How to Read Your Payslip in Australia: A Line-by-Line Guide

Written by: Salary Calculator Australia Editorial Team · Fact-checked against: ATO 2026–27 tax rates, Medicare levy and HELP thresholds · Last reviewed: October 2026

Your payslip tells you exactly what you earned, what was taken out and what was paid into your super. Checking it every pay takes less than a minute once you know where to look, and it is the easiest way to catch underpayments, wrong tax or missing super. This guide walks through each section of a typical Australian payslip using a real example.

An example payslip

Sam earns an $85,000 salary, is paid fortnightly, claims the tax-free threshold, salary sacrifices $100 a fortnight into super and pays $15 a fortnight in union fees.

The tax figure is an estimate. Real payroll systems use the ATO’s withholding formulas, so your own payslip may differ by a few dollars.

What every payslip must show

Under the Fair Work rules, a payslip must include:

• your employer’s name and ABN, if it has one
• your name
• the pay period and the date you were paid
• gross and net pay
• any loadings, allowances, bonuses, penalty rates or other separate payments
• every deduction, with what it was for
• for hourly workers, the ordinary hourly rate, the hours paid at that rate and the amount
• for salaried workers, your annual salary at the end of the pay period
• any super paid for you and the fund it went to

Reading it section by section

1. Pay period and pay date

Check that the dates line up with the hours you actually worked. Casual and shift workers should compare the hours against their roster or timesheet.

2. Earnings

Each type of pay should be listed on its own line: ordinary hours, overtime, weekend penalties, allowances. If everything is lumped into one figure, ask payroll for a breakdown. If you are paid by the hour and want to check the total, multiply your rate by the hours shown, or use the weekly pay calculator, which starts from an hourly rate.

3. Pre-tax deductions

Salary sacrifice comes out before tax, so it lowers your taxable gross. In Sam’s case, $100 to super reduces his take-home pay by noticeably less than $100, because less tax is withheld. Our salary sacrifice calculator shows that trade-off for your own salary.

4. Tax withheld

This is PAYG withholding: an estimate of your income tax and Medicare levy, plus any HELP repayment. It is not your final tax bill. If the amount looks too high or too low, the most common cause is the tax-free threshold. You should usually claim it from only one employer, as our guide to claiming the $18,200 threshold explains.

5. Post-tax deductions

Union fees, workplace giving, social club and similar amounts come out after tax. Each one needs your written agreement, and each should appear on the payslip with its purpose.

6. Net pay

This is the figure that should match the deposit in your bank account. If it does not, ask payroll straight away. Not sure why it is so much lower than your salary? The difference is explained in gross vs net income.

7. Super

Your employer’s 12% super guarantee is paid on top of your pay, not out of it. From 1 July 2026, under Payday Super, employers must pay super at the same time as wages, and it must reach your fund within 7 business days. Compare the payslip figure with your super account every few pays. Missing super is one of the most common pay problems.

8. Leave balances and year-to-date totals

Many payslips also show leave balances and year-to-date figures. Leave is not always a legal requirement on a payslip, but it is useful to track. The YTD gross and tax figures let you check you are on track for the year: multiply your normal gross pay by the number of pays so far and compare.

Payslip abbreviations and codes explained

Payroll software loves short codes, and most people never get told what they mean. These are the ones you’re most likely to see on an Australian payslip:

If a code on your payslip isn’t listed here, ask your payroll team. They have to be able to explain every line, and a code nobody can explain is often the first sign of a pay error.

Payslips for casuals, part-timers and shift workers

If you’re paid by the hour, your payslip has more lines and more room for mistakes. Each type of hour should appear on its own line with the hours, the rate and the total, so you can check it with simple multiplication.

• Casual loading: most awards add 25% to a casual’s base rate instead of paid leave. Some payslips show it as a separate line, others build it into the hourly rate. Either way, your rate should be higher than a permanent worker’s doing the same job.
• Penalty rates: Saturday, Sunday, public holiday and late-night hours are often paid at a higher rate. Check that those shifts aren’t lumped in with your ordinary hours.
• No leave balances for casuals: casuals don’t build up paid annual or personal leave, so it’s normal for those balances to be missing.
• Part-timers: you earn leave the same way full-timers do, just in proportion to your hours. Your annual leave balance should grow every pay.

