wage for all employees is $1,344.70 per week, or $69,888 per year, according to the most recent information from the Australian Bureau of Statistics. An increase of 1.9% from the previous year brings the average weekly wage for full-time workers to $1,769.80, or $92,029 annually before taxes. The average full-time wage is $1835.20 per week, or $95,000 per year (pre-tax), if overtime, bonuses, and commissions are not taken into account. For full-time employees, or those who work a minimum of 38 hours a week, the minimum wage is $812.60. Every firm is required to provide employees with the federally mandated minimum salary and a certain amount towards superannuation.

Facts About Salaries in Australia

  • The median weekly wage increased by 50% to $1,200.
  • Since 2020, the median hourly wage in Australia has stayed at $36.
  • Employees in the public sector often make more money than those in the private sector. As a result, the average wage for full-time workers in the private and public sectors is $1,725 and $1,936, respectively, or $1,277 and $1,647 for all employees.
  • The largest yearly salary gain, 3.4%, was experienced by the approximately one million Australians employed in the construction industry.
  • According to the ABS June 2022 report, WA saw the highest quarterly increase (0.8%). The lowest was in the Northern Territory (0.3%).
  • Employees with two to five years of experience make roughly 32% more money than less experienced workers, while compensation rises by 21% after 10 years and by an additional 14% after more than 15 years.
  • Every 16 months, Australian employees receive an 8% pay rise. Salary increases of 15% to 20% per year are possible for top management jobs.
  • Managers and professionals get an hourly wage of $52.40 and $50.20, respectively, and are the highest paid workers in Australia. The minimum wage is $21.38 per hour for the lowest-paid workers, such as cashiers and dishwashers.

Average Salary in Australia by Gender

As previously stated, a number of factors affect the average monthly pay in Australia. According to gender, industry, and location, below is a breakdown of the average yearly income for Australians. Please keep in mind that these statistics are just intended to serve as broad guidelines because your overall compensation is determined by a variety of other factors. The national wage gap between men and women in Australia is presently 14.1%, and it has been a severe issue for years. Men make $1,872.90 on average per week as of May 2022, while women make $1,609 on average per week, or $263 less.

Average Salary in Australia by State and Territory

Naturally, the average salary is greater in states with higher costs of living. As a result, the average annual income for people residing in the ACT, where Canberra's public employees work, is $103,080. This is about $19,000 higher than the average annual earnings in South Australia, which is $84,390.

Here is a more thorough examination of salaries in various states.

State Average Weekly Earnings Average Yearly Earnings
Wa $1,937 $100,724
Vic $1,750 $91,036
Nsw $1,790 $93,080
Act $1,983 $103,152
Queensland $1,705 $88,665
Tasmania $1,568 $81,536
Northern Territory $1,710 $88,935
South Australia $1,622 $84,390

According to the table, Queensland and the Northern Territory are on the cusp of the average in terms of full-time employee yearly salaries, while two states, New South Wales and Victoria, fall below it.

What Are the 5 Highest Paying Industries in Australia?

The top five Australian industries in terms of compensation are as follows:

Industry Average Weekly Earnings Average Weekly Earnings
Financial and Insurance Services $2,148 $111,722
It $2,236 $116,287
Professional, Scientific & Technical Services $2,081 $108,258
Mining $2,701 $140,478.00
Electricity, Gas, Water & Waste Services $2,014 $104,748

The top five industries by pay are depicted in the table above as being paid higher than the national average. Gender also matters in this situation; for instance, males make $444 more on average than women in the mining sector, where 83% of workers are men. Contrarily, males continue to earn $2,049 compared to $1,595 more than women in the business of healthcare and social support, which is dominated by women. The lowest average wage is in the hospitality and food sector, at approximately $1,220 per week. The workforce in this industry is also the youngest; 45% of workers are under the age of 25.

Average Salary by Education Level

According to the employees' degree of education, the median salary in August 2021 are listed below.

Education Level Average Weekly Earnings Average Weekly Earnings
Postgraduate Degree $1,747 $90,844
Graduate Diploma $1,600 $83,200
Bachelor Degree $1,428 $74,256
Advanced Diploma $1,207 $62,764
Certificate III/IV $1,000 $52,000
Certificate I/II     $900 $46,800
Non-school Qualifications $800 $41,600

Postgraduates earn more money naturally, but getting a Master's or PhD requires a significant financial commitment. 38% of Australians seek postgraduate education, which ranges in price from $37,000 to $114,000 per year. However, keep in mind that you may work in some positions without experience or a degree and earn a respectable wage. While positions like air traffic controller ($257,000) and construction manager ($153,000) pay above average and don't require employees to have a degree, careers like concreter ($109,200) and delivery driver ($27,400) are just a few of the vocations you may enter without prior experience.

