Weekly tax table errors can turn ordinary weekly pay into surprise tax bills. Many workers also miss offsets, Medicare levy adjustments, and student loan withholding changes. That mismatch often distorts weekly PAYG withholding, especially across changing tax brackets for Australian residents. The ATO weekly tax table, supported by the tax withheld calculator, prevents costly guesswork. This guide explains updated tax rates, offsets, and payroll rules, so weekly withholding stays accurate.
What is a Weekly Tax Table?
A Weekly Tax Table helps employers work out withholding from payments made on a weekly basis. It matches normal weekly earnings with current ATO tax rates, so PAYG deductions stay consistent. The tax table assumes regular pay, then adjusts withholding before annual income tax is lodged.
It also supports the study and training support loans, weekly tax table when deductions apply. Employers may compare fortnightly and monthly tax tables, but they must use the correct schedule. The 2025–26 weekly tax table helps avoid large year-end adjustments and unexpected tax bills.
Additionally, the 2024 weekly tax table reflects the Stage 3 tax cut updates, which lowered resident tax rates and shifted income thresholds compared to the previous year’s tables. It also incorporates the newest Medicare levy thresholds, so weekly PAYG withholding better matches the 2024–25 tax system.
How to Use an ATO Weekly Tax Table?
Start with the employee’s weekly gross pay, then match it to the weekly tax table. If the payment includes a study or training support loan, add the matching withholding amount. Next, use the tax withheld calculator, confirm the result, and record payroll details carefully. Then apply the figure in payroll, keep your records, and revisit tax tables each year.
Weekly Tax Table 2024
These marginal rates determine how much tax is withheld weekly (as seen in the table above). For example, earnings above $45,000 incur a 30% rate on the excess above $45,000 each year. The ATO incorporates a 2% Medicare levy automatically into weekly withholding. The brackets listed here come from the current tax schedules.
| Taxable Income (per year) | Marginal Tax Rate |
|---|---|
| $0 – $18,200 | 0% |
| $18,201 – $45,000 | 16% |
| $45,001 – $135,000 | 30% |
| $135,001 – $190,000 | 37% |
| $190,001 and over | 45% |
Weekly Tax Table 2025
The tax table published by the ATO in 2024 applies to payments made in 2025. As a result, the values remain unchanged for the year 2025. Therefore, all employers and employees must use the 2024 weekly tax table to figure out their weekly withholding.
Weekly Tax Table 2026
Since the ATO releases new tax tables in the first half of every year, Australians must use the 2024 weekly tax table currently. The Australian Taxation Office (ATO) will release the 2026-27 weekly tax tables (NAT 1005) from mid-June. These updated tables will take effect for payments made on or after 1 July 2026, incorporating the newly enacted personal income tax rate cut (dropping the second marginal rate from 16% to 15%) and indexation changes to study/training loans
Tax File Number and Tax-free Threshold:
A valid Tax File Number (TFN) declaration lets employers apply the correct withholding rule. Most residents can claim the $18,200 tax-free threshold on one job. Claiming the threshold means no tax on the first ~$350 of weekly earnings. If a worker has two jobs, they typically claim the threshold with the higher-paying job; the second job’s employer must withhold tax at the “no threshold” rates (higher withholding).
Keeping TFN and threshold election up to date helps with accurate weekly withholding. This avoids over-withholding (better cash flow) and reduces the risk of a tax bill at year-end.
Weekly Tax Withholding Amounts
Withholding amounts depend on gross weekly pay, claimed offsets, and any debts (like HELP/HECS or STSL). For example, the first $18,200 earned each year is tax-free (about $350 per week); then income is taxed at 16%, 30%, 37%, and 45% in higher bands. In addition, a tax withheld calculator can confirm the amount of tax to withhold before payday.
Below is a sample of weekly gross earnings with the approximate tax withheld and resulting take-home pay, assuming the tax-free threshold is claimed. These figures include the 2% Medicare levy but exclude any HELP debt or extra levy surcharge.
| Weekly Gross | Tax Withheld (approx) | Take-Home Pay (approx) |
|---|---|---|
| $500 | $21 | $479 |
| $1,000 | $139 | $861 |
| $1,500 | $303 | $1,197 |
| $2,000 | $463 | $1,537 |
| $3,000 | $811 | $2,189 |
How PAYG Withholding Works for Weekly Pay
When an employee starts a job, they submit a TFN declaration indicating whether they claim the tax-free threshold. The employer then uses the ATO tax table (NAT 1005) to look up the amount to withhold. For example, if an employee earns $1,800 in weekly wages, the table shows about $399 withholding. The employer deducts this from pay and remits it to the ATO.
