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Pay, Payroll & Working Time

What is a Minimum wage?

Updated 15 July 2026 5 min read

The national minimum wage is the lowest hourly (or weekly) amount an employer can legally pay an adult employee who is not covered by a modern award or registered agreement. From the first full pay period on or after 1 July 2026 it is $26.44 per hour, or $1,004.90 per week for a 38-hour week. It is set each year by the Fair Work Commission in its Annual Wage Review.

This glossary article about minimum wage provides general information about Australian employment law and workplace practices. It does not constitute legal, HR, or professional advice and should not be relied on as a substitute for advice specific to your business, workforce, or circumstances.

What the minimum wage is

The national minimum wage is the lowest amount an employer can legally pay an adult employee who isn't covered by a modern award or a registered agreement. From the first full pay period on or after 1 July 2026 it is $26.44 per hour, or $1,004.90 per week for a 38-hour week.

It is set each year by the Fair Work Commission in its Annual Wage Review. The 2026 review increased the national minimum wage by 6%. You can always pay more — but never less than the applicable minimum.

Who the minimum wage applies to

The national minimum wage is a safety net for award-free and agreement-free employees. In practice, most Australian employees are covered by a modern award, so the award's minimum rate for their classification applies instead — and award rates are usually higher than the national minimum wage.

Award rates come first

Before relying on the national minimum wage, check whether an award covers the role. Use Fair Work's minimum wages page or our award rate guides to confirm the correct minimum.

Minimum wage vs award rates

For employees covered by an award, the lowest rate that applies to ongoing employment must be at least $26.44 per hour ($1,004.90 per week). An entry-level rate that applies only for the first six months of employment can be lower — at least $25.74 per hour ($978.10 per week) from 1 July 2026. Beyond that floor, each award sets higher minimums by classification.

You can estimate award minimums with our modern award pay rate estimates tool, or work out take-home pay with the salary & pay calculator.

Casuals, juniors & apprentices

  • Casuals: receive the minimum wage plus a 25% casual loading — at least $33.05 per hour from 1 July 2026 — in place of paid leave.
  • Juniors: employees under 21 are generally paid a percentage of the adult rate that rises with age.
  • Apprentices & trainees: have their own minimum rates, set as a percentage of the relevant classification rate.

When the minimum wage changes

Reviewed every July

The Fair Work Commission reviews wages annually, usually announcing the decision in June with new rates from the first full pay period on or after 1 July. Set a reminder each year to update payroll and check the latest pay guides.

Key takeaways

  • National minimum wage from 1 July 2026: $26.44/hr ($1,004.90/week for 38 hours).
  • Casuals: at least $33.05/hr (base + 25% loading).
  • Applies to award-free and agreement-free employees — award rates apply (and are usually higher) if an award covers the role.
  • Reviewed each year by the Fair Work Commission, effective the first full pay period on or after 1 July.

Getting pay right starts with the correct minimum. RosterElf's award interpretation applies the right base, penalty and overtime rates automatically, so no one is accidentally paid below the legal minimum.

Paying staff at least the minimum? RosterElf builds award and minimum-wage rates into your rosters and timesheets so pay is right from the first shift.

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Steve Harris

Written by

Steve Harris

Workforce Management and HR Strategy Expert

Steve Harris has spent over a decade advising businesses in hospitality, retail, healthcare, and other fast-paced industries on how to hire, manage, and retain great staff. At RosterElf, he focuses on sharing actionable advice for business owners and managers — covering everything from smarter interview techniques and compliance with Australian employment laws, to building positive workplace cultures.

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RosterElf helps Australian businesses manage rosters, track time and attendance, and stay compliant with Fair Work requirements. Try it free for 14 days.

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