A quick way to check: add up your hours from your roster, multiply by your rate, and compare it with your gross pay. Our salary to hourly calculator helps if you’re comparing an hourly job with a salaried one.

How to check the tax on your payslip is right

Tax is the biggest number on most payslips and the one people trust without checking. It only takes a minute to test it:

• Enter your gross pay for the period into our weekly tax calculator or fortnightly tax calculator, or use the main salary calculator if you know your annual salary.
• Make sure you’ve only claimed the tax-free threshold with one employer. If you have a second job, the second payslip will show more tax, and that’s correct.
• If you have a HELP or other study debt, extra tax is withheld once your income passes the repayment threshold. Our guide to HELP repayment rates shows how much.
• Salary sacrifice and salary packaging lower your taxable pay, so tax should drop when they start. The salary packaging calculator shows by how much.
• A pay with a bonus, back pay or extra overtime will show more tax than usual. Much of that often comes back when you lodge your tax return.

If your tax is still off by more than a few dollars every pay, ask payroll to check which tax table and settings they’re using for you.

Starting or leaving a job: what changes on your payslip

Your first and last payslips often look odd, and that’s usually fine.

Your first pay may cover only part of a pay period, so it will be smaller than normal. You can work out the expected amount with our pro rata salary calculator. You should also see your super fund’s name, and the tax-free threshold setting from the declaration you filled in when you started.

Your final pay should include your normal pay up to your last day, any unused annual leave (with leave loading if your award or contract includes it), and sometimes notice pay or redundancy pay. Some of these amounts are taxed differently from normal pay, so the tax figure can look high. Check that your leave balance on the final payslip has been paid out, not just dropped.

Five quick checks every payday

1. Your hourly rate or salary is correct and has gone up with any pay rise or award increase.
2. Overtime and penalty hours are paid at the right rate.
3. The tax withheld looks right for your pay. Enter your gross pay in the PAYG calculator to compare.
4. Super has been calculated at 12% of your ordinary time earnings.
5. Net pay matches the amount in your bank account.

Common payslip mistakes

• Old pay rates after a minimum wage or award increase on 1 July. The national minimum wage rose to $26.44 an hour from 1 July 2026.
• Two employers both applying the tax-free threshold, which leads to a tax bill at the end of the year.
• HELP not being withheld because the box was not ticked on the TFN declaration.
• Super calculated after salary sacrifice instead of before. The 12% must be worked out on your pay before sacrifice.
• Missing casual loading or penalty rates on weekend shifts.

Frequently asked questions

When should I get my payslip?

Employers must give you a payslip within one working day of paying you, even if you are on leave. It can be on paper or sent electronically.

Does my payslip have to show super?

Yes, if your employer has to pay super for you. It must show the amount and the name of the fund, or the fund’s name and number.

Why is the tax on my payslip different from my friend’s on the same salary?

The amount withheld depends on your TFN declaration. Claiming the tax-free threshold, having a study loan, or salary sacrificing all change the tax taken out of each pay.

What does YTD mean on a payslip?

YTD means year to date. It is the running total since 1 July of the current financial year, and it is the quickest way to check your pay over a longer period.

What should I do if my payslip is wrong?

Raise it with your payroll team or manager first and keep a copy of the payslip. If it is not fixed, you can contact the Fair Work Ombudsman for help with pay and payslip problems, or the ATO if your super is missing.

How long should I keep my payslips?

Keep them at least until you have lodged your tax return and confirmed your super has been paid. Employers must keep pay records for 7 years.

What do the codes on my payslip mean?

Common codes include ORD for ordinary pay, OT for overtime, PEN for penalty rates, AL for annual leave, PAYG for tax withheld, SG for super guarantee and YTD for year-to-date totals. Your payroll team must explain any code you do not understand.

Can my employer send my payslip by email?

Yes. Payslips can be paper or electronic, including email or an app, but they must be given within one working day of being paid.

Why is there more tax on this payslip than usual?

A bonus, back pay, extra overtime or a final pay with unused leave can push up the tax withheld for that pay. Much of it can come back when you lodge your tax return.

What is the difference between gross and net pay on a payslip?

Gross pay is what you earned before tax and deductions. Net pay is what lands in your bank account after tax, salary sacrifice and other deductions. Our guide to gross vs net income explains it in more detail.