Highest Paying Jobs in Australia

In Australia, those in the medical field make the greatest money, with surgeons earning far more than the national average.

Here is a closer examination of the top 5 paid positions in the nation:

Job Average Salary
Neurosurgeon $600,387
Anaesthetist     $386,065
Financial Dealer $275,984
Internal Medicine Specialist $304,752
Psychiatrist $235,558

 

Overtime and Bonuses

According to Fair Work, Australian workers who work overtime are compensated at a rate of 150% of their minimum hourly wage and 200% if they put in more than two hours. Bonuses range from 6 to 10% of your annual salary, depending on your company and the industry you work in.

You must notify the ATO of any additional super contributions you make if your bonus or overtime salary is immediately deposited into your retirement account.

How Much Money Do You Need to Live in Australia Comfortable?

Depending on where you reside and how big your household is, there are different average living costs. Accordingly, a single individual would require between $2,000 and $3,537 per month for a modest lifestyle, or around $1,362 (without rent). In Australia, a single individual may make a nice living with an income of $4,000 per month if they seek a better lifestyle. This entails renting a one-bedroom flat, shelling out about $200 on meals, and $10 for a night out. However, estimations indicate that a family of 4 in Australia needs to earn at least $6,600 per month or $4,905 (rent is not included) to afford living expenditures.

What Are the Common Living Expenses in Australia?

1.Housing

If you are looking to rent, budget between $1,000 and $1,500 a month, or even more if you wish to rent a larger flat in the middle of a big city. Depending on the amount of your house loan, your LVR, and the interest rate, you may pay as much as $1,993 a month for your mortgage if you've purchased a property. FOOD According to the most recent data on food consumption, the average Australian spends $608 per month on groceries. In a mid-range restaurant, a typical three-course lunch for two people runs between $100 and $150. Drinks are additional; a domestic beer costs, on average, $8, while a cup of coffee runs approximately $4.

2.Transport

Transportation expenses go from $200 to $300 per month, with gasoline accounting for the majority of costs (nearly $100 in October 2022 and growing). The first time fuel costs crossed the $100 threshold was in August, when Australian families paid an average of $100.39 per week for petrol. For a household with two cars, additional automobile operating costs soon pile up and total an average of $16,912 per year.

3.Utilities

Australia has a $1,645 annual average for power costs. Additional monthly expenses total $250 and include internet, water, and petrol. For instance, the average monthly expense for internet service is $77, while the average monthly charge for a cell phone is between $50 and $80. The typical quarterly water bill is around $200.

4.Entertainment and Leisure

Australian homes are said to spend $4,500 a year on entertainment, the most of which goes towards streaming and gaming expenses. In fact, 80% of Australians are expected to utilise video streaming services by the end of the year, up from the 62% who did so on a weekly basis last year.

5.Health Insurance and Medical Expenses

Health-related expenditures cost Australians an average of $7,926 per person annually, with health insurance accounting for $166 of the total.

6.Holidays

During the second half of 2020's border restrictions, Australians paid an average of $385 per person on domestic travel; however, the amount has subsequently increased to $5,072 per person for international travel. Although there are some inexpensive nations you may visit from Australia that might cost you less than that, the average Australian spends $4,000 to $5k on a vacation overseas.

7.Taxes in Australia

Australians' marginal tax rate is 34.5%, therefore they pay 15.4% of their income in taxes. You therefore pay $7,717 in taxes if your yearly income is $50,000. 6.717% of the average tax is withheld as income tax, and another $1,000 is withheld as the Medicare levy. If you receive a rise of $100, you will only receive a salary increase of $65.50 since the additional income will be taxed at the marginal rate of 34.5%, which is $34.50.

In order to maintain a good standard of living in Australia, you would need to earn at least $90,000 each year. Depending on your demands, your city, and the size of your home, a different amount may be required. Check the average hourly wage in Australia for your industry or profession, gender, and area as a general rule of thumb, then look for a job that pays at least as much as that.

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Our FAQ's

Is 60,000 a respectable wage in Australia?

No. A family will not be able to make ends meet in a large city like Brisbane or Melbourne, despite the fact that it is slightly above the yearly average of $69,888 (for all employees). You will need to live very simply, although in rural places, $60,000 a year would be plenty.

Melbourne is one of the most expensive cities to live in and is ranked as the seventh best city overall to live in, therefore residents need to earn between $110,000 and $150,000 annually. Newly hired Melburnians should make between $60,000 and $70,000 annually.

Anyone making more than $180,000 annually is regarded as a top earner and is included in the 3.5% of Australians who pay the highest tax rate. With this annual wage, both singles and families may live very well in Australia.

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