If the employee has study/HELP debt, an additional calculator or table may adjust the withholding. Accurate TFN declarations and use of the correct table ensure the right tax amount is withheld each week. At year-end, the total withheld is credited on the employee’s tax return against their final tax bill.
Tax Offsets and Study and Training Support Loans
Lower-income employees benefit from offsets like the Low Income Tax Offset (LITO). For 2025–26, the full $700 LITO applies to taxable incomes up to $37,500, then phases down to $325 by $45,000 and to $0 by $66,667. (Other offsets, e.g. zone or senior offsets, have separate rates.) On the loan side, the ATO introduced new withholding rules for HELP/VETSTUDY loans.
From 24 September 2025, existing study debts were cut by 20%, and updated withholding tables were released. The compulsory repayment threshold rose to $67,000 (2025–26), so employees owe nothing below this income.
| Taxable income (AUD) | Low Income Tax Offset (LITO) |
|---|---|
| $0 – $37,500 | $700 |
| $37,501 – $45,000 | $700 → $325 (tapers) |
| $45,001 – $66,667 | $325 → $0 (tapers) |
| $66,668+ | $0 |
Tax Offset Adjustments:
If an employee claims an offset (e.g. LITO), employers must adjust withholding. Use the ATO’s Ready Reckoner for Tax Offsets to convert the annual offset to a weekly equivalent. For example, a $700 annual offset reduces tax by about $13 per week (700/52), while a $325 offset saves about $6 weekly. Payroll should subtract the calculated weekly offset from the normal weekly withholding amount. This ensures the right total tax is withheld over the year. (Other offsets like zone or seniors work the same way.)
Study and Training Support Loans Withholding
Employees with a HELP or similar STSL debt have extra tax withheld. Under the 2025–26 rules, no compulsory HELP repayment is withheld on weekly pay until annual income exceeds $67,000. Above that, payments kick in at 15% of the excess (up to $125k) and 17% thereafter.
For example, someone earning $72,800/year ($1,400/week) would have roughly $17 more withheld each week for HELP, while someone earning $125,000/year ($2,403/week) would have about $167/week extra. The table below shows sample weekly HELP withholdings under 2025–26 rules.
| Annual income (AUD) | Weekly pay | Approx. HELP withheld (weekly) |
|---|---|---|
| $62,400 | $1,200 | $0 |
| $72,800 | $1,400 | ~$17 |
| $125,000 | $2,403 | ~$167 |
| $200,000 | $3,846 | ~$385 |
Fortnightly Tax Table vs Monthly Tax Table
The fortnightly and monthly tables serve similar purposes but are calibrated differently. The ATO provides separate tables for weekly, fortnightly, and monthly pay periods. A fortnightly table assumes 26 pays per year, while a monthly table assumes 12. In practice, this means the tables use the same tax brackets but are spread over different pay counts.
Consequently, you must use the table matching the pay frequency: using a fortnightly table on a monthly salary (or vice versa) will miscalculate withholding. Each table also reflects any yearly changes (e.g. rate adjustments) on its own scale.
Conclusion
Weekly tax table accuracy matters because withholding errors flow into every pay run and tax return. The Australian Taxation Office (ATO) updates its tax tables and calculator tools to match current withholding rules. Employers who use the right weekly basis table reduce surprises at tax time. The income tax and medicare levy adjustment table matters where needed for special cases. That also helps workers avoid underpayment, overpayment, and end-of-year corrections.
A clear tax position starts with the correct weekly gross pay and the right table. Using the right table for study and training support loans also matters when repayments apply. Are you using the right weekly tax table for every payment cycle?
FAQs
1. Do I need the tax withheld calculator?
It helps estimate the correct amount of tax to withhold. It covers weekly, fortnightly, monthly, and quarterly payments.
2. What is the Medicare levy adjustment weekly tax table?
Use it when an employee is entitled to a Medicare levy adjustment. The ATO says it works with the weekly tax table.
3. What causes the wrong amount of tax withheld?
Incorrect pay frequency, missing details, or a wrong table skews the withholding calculation. Using the ATO calculator helps reduce mistakes.
4. Can weekly PAYG withholding change during the year?
Yes, withholding can change when income or deductions change. The ATO also updates some withholding schedules during the year.
5. Why do people get big tax bills or refunds?
Small withholding errors can build up across the year. Matching the weekly table to actual pay helps reduce surprises at tax time.