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Salary Packaging Calculator Australia

Estimate your take-home pay, HECS impact & tax savings for NFP, novated lease, or remote housing. ATO guidelines updated 2026.

Maximise your income with our advanced salary packaging calculator Australia. Whether you work for a not-for-profit, public hospital, or considering a novated lease, this tool estimates your net pay after packaging, Medicare levy, HELP repayments, and compares “without packaging” savings.

Your salary package details

NFP/Hospital cap: $15,900 (general) + $2,650 meal entertainment optional. Exceeding may reduce tax benefit.

Estimated financial impact (2026 rates)

📊 Adjust parameters and click 'Calculate' for detailed breakdown.
ATO-aligned note: Taxable income reduction from packaging reduces income tax. For NFP/public hospitals, capped exempt benefits up to $15,900 general + meal entertainment. HELP repayment is calculated on repayment income (taxable income + grossed-up RFBA). Figures are estimates; please consult a registered tax advisor.

How salary packaging works in Australia (2026)

Salary packaging (or salary sacrificing) lets you pay for certain expenses from your pre-tax salary, reducing taxable income and increasing take-home pay. The benefits depend on your employer type – not-for-profit (NFP) and public hospitals receive FBT exemptions up to $15,900 for general expenses plus $2,650 for meal entertainment. Remote area housing offers additional concessions.

Why use a salary packaging calculator?

  • ✔ Compare net pay with vs without packaging.
  • ✔ Understand impact on HECS/HELP repayments (RFBA gross-up factor ~1.8868).
  • ✔ Novated lease car packaging: reduce taxable income and save GST on vehicle costs.
  • ✔ Plan for 2026 tax brackets (0–$18,200: 0%; $18,201–$45,000: 16%; $45,001–$135,000: 30%; $135,001–$190,000: 37%; over $190k: 45% + 2% Medicare).
Scenario (Annual $85k gross)Taxable incomeIncome tax + MedicareHELP (if applicable)Estimated net pay
Without packaging$85,000$18,367$3,400$63,233
With NFP packaging ($15,900 general)$69,100$13,267$2,880*$52,953 + savings ~$4,500 p.a.
Novated lease ($10k pre-tax)$75,000$15,367$3,050Higher net pay ~$800-1200 extra

*HELP repayment may increase due to RFBA gross-up – actual repayment depends on repayment income.

Step-by-step to optimise salary packaging

  1. Determine eligibility – NFP, health, charity, or private sector with novated lease.
  2. Select expense type – rent/mortgage, car (novated lease), school fees, or meal entertainment.
  3. Use our calculator above – enter gross salary, packaging amount, employer type.
  4. Review HECS effect – Higher RFBA may increase HELP repayments, but net benefit usually positive.
  5. Finalise with provider – AccessPay, Maxxia, SmartSalary etc., confirm cap limits.

Exclusive insights: NFP vs novated lease & 2026 updates

From 2026, ATO benchmarks for car running costs and FBT gross-up rates remain consistent. Not-for-profit employees can package up to $15,900 for living expenses (often called the "general benefits cap") without FBT liability. Remote area housing can be packaged up to higher limits, sometimes over $20,000. Novated leases allow you to package a car's running costs, finance, and insurance pre-tax, often saving up to 20% on vehicle expenses. However, the RFBA (reportable fringe benefits) can increase your HELP repayment by ~2–4% depending on income tier. Our calculator reflects these adjustments to give a transparent estimate.

Salary packaging checklist 2026

  • ✅ Confirm employer FBT status
  • ✅ Know your caps: $15,900 (NFP general)
  • ✅ Understand HECS/HELP implications
  • ✅ Compare novated lease vs cash buy
  • ✅ Use this calculator for fortnightly comparisons

Frequently asked questions