My payslip changed this month and it took me a minute to figure out why — turns out the annual wage review landed, and it is a bigger jump than usual. Here is what actually changed.
Quick answer: From 1 July 2026, Australia’s National Minimum Wage rose 4.75% to $26.44 per hour ($1,004.90 per week), applying from your first full pay period after that date.
The New Numbers
As of 1 July 2026, the National Minimum Wage is:
- $26.44 per hour
- $1,004.90 per week (based on a 38-hour week for a full-time employee)
This is an increase from the previous rate of $24.95 per hour ($948.00 per week). Around 2.8 million employees across Australia are directly affected by this change, along with flow-on increases to minimum award wages in more than 100 industries and occupations.
Why the Increase Happened
The Fair Work Commission, Australia’s national workplace relations tribunal, reviews minimum wages every financial year through the Annual Wage Review. This year’s 4.75% increase was set above the April inflation figure of 4.2%, which the government described as a genuine real wage increase. Unions had pushed for a larger 6% rise, while employer groups argued for something smaller — the final figure landed between the two.
When Does the New Rate Actually Apply?
This is where people often get confused: the increase applies from the first full pay period starting on or after 1 July 2026 — not necessarily 1 July itself. If your pay cycle runs Monday to Sunday and 1 July falls midweek, the new rate kicks in from your next full pay cycle, not immediately.
Does This Apply to Working Holiday Makers?
Yes. If you’re working in Australia on a Working Holiday visa (subclass 417) or Work and Holiday visa (subclass 462), you’re entitled to at least the National Minimum Wage or the relevant award rate for your job — whichever is higher. Hospitality, retail, and farm work (common jobs for working holiday makers) are usually covered by specific awards, which may set a rate higher than the base minimum.
If you believe you’re being paid under the legal minimum, you can check your correct rate and get free advice through the Fair Work Ombudsman.
A Few Other Changes That Came in Alongside It
- Superannuation: from 1 July 2026, employers are required to pay superannuation contributions at the same time as wages (known as Payday Super), rather than quarterly
- Award wages: minimum rates under modern awards increased by 4.75% in line with the National Minimum Wage
- Junior and entry-level rates: the lowest entry-level rate for the first six months of employment increased to at least $978.10 per week ($25.74 per hour)
What To Check If You’re Working in Australia
- Confirm which award (if any) applies to your job — many roles are covered by an award that sets a rate higher than the bare minimum
- Check your payslips reflect the new rate from your first full pay period after 1 July 2026
- If you’re unsure whether you’re being paid correctly, the Fair Work Ombudsman’s Pay and Conditions Tool lets you check your exact entitlements for free
Recent Minimum Wage History
| Effective date | National Minimum Wage (approx, per hour) |
|---|---|
| 1 July 2024 | ~$24.10 |
| 1 July 2025 | ~$24.95-25.40 (varies by Fair Work Commission decision) |
| 1 July 2026 | Current rate — see the Fair Work Ombudsman for the exact figure |
The Fair Work Commission reviews the National Minimum Wage annually, with changes typically effective 1 July. Increases apply to award-covered employees and those not covered by an award or enterprise agreement.
Who Does This Actually Affect?
Most employees are covered by a specific award (Retail, Hospitality, Fast Food, etc.) rather than the bare National Minimum Wage, since award rates are usually set above the minimum wage. The annual increase flows through to award rates as well, via the same Fair Work Commission decision. See our Award Pay Calculator to check your specific award rate.
Frequently Asked Questions
Does the minimum wage increase apply to junior workers too?
Junior rates are set as a percentage of the adult rate, so when the base rate increases, junior rates increase proportionally too — see our Junior Pay Rates guide.
Do casual employees get the same increase?
Yes — casual loading is calculated on top of the base rate, so casual rates increase along with the base rate.
Final Thoughts
A 4.75% pay rise is a meaningful change if you’re budgeting a working holiday around casual or award-covered work in Australia. It’s worth double-checking your payslip after your first full pay cycle in July to make sure the new rate has actually been applied — underpayment, even unintentional, is unfortunately common, and you have the right to query it.
If you’re new to banking in Australia, our guide on opening a bank account as a foreigner is a good starting point.