Working holiday maker tax rates and calculator 2026-27
Working holiday maker tax rates for 2026-27 are 15% from the first dollar up to $45,000, then 30%, 37% and 45%. On $32,000, a 417 or 462 visa holder pays $4,800 when their employer is registered with the ATO (ATO Schedule 15 tax table for working holiday makers (opens in a new tab)).
The link carries the numbers you entered, so anyone who opens it sees the same result.
2026-27 key figures
- Tax-free threshold
- None
- First rate
- 15% up to $45,000
- Medicare levy
- Not payable
- Top rate
- 45% over $190,000
Take-home pay per year
$27,200
From $32,000 gross per year
- You keep 85.0%
- Income tax 15.0%
Breakdown
| Item | Per year |
|---|---|
| Gross income | $32,000 |
| Income tax before offsets | $4,800 |
| Low income tax offset (not available to working holiday makers) | $0 |
| Medicare levy (not payable by working holiday makers) | $0 |
| Total tax | $4,800 |
| Take-home pay | $27,200 |
Tax per bracket
| Taxable income | Rate | Your income in band | Tax |
|---|---|---|---|
| $0 to $45,000 | 15% | $32,000 | $4,800 |
| $45,001 to $135,000 | 30% | $0 | $0 |
| $135,001 to $190,000 | 37% | $0 | $0 |
| Over $190,000 | 45% | $0 | $0 |
- Total tax per year
- $4,800
- Effective tax rate
- 15.00%
- Marginal tax rate
- 15%
- Withheld by your employer
- $4,800
- Refund or shortfall at tax time
- $0
- Withheld minus tax on this income alone
- Employer super
- $3,840
- Paid to your fund
Registered and unregistered employers
An employer must register with the ATO as a working holiday maker employer to withhold at 15%. If it isn't registered, it must withhold at foreign resident rates: 30% from the first dollar up to $135,000. The ATO guidance for employers of working holiday makers (opens in a new tab) sets this out.
The higher withholding doesn't change your final tax.
On $32,000
Registered employer
- Withheld
- $4,800
- Tax at working holiday maker rates
- $4,800
- Credited back when you lodge your return
- Nil
Unregistered employer
- Withheld
- $9,600
- Tax at working holiday maker rates
- $4,800
- Credited back when you lodge your return
- The extra $4,800
The tax withheld on your payslip shows which rate is used. ABN Lookup doesn't show it, because the Australian Business Register treats working holiday maker registration as non-public.
Ask the employer to confirm it. If 30% is coming out and your employer should be registered, raise it with them first.
Two registered jobs in one year can cause the opposite problem. Each employer withholds 15% of what it pays, without knowing your other income. With $30,000 from each of two jobs, $9,000 is withheld in total. Tax on $60,000 at working holiday maker rates is $11,250, because $15,000 sits above $45,000 at 30%, and the $2,250 gap becomes a bill when you lodge.
Backpacker rates vs resident and foreign resident rates at $32,000 and $50,000
The table compares the same income under the three sets of rates.
| Income | Working holiday maker tax | Foreign resident tax | Resident tax, LITO and Medicare levy |
|---|---|---|---|
| $32,000 | $4,800 | $9,600 | $1,768.90 |
| $50,000 | $8,250 | $15,000 | $6,270.00 |
| Take-home on $32,000 | $27,200 | $22,400 | $30,231.10 |
| Take-home on $50,000 | $41,750 | $35,000 | $43,730.00 |
On $50,000, a foreign resident pays $6,750 more than a working holiday maker. A resident pays $1,980 less, after the $18,200 tax-free threshold and the low income tax offset (LITO), even though residents also pay the Medicare levy.
| Step | Amount | Running total |
|---|---|---|
| First $45,00015% | +$6,750 | $6,750 |
| The $5,000 above it30% | +$1,500 | $8,250 |
| Working holiday maker tax | $8,250 | |
That's an average rate of 16.50%.
Super you can claim back when you leave (DASP)
Employers pay super guarantee of 12% on qualifying earnings for working holiday makers, as for other employees. On $32,000 that's $3,840 paid into your super fund.
- 1
Leave Australia and let your visa end
You can claim your super as a departing Australia superannuation payment (DASP) after you've left and your visa has ended.
- 2
Check for more than one super account
If you worked for several employers, check before you claim, so none is missed.
- 3
Apply online
Applications are made online after departure.
- 4
Expect tax on the payment
The DASP tax rate for working holiday makers (opens in a new tab) is 65% on the taxed and untaxed elements, with no tax on any tax-free component.
TFN, tax return and work expense claims
Apply for a tax file number (TFN) online through the ATO once you're in Australia with your visa and an address. If you don't give your employer a TFN, or show that you've applied for one, it must withhold at the no-TFN rate. That rate is 45% for foreign residents, which would be $14,400 withheld on $32,000.
Lodge a tax return after 30 June for each year you earn income here. It reconciles what was withheld with tax at working holiday maker rates and claims back any excess.
You can claim work-related expenses you paid and can prove, such as protective gear. The new $1,000 standard deduction from 2026-27 is limited to Australian residents, so most working holiday makers can't use it.
What the backpacker calculator leaves out
The calculator applies working holiday maker rates to the income you enter. It doesn't test your residency, add other income, or apply deductions.
It doesn't estimate DASP, model income from before you held a working holiday visa, or check whether your employer is registered. For income earned on other visas, use the foreign resident tax calculator.
Backpacker tax questions: residency, tax-free threshold, second-year visas, Medicare and TFNs
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Last reviewed
Are working holiday makers tax residents?
Most are foreign residents for tax purposes, though some meet a residency test after a longer stay. The working holiday maker rates of 15% up to $45,000 usually apply either way. Residents from Chile, Finland, Germany, Israel, Japan, Norway, Turkey or the United Kingdom pay the lower of resident and WHM tax, because of a treaty non-discrimination clause. See the ATO's taxation of Australian resident WHMs from NDA countries (opens in a new tab).
Can a working holiday maker claim the tax-free threshold?
No. Working holiday maker income is taxed from the first dollar, at 15% up to $45,000, with no $18,200 tax-free threshold. On $32,000 that means $4,800 of tax. A resident on the same income, with the threshold and the low income tax offset, would pay $1,768.90 including the Medicare levy.
How much do backpackers get taxed in Australia?
Backpackers on 417 or 462 visas pay 15% on income up to $45,000 in 2026-27, then 30% up to $135,000. On $32,000 the tax is $4,800, and on $50,000 it's $8,250. An employer that isn't registered withholds 30% instead, and the excess comes back at tax time.
Does a second-year visa or farm work change the tax rate?
No. A second or third working holiday visa, including one gained through specified work such as farm work, keeps you on the same working holiday maker rates. The first $45,000 is still taxed at 15%. Farm income is taxed the same as income from any other job.
Do working holiday makers pay the Medicare levy?
Usually not. Most working holiday makers are foreign residents for tax purposes, and foreign residents pay no Medicare levy. If you're a resident but not entitled to Medicare, you can claim an exemption with a Medicare Entitlement Statement from Services Australia. Otherwise the 2% levy applies to your taxable income.
How do I get a TFN on a working holiday visa?
Apply online through the ATO once you're in Australia with a valid visa and an address. It's free. Give the TFN to each employer on your TFN declaration. Without it, an employer must withhold 45%, which is $14,400 on $32,000 against $4,800 at working holiday maker rates.
Estimates only, based on published rates for 2026-27. General information, not tax or financial advice.
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